Performance measurement using location-based status data

Much attention has been placed on measuring performance of activity completion in Lean literature, using techniques such as Percentage of Planned Activities Completed (PPC). Originally intended as one component of measuring plan execution, along with measures of Planned Productivity, PPC has been extensively researched but Planned Productivity has been neglected. Using a lean methodology based on location-based scheduling enables an alternative performance measurement system. This paper proposes a method which makes possible the gathering of large amounts of performance data without too much effort. The method is an important contribution to the available suite of lean methods. Performance measurement using location-based status data is a method which has much in common with earned value analysis, and is able to use the progressive performance through each location of the project as the unit of measurement. The equivalent indicator to PPC is provided by measuring against the planned completion of a location. Furthermore, before commencing work the site checks the actual quantities in each location. Planned Productivity is measured during implementation, with the start date and finish date, actual quantities and average resources used in each location being recorded. This information can be used to calculate actual productivity. The location-based data gives the ability to measure within tasks, revealing not just completion of stages as in PPC, can measure against Planned Productivity. The actual productivities can be used to forecast problems in the future and to evaluate the feasibility of alternative control actions. In addition, the location-based actual information combined with the original Bill-of-Quantities and schedule reveals the erroneous assumptions made during preplanning and facilitates learning on future projects.