Benchmarking Strategy and Organizational Effectiveness of Food and Beverages Firms in Edo State, Nigeria.

Abstract

This study examined the influence of benchmarking strategies (competitive benchmarking and functional benchmarking) on organizational effectiveness (goal attainment and process improvement) of food and beverages firms in Edo State, Nigeria. A quantitative, cross-sectional survey design was adopted. The population comprised 380 registered food and beverages firms in Edo State. A sample size of 181 firms was determined. A stratified random sampling was employed. Structured questionnaires were administered to managers and supervisors, yielding 170 responses, of which 158 were valid after screening. Data were analyzed using Partial Least Squares - Structural Equation Modelling (PLS-SEM) with SmartPLS version 4.0 software. The findings revealed that both competitive benchmarking and functional benchmarking significantly enhance goal attainment and process improvement. The study concludes that benchmarking strategies are critical drivers of organizational effectiveness in food and beverages firms in Edo State. It recommends that firms consistently adopt competitive benchmarking to set realistic targets and improve processes, while also leveraging functional benchmarking to broaden strategic perspectives and introduce innovative solutions for sustained improvement.