Company A manufactures 10 defective products on an average out of 1000 products manufactured. Company B manufactures 5 defective products on an average out of 1000 products manufactured. Which company must be chosen for benchmarking and by whom?

Company A manufactures 10 defective products on an average out of 1000 products manufactured. Company B manufactures 5 defective products on an average out of 1000 products manufactured. Which company must be chosen for benchmarking and by whom? Correct Answer A should choose B as benchmark

A should choose B as benchmark as A is manufacturing more defective products compared to B. A must reduce its average number of defects from 10 out of 1000 manufactured products.

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