The Research On The Management Level Of LQ Company By The Method Of Benchmarking

Benchmarking is a management method that takes an advanced enterprise as a benchmark, and keeps optimizing the enterprise itself. The companies that use this method are constantly doing comparison with excellent enterprises, learning their good experiences and improving themselves, improving the managerial and administrative expertise and competition ability of enterprises, which is a process for keeping improving and exceeding. Today, with the economic globalization, the market competition is increasingly fierce, the limitation of enterprises’ resources has determined that they cannot keep core competitiveness with their own creative ability. Under this circumstance, benchmarking as a management method that can improve the level of business management through learning other companies’ advanced experiences has already been widely implemented in business management. In China, the research for benchmarking just begins and lacks of relevant research and works, especially in construction industry. For the companies in this industry, there is not enough experience that they can learn from them. This article chooses construction company LQ as a example, introduces the current status of its operating management, compares with benchmarking company through financial index, operating index and management index in order to give suggestions on how to improve their level of business management. At the same time, based on the scientific setting of indicators, this article takes 4 companies in construction industry as samples, scientifically selects benchmarking company by using data envelopment analysis method(DEA model), and offers experience for the enterprises in the same industry. This article is mainly divided into three parts which are the overview, main body and conclusion. In the first part, the background and meaning of this topic is firstly introduced, the research method, idea and innovation point are confirmed as well. Secondly, the basic principles of business management, benchmarking and data envelopment analysis method(DEA model) are systematically arranged, the original, development and current situation are also introduced to make a theoretical preparation for solving the problem. Meanwhile, the development background and present situation of LQ Company is introduced, the environment of construction industry is analyzed, the overall situation and the present situation of LQ company in business management is summarized as well. The second part systematically states the determining process of benchmarking system for LQ’s business management, the DEA model is used to scientifically establish benchmarking company. On the basis of the establishing of benchmarking company and indicator, LQ is compared with benchmarking company, the data is comprehensively analyzed, and disparity is found to lay the foundation for seeking improvement method in the next step. The third part summarizes the above mentioned comparison, provides practical suggestions for LQ in order to improve its level of business management and core competitiveness, the application foreground of this article is prospected in the end.