Benchmarking - Finding Industry Data
Past articles in the benchmarking series explored the general concepts and benefits of benchmarking your performance, ideas about the data, its accuracy, timeliness and applicability and their importance to the integrity and usefulness of any benchmarking analysis. So, where can you find applicable benchmark data?
This article appeared on the March 16, 2015 FarmFutures.com website.
The use of old data must be avoided – both internal data and external industry data. The pace of business is ever-changing and constant shifts in the marketplace demand timely analysis. While it may seem harmless to use external industry benchmark data from two to three years ago, doing so in a changing business landscape may result in flawed, misleading, and an ineffective conclusion.
Operating an Average Farm Business
This article was originally published for FarmFutures.com on December 17, 2014.
One of the more difficult elements in benchmarking the financial performance of your farm business is how to acquire accurate industry information to use in your analysis. Benchmarking can sometimes mean the average statistic (as in the letter grade "C" in school) or the absolute highest, best-in-class statistic (as in the highest grade in the class).