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BENCHMARKING
AND
PRODUCTIVITY
helpdesk@construction-productivity.co.uk
htt://www.construction-productivity.co.uk
BENCHMARKING AND
PRODUCTIVITY
The successful application and
limitations of benchmarking helps
the industrial nation’s growth in
mass production.
The International competition is becoming more
intense amongst the major Companies.
Major companies are becoming more
competitive by improving their performance.
BENCHMARKING AND
PRODUCTIVITY
This is only possible by improving
the level of productivity by
carrying out Benchmarking.
The manufacturing industry has been
the source of innovations in many
areas.
This has improved their mass
production.
BENCHMARKING AND
PRODUCTIVITY
larger players have
formed benchmarking
clubs with a view to
compare and
exchange data;
BENCHMARKING AND
PRODUCTIVITY
BENCHMARKING
AND
PRODUCTIVITY
• Benchmarking
(productivity
measurement) has
been successfully
adopted by the
Swedish export
industry for a long
time.
BENCHMARKING AND
PRODUCTIVITY
BENCHMARKING
AND
PRODUCTIVITY
• It was formed to make
comparisons with competitors or
other units in the same group.
BENCHMARKING
AND
PRODUCTIVITY
• Investment in new technology
and machinery to improve the
level of productivity.
BENCHMARKING AND
PRODUCTIVITY
The objectives
of introducing
benchmarks are
as follow:
to establish a
benchmark for
productivity;
quality
assessment;
comparison
between one
firm and
another.
BENCHMARKING AND
PRODUCTIVITY
the benchmarks for
simple tasks are
relatively easy;
It’s use would enable managers
dealing with the progress of a project
to establish trends of performance.
BENCHMARKING AND
PRODUCTIVITY
once the task
becomes
complex;
different
operations
interact;
the benchmarks
become more
difficult.
BENCHMARKING AND
PRODUCTIVITY
The idea of Benchmarking process:
 to compare the activity of one
company with activities of the best of
other companies.
Within the UK industry Benchmarking
has been identified as:
 a powerful tool for assisting
managers to improve efficiency within
the industry.
BENCHMARKING AND
PRODUCTIVITY
Organisation specific benchmarks are
developed during:
 the benchmarking process;
 the analysis phase.
 Benchmarking has proved to be a flexible tool
used to support other strategies.
 It looks at the organisation’s strength and
weaknesses to compare with other
organisations.
 It change strategies at the right time to become
more competitive in global market.
BENCHMARKING AND
PRODUCTIVITY
IMPROVING BUSINESS RESULT
THROUGH
BENCHMARKING
 The term benchmarking includes a
number of different activities built
around a single, simple and powerful
idea.
 benchmarking is a continuing
process;
 opens the organisation to new and
radical ideas;
BENCHMARKING AND
PRODUCTIVITY
A major project management
benchmarking company in the
United States and in Europe
concluded that at least 10
billion ponds was wasted due
to items such as:
BENCHMARKING AND
PRODUCTIVITY
repeated
work;
change of
direction without
a full knowledge
of the change;
Inefficiency at
the head office
and on site;
the inability to
adopt best
practices in
work process.
BENCHMARKING AND
PRODUCTIVITY
Benchmarking
can fall into
several main
categories:
BENCHMARKING AND
PRODUCTIVITY
internal
benchmarkin
g;
external
benchmarking with
competitors and
non-competitors;
BENCHMARKING AND
PRODUCTIVITY
one-on-one or
data based
benchmarking;
domestic
benchmarking;
BENCHMARKING AND
PRODUCTIVITY
global
benchmarkin
g;
qualitative
benchmarking;
quantitative
benchmarking.
BENCHMARKING AND
PRODUCTIVITY
Competitive benchmarking
is the benchmarking applied
to one’s performance
against competitors;
measures of project
excellence and
effectiveness.
