You are what you measure… and/or … You can’t manage what you don’t measure

Note:  Reposted/adapted from Boiled Architecture.

You are what you measure

True North Indicators… what a great term.  Collaboration and consensus processes are not the “wave of the future”, but requirement for survival within our changing Architecture, Engineering, Construction, Operations, and Owner sector(so).

True North Indicator (TNI): An expression of something you team values.   Something to keep your sights set to.

Key Performance Indicator (KPI):  A metric for how you measure your progress toward or deviation from a TNI.

Below is a snapshot of  Boiled Architecture’s dashboard for 2013.   Why post it?

Well, if more architecture, repair, renovation, sustainability, and construction projects were conceived, procured, executed, and monitored using similar methods and KPI’s the world just might be a better place.

Whether you are cost estimating, designing, managing projects, and/or involved in Integrated Project Delivery – IPD, Job Order Contracting – JOC, and involved any related collaborative construction delivery process… or thinking our it…  now’s the time to get more serious, or get on board!

Increased productivity, accuracy, transparency, and collaboration are requirements of success as we move forward.

Whether you are practicing BIM (life-cycle management of the build environment supported by digital technology and forget the 3-D aspect for a moment).. .. practicing a component of BIM but moving toward life-cycle management…. it’s time to adapt robust business processes vs. continue with ad-hoc practices.  I simply talking about having sound processes to better control total cost of ownership and return on investment of the built environment.

It’s time to look at everyone’s risk/reward…Owners, Contractors, Subs, AE’s oversight groups, building users, the community…vs. just  your own!

2013 KPI's

Along the left of each column of charts you’ll see vertically-oriented titles.  Those are the True North Indicators.  Each of the graphs are displaying a Key Performance Indicator for those TNI’s (some graphs are able to display more than one KPI).

Our team practices 100% transparency internally, and this is possible because I train all employees on what these metrics mean, how they are measured, and what the results imply about our performance.  If you want to discuss any of these numbers, I’d be happy to share them with you.  Feel free to set up an appointment with me to discuss on the phone:

What we valued and what we measured for 2013:

1. TNI: Collaborative Culture

    • KPI: Internal collaboration survey
    • KPI: Hrs spent on community service

2. TNI: Solid delivery

  • KPI: % of our desired standards established
  • KPI: Average billing rate
  • KPI: CO’s resulting from our errors/omissions per project
  • KPI: Architectural RFI’s per project

3. TNI: Solid client base

  • KPI: Client sources (referral, repeat, other)
  • KPI: Acquisition costs
  • KPI: % revenue per client

4. TNI: Thought leaders in IPD and transparent business practices

  • KPI: Google search ranking for the phrases “Transparent business model,” “IPD Architect,” “IPD,” “Integrated Project delivery,” “Collaborative Construction.”
  • KPI: # of blog posts
  • KPI: Speaking/interview/quote requests

5. TNI: Company wealth

  • KPI: Profit
  • KPI: Cash balance
  • KPI: Staff utilization
  • KPI: Overhead rate

6. TNI: Employee wealth

  • KPI: # of hours worked
  • KPI: Pay per hour

7. TNI: Ideal project mix

  • KPI: Delivery models (IPD, Design-Build, etc)
  • KPI: Sustainable projects
  • KPI: Transportation projects


What did you measure in 2013?  What have you decided to measure for 2014?


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