The outcome of ignoring benchmarking by large companies
Owners of large companies that have reached profitability sometimes ignore the reports and the accuracy of their work, but this is a big mistake because even a successful company can improve its accuracy and increase profits instead of leaving money on their customers’ desks and wasting unnecessary expenses such as magazine subscriptions for an employee who has already left the company, or connecting to lead generation software that is no longer used, or using a board reporting software that is not of interest to the board.
The purpose of comparing KPIs with a panel of similar companies is to make you more accurate in submitting reports, to highlight exceptions, and to summarize errors that should be corrected. The comparison software is constantly updated with global content from different countries and in different languages, allowing you to make decisions such as whether it is time to invest in a new market in a new country.
You can even check parameters in contracts to avoid mistakes, all according to a panel of professional and experienced managers in companies that have succeeded and grown. More precision and less dispersion of funds reduce the number of mistakes. There is no doubt that we learn from mistakes, but how will we fix them if we don’t know the mistakes? After each correction of a KPI, the set of KPIs must be measured again because each parameter affects many other KPIs, and thus we can gradually move towards financial success.
A manager who doesn’t make progress in fixing KPI after KPI is stuck in place, burning money and putting his company at risk. Many company owners told us that with such a comparison software they would have saved their companies.
Doron Herzlich