KPI Library
Navigate your organization to excellence with 17,288 KPIs at your fingertips.




Why use the KPI Library?

Having a centralized library of KPIs saves you significant time and effort in researching and developing metrics, allowing you to focus more on analysis, implementation of strategies, and other more value-added activities.

This vast range of KPIs across various industries and functions offers the flexibility to tailor Performance Management and Measurement to the unique aspects of your organization, ensuring more precise monitoring and management.

Each KPI in the KPI Library includes 12 attributes:

  • KPI definition
  • Potential business insights [?]
  • Measurement approach/process [?]
  • Standard formula [?]
  • Trend analysis [?]
  • Diagnostic questions [?]
  • Actionable tips [?]
  • Visualization suggestions [?]
  • Risk warnings [?]
  • Tools & technologies [?]
  • Integration points [?]
  • Change impact [?]
It is designed to enhance Strategic Decision Making and Performance Management for executives and business leaders. Our KPI Library serves as a resource for identifying, understanding, and maintaining relevant competitive performance metrics.

Need KPIs for a function not listed? Email us at support@flevy.com.


We have 30 KPIs on Construction in our database. KPIs are vital in the construction industry as they provide measurable values to gauge the efficiency, performance, and progress of construction projects. They enable project managers and stakeholders to make data-driven decisions, ensuring projects are completed on time, within budget, and to the desired quality standards. By tracking specific metrics such as cost variance, time to completion, accident frequency, and change order frequency, KPIs help identify areas that require improvement and allow for corrective actions to be taken promptly.

The construction industry is unique due to its project-based nature, complexity, and the high level of risk involved with each project. This industry relies heavily on coordination among various trades, adherence to safety standards, and compliance with regulatory requirements. KPIs provide a structured approach to manage these unique challenges by monitoring critical aspects such as safety performance, regulatory compliance, and subcontractor performance. This targeted monitoring facilitates risk mitigation, enhances communication, and promotes a culture of continuous improvement within the construction sector.

  Navigate your organization to excellence with 17,288 KPIs at your fingertips.
$189/year
KPI Definition Business Insights [?] Measurement Approach Standard Formula
Accident Incident Rate

More Details

The number of accidents or safety incidents that occur per a standard amount of workhours, often used as a safety performance indicator. Reflects the safety performance and risk levels present in construction activities. Number of accidents, hours worked. (Number of Accidents * 200,000) / Total Hours Worked
Backlog

More Details

The total value of work that has been contracted but not yet completed, indicating future revenue. Indicates the demand for services and potential revenue, as well as operational efficiency. Amount of work (in dollars or hours) yet to be completed, time period. Total Value of Uncompleted Work / Total Value of Work
Bid-to-win Ratio

More Details

The number of successful bids compared to the total number of bids submitted, which indicates the effectiveness of the bidding strategy. Provides insight into the competitiveness and success rate of the bidding process. Number of bids submitted, number of bids won. Number of Bids Won / Total Number of Bids Submitted
KPI Library
$189/year

Navigate your organization to excellence with 17,288 KPIs at your fingertips.


Subscribe to the KPI Library

CORE BENEFITS

  • 30 KPIs under Construction
  • 17,288 total KPIs (and growing)
  • 360 total KPI groups
  • 107 industry-specific KPI groups
  • 12 attributes per KPI
  • Full access (no viewing limits or restrictions)

FlevyPro and Stream subscribers also receive access to the KPI Library. You can login to Flevy here.

Cash Flow Forecast Accuracy

More Details

The accuracy of the predicted cash flow compared to the actual cash flow during the project. Assesses the accuracy of financial forecasting and informs future budgeting decisions. Forecasted cash flow, actual cash flow. Actual Cash Flow / Forecasted Cash Flow
Change Order Frequency

More Details

Number of change orders or amendments to the contract over the course of a project, which can indicate how well the project was initially scoped. Indicates project stability and the effectiveness of initial project scope definition. Number of change orders, total number of projects. Total Number of Change Orders / Total Number of Projects
Construction Time

More Details

The total time taken from the commencement to the completion of a construction project. Measures efficiency of construction process and ability to meet deadlines. Start date, completion date, planned duration. Actual Construction Time / Planned Construction Duration

Additional Critical KPI Categories for Construction

In the Construction industry, selecting the right KPIs goes beyond just industry-specific metrics. Additional KPI categories that are crucial for this sector include financial performance, operational efficiency, safety and compliance, and customer satisfaction. Each of these categories provides critical insights that can help executives make informed decisions and drive organizational success. Financial performance KPIs such as profit margins, cash flow, and return on investment (ROI) are indispensable. According to McKinsey, the construction industry has a historically low profit margin of around 5%, making it essential for executives to closely monitor financial health to ensure sustainability and growth. Operational efficiency KPIs like equipment utilization rates, labor productivity, and project timelines are equally important. A report from Deloitte highlights that inefficiencies in construction operations can lead to cost overruns of up to 20%, emphasizing the need for robust operational KPIs.

Safety and compliance are non-negotiable in the construction sector. KPIs such as incident rates, safety training completion, and regulatory compliance metrics are critical. The Occupational Safety and Health Administration (OSHA) reports that construction accounts for nearly 20% of all workplace fatalities in the U.S., making safety KPIs a top priority for executives. Customer satisfaction KPIs, including Net Promoter Score (NPS), project delivery timelines, and quality of work, are also vital. According to a survey by PwC, 80% of construction clients prioritize timely project delivery and quality of work when selecting contractors, making these KPIs essential for maintaining client relationships and securing future projects.

