The Value of Business Benchmarking

Business Benchmarking is the process of continually comparing and measuring performance against similar companies in the same industry with the goal of improving performance.  The process reveals and quantifies areas of strength and weakness, and enables companies to take proactive steps toward improvement.

Gerke & Associates, Inc., developers of BizBench software, has more than 30 years of expertise with helping companies succeed through business benchmarking.  To learn more about business benchmarking, please see the following articles prepared by the benchmarking experts at Gerke & Associates.

 

 

BizBench as a Business Benchmarking Tool

The first step in business benchmarking is to determine where a company "stands" in terms of its performance.  BizBench is a valuable tool for business benchmarking because the software performs comparative ratio analysis, using company financials to benchmark about 50 key ratios.  BizBench automatically calculates industry percentile rankings for these ratios.

Because the specific financial characteristics of firms are strongly dependent upon industry and size, BizBench creates an "apples to apples" comparison between a company and similar-sized firms in the very same industry (same NAICS code).  Over 735 industries can be benchmarked with BizBench.  To see how this powerful, yet simple, analysis works, download a free sample report , or sign up for our next free demo session.

The industry financial ratio data for the comparisons is from the Annual Statement Studies® 2007-2008 of Risk Management Associates (RMA®) long recognized as leaders in industry benchmarking data for ratio analysis.  BizBench was developed under a licensing agreement with RMA®.

To get started with business benchmarking, or to upgrade your current benchmarking process more efficient, order BizBench risk-free today.

More About Business Benchmarking

If you would like to read more about business benchmarking, we recommend the following books: