2. What is Benchmarking?
• Definition - A measurement of the quality of an
organization's policies, products, programs, strategies,
etc., and their comparison with standard measurements,
or similar measurements of its peers.
• Benchmarking allows you to compare your data with
aggregated industry data from other companies who
share their data.
• Benchmarking provides valuable context, helping you to
set meaningful targets, gain insight into trends occurring
across your industry, and find out how you are doing
compared to your competition.
• Benchmarking is measured on parameters like
Quality,Time and Cost.
3. Objective of Benchmarking
• To determine what and where improvements are needed
• To analyze how other organizations achieve their high
performance levels
• Use information to improve organization performance.
• Benchmarking is sometimes used to improve training
methods.
• organizations might be near the top in performance or
operational efficiency. Hence, they may execute
benchmarking tactics to gain the upper hand on the top
competitor
5. Know Your Suppliers
• Toyota brand had become synonymous with quality.
• One of the key components is a program entitled ‘Total
Quality Control” (TQC). In this program Toyota works
together with its suppliers to improve methodologies for
its component products
• The TQC model embedded quality into Toyota’s
production system up and down the Supply Chain
• Through the program, Toyota was able to understand the
critical link between quality and profit through high
customer satisfaction
• This TQC program has been embraced by numerous US
companies, including Toyota’s US auto manufacturing
rivals
6. The Compliance Oversight
Committee
• Toyota’s overall quality program was a high-level
oversight committee which had been set up to deal with
quality issues in 2005
• Oversight Committee was made up of persons across
functions within the company and had the power to deal
with issues outside of typical bureaucratic silos
• Oversight Committee is a key component of any best
practices compliance program
• Oversight committee was used for reviewing and
managing traditional high risk areas such as third party
business representatives; a company can create such
committees for other high risk issues particular to a
company
7. Don’t Let Growth Overwhelm
You
• Toyota almost doubled its overall global market share in
a little over 10 years and this caused sales to grow “faster
than the company could manage”
• This changed the traditional order of priorities within
the company: growth now became paramount over
quality
• This growth was pursued while not fully assessing or
even appreciating the risks involved
• There were many new vendors in the Supply Chain that
did not receive the rigorous due diligence and training
into the Toyota philosophy regarding quality
• The company also hired huge numbers of new contract
employees who did not receive the same training as
previously hired employees
8. Lessons for the Compliance
Practitioner
• The growth experienced by Toyota was the clear lesson
for the compliance practitioner
• Compliance must be rigorously implemented and
continued for a company to succeed in its overall anti-
corruption and anti-bribery policies
• The Toyota TQC model served it well until the rigor
surrounding it was reduced
• This model inculcated quality throughout vendors in the
Supply Chain
• A company must continue to push compliance
throughout its Supply Chain
9. Best Practices Adapted in
College from Toyota
• Implementing and improving assessment methods
• Improving classroom instructional strategies to include
problem-based learning and inquiry
• Improving data-driven decision making for classroom teachers
and distributed leadership
• Cleanliness maintained in toilets
• Query solving sessions immediately after lectures
• Test after every chapter for better understanding of student
study process
11. Lesson Learned
• To be up front about an issue, and to communicate, so that
others believe that we are doing more than covering up or
fluffing off the matter
• Problems should be effectively solved by “one off” situations
• Act quickly on the unknown
• Gather facts, assess the many dimensions of the challenge to
be addressed, and act with clarity and precision
• Understand from know where to go to seek situational advice
when these challenges arise
• Have a team of advisors who specialize and have deep
experience in “special matters” ready to step in
12. • When a crisis hits, “shopping” for support will take valuable
time. In sum, there is an economic value in establishing a
“quick to action” resolution process with the best advisors
• Be prepared to make adjustments as you resolve the problem
at hand
• More times than not, as a problem unfolds, it will morph and
new issues will arise
• Flexibility, while holding steady on how these “jack in the
box” pop ups are addressed, will help you win back lost trust.
• Put your credibility and integrity are at stake
• You must prove that you are serious and working diligently to
restore reach to your goal
13. • Never bury your corporate head in the sand with the hope
that the storm will pass with minimal effort
• Rebuilding corporate trust is extraordinarily important and
exceedingly difficult without an extraordinary effort, expense,
and strategic distractions