3 Key Points on Measuring Project Improvement
- Using a construction scorecard is one of the only ways to measure the success of your project.
- Construction scorecards can improve project outcomes by up to 28%.
- Without a construction scorecard, many projects will either fail to improve or get worse.
This week, host Sue Dyer conducts a short master class on how to employ a simple tool called the Construction Scorecard to help keep you from being surprised by things that happen on your projects. Sue shares how to predict the level of success or failure you’ll have with your projects.
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The following show notes are a transcription from the Construction Dream Team Podcast episode 12 audio interview between Sue and Tania. Please subscribe to Construction Dream Team for the latest episodes on our website, iTunes or Stitcher! We would LOVE a 5-star rating to help us show up in the search engines so more of Construction Nation can listen to industry leaders and experts on their computers, phones, or tablets!
The Benefits of the Construction Scorecard (1:10)
Teams that measure their projects and hold one another accountable to live up to those commitments tend to improve over time. This research is based on the analysis of over 13 different projects that utilized the construction scorecard over a two-year period.
The Parameters of the Construction Scorecard Study (2:00)
- Vertical, horizontal, marine, seismic, rail, environmental projects.(2:15)
- The projects ranged in size from 100,000 to 142,000,000 (2:40)
- 113 monthly scorecards were analyzed by a neutral consultant to ensure anonymity. (2:50)
- Reports were sent back out to the team for them to analyze and make adjustments (3:30)
The Results of the Construction Scorecard Study (10:00)
- Overall project scores improved by as much as 28% over the life of the project (3:55)
- Five of thirteen projects were having significant problems when the project started and four of thirteen had significant improvement. (5:00)
- Over time patterns emerge and are consistent and offer insight into a final outcome for your team (6:30)
Score Patterns and What They Mean (7:00)
- 1.0-1.9 – Projects came in late, over budget, and needed remedial action to turn themselves around.
- 2.0-2.9 – Behind schedule, over budget, there are fundamental problems that need immediate action.
- 3.0-3.5 – Behind schedule, over budget, something is causing drag.
- 3.5-4.0 – On time, on budget, doing spectacular things along the way.
- 4.0-4.5 – you should be ahead of schedule and under budget.
Resources for Project Managers
- Use the OrgMetrics Construction Scorecard
- Daily email called “Smart brief on Leadership”
- What gets Measured PDF
Lessons Learned from the Construction Scorecard Study (9:26)
Teams that met to review the scorecard each month made more significant improvements. The scorecard should be adjusted along the way. Executives who met to discuss scorecard results helped connect resources and solve problems.
Projects scoring 4.5 and up can meet bi-monthly without damaging results. Projects with lower scores who meet more frequently will lower their scores or will simply stop improving.
The best results were seen when members were required to be a part of the program.
Five Tips to Help You With Your Project (11:30)
- Make a scorecard a requirement and the team will see that it’s valued by its leaders (11:40)
- Create an atmosphere of trust (13:12)
- Understand the tool (15:11)
- Evaluate your results (16:00)
- Make course corrections (17:45)
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