The best way to understand the meaning of your scores.
Benchmarking is the process of comparing one organization against a peer group, thereby enabling an interpretation of scores relative to others. Due to its ability to standardize performance, benchmarking data is the only way to understand the meaning of survey scores. In short, benchmarking provides you with:
- Objective data. Without benchmarking, scaled survey data is subject to interpretation.
- Comparative data. Since benchmarking data is standardized and objective, comparing across groups, divisions, units, and categories is instantly simplified.
- Enduring data. Industry standards will change over time, and benchmarking data has the flexibility to adapt to changes.
To understand a bit more about benchmarking in the organizational context, let’s turn our focus to the specific example shown in the graphic. Although the mean score of the responses to the two questions, “I am satisfied with my compensation” and “My supervisor is a good coach” are identical at 3.99, when benchmarked against scores from other people, it is clear that one is a high score at the 96th percentile, and one is a low score at the 38th percentile.
What are some key issues and considerations you should look for in a good benchmarking database? A good benchmarking database will be:
- Similiar to your organization. Comparing yourself against others in your industry is critical to an accurate understanding of performance.
- Robust. A good benchmarking database will contain data points from multiple organizations. By ensuring adequate coverage, you can ensure benchmarks accurately describe your performance.
- Focused at the question level. It is important that benchmarking data is tabulated at the question level, which allows for a proper assessment of performance across specific items and an accurate understanding of total organizational performance.
Benchmarking gives you an edge on your competition by illuminating your strengths and weaknesses in a relative way.
NBRI houses the largest and highest quality employee, customer, guest, patient, and physician benchmarking databases in the world!!