Content area
Full Text
1 Introduction
Many emerging business improvement philosophies, approaches and methodologies, such as the learning organisation ([27] Senge, 1990), total quality management (TQM) ([9] Deming, 1986) and knowledge management ([24] Nonaka and Takeuchi, 1995; [8] Davenport and Prusak, 1998) involve an element of benchmarking and performance measurement ([23] Neely, 1998; [1] Atkinson and Brown, 2001; [19] Lockamy, 1998; [7] Corrigan, 1998). However, these approaches tend to include mainly lag or production measures with little emphasis on lead measures focusing on analysing predictive and future performance comparisons. Hence, most organisations tend to benchmark based on "hard" rather than "soft" data ([6] Cassell et al. , 2001) ignoring non-financial measures such as quality, market share, customer satisfaction, human resources, innovation and learning ([12] Geanuracos, 1994).
The current literature raises a number of questions in relation to definitions, implementations and indicators associated with lead benchmarking and performance measurement. For example, how are lead innovative measurement tools and associated components defined in organisations? How can benchmarking and performance measurement be conceptualised, measured, and assessed? What specific metrics are organisations utilising to support the development of lead benchmarking and performance measurement? To what extent do organisations undertake lead benchmarking and what are the outcomes of this process?
The aim of this paper is to explore the understanding and application of lead benchmarking and performance measurement as a possible means of achieving increased organisational change. Based on current literature a conceptual model is proposed to capture the key dimensions and indicators of lead benchmarking. Constructs of the model are then used to form research questions which are tested via empirical study. A total of 157 UK organisations responded to the research invitation, these organisations are attempting to employ lead benchmarking for upstream performance measurement.
2 Benchmarking
Defining benchmarking can be a confusing task as both managers and academics tend to create definitions according to their own perceptions and applications of the technique and philosophy ([11] Fernandez et al. , 2001). The growth, diversity and maturity of benchmarking have led to the emergence of numerous definitions; indeed over 42 definitions were found by one source ([15] Heib and Daneva, 1995). The most popular, well-documented definition is that of [5] Camp (1989) who simply states that, "Benchmarking is the search for industry best...