BENCHMARKING AND
PRODUCTIVITY
 Manufacturing sectors have
been relatively quick to respond
to changes within the business
environment.
 An example of this is the
relatively rapid and flexible
response to the global economy.
BENCHMARKING AND
PRODUCTIVITY
Companies needs to develop a
culture of ‘lean construction’
through continuous
improvement.
The objective of this approach
is to increase the performance,
and at the same time reduce
BENCHMARKING AND
PRODUCTIVITY
Steps to take in Benchmarking
can be
Described as:
 Consider Activities with low Key
Performance Indicators( KPIs);
 Consider a process model first;
 Consider what to benchmark from the
process model first, second, and so on;
 Define the measures;
 Develop data collection methodology;
 Collect data;
BENCHMARKING AND
PRODUCTIVITY
 Identify deficiencies in the use of
best practices and project
management performance.
 Identify reasons for deficiencies (root
causes).
 Develop an action plan (select best
practices to reduce shortfall).
 Integrate best practices into the
project delivery process.
 Adopt benchmarking as part of a
continuous improvement program.
 Monitor progress
BENCHMARKING AND
PRODUCTIVITY
 Monitor factors such as:
 cost
 time
 waste
 safety
 client satisfaction
 and also many other critical
BENCHMARKING AND
PRODUCTIVITY
BENCHMARKING AND
PRODUCTIVITY
BENCHMARKING AND
PRODUCTIVITY
Step 1-pull information from bill of quantity
Productivity measurement table-related to case no.1
CRAFT/LABOUR
PRODUCTIVITY
CASE NO.1
POOR
Total MD
=Cost
of
material
Waste Waste Craft
Optve
Craft
Optve
Labour Labo
ur
Productivity Loss or
Gain £
Total
loss/G
ain
=PR x
TQ
Unit
3x3 Bed House-
2 Story level
Quanti
ty
(TQ)
Deliver
ed to
site
(Estima
te)
(Actual
)
Hrs Hrs Hrs Hrs- PR=MD[A-
X]+HC(EC-AC)
+HL(EL-AL)
LOSS £
Description-
Activities
(Act-) % % (EC) (AC) (EL) (AL)
SUPERSTRUC
TURE
Facing Brick
P.C £350 PER
1000 /Common
Block
156 31.14 5% 6.50% 2.55 2.58 1.95 1.97 -0.9 -140 M2
Common
Brick/Block
264 18.88 5% 6.50% 2.25 2.26 1.75 1.76 -0.47 -124 M2
Internal Walls-
LWC Block
282 8 5% 7.00% 1.45 1.47 1.1 1.12 -0.38 -107 M2
Internal Walls-
Plastering-
13mm thick
708 1.71 5% 6.50% 0.45 0.45 0.23 0.23 -0.03 -24 M2
Internal Finish-
Ceiling finish-
set
504 0.47 5% 6.50% 0.25 0.25 0.13 0.13 0.47x (-0.02) 4 M2
Wall Tiling-
152x152
75 14.5 5% 6.50% 1 1 0.6 0.6 1.71x (-0.02) 22 M2
Net
Rate
Gross Total Total Total Total Total
Time
Total
Time
Total
Cost
Total
Cost
Total
Time
Total
Time
Total
Cost
Total
Cost
Unit
(£) Rate Quan
t-
Quan
t-
Cost Cost Est- Est- Est- Est- Act.- Act.- Act- Act-
(Est-) (Act-) (Est-) (Act-) Craft Labo
ur
Craft Labour Craft Labour Craft Labour
(£) (£) (£) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs)
64.5
5
72.94 160 - 1167
0
- 464 688 3257.3 3969.7
5
- - - - M2
57.2
9
64.73 130 - 8414.
9
- 63.75 315.9 447.15 1822.7
5
- - - - M2
40.8
1
46.12 225 - 1037
7
- 506.2
5
393.7
5
3553.9 2271.9
5
- - - - M2
35.2
4
39.82 410 1632
6
- 922.5 451 6475.9
5
2602.2
5
- - - - M2
13.9
1
15.98 440 - 7031.
