Key performance indicators KPI
Key performance indicators (KPIs) can be used to:
- Monitor costs.
- Track progress.
- Assess client satisfaction.
- Identify strengths and weaknesses.
- Compare performance across and between projects.
- Assess specific areas of a project such as sustainability, safety, waste management, etc.
It is important that KPIs are identified in tender documentation and that the regular provision of the information required to assess them is a requirement of the contract. This may require the provision of sub-contractor information where performance on specific packages is to be monitored.
KPIs may be of particular importance where the contract stipulates that the contractor will be rewarded or penalised based on their performance relative to certain indicators.
Examples of KPIs that can be used on construction projects include:
- Cost vs. budget. The budgeted cost of work that has actually been performed in carrying out a scheduled task during a specific time period.
- Project progress relative to milestones.
- Number of complaints.
- Number of incidents/accidents.
- The number of working hours spent on different aspects of the works.
- The use of materials (for example, the amount of concrete poured).
- The number of defects.
- The amount of waste generated and the amount of recycling.
- The number of variations.
KPIs are also a means to help with the rapid comprehension of the current financial position. KPIs summarise the comparison of figures against the budgeted values and also industry benchmarks that are published from the result of inter-firm comparison reports.
KPIs to track profitability may include:
- Turnover by director /partner.
- Turnover by fee earner.
- Profit by director/partner.
- Profit by fee earner.
Only genuinely important performance indicators should be monitored so that it does not simply become a time consuming paper exercise.
KPIs can also be used more broadly as part of a bench-marking exercise to assess the performance of one project relative to another, to assess businesses compared to others within the industry and to assess the performance of the industry as a whole relative to the rest of the economy.
[edit] Related articles on Designing Buildings Wiki
- Acceleration.
- Benchmarking.
- Best value.
- Budget.
- Building performance.
- Contractor's master programme.
- Defects.
- Design web.
- Earned value.
- Facility condition index FCI.
- Health performance indicators in the built environment.
- How progress is agreed in construction.
- Identifying the causes of trends in construction labour productivity.
- Information release schedules.
- Market value.
- Mechanical and electrical maintenance customer satisfaction KPI's 2017.
- Milestones.
- Performance.
- Performance requirements.
- Programme consultant.
- Progress of construction works.
- Project crashing.
- Project programme.
- Project scorecard.
- RAG rating.
- Schedule performance index (SPI).
- Short period programme.
- Strategic performance targets.
- Time-location chart.
- Time management of construction projects.
- Track record.
- Turnover.
- Variations.
- Value management.
- Whole life costs.
Featured articles and news
The average kinetic energy of molecules
Temperature in buildings, explained on DB
Women and unequal pay in project management
Main barrier to entering the profession, new study reveals.
IHBC’s response to Parliamentary Committee
On Levelling-Up and Regeneration Bill.
Finalists for 2022 CIOB Awards revealed
Over 70 managers and organisations shortlisted for the 14 awards.
Types of building sensors on BD
From biometric to electrical current, chemical and more.
Government mandates detectors in rented homes
Changes are due to come into force on 1st October 2022.
80% of major government projects are rated red or amber
Heed advice and insight of this report IPA tells the government.
The end of the games but continued calls for action
From the Commonwealth Association of Architects.
CIOB respond to the government call for evidence
For the Levelling Up, Housing & Communities Committee.
How are buildings and their occupants responding to extreme heat?
BSRIA's Technical Director reflects on recent weather patterns.
Landownership in England in 1909
A national valuation to fund old-age pensions.
The world’s largest Commonwealth memorial to the missing.
Long after the end of the defects liability period.
BSRIA Occupant Wellbeing survey BOW
Occupant satisfaction and wellbeing in buildings.
Geometric form and buildings in brief
From the simple to the complex.
Understanding the changing nature of insulation
And the UK Government guidelines.
Three year action plan to improve equity, diversity and inclusion
Commitment agreed to by major built environment bodies.
The Construction Route – what needs to change?
Electrical skills, low carbon, high-tech and the building services revolution.
Deep geothermal power possibilities
Ultra-deep drilling with millimeter-wave beam technology.
BSRIA Briefing 2022- From the outside looking in
Looking at the built environment from space.
Competence requirements for principal contractors and designers
BSI standards 8671, 8672 and 8673.
Bringing life to burial grounds.
From failed modernism to twenty-minute neighbourhoods.
Design chill and design freeze
The gates process and change control.
Comments