Project Performance Indicators and Their Management in Developing Countries

The concept of using indicators to assess performance originates from the practice of benchmarking used in many industries for improving business processes and products. What makes the concept of project success difficult and complicated in practice is that there is no consensus on how it should be measured, and the unlikelihood of reaching a consensus further complicates the management of projects. Scholars view the multiple ways of measuring success as being dependent on the interest and business goals of each project stakeholder. In developing countries, construction project environments are dynamic due to the involvement of multiple stakeholders, including communities with different interpretations of project performance indicators, who also prioritize them differently. Therefore, this chapter examines project performance indicators in the context of developing countries with the view to establish the important indicators common to project stakeholders and where there are usually conspicuous differences. The study uses a systematic literature review to gather the necessary information to answer the chapter’s objectives. The outputs of the review include a conceptual model of project performance indicators common to developing countries. Furthermore, the chapter argues that project organizations play a crucial role in defining the terms of reference and accountabilities for all key roles in project delivery. Implications of this conceptual model for theory and practice are discussed. The establishment of these performance indicators will contribute to the improvement of project management in developing countries.