| dc.description.abstract | The purpose of the study was to establish the effects of benchmarking practices on the
financial performance of SME‟s in Kenya, the study was also done to find out the new
business practices adopted by the SME‟s as a result of benchmarking practices to
improve their financial performance. A sample size of 56 SME‟s was used in the study
which was collected using a random sampling method, there were 31 respondents whose
data was analyzed to come up with the findings. The research used a casual research
design collecting both Primary and Secondary data. The data was collected using selfadministered
questionnaires issued to the respondents which was dropped and picked
later at the selected employees` desks and was analyzed with the help of SPSS. The study
findings reveal a positive and significant relationship between benchmarking practices
adopted by SME‟s and the financial performance. The study further shows that
benchmarking enhance the overall business performance realized by the SME‟s by
helping to change business and management practices which were not value adding.
Two questions were tested as determine the level of significance which are whether there
exists a relationship between benchmarking practices adopted by SME‟s and financial
performance improvement and how strong the relationship is, the study found out that
there exists a relationship and most of the SME‟s that carry out benchmarking practices
and adopt the practices had a positive change in their financial performance. The SME‟s
should have their own policy which facilitates a body which allows access to finances to
SME‟s only to facilitate training on better business practices to improve financial
performance. | en_US |
