Benchmarking for Business in a Foreign Country - Essay Example

Lodgit Courier is soon rolling out its business operations in the United States. As a latecomer in the industry, it is prudent for the company to seek ways to elevate its performance toward the standard benchmarks set forth by its forerunners.

In simple terms, benchmarking can be defined as “learning from the pros” (American Productivity & Quality Center, 1993). Benchmarks are very essential for organizational operations in that they lay in the open the processes that hold the keys to a successful business takeoff and the subsequent operations. Through such standards, a business venture Lodgit Courier will identify and adopts a mix of practices of top performers that will in effect define the course that the business initiative takes. Put quite simply, benchmarking is the art of finding out straightforward organization and implementation strategies that lead to success. The concept engenders comparative efficiency to other industry key players with the intent to know the exact processes, procedures, and/or technological application principles that can result in the production of superior outputs (Ammons, 1996; Camp, 1989). Since businesses are all about competition, benchmarking plays a very important role in measuring specific performance gaps that could be used to gain a competitive advantage (Boxwell, 1994). Indeed, it is “not a cost to be avoided, but a tool that when utilized properly can result in quantum leaps in organizational performance" (Dodd and Turner, 2000).

Given that this joint venture business, it would take an influential positive stand to convince colleagues that certain standards have to be met for the company to remain competitive in the industry. It is also essential to note that a group of investors can consistently utilize a common investment strategy and emerge victorious. As learnt in the analysis of market efficiency, market outcomes are not always efficient to all investors due to the cost of information which may lean towards those with the capacity to acquire such, if at all they are vital in making investment decisions (Fama, 1970). Businesses can succeed from the successful implementation of a mix of strategies. Benchmarking is just one among the many strategies. As long as agreeable strategies are cost-effective with a clear roadmap to success, individualistic standards may take a back seat for good reasons.

There are many barriers to the success of business ventures. Unwillingness or the inability to adopt legitimate business ideas or standards from certain quotas may be just one in a million. Entrepreneurs are often resistant to change due to general contentedness, perceived challenges to their resource base and the fear of the unknown. However, companies can turn around the resistance to accepting benchmarking by managerial awareness creation that the exercise is not a fault-finding process but rather a useful program established to assist in organizational growth prospects in a fast-changing business environment. Critical to this awareness is teaming up with the right people (like-minded individuals) through a transparent process for successful collaboration. Working as a team in Lodgit Courier will not only help in identifying useful strategies but also help in developing service mechanisms that will ensure improved outcomes for greater value for all partners. An efficient deal structure should allow:
- Independent opportunity identification-success of the company will require the input of partners in an equal measure through a diversified set of platforms and technologies.
- Free agreement negotiations in which all are allowed to give their thoughts. The objective of this step is to give room of reaching a mutually beneficial deal structure that all partners are comfortable with.
- Open Implementation and management of the agreed strategies for success. Notably, the implementation of ad hoc strategies without keeping partners informed will automatically create rifts and subsequently lead to the collapse of the business (Lilly, 2011).

To minimize the risks associated with the rejection of ideas, partners should exhaustively research strategies applied in business; analyze them thoroughly to ascertain any perceived and/or actual risks involved (Clement, 1996; McNamee, 1998). Even though all risks cannot be avoided completely in business, the severe impacts of certain risks can tremendously be reduced. Therefore, this company needs to have the necessary information that pertains to the business, more so at its fingertips. Through in-depth research and detailed analysis, the company will be sure of arriving at the right solution under the prevailing circumstances.