Measuring and Managing Performance
The Housing Forum survey revealed that:
- 96% of projects used Local or Project Specific Key Performance Indicators
- 74% used the national Industry / Housing KPIs
- 74% used Best Value KPIs
- 41% used Audit Commission KPIs
It is suggested that all partnering projects focus on the Industry KPIs in order to:
- track the effect of partnering and other innovations on time, cost and quality on a consistent and comparable basis
- diagnose where performance is not as good as it should be, investigate the causes for this and then take remedial action on a regular basis, so as to achieve continuous improvement.
Performance management information and measurement is vital to the successful delivery and continuous improvement of services to customers. However, many of the workshop participants complained that there are perhaps too many things being measured. It is clear that using the full array of PIs and KPIs is causing confusion and uncertainty about what should be measured and what is actually being measured. It is questionable whether effective measurement is actually taking place under such circumstances.
Although there is an array of Performance Indicators influencing project process and outcomes it is important to focus on the national Key Performance Indicators (KPIs) as the main way of measuring the effectiveness of the partnering arrangement. Clients of course can always use their own corporate measures to supplement the industry ones.
However a clear focus on measurement systems agreed between the client and suppliers will bring benefits to all, and perhaps especially clients. Many housing clients have long term problems in managing, co-ordinating and integrating existing stock information and related management systems. Long term partnering offers a real opportunity to carry out a fundamental review of these existing systems. Contractors and other key suppliers can bring their expertise and contribute to the development of a fully integrated data management system which can be continuously updated.
Construction performance management systems should also focus on whole team performance and outcomes. Using the Industry's KPIs and benchmarking will help to focus on:
- Customers expectations
- Stakeholders interests
- Clients investment decisions
- Suppliers workloads and resources
- Waste reduction
- Working relationships
- Continuous improvement
Barriers to change can be overcome by:
- Invest in and to adopt new performance management systems.
- Start on pilot projects with the involvement of key partners.
- Use the results of performance measurement to identify areas for improvement before longer term problems arise.
Portsmouth City Council
Portsmouth City Council measured and reviewed their performance through extensive use of customer satisfaction surveys.
Portsmouth City Council
In order to assess the performance critically of the project and its team, which comprised the Client, consultants and contractor, Key Performance Indicators were prepared for the Rogate House Project.
William Sutton Trust and Durkan Ltd
William Sutton Trust and Durkan Ltd used Key Performance Indicators in order to measure and review their performance.
The Broomleigh Housing estate project also used Key Performance Indicators to measure their performance.
Citywest Homes have set Key Performance Indicators at two levels- strategic and project.