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How Benefits Benchmarking Helps Businesses Make Decisions

January 2, 2024, by New City Insurance

business concept of benchmarkOperating a successful business means always looking for ways to improve and grow. Benchmarking is an effective strategy in which a company compares itself against certain standards and develops specific methods to measure performance.

With benefits benchmarking, a company’s employee benefits are compared to its competitors’ offerings to assess many aspects, such as plan design and cost. Businesses can make widespread positive changes in the workplace by using information gathered from benefits benchmarking, giving the company a competitive edge.

Learn more about the impact of benefits benchmarking and how this proven strategy helps businesses make important decisions.

Why Benefits Benchmarking Is Important for Employers

By practicing benefits benchmarking, employers can obtain factual statistics of how they measure up against their competition. Employers that leverage benefits benchmarking often identify improvements in many areas, including recruitment and retention.

The data gathered from benchmarking can help businesses craft attractive job descriptions that bring in top-tier candidates. Through benefits benchmarking, companies can also accurately determine the return on investment.

Benchmarking can be used to assess participation rates, an important metric providing valuable insight. With information derived from the company’s return on investment, businesses can determine which benefits employees are not using to their full potential and refine these offerings to reduce costs.

Key Benefits for Employers

Benchmarking can help organizations make improvements in areas that need it most. Some of the key benefits of benefits benchmarking for employers include:

  • Identify Gaps: Performing a competitive analysis can help businesses identify business gaps and indicate where improvements can be made.
  • Set Goals: With information derived from benchmarking, employers can set new competitive and attainable goals.
  • Establish Roles: Benchmarking involves communicating with everyone in the business, which can help all team members better understand their roles.
  • Monitor Performance: Benefits benchmarking involves keeping up with current trends and projecting future ones to maintain a high level of success.
  • Promote Change: With benefits benchmarking, employers can promote continuous improvement that benefits the business.

Communicating Key Benefits to Teams and Stakeholders

While the advantages of benchmarking are irrefutable, implementing them can sometimes be challenging. It is essential to carefully communicate these key benefits to teams and stakeholders and be prepared to face some resistance or skepticism.

Clearly explain the purpose and value of the benefits and use relevant success stories and examples to illustrate essential points and to inspire others. Include teams and stakeholders in each phase, from planning to execution. Be open to suggestions and opinions and listen to objections and concerns.

It is also important to be flexible and adaptable. Benchmarking is not a static process but can be adapted to meet changing needs and preferences. Businesses should always tailor their methods and approaches to suit specific challenges and objectives.

Extract the Most Value from Your Benefits Benchmarking

business person team working on laptop computer with benchmarking icon on virtual screenBenefits benchmarking should not be approached as a one-time exercise. To maximize the value of benchmarking, make it a regular practice. Continuing to improve internal operations by benchmarking procedures and processes can help teams become more productive over time.

Companies must understand what works within the business and where improvements can be made. Performing an in-depth analysis of the company’s past performance enables employers to identify patterns and trends that provide a clearer picture of what improvements can foster the best results.

Beyond Financial Benefits of External Benchmarking

External benchmarks give companies a realistic view of their business performance compared to similar firms. Measuring performance against outside standards can help businesses identify areas that require improvement and areas where the company excels.

With external benchmarking, organizations can objectively assess the business’s performance, gain insights into the practices of industry leaders, and adopt them to gain a competitive advantage. External benchmarking can also enhance decision-making by providing businesses with data-backed insights.

Beyond Financial Benefits of Internal Benchmarking

Internal benchmarking involves looking inward rather than to outside standards to determine best practices, analyze performance, and identify areas for improvement. Several types of internal benchmarking exist, including performance, strategic, digital, and practice.

The goal of internal benchmarking is to help businesses track their success. Is business improving? Is this improvement at an appropriate speed? Has progress stalled? Information gathered from internal benchmarking can help organizations answer these important benchmarking questions.

The Benefits Benchmarking Process

The benchmarking process is a structured approach that involves the collection of data, analysis, and incorporating best practices. These steps include:

1. Identify Benefits to Benchmark

The benchmarking process begins by identifying components to benchmark, such as health benefits.

2. Analyze Benefits

This step involves data collection and analysis to understand better the best practices competitors adopt and identify possible performance gaps between competitive organizations.

3. Establish Goals

Start by communicating benchmarking findings and develop a strategic action plan with guidance from teams and stakeholders.

4. Incorporate Best Practices

During this step, the action plan is put into play to bring change to the organization.

