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By K.W. Wöber

Deals methodological framework for answering key benchmarking questionsonly colossal paintings overlaying this topicworld-wide insurance and usageBenchmarking is a buzzword of the decade that describes a style for evaluating assorted businesses, by means of measuring a number of facts, functionality and objectives. This booklet makes a speciality of the methodological features of definitely the right number of benchmarking companions.

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4 Measuring Business Performance Fig. 3. Yj 35 The input/output transformation model in a competitive setting. Ym (m = 1, . . 2) N (m = 1, . . e. there is no known production function. Consequently, any assessment of efficiency is necessarily subjective, but competitive analysis is one possibility to overcome this problem. , 1975). Through the widespread use of standard accounting systems and the digital processing and storage of comprehensive business data in database systems, it has become possible to determine industry benchmarks on a regional, national and international basis (Potter and Schmidgall, 1999).

E. g. when company managers dedicate time to secretarial tasks such as typing (on a regular basis) instead of thinking how best to run the company (Cubbin and Tzanidakis, 1998). The difference between technical and allocative efficiency is illustrated in Fig. 4, where it is assumed that output is produced by two factors x1 and x2, with the curve ψ being an output-isoquant. To bring allocative efficiency considerations into the picture, a budget (or cost) line associated with Fig. 4. Efficiency measures by Farrell (1957).

An example for the kind of information which was suddenly available to the city tourism managers is illustrated in Fig. 1. It shows the development of Berlin’s tourism measured by the number of bednights in all accommodations between 1999 and 2000. The relative figures for each generating market are then compared with the average development in all other destinations available in the database. Gains or losses in market share are identified and highlighted with different colours in the Web output.

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