Metrics That Matter: Improving Project Progress and Performance Assessment

Identified a list of 111 potential project control metrics based on the data gathered. Classified in-flight project control metrics based on their roles, importance, and functionality:

1. Roles: Forecasting (predicting project cost and schedule outcomes based on the current understanding of project progress and performance) vs. Diagnostic (signaling progress and performance issues to inform corrective actions).
2. Importance: Core (“must have” metrics that provide the greatest insight into project controls) vs. Significant (supplement or complement Core metrics as needed).
3. Functionality: Data (Data Collection), Information (Progress Measurement), Knowledge (Performance Assessment), Insight (Performance Forecasting).

(RS322-1, p. 9)

Use and interpretation of Core metrics enable project stakeholders to better understand and implement them to manage and control project performance. The use and interpretation details for each Core metric includes: background information and explanations, requirements and timing for use, application scenarios, and relationships among the different metrics.

(RS322-1, p. 12)

RT-322 found that the Core metrics would remain the same for projects with different characteristics. However, it is anticipated that the main differences would be in the level of effort and the frequency of data collection and reporting. The study found the following project characteristics to have the greatest impact for creating this difference in the use of Core metrics: Perspective (Owner versus Contractor); Project Size; Contract Type; Project Complexity; and Schedule or Cost Priority.

(RS322-1, p. 13)

Statistical analysis of data revealed that projects that used more Core metrics for project controls experienced higher rates of success at meeting their original budgets. A correlation between the use of more Core metrics and better project cost outcomes was observed at the 95% confidence level using the Spearman’s rank correlation method.

(RS322-1, p. 14)

a.    The team identified 15 Critical Reliability Factors (CRFs) that influence the reliability of project control metrics:

1. Project Scope Definition
2. Project Execution Planning
3. Project Control Planning
4. Progress Measurement
5. Schedule and Cost Development and Tracking
6. Change Management
7. Risk Management
8. Progress Audits
9. Metric Trend Analysis
10. Schedule Forecasting
11. Cost Forecasting
12. Communication
13. Teamwork
14. Accountability
15. Project Control Audits 

b.    CRFs are defined as factors that individually and collectively influence the reliability of project progress and performance assessment metrics.
c.    83 reliability indicators associated with these CRFs are also provided. 
d.    Each indicator has a specific assigned timeframe, defined by five timing milestones (i.e., prior to, at the beginning, during, at the end, post) for different project phases. 
e.    These specific timing milestones should be carefully considered for effective implementation of CRFs and indicators.
f.    There may be additional CRFs and indicators depending on project characteristics, requirements, and project team perspective; project teams can identify these additional CRFs and expand on the provided list.

(RS322-1, p. 17)