Benchmarking for construction: theory and practice

The UK construction industry has identified benchmarking as one of a number of initiatives to assist in the drive for major improvements in efficiency and economy. At the outset, the industry struggled to see how a technique based upon comparison of similar goods and processes could be used effectively in a project based industry where products, processes and teams changed regularly. This paper discusses the development and testing of a benchmarking model and study methodology for use in construction. The model was derived from an extensive literature review which considered the underlying theoretical basis of benchmarking. The case is made that, to be successful, the benchmarking process is as important as the benchmarks themselves, and that it is based upon constructivist foundations, rather than positivist. As such, any methodology for undertaking benchmarking must take place in a similar vein, i.e. be interactive, team based and flexible but with an underlying rigour provided by the benchmarking model. The paper outlines two case studies to test the benchmarking model and study methodology, discusses the learning and benefits that accrued and introduces further developments.