Total Quality Management

September 16, 2009

The Evolution of Benchmarking: The Xerox Case

The company that invented photocopier in 1959 and maintained a virtual monopoly for many years thereafter, like “Coke” or “Kleenex,” “Xerox” became a generic name for all photocopiers. By 1981, however, the company’s market shrank to 35% as IBM, Kodak developed high-end machines and Canon, Richo, and Savin dominated the low-end segment of the market. The Xerox vice president of copier manufacturing remarked, ” we were horrified to find that Japanese were selling their machines at what it cost us to make ours…we had been benchmarking against ourselves. We weren’t looking outside.” (more…)

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