Benefits Benchmarking for Informed Decisions

Benchmarking is a transparent measure of success. Once a business has gone through the process of setting benchmarks, identifying competitors, collecting information, and analyzing the results, it can start making strategic decisions about the company’s future.

For example, through benchmarking, companies may discover that their competitors are attracting top talent by offering flexible work hours. With this information, the organization can determine if providing flexible work hours is feasible and how implementing a flexible schedule would work.

Balancing Employee Satisfaction and Cost Control

It can be tricky to maintain employee satisfaction while keeping costs manageable. One advantage of benefits benchmarking is reducing costs by increasing efficiency. Identifying and cutting out waste in processes, whether financial or time waste, can help businesses streamline their operations and retain a larger percentage of their revenue.

Feedback and data gathered from benchmarking can give organizations greater insight into what practices and offerings promote higher employee satisfaction rates.

Identifying Trends in the Healthcare Industry and Job Market

hand clicking medical signHealth benefits remain one of the most sought-after benefits among today’s workforce. Benefits benchmarking is an effective way for organizations to determine what types of health and wellness benefits modern employees are looking for when seeking employment.

During the benchmarking process, organizations should focus on identifying trends in the healthcare industry and job market to make more informed decisions.

In post-COVID workplaces, this often includes prioritizing employee mental health and well-being by offering mental health services and wellness programs that empower workers to live healthier, happier lives.

Contact New City for Benefits Benchmarking Consulting

Benefits benchmarking can deliver countless advantages to growing organizations. Whether the goal is to identify the most popular benefits in a given industry or to attract top talent, employee benefits benchmarking is an efficient and cost-effective way to develop a comprehensive benefits package that meets the business’s goals and budget.

Working with a reputable employee benefits consultant is key to performing successful benchmarking. The team at New City Insurance has extensive experience assisting organizations in all industries with benefits benchmarking, including both internal and external benchmarking. For more information or to request a consultation, contact New City Insurance at 888.210.2765.

