What is the primary purpose of establishing a “Baseline” in process measurement?

The primary purpose of establishing a "Baseline" in process measurement is to create a standard performance level before implementing any improvement efforts. A baseline provides a reference point against which future performance can be measured and compared. By understanding the current state of a process, organizations can identify gaps, weaknesses, and areas for improvement. This foundational knowledge is essential for assessing the effectiveness of any changes made after the implementation of improvement initiatives.

Establishing a baseline is crucial in performance management as it allows for the quantification of progress over time. Without a baseline, it would be challenging to determine whether the changes made have led to any tangible improvements or if the process performance has remained static. This method aids in ensuring that any enhancements are based on data-driven decisions, contributing to a successful Six Sigma project.

In the context of the other options, while evaluating employee performance and determining best practices in the industry are important, they are not the main focus of establishing a baseline. Similarly, creating a budget for a project is a financial planning step and does not relate directly to the performance measurements that a baseline aims to address.