MTMPSR601A
Benchmark to manage/improve enterprise performance

This unit covers the skills and knowledge required to conduct benchmarking exercises through the identification of appropriate benchmarks and to use them to focus enterprise operations and improve performance. In the meat industry benchmarking is a tool for informing, measuring and developing an enterprise's performance.

Application

This unit is suitable for all managers working in a meat industry context and supports them in their responsibility for measuring, evaluating and improving enterprise performance. This unit has applicability for engineers, refrigeration/chiller managers, production and operations managers, Occupational Health and Safety (OH&S), environment, quality, Human Resources (HR), finance, livestock, logistics managers.

At this level individuals exercise considerable responsibility and accountability within enterprise structures and are required to make primary contributions to the values, goals and operations of the enterprise. They will typically have responsibility for the establishment and review of systems for the site or department. They may work with the assistance of external experts to develop plans and strategies.


Elements and Performance Criteria

ELEMENT

PERFORMANCE CRITERIA

1. Identify the need for benchmarking

1.1. Benchmarking is identified in enterprise planning processes as a tool for achieving strategic goals.

1.2. Customer requirements, perceptions and satisfaction data are analysed to identify the need for improvement.

1.3. Competitor's products or processes are analysed to identify the need for improvement.

1.4. Company processes are analysed to determine whether potential improvements to efficiency might be possible.

1.5. Regulatory requirements are analysed to identify the need for improvement.

2. Prepare for benchmarking

2.1. Scope and parameters of the benchmarking exercise are determined according to enterprise priorities and plans.

2.2. Benchmarking resource requirements are estimated and included in budgets and operational plans.

2.3. Benchmarking strategy is planned around realistic time frames and enterprise planning cycles.

2.4. Communication and mathematical requirements are identified and planned.

2.5. Goals of benchmarking are developed in consultation with stakeholders.

2.6. Benchmarking teams are selected according to agreed criteria.

2.7. Team roles and responsibilities are confirmed and supported with training.

2.8. Benchmarking activities are scheduled and documented following consultation with stakeholders.

2.9. Criteria are established for internal and external benchmarking and agreed upon by benchmarking team.

2.10. Internal and/or external benchmarking partners or sources are identified, according to the scope, parameters and goals of the benchmarking exercise.

2.11. Cooperative and open relationships are built with benchmark partners.

3. Undertake benchmarking activity

3.1. Logistical requirements and impacts of the benchmarking exercise are identified and negotiated with stakeholders.

3.2. Statistical analysis frameworks and measurement frameworks are developed.

3.3. Problem-solving processes are developed and agreed.

3.4. Own enterprise or department functions, processes and operations are analysed and documented according to agreed criteria.

3.5. Benchmarking partner's functions, processes, operations and performance outcomes are analysed and documented.

3.6. Comparisons of performance are made to identify compatibility of measurement data, commonalities, trends, differences and gaps.

3.7. Comparisons or benchmarking reports are communicated to benchmarking partners according to agreement.

3.8. Change strategies are developed from analysis and evaluation of divergences and gaps.

4. Capitalise on benchmarking outcomes

4.1. Opportunities for using benchmarking and benchmarking data in continuous improvement processes are identified.

4.2. Customer consultation and feedback is built into continuous improvement processes.

4.3. Enterprise personnel are supported through the change process.

4.4. Improvements resulting from the benchmarking processes are measured and reported to stakeholders.

4.5. Benchmarking information is utilised to develop the enterprise's competitive advantage and market profile.

Required Skills

Required skills

Ability to:

determine criteria for the identification of appropriate benchmarking partners and maintaining positive partner relationships, consistent with enterprise goals and directions

access industry and enterprise benchmarking data

analyse and interpret a range of complex qualitative and quantitative data relating to enterprise operations and benchmarking activities

apply relevant communication and mathematical skills

identify enterprise goals and directions and explain the role benchmarking can have in achieving enterprise goals

develop and maintain positive relationships with benchmarking partners

work effectively as an individual and as a member of a team

use effective communication, negotiation and leadership skills in a range of benchmarking interactions (e.g. with benchmarking teams, benchmarking partners and internal stakeholders dealing with change)

use problem-solving skills in a range of situations

utilise information and communications technology including performance management, project management, statistical and modelling software

prepare a strategy for gathering and analysing customer feedback

develop a financial model for measuring Return On Investment (ROI) for benchmarking processes

develop and implement a communication and marketing strategy to inform stakeholders (including senior management, personnel at all levels of the organisation and customers) of benchmark goals, progress and outcomes

prepare benchmarking action plans that specify resource requirements, methodologies, milestones, communication strategies and timelines, and include mechanisms for linking with enterprise planning cycles and continuous improvement strategies

develop and implement strategies for the resolution of logistic, resource, cultural, ethical and political issues raised during the benchmarking process, including scheduling team release and involvement, supporting individuals through change, managing group dynamics, confidentiality and commercially sensitive information, dealing with diversity

develop performance indicators for the enterprise, function, department or process being benchmarked

implement the findings of benchmarking exercise including interpreting benchmarking results, identifying areas for improvements, building findings into targets and planning, identifying possible indicators of enterprise and/or department competitive edge and preparing a market profile

plan quantitative and qualitative data management strategies (e.g. collection, collation, analysis, presentation and reporting)

prepare memorandums of understanding or contracts for benchmarking partners, as appropriate

present reports according to legal and enterprise requirements

take action to improve own work performance as a result of feedback from others, self-evaluation, or in response to changed work practices and technologies

