KPIs - from project ornamentation to game-changingly useful.

By Martin Grant FREng, Chairman IAND

I’ve been excited to see the development, and now launch, of our 360º KPI Management Suite. Excited because we now have a tool that helps move the application of KPIs from project ornamentation to game-changingly useful.  

"It really helps by creating an environment where the KPIs can be managed better and where, importantly, the dialogue happens at the right time."

KPIs have been a big part of my career: handed down by clients, handed down by bosses, and I have dished out a few myself over the years.  You might sense I’ve had something of a love-hate relationship with KPIs over the years and you’d be spot on. 

Let’s be clear, KPIs are essential in a project environment.  If you don’t know what is important, and just as bad, can’t measure it, a good project outcome will rarely arrive.  So why isn’t it all love for KPIs?The answer for me is in the implementation.  

Let me spell out some of the problem implementation areas I have seen (you will have others to add to the list I am sure):

1. Lack of thought at definition stage. We need to identify what is really (as in really) important. Lots of things matter but what is nice to have and what is the key to unlocking value (and in turn makes it easier to deliver the nice to haves as well)? I’d love to tell you IAND could automate this for you but, rightly so, you wouldn’t believe me. What we have done though is create an environment which promotes the need for KPI setting, facilitates creation and, through heightened visibility, encourages best practice across the delivery cycle. If the right KPIs are set, that is at least half the battle;

   
   

2. Complexity. This is a close relative of the preceding point. Too much thought maybe, likely too many people involved, certainly a lack of focus. Where too many KPIs are set, the focus on what matters is lost and any financial incentive is diluted to the point of irrelevance. Less is more in the world of KPI setting. Again, improved visibility across the project and supplier ecosystem will help here in setting the right number of KPIs;

   
   

3. Lack of ongoing monitoring. We’ll all have seen this in our careers - KPIs set and then rarely referenced over the course of the project. KPIs need to be referred to during every project review meeting and ideally also in our day-to-day interactions with project colleagues. This, I feel, is where our platform adds massive value - the KPIs are visible for all to see in real time and visibility allows dialogue, which is precisely what we want to drive;

   
   

4. Post dated flexibility. I’m on potentially controversial ground here.  There are occasions where despite the best endeavours and skill of all, a KPI is not met and maybe unforeseen circumstances justify a relaxation of targets. Maybe. But if it happens too often this can quickly become a gaming exercise. Feel free to disagree with me here, plenty have over the years. Through heightened visibility, our platform will drive better KPI accountability, which helps maintain the integrity of the system (but mostly I wanted to get that off my chest, thank you).

So, the 360º KPI Management Suite doesn’t magic wand these KPI implementation problems away but it really helps by creating an environment where the KPIs can be managed better and where, importantly, the dialogue happens at the right time. Leading to a world where we will all love those wonderfully useful KPIs. I hope you agree.

Discover more about the IAND 360º KPI management suite or get in touch with our team.