Establishing quantitative indicators for measuring the partnering performance of construction projects in Hong Kong

Yeung, J F Y; Chan, A P C and Chan, D W M (2008) Establishing quantitative indicators for measuring the partnering performance of construction projects in Hong Kong. Construction Management and Economics, 26(3), pp. 277-301. ISSN 1466433X

Abstract

Research into Key Performance Indicators (KPIs) for partnering projects in construction becomes vital because an increasing trend of client organizations has been observed to introduce a partnering approach to their building and construction works internationally during the last decade. A Partnering Performance Index (PPI) has been developed for construction projects in Hong Kong. The PPI can assist in developing a benchmark for measuring the performance of their partnering projects. However, it is worth noting that assessors may have their own semantic interpretations on each KPI. The aim of this paper is to establish suitable quantitative indicators (QIs) and reasonable quantitative ranges (QRs) for each KPI in order to avoid any possible discrepancies in interpreting the meaning of each KPI and provide objective evaluation results based on quantitative evidence. By conducting five structured face-to-face interviews and two rounds of a Delphi questionnaire survey in Hong Kong, a set of QIs were developed to measure the seven most important KPIs, including: (1) time performance; (2) cost performance; (3) top management commitment performance; (4) quality performance; (5) trust and respect performance; (6) effective communications performance; and (7) innovation and improvement performance. The identified QIs and QRs could assess and compare different partnering projects on a common basis objectively, thus helping to set a benchmark for measuring the performance level of partnering projects in Hong Kong. Construction senior executives and project managers can thus apply the QIs and QRs to measure, evaluate and improve the existing performance of their partnering projects in order to strive for construction excellence.

Item Type: Article
Uncontrolled Keywords: Delphi method; Hong Kong; key performance indicators; partnering; quantitative indicators
Index terms: client organization, survey, meaning, commitment, face, senior executive, interview, cost performance, questionnaire, evidence, time performance, top management, construction project, key performance indicator, project manager, Hong Kong, partnering, Delphi method, construction work, quality performance
Subjects: economics, management, Geography, production management, sociology, project controls, partnership management, leadership, client relations, profession, data collection methods, evaluation and assessment methods, operations management, psychology, project delivery
Topics: Quality Management, Human Resources, Time Control, Organizational Design, Cost Management, Research Practice, Project Management, Geographical Context, Stakeholder Management, Roles and Professions
Descriptive scope: 4 PCEA

N.B. Descriptive scope is a count of how many of the five facets of empirical research are indicated by the words used in title, abstract and keywords. It is not intended as a judgement on the research; merely a count of the kind of word we would expect to indicate Phenomenon, Concepts, Theoretical framing, Empirical techniques, Analytical techniques. If all five are present, then a code of “5 PCTEA” will indicate this. If you feel the coding for this record is questionable, we welcome discussion around the terms we matched or the way we categorized them. The facet you would expect may not be coded, or a facet may be coded inappropriately. This can also bear on a larger question, of which facets should be treated as defining in construction management research. Please get in touch, and we will look at it. More details here