2
- 638 484 4478.7
5
2792.7 - - - - M2
5.04 5.69 1125 - 6401.
3
506.2
5
258.7
5
3553.9 1492.9
5
- - - - M2
3.99 4.5 785 - 3532.
5
196.2
5
102 1377.7 588.55 - - - - M2
26.8
8
30.37 90 - 2733.
3
- 90 54 631.8 311.6 - - - - M2
Net
Rate
Gross Total Total Total Total Total
Time
Total
Time
Total
Cost
Total
Cost
Total
Time
Total
Time
Total
Cost
Total
Cost
Unit
(£) Rate Quan
tity
Quan
tity
Cost Cost (Est-) (Est-) (Est-) (Est-) (Act.-
)
(Act.-) (Act-) (Act-)
(Est-) (Act-) (Est-) (Act-) Craft Labo
ur
Craft Labour Craft Labour Craft Labour
(£) (£) (£) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs)
64.5 72.94 114 - 8315. - 330.6 490.2 2320.8 2828.4 - - - - M2
Productivity measurement table-related to case no.1
CRAFT/LABOUR
PRODUCTIVITY
CASE NO.1
POOR
Total MD
=Cost
of
material
Waste Waste Craft
Optve
Craft
Optve
Labour Labo
ur
Productivity Loss or
Gain £
Total
loss/G
ain
=PR x
TQ
Unit
3x3 Bed House-
2 Story level
Quanti
ty
(TQ)
Deliver
ed to
site
(Estima
te)
(Actual
)
Hrs Hrs Hrs Hrs- PR=MD[A-
X]+HC(EC-AC)
+HL(EL-AL)
LOSS £
Description-
Activities
(Act-) % % (EC) (AC) (EL) (AL)
SUPERSTRUC
TURE
Facing Brick
P.C £350 PER
1000 /Common
Block
156 31.14 5% 6.50% 2.55 2.58 1.95 1.97 -0.9 -140 M2
Common
Brick/Block
264 18.88 5% 6.50% 2.25 2.26 1.75 1.76 -0.47 -124 M2
Internal Walls-
LWC Block
282 8 5% 7.00% 1.45 1.47 1.1 1.12 -0.38 -107 M2
Internal Walls-
Plastering-
13mm thick
708 1.71 5% 6.50% 0.45 0.45 0.23 0.23 -0.03 -24 M2
Internal Finish-
Ceiling finish-
set
504 0.47 5% 6.50% 0.25 0.25 0.13 0.13 0.47x (-0.02) 4 M2
Wall Tiling-
152x152
75 14.5 5% 6.50% 1 1 0.6 0.6 1.71x (-0.02) 22 M2
Net
Rate
Gross Total Total Total Total Total
Time
Total
Time
Total
Cost
Total
Cost
Total
Time
Total
Time
Total
Cost
Total
Cost
Unit
(£) Rate Quan
t-
Quan
t-
Cost Cost Est- Est- Est- Est- Act.- Act.- Act- Act-
(Est-) (Act-) (Est-) (Act-) Craft Labo
ur
Craft Labour Craft Labour Craft Labour
(£) (£) (£) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs)
64.5
5
72.94 160 - 1167
0
- 464 688 3257.3 3969.7
5
- - - - M2
57.2
9
64.73 130 - 8414.
9
- 63.75 315.9 447.15 1822.7
5
- - - - M2
40.8
1
46.12 225 - 1037
7
- 506.2
5
393.7
5
3553.9 2271.9
5
- - - - M2
35.2
4
39.82 410 1632
6
- 922.5 451 6475.9
5
2602.2
5
- - - - M2
13.9
1
15.98 440 - 7031.
2
- 638 484 4478.7
5
2792.7 - - - - M2
5.04 5.69 1125 - 6401.