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5.0
New City Insurance
New City Insurance
5.0
Briar Schwartz
Briar Schwartz
05:38 10 Apr 25
Working with the team at New City Insurance was a great experience, couldn’t recommend it enough. Being completely new to the insurance world, both Clayton and Eric were thoughtful and kind, and most importantly patient with my many questions. All in all 5/5 stars. Thank you New City!
Iris deBruin
Iris deBruin
03:24 10 Apr 25
The team at New City was incredible. Clayton walked me through every step, made everything easy to understand, and was always there when I had questions. I felt supported the whole way through—can’t recommend them enough!
Lea R
Lea R
22:46 09 Apr 25
New City was outstanding from start to finish. Incredibly professional, responsive, and genuinely caring. They made everything easy to understand and completely stress-free. Couldn’t recommend them more!
Brooks Chiongbian
Brooks Chiongbian
21:21 07 Apr 25
I ran into an issue with our carrier and Nick got right to the bottom of things. He and his team were incredibly responsive and helpful, making what could have been a frustrating situation so much easier to handle. They really went above and beyond to make sure everything was resolved quickly and smoothly. I’m super grateful for their support and highly recommend New City Insurance to anyone looking for a team that truly cares about their clients!
Elizabeth Teposte
Elizabeth Teposte
23:35 02 Apr 25
My Experience with New City has been amazing. Team Eric has been great, especially Nicholas Rebis their follow up time is a 10/10. I'm currently helping an employee out with her questions and have been running to Nicholas, before I say bye to our team member, letting her know I will follow up as soon as I hear something, I see his response. Thank you to the team for making it easier for me to assist our employees during difficult times.
Chelsea Antczak
Chelsea Antczak
17:54 02 Apr 25
New City Insurance is an outstanding company that genuinely prioritizes its clients. They are professional, highly knowledgeable, and always delivers the best solutions. I highly recommend them to anyone seeking a trusted insurance advisor who truly has your back.
Stephanie Gillon
Stephanie Gillon
19:16 22 Mar 25
I'm here to tell the world to look no further in your insurance search! Seriously, this company is it. I am beyond impressed with the skill set of this team. They are extremely motivated and dedicated to helping their clients and offer top-tier service. I was treated with such care and professionalism throughout our entire interaction together. Thank you, Eric and team, for being so thorough, kind, and efficient while helping me find the lowest prices possible!
Roshaun LaForce
Roshaun LaForce
23:06 20 Mar 25
New City Insurance has such a great team. They genuinely care about their clients and make the whole process easy!
Alec Remington
Alec Remington
00:54 20 Mar 25
A great team of hard workers. My experience with them has been nothing but positive. Highly recommended.
Morgan Ostrander
Morgan Ostrander
16:00 19 Mar 25
Great team to work with! They lowered our costs and have provided excellent service.
Zach Baker
Zach Baker
15:19 19 Mar 25
Eric and the team at New City Insurance are truly top-notch. It’s clear they genuinely care about their clients and work hard to provide the best service possible. Their integrity and dedication really set them apart. Highly recommend!
Momo Furusho
Momo Furusho
13:24 19 Mar 25
New City is run by not just a competent team, but people who genuinely care about providing the best service possible. Eric Calciano is a gem!
Allie B
Allie B
19:34 04 Feb 25
Excellent service and support from start to finish! The NCI team is professional, responsive and truly cares about their customers.
Deana Hartland
Deana Hartland
16:04 14 Jan 25
These guys are great and definitely go above and beyond. We were overcharged for a surgery that my husband had in Aug 2024 due to the contract that they had with our health insurance. It was very difficult trying to work and deal with trying to get this refund back from the surgical hospital we went to. A lot of playing phone tag with them. My husbands HR team got "Nicholas" involved and OMG.....he just handled everything. He stayed in constant contact with me via email on every step of the way. Eventually he was able to get this money refunded that was $997. He has been on top of it from day one. I must say he took all of the stress off of me dealing with this situation during my working hours and went ABOVE AND BEYOND the call of duty. I am so happy they got involved and relived me from dealing with this and the stress it would've caused me. You will be very blessed working with a company such as this. Keep doing what your doing!
Justin Hoffman
Justin Hoffman
02:52 17 Oct 24
Always quick to respond. This team is up early and late.
Roger
Roger
16:30 30 Aug 24
Eric Calciano, is as sharp and knowledgeable about health benefits and insurance, as anyone I've ever come across. If you need any kind of benefits analysis I highly recommend him and his firm. He is easy to work with and highly professional.
Timothy Burke
Timothy Burke
04:02 30 Aug 24
I don't leave reviews often, but this one is well deserved and overdue. Clayton provided services to my company prior to his move into the insurance world a few years ago. Always being incredibly impressed with his talent and strong communication skills, I decided to switch our insurance broker and give New City a shot. That turned out to be a great move.The first year, Clayton actually jumped on a plane and flew from Oregon to California just to be onsite and administer open enrollment for my 45 employees. Clayton, Eric, Jeff, Brendan, and the entire team have been a pleasure to work with over the years. The communication, response time, and insurance knowledge is second to none in my opinion. A legitimate 10/10. They are great listeners and strive to really understand the needs of their customers.I'm very selective about giving referrals and making recommendations, but New City has never disappointed. If you are reading these reviews to help make your decision on selecting an insurance broker, this team is 100% a solid option. And if you don't believe me, just look at the other reviews.
Megan Ketter
Megan Ketter
19:48 28 Aug 24
Excellent customer service. Brendan and team are professional, timely, and so appreciated when navigating this complicated insurance world. Very thankfully for them! Highly recommended.
Ailene Chow
Ailene Chow
23:15 26 Sep 23
