2. What Is Project Benchmarking And Why
Should A Project Manger Care?
Benchmarking is a euphemism for legally ripping off
someone else’s ideas…..(www.leadingexcellence.com)
3. Project Benchmarking
• Compare to Best in Class
Identifies organizations with best project practices and results and
assists in adapting their practices for innovation in one’s own
organization or one’s own projects.
• Think Outside the Box
Enables Project and Program Managers to learn what is possible
outside their current belief system.
• Improve Projects and Overall System
When carried out correctly, benchmarking can help individual project
managers and project organizations achieve a breakthrough in their
performance.
4. ……… And Why Should A Project
Manger Care?
• See where your project performance ranks versus other
projects in your industry
• Achieve Breakthroughs by gaining from other’s experience
Understand and improve your own performance, gain 20/20 hindsight
wisdom without paying the high price of first hand experience, and
attain recognition and good exposure to top management, especially
in high profile projects
• Gain or maintain a competitive advantage
Enhancing the efficiency of your project delivery system can be easily
translated into cost, schedule and safety improvements. This leads to
a competitive advantage in the industry.
5. How Can A Project Manager Be Involved In
Benchmarking?
On a project level
A Project manager may opt to compare his/her project performance record in
terms of cost, schedule and operability to similar projects within industry; or look
at the likelihood of a future project success by comparing its scope and
characteristics to lessen learned from industry
On a program level
Benchmarking several projects that contribute to a bigger program success
Or within an overall organizational project management process or
system
Examining the overall organizational project management process against
industry counterparts performance to improve capital competitiveness
6. Why Use External Benchmarking?
• Impartiality
• Confidentiality
• Consistency Of Measurement
• Standardization Of Industry Definitions
• Standardization Of Industry Practices
7. Why Are Institutions Like CII Needed To Promote
The Practice Of Benchmarking?
Benchmarking involves borrowing practices and
ideas from competitors in the same industry.
• Impartial institutions like CII are needed to regulate the flow of
knowledge, retain the confidentiality of sensitive information and
prevent unethical behavior such as bid rigging.
CII is hence the keeper of confidential
information and the provider of metrics for
comparison
• CII develops surveys of practices and provides the quantitative
metrics against which participants benchmark.
• CII has an established code of conduct and confidentiality policy
to ensure data are treated properly
8. History of CII Benchmarking
•Chartered by the CII BOA in Nov 1993
•First Committee Meeting in Feb 1994
•First Data Collection in 1996
•Developed on-line Questionnaire in 1999
9. CII Benchmarking Objectives
• Provide the Industry with Performance NormsProvide the Industry with Performance Norms
• Measure the Use of Selected Best PracticesMeasure the Use of Selected Best Practices
• Quantify the Value of Best PracticesQuantify the Value of Best Practices
• Provide Member Companies tools forProvide Member Companies tools for
self-analysisself-analysis
11. Benchmarking as Part of the ContinuousBenchmarking as Part of the Continuous
Improvement CycleImprovement Cycle
ImplementImplement
Best PracticesBest Practices
MeasureMeasure
ResultsResults
Identify OpportunitiesIdentify Opportunities
to Improveto Improve
SelectSelect
ImplementationImplementation
ToolsTools
ConductConduct
TrainingTraining
Compare toCompare to
Competition/Competition/
Company TrendsCompany Trends
12. Who Is Needed To Make This Process Work?
• Senior Management
• Benchmarking Associate
• Project Management
• CII Staff & BM&M Committee
13. Project Managers Company Benchmarking
Associate
Company Leadership CII Staff, Account Mgrs.
& Committee
CII Benchmarking & Metrics Roadmap
Responsible for
Benchmarking
Coordination
Decision / Commitment
to Benchmark as Basis
for Improvement
Responsible for Project
Benchmarking &
Improvement
Develop/Improve
Metrics, Processes,
Policies & Procedures
Develop Data
Collection &
Reporting Tools
Perform Validation
Checks, Run Analysis
& Generate Reports
Provide Input to
Research &
Implementation
Conduct Training & Feedback Sessions
Select Projects for Analysis & Preload/Initiate Project in CII Database
Validate
Questionnaires
Release
Questionnaire to CII
Perform Self-Analysis & Develop Improvement Plan
Complete
Questionnaire During
Project Execution
Complete & Submit
Questionnaire at
Project Close-out
Review and Act on
Interim CII On-line
Recommendations
14. Levels Of Use Of The Benchmarking System
Improve Efficiency Of A Business Unit
Improve Performance Of A Single Project Or A Group Of Projects
Improve Efficiency Of Overall Project System
Improve Selected Performance Metrics (E.g. Productivity)
15. Now What…?
Develop a Path Forward
•Contact your Benchmarking Associate
•Identify your CII Account Manager
•Attend CII Benchmarking Associates
Training