3
506.2
5
258.7
5
3553.9 1492.9
5
- - - - M2
3.99 4.5 785 - 3532.
5
196.2
5
102 1377.7 588.55 - - - - M2
26.8
8
30.37 90 - 2733.
3
- 90 54 631.8 311.6 - - - - M2
Net
Rate
Gross Total Total Total Total Total
Time
Total
Time
Total
Cost
Total
Cost
Total
Time
Total
Time
Total
Cost
Total
Cost
Unit
(£) Rate Quan
tity
Quan
tity
Cost Cost (Est-) (Est-) (Est-) (Est-) (Act.-
)
(Act.-) (Act-) (Act-)
(Est-) (Act-) (Est-) (Act-) Craft Labo
ur
Craft Labour Craft Labour Craft Labour
(£) (£) (£) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs)
64.5 72.94 114 - 8315. - 330.6 490.2 2320.8 2828.4 - - - - M2
Step 1-pull information from bill of quantity
Step 2-carry out calculations-use
Productivity measurement table-related to case no.1
CRAFT/LABOUR
PRODUCTIVITY
CASE NO.1
POOR
Total MD
=Cost
of
material
Waste Waste Craft
Optve
Craft
Optve
Labour Labo
ur
Productivity Loss or
Gain £
Total
loss/G
ain
=PR x
TQ
Unit
3x3 Bed House-
2 Story level
Quanti
ty
(TQ)
Deliver
ed to
site
(Estima
te)
(Actual
)
Hrs Hrs Hrs Hrs- PR=MD[A-
X]+HC(EC-AC)
+HL(EL-AL)
LOSS £
Description-
Activities
(Act-) % % (EC) (AC) (EL) (AL)
SUPERSTRUC
TURE
Facing Brick
P.C £350 PER
1000 /Common
Block
156 31.14 5% 6.50% 2.55 2.58 1.95 1.97 -0.9 -140 M2
Common
Brick/Block
264 18.88 5% 6.50% 2.25 2.26 1.75 1.76 -0.47 -124 M2
Internal Walls-
LWC Block
282 8 5% 7.00% 1.45 1.47 1.1 1.12 -0.38 -107 M2
Internal Walls-
Plastering-
13mm thick
708 1.71 5% 6.50% 0.45 0.45 0.23 0.23 -0.03 -24 M2
Internal Finish-
Ceiling finish-
set
504 0.47 5% 6.50% 0.25 0.25 0.13 0.13 0.47x (-0.02) 4 M2
Wall Tiling-
152x152
75 14.5 5% 6.50% 1 1 0.6 0.6 1.71x (-0.02) 22 M2
COST CONTROL-AOA
BENCHMARKING AND
PRODUCTIVITY
 ACTIVITIES 1-2, 2-3, 3-4, 1-12, 1-9, ….
To measure Items such as:
 Time (increase/decrease)
 Cost (increase/decrease)
 Labour (increase/decrease)
 Material (Material waste-
increase/decrease)
 Machinery (efficiency
increase/decrease).
