Development of performance measurement framework for value management studies in construction

Value management (VM) has been reported to be useful in reducing costs while maintaining or even improving the performance of a project. However, many potential users in the construction industry are reluctant to use VM because of a lack of tools to assess VM studies. This paper is to develop a proper measurement framework for VM studies in construction. The strengths and weaknesses of the existing measurement frameworks are reviewed in the context of VM. Thirteen factors which have major impacts on the performance of VM studies in construction are identified and a theoretical foundation is established based on these factors. A preliminary framework is developed to explain how the desired features could be achieved. The identification of the key performance indicators (KPIs) by a questionnaire survey is then presented. A detailed framework which consists of the measurement processes, data providers, weightings of KPIs and definitions of the scoring is then developed. Case studies, focus group meeting have been conducted to refine the framework.