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

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.

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