BENCHMARKING AND
PRODUCTIVITY
 Compare Actual completion time for
Activities 1-2, 2-3,..aganist allocated
time for Activities 1-2, 2-3,
 Compare Actual completion cost for
Activities 1-2, 2-3,..aganist allocated
cost for Activities 1-2, 2-3,
 Compare Actual waste allowed(%)
for Activities 1-2, 2-3,..against
allowed waste (%) for Activities 1-2,
2-3,
BENCHMARKING AND
PRODUCTIVITY
Productivity measurement table-related to case no.1
CRAFT/LABOUR
PRODUCTIVITY
CASE NO.1
POOR
Total MD
=Cost
of
material
Waste Waste Craft
Optve
Craft
Optve
Labour Labo
ur
Productivity Loss or
Gain £
Total
loss/G
ain
=PR x
TQ
Unit
3x3 Bed House-
2 Story level
Quanti
ty
(TQ)
Deliver
ed to
site
(Estima
te)
(Actual
)
Hrs Hrs Hrs Hrs- PR=MD[A-
X]+HC(EC-AC)
+HL(EL-AL)
LOSS £
Description-
Activities
(Act-) % % (EC) (AC) (EL) (AL)
SUPERSTRUC
TURE
Facing Brick
P.C £350 PER
1000 /Common
Block
156 31.14 5% 6.50% 2.55 2.58 1.95 1.97 -0.9 -140 M2
Common
Brick/Block
264 18.88 5% 6.50% 2.25 2.26 1.75 1.76 -0.47 -124 M2
Internal Walls-
LWC Block
282 8 5% 7.00% 1.45 1.47 1.1 1.12 -0.38 -107 M2
Internal Walls-
Plastering-
13mm thick
708 1.71 5% 6.50% 0.45 0.45 0.23 0.23 -0.03 -24 M2
Internal Finish-
Ceiling finish-
set
504 0.47 5% 6.50% 0.25 0.25 0.13 0.13 0.47x (-0.02) 4 M2
Wall Tiling-
152x152
75 14.5 5% 6.50% 1 1 0.6 0.6 1.71x (-0.02) 22 M2
Net
Rate
Gross Total Total Total Total Total
Time
Total
Time
Total
Cost
Total
Cost
Total
Time
Total
Time
Total
Cost
Total
Cost
Unit
(£) Rate Quan
t-
Quan
t-
Cost Cost Est- Est- Est- Est- Act.- Act.- Act- Act-
(Est-) (Act-) (Est-) (Act-) Craft Labo
ur
Craft Labour Craft Labour Craft Labour
(£) (£) (£) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs)
64.5
5
72.94 160 - 1167
0
- 464 688 3257.3 3969.7
5
- - - - M2
57.2
9
64.73 130 - 8414.
9
- 63.75 315.9 447.15 1822.7
5
- - - - M2
40.8
1
46.12 225 - 1037
7
- 506.2
5
393.7
5
3553.9 2271.9
5
- - - - M2
35.2
4
39.82 410 1632
6
- 922.5 451 6475.9
5
2602.2
5
- - - - M2
13.9
1
15.98 440 - 7031.
2
- 638 484 4478.7
5
2792.7 - - - - M2
5.04 5.69 1125 - 6401.
3
506.2
5
258.7
5
3553.9 1492.9
5
- - - - M2
3.99 4.5 785 - 3532.
5
196.2
5
102 1377.7 588.55 - - - - M2
26.8
8
30.37 90 - 2733.
3
- 90 54 631.8 311.6 - - - - M2
Net
Rate
Gross Total Total Total Total Total
Time
Total
Time
Total
Cost
Total
Cost
Total
Time
Total
Time
Total
Cost
Total
Cost
Unit
(£) Rate Quan
tity
Quan
tity
Cost Cost (Est-) (Est-) (Est-) (Est-) (Act.-
)
(Act.-) (Act-) (Act-)
(Est-) (Act-) (Est-) (Act-) Craft Labo
ur
Craft Labour Craft Labour Craft Labour
(£) (£) (£) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs)
64.5 72.94 114 - 8315. - 330.6 490.2 2320.8 2828.4 - - - - M2
Productivity measurement table-related to case no.1
CRAFT/LABOUR
PRODUCTIVITY
CASE NO.1
POOR
Total MD
=Cost
of
material
Waste Waste Craft
Optve
Craft
Optve
Labour Labo
ur
Productivity Loss or
Gain £
Total
loss/G
ain
=PR x
TQ
Unit
3x3 Bed House-
2 Story level
Quanti
ty
(TQ)
Deliver
ed to
site
(Estima
te)
(Actual
)
Hrs Hrs Hrs Hrs- PR=MD[A-
X]+HC(EC-AC)
+HL(EL-AL)
LOSS £
Description-
Activities
(Act-) % % (EC) (AC) (EL) (AL)
SUPERSTRUC
TURE
Facing Brick
P.C £350 PER
1000 /Common
Block
156 31.14 5% 6.50% 2.55 2.58 1.95 1.97 -0.9 -140 M2
Common
Brick/Block