Moreover, sustainability and environmental impact KPIs are becoming increasingly important. Metrics such as carbon footprint, waste management efficiency, and energy consumption are gaining traction. A study by Accenture reveals that 70% of construction executives believe that sustainability initiatives can lead to long-term cost savings and improved brand reputation. Therefore, integrating these KPIs can provide a comprehensive view of an organization's performance, helping executives to make data-driven decisions that align with both short-term goals and long-term strategic objectives.

Explore this KPI Library for KPIs in these other categories (through the navigation menu on the left). Let us know if you have any issues or questions about these other KPIs.

Construction KPI Implementation Case Study

Consider a leading construction organization, Skanska, which faced significant challenges in project management and operational efficiency. The organization grappled with project delays, cost overruns, and inefficiencies in their supply chain, impacting their overall performance and stakeholder confidence. To address these issues, Skanska implemented a robust KPI framework focusing on key metrics such as project completion rates, cost variance, and supply chain efficiency. These KPIs were selected because they directly addressed the core issues affecting their performance.

Project completion rates were monitored to ensure timely delivery, while cost variance helped in tracking budget adherence. Supply chain efficiency was measured to identify bottlenecks and streamline operations. By closely monitoring these KPIs, Skanska was able to identify areas of improvement and implement corrective actions promptly. The results were remarkable. Project completion rates improved by 15%, cost overruns were reduced by 10%, and supply chain efficiency saw a 20% boost. These improvements not only enhanced operational efficiency but also restored stakeholder confidence.

Lessons learned from Skanska's experience include the importance of selecting KPIs that directly address the organization's pain points and the need for real-time monitoring to enable swift corrective actions. Best practices involve involving all stakeholders in the KPI selection process to ensure alignment with organizational goals and leveraging technology for real-time data collection and analysis. Skanska's case underscores the transformative power of well-chosen KPIs in driving performance improvements and achieving strategic objectives.

KPI Library
$189/year

Navigate your organization to excellence with 17,288 KPIs at your fingertips.


Subscribe to the KPI Library

CORE BENEFITS

  • 30 KPIs under Construction
  • 17,288 total KPIs (and growing)
  • 360 total KPI groups
  • 107 industry-specific KPI groups
  • 12 attributes per KPI
  • Full access (no viewing limits or restrictions)

FlevyPro and Stream subscribers also receive access to the KPI Library. You can login to Flevy here.

FAQs on Construction KPIs

What are the most important KPIs for construction project management?

The most important KPIs for construction project management include project completion rates, cost variance, schedule variance, and labor productivity. These KPIs help in tracking project progress, budget adherence, and workforce efficiency, providing a comprehensive view of project performance.

How can KPIs improve construction safety?

KPIs can improve construction safety by monitoring metrics such as incident rates, safety training completion, and near-miss reports. These KPIs help identify potential hazards, ensure compliance with safety protocols, and foster a culture of safety within the organization.

What financial KPIs are crucial for construction companies?

Crucial financial KPIs for construction companies include profit margins, cash flow, return on investment (ROI), and cost variance. These KPIs provide insights into the financial health of the organization, helping executives make informed decisions to ensure profitability and sustainability.

How do KPIs help in managing construction supply chains?

KPIs help in managing construction supply chains by tracking metrics such as supply chain efficiency, lead times, inventory turnover, and supplier performance. These KPIs enable organizations to identify bottlenecks, streamline operations, and improve overall supply chain efficiency.

What role do customer satisfaction KPIs play in construction?

Customer satisfaction KPIs, such as Net Promoter Score (NPS), project delivery timelines, and quality of work, play a crucial role in construction by ensuring client expectations are met. These KPIs help in maintaining strong client relationships and securing future projects.

How can sustainability KPIs benefit construction companies?

Sustainability KPIs, such as carbon footprint, waste management efficiency, and energy consumption, benefit construction companies by promoting environmentally friendly practices. These KPIs can lead to long-term cost savings, improved brand reputation, and compliance with regulatory requirements.

What are the best practices for selecting construction KPIs?

Best practices for selecting construction KPIs include involving all stakeholders in the selection process, aligning KPIs with organizational goals, and leveraging technology for real-time data collection and analysis. These practices ensure that the chosen KPIs are relevant, actionable, and aligned with strategic objectives.

How often should construction KPIs be reviewed?

Construction KPIs should be reviewed regularly, ideally on a monthly basis, to ensure timely identification of issues and implementation of corrective actions. Regular reviews help in maintaining alignment with organizational goals and adapting to changing project dynamics.

KPI Library
$189/year

Navigate your organization to excellence with 17,288 KPIs at your fingertips.


Subscribe to the KPI Library

CORE BENEFITS

  • 30 KPIs under Construction
  • 17,288 total KPIs (and growing)
  • 360 total KPI groups
  • 107 industry-specific KPI groups
  • 12 attributes per KPI
  • Full access (no viewing limits or restrictions)

FlevyPro and Stream subscribers also receive access to the KPI Library. You can login to Flevy here.




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This is a set of 4 detailed whitepapers on KPI master. These guides delve into over 250+ essential KPIs that drive organizational success in Strategy, Human Resources, Innovation, and Supply Chain. Each whitepaper also includes specific case studies and success stories to add in KPI understanding and implementation.