We have been working with New City Insurance since 2019 at the start of our company and has not look back since. They are responsive and proactive when it comes to advise and also market analysis on what's there in the marketplace. Unfortunately insurance benefits costs has been increasing yearly with differences in the percentage of increase . The New City folks reaches out months before the impending increase takes places and help relook into options or recommendations that they see fit. We were a company of 2 to now 7 permanent staff . While we are small , this company still takes care of us well.
Carol Zhang
Carol Zhang
04:29 06 Mar 22
As a rapidly expanding national media organization, the employee benefits strategy and administration that New City has provided us during our growth has been invaluable. They have been proactive about informing us of the different benefit strategies available to us as we grow as well as managing the additional compliance laws and reporting requirements at each stage of our growth.
Claudia Villalobos
Claudia Villalobos
20:14 03 Mar 22
New City Insurance made navigating through all the health insurances super EASY. Their documents are highly informative, professional, and easy to work with. Thank you for making the process of choosing a health plan so simple. You guys are THE BEST!
Philippe Salas
Philippe Salas
17:02 22 Feb 22
I never expected to have a good time talking to an insurance salesman, but let me tell you Brendan was quite the treat. He was very helpful explaining the options and has a wonderful sense of humor. I hope to speak with him every time I call.
Jennifer Polito
Jennifer Polito
17:15 09 Feb 22
Super easy enrollment process. Fast and friendly customer service. If you are looking for an insurance company that is there for you every step of the way I highly recommend New City Insurance.
Rocky Salas
Rocky Salas
23:46 07 Jan 22
So friendly, I hope to speak to him again in all my future insurance needs.
Rocky Salas
Rocky Salas
23:38 07 Jan 22
So friendly and soft spoken. I hope to speak to him again in all my future insurance needs.
Jose Brena
Jose Brena
13:20 06 Jan 22
Eric Calciano has been extremely helpful in finding and selecting the right insurance coverage for our company. With many options out there Eric assisted us on getting a low cost provider saving more than 20% than from our competitors and providing excellent coverage for our employees.
Anastasia Beaverhousen
Anastasia Beaverhousen
17:05 28 Dec 21
Signing up for insurance was quick and easy. Felicity Sundsboe
SFCC
SFCC
22:08 29 Nov 21
Jeff Stoltey and his team provide excellent customer service. Jeff has always provided my company SFCC with straightforward options. I went to a larger insurance company only to RUN BACK to Jeff at New City Insurance. I recommend them to anyone needing insurance without hesitation.
Kevin Luby
Kevin Luby
19:13 22 Oct 21
Quick, easy & informative. We were able to secure quality insurance for our small business on a tight deadline. Thanks for the help New City.
Theresa Ruybol
Theresa Ruybol
19:30 01 Jul 21
Eric was so great with us. He was very patient and kind as we are a newer smaller organization who is growing rapidly. With that said, we had made our inquiry, he had great rapid response and mostly had to wait on me. Any request that we made and/or questions we had, he was great answering and helping us understand. Then when we were ready for all documents and to move forward, Brendan helped with getting that together and the two of them worked their magic on New City's end to notify me of what was needed, assist me in that process and confirming that all was complete and approved for the coverage. I just want to say thank you all again so much, as insurance has always been confusing to me, and you all made that process go a lot smoother.Thank you
Andrea Ordendorff
Andrea Ordendorff
21:06 07 May 21
I've been working with both Clayton and Brendan for well over a year. As the purchase of our dental practice was delayed well over 14 months they both patiently supported me and continued to make themselves available. When we were officially ready to sign up they made the whole process seamless and super easy. This team is highly knowledgeable, professional, supportive, and efficient! I can't thank them enough for everything they've done.
T W
T W
22:32 30 Aug 20
I love New City Insurance. I never had a good experience dealing with insurance brokers until I started working with Brendan. He’s awesome! He is patient with me and takes the time to answer all my questions. I’m very grateful for all his help and hard work!
Mary Jane Deyette
Mary Jane Deyette
00:57 11 May 20
Jeff Stoltey is so awesome...even thru my company had only two employees, he took the time each year to research and find the best plan for us. The only reason I am leaving New City Insurance is because we no longer have any employees. Thank you Jeff
Alma Ortiz
Alma Ortiz
22:25 23 Feb 20
Brendan was awesome! I couldn't figure out how to pick my plan and he returned my call on a weekend to help me. Outstansing service!
jessica kavanagh
jessica kavanagh
19:53 13 Feb 20
Brendan was so helpful I definitely recommend him if you’re in need of good help and getting it done promptly. Thankyou so much again.
Tricia DeYoung
Tricia DeYoung
19:49 13 Feb 20
I was very thankful I inquired about this info. with Brendan. He was very helpful so I understand the benefits available much better now. Thank you Brendan.
B Bayer
B Bayer
17:43 24 Sep 19
NCI handled almost everything from start to finish. Clayton and Brendan made the plans easy to understand and walked me through the application process. They got me my ID numbers before my cards arrived so that I could keep an appointment I had already scheduled. My last broker wouldn't have done that. 5 stars!
Jessica Lehr
Jessica Lehr
03:36 07 Jun 19
Our staff was interested in a health plan, but we didn't know how beneficial a solid employee benefits package would be for our business to expand. We'd lose prospective employees because they had more options for their medical insurance which was sometimes more valuable than more pay. The New City team was amazing and gave us as many affordable options as possible so that everyone had their needs met.
Mike McClay
Mike McClay
19:36 03 May 19
My employer uses New City as their insurance broker, and I'm always amazed when I call in for assistance by how knowledgeable and attentive their staff is with my requests. Their online benefits platform makes selecting insurance plans pretty darn easy. I would highly recommend their services.
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