Mount Sinai is a successful hospital that is able to deliver high quality services. The organization derives strength in services through their large physician network and their medical school that complements the hospital. Innovation and excellent processes are factors that produce a successful environment for Mount Sinai. However, the hospital system is not flawless and there are some weaknesses in their business operations. Though they maintain excellent processes and use certain contemporary business techniques, there is one technique that has the potential to elevate the service that is provided by Mount Sinai. Through benchmarking the organization can develop a new set of innovative ideas and improved processes. To examine how benchmarking
…show more content…
During the end of the 20th century benchmarking became an important method for accessing organizational performance (McGaughey, 2002). The concept allows a company to understand a wide array of processes. Benchmarking is a methodology suitable for evaluating virtually any aspect of organizational performance in public or private organizations (McGaughey, 2002). This methodology can by identified in three different types. The first type of benchmarking is internal benchmarking. Internal benchmarking involves establishing best practice within a company (McGaughey, 2002). These practices can be functions, divisions, or other processes. Internal benchmarking is likely to result in greater internal efficiency or effectiveness, but not necessarily significant improvement in competitiveness (McGaughey, 2002). This type of benchmarking can work well with the principles found in cost …show more content…
External benchmarking examines best practices in other organizations (McGaughey, 2002). As the organization transitions to the outside environment there are multiple organizations that could be examined. The organizations examined can be direct competitors, organizations in similar industries, or unrelated industries (McGaughey, 2002). Different companies are utilizing the same or similar processes to get things done, not just the main service of the benchmarking firm. The processes of purchasing, selling, employee training and development, product development, as well as other processes often have great commonality, even when undertaken by firms in different industries (McGaughey, 2002). When thinking about making improvements there is another company that is already performing the practice and the benchmarking firm should not try to “reinvent the wheel.” The last type of benchmarking is best practice benchmarking. Best practice benchmarking is an extension of external benchmarking, however, the benchmarking firm is now comparing processes to the best in the industry and looking for ways to surpass them (McGaughey, 2002). As the name suggests this type of benchmarking is for the firm that is trying to become number one. Mount Sinai can benefit by the lofty goal of trying to become the best hospital in the
During the end of the 20th century benchmarking became an important method for accessing organizational performance (McGaughey, 2002). The concept allows a company to understand a wide array of processes. Benchmarking is a methodology suitable for evaluating virtually any aspect of organizational performance in public or private organizations (McGaughey, 2002). This methodology can by identified in three different types. The first type of benchmarking is internal benchmarking. Internal benchmarking involves establishing best practice within a company (McGaughey, 2002). These practices can be functions, divisions, or other processes. Internal benchmarking is likely to result in greater internal efficiency or effectiveness, but not necessarily significant improvement in competitiveness (McGaughey, 2002). This type of benchmarking can work well with the principles found in cost …show more content…
External benchmarking examines best practices in other organizations (McGaughey, 2002). As the organization transitions to the outside environment there are multiple organizations that could be examined. The organizations examined can be direct competitors, organizations in similar industries, or unrelated industries (McGaughey, 2002). Different companies are utilizing the same or similar processes to get things done, not just the main service of the benchmarking firm. The processes of purchasing, selling, employee training and development, product development, as well as other processes often have great commonality, even when undertaken by firms in different industries (McGaughey, 2002). When thinking about making improvements there is another company that is already performing the practice and the benchmarking firm should not try to “reinvent the wheel.” The last type of benchmarking is best practice benchmarking. Best practice benchmarking is an extension of external benchmarking, however, the benchmarking firm is now comparing processes to the best in the industry and looking for ways to surpass them (McGaughey, 2002). As the name suggests this type of benchmarking is for the firm that is trying to become number one. Mount Sinai can benefit by the lofty goal of trying to become the best hospital in the