Kpi for Project Managment
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KPIs for Project Management
Here are something to read about PM KPI: KPI explained
When we want to create KPIs for PM, we need to use the CSC (Critical Success Criteria) related to project management. This means that the KPIs must be related to Time, Budget and Scope (TBQ) tripple constraints.
In order to relate to these three critical criteria, the assumption is that tasks contribute to scope. Each task involve resource. Each resource is related to cost. Each task needs time for completion. Therefore Earned Value Analysis or Management is the tool that we usually used to measure these three key performance areas.
The following are some sample of KPIs related to Project Management (or Earned Value elements):
Earned Value (EV) — This is the value that we get back as a result of the investment. For example, after the contract is signed, nothing is done but the vendor is paid 10% of the project fee; so, the earned value is still $0. Unless some work already performed and can be translated to the value.
Schedule Variance (SV) — To show what is the difference between the original plan and the actual progress.
Cost Variance (CV) — To show what is the cost difference between the original project budget and the actual expenses.
Schedule Performance Index (SPI) — To show how well the schedule is managed against the baseline. This means that, for every $1 we spend on the resource, how much progress is achieved.
Cost Performance Index (CPI) — To show how well the cost is managed against the original budget baseline. This means that, for every $1 we spend on the resource, how much value we got in return. For example, if we pay $1, but we get $0.5 of the value of the result, that means the CPI is poor.
Other KPIs that may be applicable are such as:
Customer Satisfaction — For example, we can measure the return customer in quantity, or customer terminate the contract, etc.
Process Efficiency — For example, the speed in getting one job done is compared between the post-project to the pre-project measurement.