Benchmarking is a ________ tool.

Benchmarking is primarily recognized as a process improvement tool because it involves comparing an organization’s processes, performance metrics, and practices against those of leading companies or industry standards. The main goal of benchmarking is to identify gaps in performance and to understand best practices that can be adopted to enhance efficiency and effectiveness within an organization.

Through this analysis, organizations can discern areas where they can improve and implement strategies leveraging the insights gained from the benchmarks, thus driving continuous improvement in processes. This makes it a critical practice in quality management, as it encourages learning from others to elevate one’s own standards and outcomes.

While benchmarking can also contribute to aspects like quality control, cost reduction, and performance evaluation, its primary function is rooted in improving existing processes to achieve better results.