Which option is an example of functional benchmarking?

Functional benchmarking involves comparing specific functions or processes across different organizations, especially those that may not be direct competitors but operate within similar functional areas. In this context, evaluating a customer service approach with a university aligns closely with the principles of functional benchmarking.

While a university is not a direct competitor in the same industry, the customer service function shares similarities in terms of providing support and assistance to clients, which can yield valuable insights and innovative practices. This type of benchmarking allows organizations to learn from best practices outside their immediate industry, enhancing their own operational efficiencies and effectiveness.

The other options focus on direct competitors or industry-specific comparisons, which do not exemplify functional benchmarking as clearly. Comparing marketing efforts with a direct competitor (the first option) focuses narrowly within the same industry, which does not provide the broader perspective that functional benchmarking aims to achieve. Assessing financial processes of a similar tech company (the third option) remains industry-specific rather than functionally comparative. Measuring production efficiency in a retail setting (the fourth option) is also confined to a specific sector and does not seek insights from functions that are distinct, like those in education.