Measuring the performance of value management studies in construction: Critical review

Value management (VM) is a useful method to use when dealing with issues such as budget and schedule challenges arising in the construction industry. However, little research has been done to measure the performance of VM studies, which has made many potential users reluctant to use VM. This paper presents a critical review of the development of performance measurement in general and the performance measurement in the construction industry, with a special focus on the performance measurement of VM studies in construction. The strengths and weaknesses of the existing measurement frameworks are investigated in the context of VM studies. It is concluded that traditional performance measurement of VM studies focusing on cost reduction is insufficient. Many other perspectives, such as clarifying objectives, and improving communication among stakeholders, should be considered seriously when making the measurement. This paper reveals that the existing frameworks to measure VM studies are inappropriate. It suggests that perspectives such as multicriteria measurement, flexible framework for different practice, and benchmarking to identify best practice could be adapted to develop a performance measurement framework for VM studies.