Required knowledge

Knowledge of:

the role of performance indicators in benchmarking

the difference between performance and process benchmarking

relevant OH&S, workplace and regulatory requirements

the critical factors required for successful and effective benchmarking processes and outcomes, and the implications for enterprise benchmarking activities

Evidence Required

The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

The meat industry has specific and clear requirements for evidence. A minimum of three forms of evidence is required to demonstrate competency in the meat industry. This is specifically designed to provide evidence that covers the demonstration in the workplace of all aspects of competency over time. These requirements are in addition to the requirements for valid, current, authentic and sufficient evidence.

Three forms of evidence means three different kinds of evidence - not three pieces of the same kind. In practice it will mean that most of the unit is covered twice. This increases the legitimacy of the evidence.

All assessment must be conducted against Australian meat industry standards and regulations.

Critical aspects for assessment and evidence required to demonstrate competency in this unit

Competency must be demonstrated through sustained performance over time, at an appropriate level of responsibility and authority under typical operating and production conditions for the enterprise.

Effective management and/or facilitation of a benchmarking process, including related improvement activities, must be demonstrated.

Context of and specific resources for assessment

Resources may include:

access to appropriate information sources including industry standards and research data, similar businesses and industries

enterprise system information

workplace environment with typical operation and production conditions.

Method of assessment

Recommended methods of assessment include:

a third-party referee report of sustained performance at appropriate level of authority and responsibility

assignment focusing on understanding and application of principles and theory to workplace operations

simulation

workplace or industry projects with a focus on company/industry environment and conditions.

Assessment practices should take into account any relevant language or cultural issues related to Aboriginality or Torres Strait Islander, gender, or language backgrounds other than English. Language and literacy demands of the assessment task should not be higher than those of the work role.

Guidance information for assessment

A current list of resources for this unit of competency is available from MINTRAC www.mintrac.com.au or telephone 1800 817 462.


Range Statement

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Benchmarking may be undertaken:

between companies, including competitors

between departments or sections:

boning, slaughter, rendering, stockyards, sales

curing, corning, smokehouse, rasher room

for functional areas (e.g. human resources, finances, production, marketing and sales)

between sites

between the company and industry

internally, externally or across industries.

Improvements to efficiency might include:

reductions in labour

reductions in resource costs.

Regulatory requirements may include:

animal welfare

commercial law including fair trading, trade practices, Intellectual Property (IP)

consumer law

corporate law, including registration, licensing, financial reporting

environmental impact, sustainability and waste management

Equal Employment Opportunity (EEO), anti-discrimination and sexual harassment

Export Control Act

industrial awards, agreements

relevant regulations

risk management

state and territory regulations regarding meat processing

taxation.

Benchmarking strategies may include:

audit of internal systems or processes

analysis of partner's systems or processes

benchmarking outside the immediate industry (e.g. benchmarking against freight and logistics enterprises)

competitive or lean manufacturing

benchmarking cross the value chain

Total Quality Management (TQM)

Six Sigma.

Communication may

be formal or informal and involve face-to-face and technological/electronic methods

be inclusive of the cultural, ethnic and social diversity of individuals and groups

involve preparation of reports which may be complex, contain information from a range of technical sources and include mathematical and graphic information and data

involve reading and interpreting workplace documentation

occur in a variety of sensitive, conflictive, collaborative and supportive environments

require analysis and presentation of complex concepts, technical information, mathematical information and other data in simple or complex formats

require persuasion, negotiation and assertiveness skills.

Mathematical requirements may:

be complex and relate to product and product quality, financial operations, personnel, operations, sales and turnover and exports

involve the use of information and communications technology and services, online and offline data bases, information management and storage systems and e-commerce

relate to complex actual and hypothetical, technical and financial modelling, calculations, interpretation or analysis

involve statistical analysis of enterprise and industry data.

Stakeholders may include:

company owners, directors, shareholders, financiers

competitors

management and employees

suppliers, customers, consumers

unions and employer associations

meat industry and industry organisations

government organisations.

Benchmarking teams may include:

lead team

preparation team

visit team

improvement team.

Benchmarking partners and benchmarks may be:

competitors

generic or cross industry

industry and industry data owners

internal.

Benchmarking data may include:

input, output (process output) information

performance indicators

qualitative data, formal and informal feedback, reports, interviews

industry data

quantitative data, statistics, surveys.


Sectors

Unit sector


Employability Skills

This unit contains employability skills.


Licensing Information

Not Applicable