PROBLEMS AND PROSPECTS OF THE APPLICATION OF BENCHMARKING BY ENTERPRISES AS AN ELEMENT OF COMPETITIVE DEVELOPMENT

Abstract

The article is devoted to the study of the concept of "benchmarking" and its importance for enterprises. Five main phases of benchmarking development are given. The comparative characteristic of competitive analysis and benchmarking is carried out. Four main types of benchmarking are presented and characterized. Eight main steps for the application of benchmarking at the enterprise are formed and characterized. The advantages and disadvantages of benchmarking are highlighted. Competition is a driving factor that makes companies work very hard, contributes to their development, and encourages them to improve what they know or what they have. Finding and testing new ways to beat the competition leads to high creativity and innovative skills. Business always strives for high performance, from creating more efficient processes to selling more of its goods and services. It is emphasized that through the benchmarking process, any business can compare itself with the standard and develop a consistent way to measure performance. One of the most effective is benchmarking. Benchmarking is the process of comparing the activities or processes of your own organization with other companies in the same industry or in the wider market. Benchmarking can be applied to any product, process, function or approach in business. These measurements do not have much value on their own - these data need to be compared to some standard. Through the benchmarking process, any business can compare itself to a standard and develop a consistent way to measure performance. In simple terms, benchmarking is being implemented, when a business needs to change its own direction in the process of identifying new needs of users of their products. The main goal of benchmarking is to take a company to the next level and make it more competitive. It is observed that companies are sometimes reluctant to use benchmarks. One of the most common reasons for this is the belief that they are their own organization and therefore do not need to emulate any other organization. This is where it is very important to emphasize the fact that benchmarking does not mean blindly «copying» what competitors are doing. It simply means understanding what an acceptable standard in the industry is and where the organization is in relation to that standard.