What is the main goal of benchmarking in management?

Benchmarking in management primarily aims to compare an organization's processes, practices, and performance metrics with those of industry bests or competitors. This comparative analysis allows companies to identify gaps in their performance, understand areas where they can improve, and adopt best practices that lead to enhanced efficiency and effectiveness. The essence of benchmarking revolves around continuous improvement and driving innovation by learning from others’ successes, making option B the most accurate choice.

By implementing insights gained from benchmarking, organizations can set realistic performance standards, motivate employees through challenging yet attainable goals, and foster a culture of excellence. This process ultimately enhances competitiveness and customer satisfaction, reinforcing the importance of benchmarking in strategic management planning and operational execution.