Which of the following is a typical step in benchmarking?

• A. Implement changes without data
• B. Identify metrics
• C. Ignore gaps
• D. Rely on intuition

Answer: (B)

Benchmarking hinges on creating an objective, data-driven basis for comparison, which starts with identifying metrics. By choosing the right metrics, you define what you will measure and compare—examples include cycle time, cost per unit, defect rate, and customer satisfaction. This clarity lets you collect relevant data, see how your performance stacks up against the best-in-class, and spot specific gaps to target for improvement. Acting without data, ignoring gaps, or relying on intuition would undermine the purpose of benchmarking, as none of those approaches provides the objective, evidence-based view needed to drive meaningful improvements.