Benchmarking

What is Benchmarking?

Benchmarking is the process of comparing an organisation’s practices, processes, or performance metrics against industry standards or leading competitors. In HR, benchmarking is commonly applied to compensation and benefits, employee turnover rates, time-to-hire, training spend, engagement scores, and diversity metrics. By identifying gaps between current performance and best-in-class standards, organisations can set realistic improvement targets and prioritise initiatives. Benchmarking data may come from industry surveys, professional associations, consulting firms, or government labour statistics.