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Enhancing Construction Performance: A Critical Review of Performance Measurement Practices at the Project Level

202427 citationsOpen accessBenha University

In plain language

Traditional performance evaluation in construction relies heavily on financial and basic metrics such as cost, time, and quality. However, these conventional approaches are increasingly seen as insufficient for capturing total project outcomes. An analysis of 146 published articles reveals a critical transition towards non-financial performance measurement systems at the project level. To achieve a more holistic assessment, modern frameworks must integrate broader dimensions. These include stakeholder satisfaction, workplace safety, technology utilisation, delivered value, environmental impacts, and the use of maturity models. Consolidating these diverse metrics provides a stronger methodological basis for assessing construction projects. The findings offer practical guidance for project managers and organisations seeking to select suitable, multi-dimensional indicators to monitor and manage project delivery more effectively.

Key takeaways

  • Conventional construction performance measures based purely on cost, time, and quality are increasingly recognised as inadequate on their own.
  • Project-level performance measurement requires the integration of non-financial indicators alongside traditional metrics.
  • Critical non-financial dimensions include stakeholder, safety, technology utilisation, value, and environmental impact performance, as well as maturity models.
  • Reviewing 146 relevant studies provides a structured foundation to guide the selection of appropriate project assessment methods.

Why it matters

Construction projects often fail to deliver their intended value when evaluated only against schedules and budgets. Moving towards broader measures like safety, environmental impact, and stakeholder satisfaction allows project managers to identify blind spots early. This comprehensive perspective helps ensure that built assets are delivered safely, sustainably, and in alignment with community and client expectations.

Commercialisation angle

Construction practitioners, project managers, and software developers building project tracking tools can use these identified metrics to design multi-dimensional assessment frameworks. As an analytical review of 146 studies, the work is at an early conceptual stage, establishing performance frameworks and guidance rather than presenting a commercially deployed product or tested software platform.

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Abstract

The construction industry faces significant challenges in measuring and assessing performance effectively. Conventional methods of measuring construction performance have become less effective, prompting a need to adopt non-financial performance measurements. This shift acknowledges the shortcomings of relying solely on financial performance measurement systems. As a result, there has been a substantial increase in research and focus on non-financial performance measurement systems in recent decades. This study focuses on analyzing performance measurement practices and key performance indicators (KPIs) in the construction industry, specifically at the project level. By examining 146 relevant articles, the study offers a thorough overview of various aspects of project performance. In addition to the traditional dimensions of the project management triangle (cost, time, and quality performance), the study emphasizes the importance of considering other dimensions. These include stakeholder performance, safety performance, technology utilization performance, value performance, environmental impact performance, and the application of maturity models. By incorporating these additional KPIs, a more comprehensive and holistic evaluation of project performance can be achieved. This study’s findings make notable contributions to the methodological framework of performance measurement in construction projects. By consolidating diverse research sources, the study offers valuable guidance for future research in the field of project performance. Moreover, it provides insights into selecting suitable performance measurement methods, empowering practitioners to effectively assess and manage project performance.

Research topics

  • Construction Project Management and Performance
  • Occupational Health and Safety Research
  • Facilities and Workplace Management

Sustainable Development Goals

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DOI: 10.3390/buildings14071988

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