We all benchmark! The U. S. Federal Reserve policy makers raise and lower interest rates based on benchmarks. These benchmarks drive our nation’s economy. Doctors and Nurses benchmark outcomes from medications and or treatments to measure patient’s physical condition and wellness. The concept of “benchmarking” is a means to an outcome. The outcome is not just to provide data, but to gain information that is useful for decision making.
- Profile the management style and operational culture.
- Identify management systems deficiencies.
- Validate data for benchmarking of performance compared to internal history and peer facilities.
- Begin developing a rapport with the managers.
- Evaluate the department managers conception of the management processes currently implemented.
- Identify what the managers see as opportunities for improvement. Managers live with their problems daily and they often have valuable recommendations.
- Prepare a final report and manual to include – Our Approach, Our Findings and Recommendations, Estimated Annual Savings Opportunities, Proposed Approach for Implementing Change and Attachments (including our Philosophy of Management, a Proposal to implement the changes and an engagement schedule.)
- Request Chief Financial Officer supply data for financial, payroll and volume data.
- Schedule a “kick-off” meeting with all senior and department managers
- Meet with managers one-on-one to complete departmental profile outline.
- Review data received from the finance department with managers to get their interpretation of the data and current management system usefulness and validity.
- Meet with I.T. to get data from the general ledger for comparison.
- Analyze all data from: Finance, the managers and the general ledger, to prepare and develop benchmarks for staffing and opportunities for improvement.
- Prepare final report, including opportunities for improvement and savings by department.
- Present recommendations to senior management and to department managers.
- Publish a final operations manual and report, defining the implementation process.