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Compass Performance Benchmarking by BCG

Compass Performance Benchmarking by BCG—a proprietary database solution—enables companies to understand how they compare against best-in-class leaders and unlock competitive advantage in operations.

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To create and sustain advantage, companies in every industry must meet an ever-expanding set of imperatives—most notably, capturing cost savings, boosting supply chain resilience, and demonstrating ESG excellence in their manufacturing and supply chain operations.

Forward-thinking business leaders are rising to this challenge. Using BCG’s Compass Performance Benchmarking proprietary operations tool, they can extract insights from data and use those insights to adapt swiftly to forces reshaping their industry.

A Closer Look at Compass Performance Benchmarking by BCG

Compass Performance Benchmarking by BCG enables companies to assess how their operations performance compares with that of their peers—at the site level. It provides easy-to-understand comparisons within and across industries for individual plants and supply chain networks. The tool quickly reveals the gaps to best-in-class performance, points to root causes of less-than-ideal performance, and illuminates the best opportunities to close those gaps and unlock competitive advantage.

Drawing on a set of 250-plus financial and operational key performance indicators (KPIs), companies can find out where they stand on nine important manufacturing and supply chain functions, organized into three sets of modules:

For each of these nine functions, companies can see how they stack up against peers on four crucial performance criteria: financial; full-time equivalents; service; and sustainability performance. What’s more, this powerful database solution enables companies to slice data in ways most useful to them (e.g., by industry, company size, location, cost of goods sold, or supply chain function).


Features and Benefits of Compass Performance Benchmarking

This database solution has been designed with a unique set of sophisticated features that deliver valuable benefits to users during the benchmarking process:

Features

Intuitive data input via the solution’s online tool—with Excel interface also available—that validates every input dataset

Benefits

Comprehensiveness: Important KPIs from all major manufacturing and supply chain processes are covered 

Security: Client input data is sanitized prior to storage in a BCG-approved database infrastructure 

Benchmark reporting that’s easy to understand and customize for each user and features clear visualizations such as tables and box plot diagrams

Flexibility and specificity: A dedicated BCG report provides individual analysis and initial insights

Multiple output formats can be exported using standardized interfaces to other tools

Time and resource savings: Further data processing is enabled with minimal effort

An extensive measurement database that creates an improvement plan for problem areas identified through benchmark reporting

Impact and speed: Industry-specific measurements and assessments identify improvements that prioritize impact and speed of implementation

Client Success Using Compass Performance Benchmarking by BCG

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To boost profitability, a leading global auto parts maker needed to improve efficiencies and cut costs at its 80 production plants. We used Compass Performance Benchmarking by BCG to determine competitive standards for key operational and financial performance indicators. We also toured shop floors and conducted in-depth interviews at multiple plants to collect data and prioritize critical issues. Our analysis identified more than 40 initiatives that could reduce the plants’ cumulative baseline costs 14% over a two-year period, bringing the company closer to its profitability goals.

Meet Our Compass Performance Benchmarking Consulting Team

BCG’s 1,000-plus operations experts employ Compass Performance Benchmarking around the globe, in every industry, and do far more than activate the performance benchmarking process. They understand the context behind the numbers—including how those numbers relate to a client’s profitability.

These experts provide clients with the right strategic insights to swiftly strengthen both their performance and their competitive advantage. They’ve established an impressive global track record, having led more than 1,000 manufacturing and supply chain projects over the past three years.

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