What is Financial Benchmarking?
Financial benchmarking studies are some of our most popular. Dynamic Benchmarking® offers the data security and anonymity that business owners and executives need to feel comfortable supplying confidential financial and operational information about their businesses. These studies typically include detailed revenue and expense line items, staffing levels, operational procedures, marketing practices and productivity measures to help companies measure the performance of their business and uncover areas of strength and opportunities for improvement.
Frequently offered by trade associations and other industry specialists such as consultants and accountants, these platforms offer businesses a unique opportunity to understand how their performance compares to others on metrics specific to their industry or specialization. Some of the key financial metrics included in a typical financial benchmarking study include:
- Revenue Measurement (e.g. Gross, Sources of, By product/region/type)
- Expense Measurement (e.g. Gross, Ratios)
- Billing & Collections
- Budget vs. Actual
- Ratios (e.g. Debt to Equity, Profitability)
In addition to these, many operational metrics are also frequently measured. Typical data, depending on the business and industry types, include:
- Facility (e.g. Size, Expenditures)
- Quality, Safety, Training
- Sales & Marketing
- Supplier/Vendor Management
- Labor/Staffing (e.g. Headcount, Turnover)
What Does Financial Benchmarking Look Like?
Dynamic Benchmarking provides the ability to quickly and easily present financial benchmarking data in a variety of easy-to-read graphs and charts for use in presentations, reports and other documents where communicating information in a highly digestible format is vital.