by Tami Siewruk

I’m certain you’ve noticed all the talk about “benchmarking for success” over the past couple of years. It’s such a sensible approach that I’ve found myself wondering why it isn’t more prevalent in our industry. I’ve come to realize that the reason is the same as in most situations where change is called for. The biggest implementation obstacle is simply getting started. I’d like to help you become more familiar with the concept, so you can confidently get started on the right track.

How Benchmarking Really Works

A benchmark is simply a point of reference—a standard against which all future results are judged. A benchmark determines what is “normal” or average. It’s a measurement we carry into our future efforts to determine if we are above or below average. Consider that recently one of the CNN factorials stated that, “the apartment industry currently has a 50 percent turnover of all its’ tenants.” If 50 percent is the industry’s benchmark, how does your company or community stack up? What is your current resident turnover? The answer will give you a starting benchmark (a goal to beat).

If you’ve been with your company or community for several years, like the Clermont roof repair company, and have had the opportunity to observe and measure occupancy and income, then you likely know what is average and can set objectives that either maintain the status quo or call for some level of improvement or increase. Let’s say your average occupancy is 95 percent. This becomes your benchmark against which objectives for evaluating the effectiveness of all new efforts are set.

There are three basic types of benchmarking:

  1. Competitive Benchmarking
  2. Premiere Benchmarking
  3. Internal Benchmarking

Competitive Benchmarking compares your community or company’s performance against either the best in the multifamily industry or your direct competitors.

Premiere Benchmarking involves studying or evaluating the “best of the best” in a specific area of performance. This benchmarking process calls for going outside our industry to learn new ways of improving “business as usual.”

Internal Benchmarking is the internal measurement of specific areas of performance over time. This benchmarking process involves study of individual, company, or community-wide efforts.

To help determine if you’re ready to start benchmarking for success, and to identify what information you may be lacking, use the Assessment Form below.

Benchmark Assessment

Organization:__________ Date:_____ Conducted by:_____________

Yes No Some-times
Does your Company/Community have clearly defined key resident service objectives?
  • o
  • o
  • o
Does management actively share these key resident service objectives with employees?
  • o
  • o
  • o
Does management seek input from employees in forming key resident service objectives?
  • o
  • o
  • o
Does your Company/Community measure its resident service objectives as compared to its competitors?
  • o
  • o
  • o
Does your Company/Community actively study “premiere” organizations (including those outside of our industry) that exemplify superior customer service?
  • o
  • o
  • o
Does your Company/Community measure its internal performance in key resident service areas against previous levels of performance?
  • o
  • o
  • o
Are your Company’s/Community’s bench-marking efforts founded upon objective input from your residents?
  • o
  • o
  • o
Do your Company’s/Community’s employee recognition and compensation plans consider and reward superior or improved resident service?
  • o
  • o
  • o
Are employees frequently recognized or re-warded for improved and innovative resident service?
  • o
  • o
  • o
Does your Company/Community share the results of benchmark analyses with its employees?
  • o
  • o
  • o
Does your Company/Community seek employee input in determining what efforts should be measured?
  • o
  • o
  • o
Does Management actively review benchmark trends and seek means of improving on them?
  • o
  • o
  • o

Total Boxes Checked:                                  _____+_____+_____ = _____

The total of all boxes checked is your Total Assessment Score