SS Engineering & Projects Management

Project services Key Performance Indicators - KPIs

 Table of Contents

 Introduction

 List of existing Key Performance Indicators KPIs (schedule & cost)

 Propose new equations for the Key Performance Indicators KPIs

 Examples for the new equations

 Recommendations
 Introduction

 Majority of SABIC affiliates (may be all) had no procedure or system to

calculate their projects KPI before shared services.

 ARAMCO do not have KPIs for cost and schedule for their projects as
far as we know.

 Most of well known project management consultants and organizations

such as Project Management institutes (PMI) are recommending using same
equation that we are currently using for INDIVIDUAL project.
 List of existing Key Performance Indicators KPIs

Method of Frequency of
Service KPI formula
Collection / Source Collection

Sum(actual duration – planned duration) All information will be

Project time variance = Monthly
Sum(Planned duration) extracted from SAP repot

Project
Services
All information will be
Project cost variance Sum(actual project cost – planned cost) extracted from SAP repot Monthly
=
Sum(Planned cost)
 Propose new Key Performance Indicators KPIs

 Calculate the KPI by using the existing equations to obtain KPI (1) for cost and

schedule.

 Calculate the percentage of projects that are not meeting our targeted KPI (± 20%

for schedule & ±15% for the cost) to obtain KPI (2)

 The new KPI should be the average of absolute KPI (1) and KPI (2).

Absolute KPI (1) + KPI (2)

=
2
Example for Schedule KPI
Example for Cost KPI
 Recommendation

 Using the new propose equations to calculate the cost and schedule KPIs.

 The acceptable schedule variance should be ± 20% and for cost should be ±
15%.
Thank You