Performance Measurement Forum: Delivering value through performance measurement

Constructing Excellence

Thank you to all who attended the Constructing Excellence Member’s Forum hosted by Burges Salmon on performance management. The afternoon saw a productive session, giving Constructing Excellence a clear plan to reboot our work on performance measurement, KPIs and benchmarking, using our new Sitesmart KPIs portal, and align with other industry initiatives.

Alison Nicholl opened, explain that performance measurement has been identified as one of the key strategies for achieving our vision of:

  • A client-led transformation by procuring for outcomes and value
  • Increased standardisation and pre-manufactured content
  • Digitally enabled integrated teams
    working collaboratively with long-term relationships and aligned commercial arrangements

Constructing Excellence slides

Allan Wilen of Glenigan followed up with an overview of the results of the 2018 Industry Performance report, against the backdrop of a challenging environment for the UK construction industry.

Glenigan slides

2018 Industry Performance Report

Don Ward then gave some context about the history of the KPIs, with 19 years of data stretching back to pre-Egan report days.

Reflecting on the most recent results, Don commented on safety being 75% better than 2 decades ago – but may now have plateaued, along with cost predictability.

Looking to the future, Colm Quinn introduced SmartSite KPIs, Constructing Excellence’s online tool to help benchmark project performance against the rest of the industry. Version 1 of the tool is essentially a digital version of the old Constructing Excellence wallcharts. Colm made a plea to members to test drive the new tool and provide feedback. The future development of the tool will be driven by the Constructing Excellence membership and will provide the engine for achieving the vision.

Finishing of the opening session Adam Sanford of SCF gave a riveting presentation on how their framework uses measurement to improve performance. Although SCF has a long track record of measuring performance, the development of data analysis technology has increased their ability to spot trends and mitigate risks.

SCF slides

The workshop session looked to sketch out priorities for a Constructing Excellence Performance Forum over the next year:

Possible changes to existing measures

  • Sector, region + Delivery Model
    • Correct categorisation and correct headings (BIM)
  • Focus on 4-5 core ones + tell people how use to them
    • Cost
    • Time
    • Safety
    • Environmental (carbon) (Supply chain school)
  • Customer satisfaction – over time

Possible new measures

  • Community Satisfaction (small working group)
  • Distinguish between client + end-user… Works in infrastructure… e.g. water
  • Social Value
    • Learn from regional frameworks
    • Do not invent another measure
  • Trainees – issue with this and alignment with this +project… can be made to work
  • Proportion of Pre-Manufactured Value
  • Bring back approved changes
    • Client changes
    • How good are the client briefs?
    • Gives evidence of benefits of clients procuring in a different way…
  • BIM
    • How do you tackle data
    • Used of BIM… good practice… certified…
    • Could we pull data from BIM and other data sources
    • Common data environments – some of it will be possible
    • Digital representation that client can use…
  • Whole Life Value…
    • Energy Performance…primary
    • Building in Use
    • O.E.
  • Trust + behaviour
    • Resolex scheme
    • DQIs
  • Scope creep – clients brief
  • Business outcomes

Other priorities

  • Everyone to have supplied data for the KPI -portal…
  • Build on existing measures + sources of data e.g. CCS
  • Use of data
    • Automated – link to data coordinator
    • How do you verify the data
    • Trusted data is used
    • Use data to identify issues during projects? – Predict
  • Benefits of data
    • Why should people do it? Client? Supply chain?
    • Stories around benefits of data collection…Use data to show what has changed and why
  • Maximise – incentivise
  • Refining measures + definitions – are we measuring the right things
  • Careful how you use KPIs + benchmarks…
  • Careful about duplication/different projects measuring some projects differently
  • Something about why projects go wrong – benchmarking
  • Transforming Construction Network Plus…

The next steps were agreed as:

  • All members to beta test SmartSite KPIs and provide feedback
  • Liaise with CIH/CLC to make sure the various measurement initiatives are aligned
  • At next meeting in April
    • Confirm project information fields/drop downs (e.g. location, contract type etc)
    • Confirm 4/5 KPIs for members to submit data for benchmarking exercise among members
  • June/July meeting – benchmarking session based on contributed data

To get involved with this workstream please email [email protected]