Optimizing it performance: a benchmarking approach to building a center of competence

Abstract

Comparing ourselves to others can be harmful if it only leads to self-doubt—but what if, instead, we used those comparisons to learn and improve? That’s the essence of benchmarking: learning from others’ experiences, successes, and even their mistakes, to adopt best practices and avoid unnecessary trial and error. It’s about growing by observing—not downsizing ourselves, but upgrading through knowledge. This thesis is based on my experience in the IT department of Volkswagen Group España Distribución, where a simple but powerful question sparked deep reflection: “If our common goal across countries is to sell cars efficiently, why are we spending more resources than other markets like Italy, the UK, or Poland? And why are our results different?” This question revealed the need for structured benchmarking across IT departments within the same multinational company. The objective of this project is to apply benchmarking in a real corporate environment where multiple IT departments, all aiming for the same business outcome, operate with different approaches. By identifying and adopting best practices across countries, we aim to build a Center of Competence—a central hub that helps optimize operations and increase profitability across the organization. This thesis uses accessible language to explain what benchmarking is, what Volkswagen Group represents, the role of an IT department, how to identify what works well, and how to conduct a meaningful benchmarking process. It concludes with a real business case that illustrates how benchmarking can lead to measurable improvements and the development of a Center of Competence.