. Telus Inc: Making benchmarking a part of the process improvement tool kit Telus offers telecommunications services to people across Canada. Their major competitors are Bell, Shaw and Rogers. The company has a rich history of innovation and customer service. The company offers a broad array of services to its customers and is an industry leader in productivity and financial performance. Telus is firmly committed to benchmarking. To maximize the potential of the benchmarking efforts. The company employs internal benchmarking experts and conducts benchmarking forums for its employees. The company has found three approaches helpful in the attainment of quality improvements. Internal (Best of Breed) benchmarking involves a comparison of processes between different business units within the firm. External (Best of Class) benchmarking involves finding companies to benchmark against, even if the company is in an unrelated industry. Competitive (Industry Best) benchmarking against a leader in the same industry Each of these types of benchmarking has unique challenges and rewards. Internal benchmarking is the simplest because there is typically no problem getting access to information External benchmarking is more challenging because of access and confidentiality issues, but the rewards can be quite good. Competitive benchmarking is the toughest because a direct competitor typically will go only so far in terms of sharing information. The rewards however can be substantial Because the company is multifaceted in its benchmarking efforts and because a lot of employees are involved. The firm uses a benchmarking code of conduct to maintain strict control of its benchmarking . efforts The benchmarking code of conduct . Keep it legal Be willing to provide the same information that you request Respect confidentiality Keep information internal for your use only Don't refer potential benchmarking candidates without the permison hop The code of conduct provides a measure of continuity across the companies benchmarking efforts. It is very helpful in developing a consistent set of benchmarking behaviors. It also helps ensure that benchmarking will in no way impinge on the ethical standards of the firm. . . One component of the benchmarking process that the company has become very good at over the years is finding suitable firms to benchmark against. They typically look for the following types of companies to include in benchmarking studies. Companies that have received quality or business rewards Companies with excellent financial results Companies with success stories published in major periodicals Companies that are top rated in their industries These criteria help to select firms that have the highest potential to provide successful benchmarking results. Management is keenly aware of the fact that the litmus test of any management initiative is effective implementation. The company typically takes the following steps in implementing what it learns from the benchmarking initiative. Select implementation alternatives Assign resources and create a schedule Establish goals Develop a monitoring plan Gain appropriate approval to alter current practices Implement the plan Communicate the benchmarkin findinis . . . Select implementation alternatives Assign resources and create a schedule Establish goals Develop a monitoring plan Gain appropriate approval to alter current practices Implement the plan Communicate the benchmarking findings This formalized process of implementing helps ensure that a benchmarking effort translates into actual change. As the telecommunications industry continue to be more competitive. The company's reliance on benchmarking as part of its process improvement tool kit will probably become even more pronounced. . Questions: (1) Is Telus Inc's benchmarking code of conduct a good idea? What types of ethical abuses could potentially occur in benchmarking if a firm did not follow a strict code of conduct? (3 marks) (2) This case describes benchmarking as an important part of the companies "tools" of quality. What other tools of quality does benchmarking complement? (4 marks) (3) Telecommunications is a fast paced, rapidly changing industry. Do you believe that benchmarking is particularly important in a fast paced industry? Why or why not