Competitive benchmarking
Competitive benchmarking compares performance or practices with competitors operating in a relevant market. It can reveal strategic gaps but data may be incomplete, differently defined or difficult to obtain lawfully. Consider differences in product mix, strategy, scale and accounting policies before interpreting measures. The purpose is informed improvement, not an assumption that competitors’ current practices are optimal or suitable for the organisation’s own objectives.
Worked example
A retailer compares delivery reliability with a close competitor, checking whether both figures use promised or requested delivery dates.
Common mistake
Do not rely on incomparable public percentages or seek confidential competitor information through improper methods.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | APM | Direct | September 2026–June 2027 |