235. CSO: 1C5d LOS: 1C5g
Retail Partners Inc., which operates eight discount store chains, is seeking to reduce the
costs of its purchasing activities through reengineering and a heavier use of electronic
data interchange (EDI). Which of the following benchmarking techniques would be
appropriate in this situation?
I. A comparison of the purchasing costs and practices of each of Retail
Partners’ store chains to identify their internal “best in class.”
II. A comparison of the practices of Retail Partners to those of Discount City,
another retailer, whose practices are often considered “best in class.”
III. A comparison of the practices of Retail Partners to those of Capital
Airways, an international airline, whose practices are often considered
“best in class.”
IV. An in-depth review of a retail trade association publication on successful
electronic data interchange applications.
a. II and IV only.
b. I and II only.
c. I and IV only.
d. I, II, III, and IV.
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