264 18.88 5% 6.50% 2.25 2.26 1.75 1.76 -0.47 -124 M2
Internal Walls-
LWC Block
282 8 5% 7.00% 1.45 1.47 1.1 1.12 -0.38 -107 M2
Internal Walls-
Plastering-
13mm thick
708 1.71 5% 6.50% 0.45 0.45 0.23 0.23 -0.03 -24 M2
Internal Finish-
Ceiling finish-
set
504 0.47 5% 6.50% 0.25 0.25 0.13 0.13 0.47x (-0.02) 4 M2
Wall Tiling-
152x152
75 14.5 5% 6.50% 1 1 0.6 0.6 1.71x (-0.02) 22 M2
BENCHMARKING AND
PRODUCTIVITY
 COST OF MATERIALS
31.14
5% WASTE ALLOWED
6.50% WASTE
EXPERIENCED
31.14(6.50-
5)=31.14X1.50=£46.71
46.71X156=7286.76
THE ESTIMATED
COST FOR THIS
ITEM=
7286.76-46.71=7240.05
Total MD
=Cost
of
material
Waste Waste
Quanti
ty
(TQ)
Deliver
ed to
site
(Estima
te)
(Actual
)
(Act-) % %
156 31.14 5% 6.50%
264 18.88 5% 6.50%
282 8 5% 7.00%
708 1.71 5% 6.50%

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004 benchmarking and productivity

  • 2. BENCHMARKING AND PRODUCTIVITY The successful application and limitations of benchmarking helps the industrial nation’s growth in mass production. The International competition is becoming more intense amongst the major Companies. Major companies are becoming more competitive by improving their performance.
  • 3. BENCHMARKING AND PRODUCTIVITY This is only possible by improving the level of productivity by carrying out Benchmarking. The manufacturing industry has been the source of innovations in many areas. This has improved their mass production.
  • 4. BENCHMARKING AND PRODUCTIVITY larger players have formed benchmarking clubs with a view to compare and exchange data;
  • 5. BENCHMARKING AND PRODUCTIVITY BENCHMARKING AND PRODUCTIVITY • Benchmarking (productivity measurement) has been successfully adopted by the Swedish export industry for a long time.
  • 6. BENCHMARKING AND PRODUCTIVITY BENCHMARKING AND PRODUCTIVITY • It was formed to make comparisons with competitors or other units in the same group. BENCHMARKING AND PRODUCTIVITY • Investment in new technology and machinery to improve the level of productivity.
  • 7. BENCHMARKING AND PRODUCTIVITY The objectives of introducing benchmarks are as follow: to establish a benchmark for productivity; quality assessment; comparison between one firm and another.
  • 8. BENCHMARKING AND PRODUCTIVITY the benchmarks for simple tasks are relatively easy; It’s use would enable managers dealing with the progress of a project to establish trends of performance.
  • 9. BENCHMARKING AND PRODUCTIVITY once the task becomes complex; different operations interact; the benchmarks become more difficult.
  • 10. BENCHMARKING AND PRODUCTIVITY The idea of Benchmarking process:  to compare the activity of one company with activities of the best of other companies. Within the UK industry Benchmarking has been identified as:  a powerful tool for assisting managers to improve efficiency within the industry.
  • 11. BENCHMARKING AND PRODUCTIVITY Organisation specific benchmarks are developed during:  the benchmarking process;  the analysis phase.  Benchmarking has proved to be a flexible tool used to support other strategies.  It looks at the organisation’s strength and weaknesses to compare with other organisations.  It change strategies at the right time to become more competitive in global market.
  • 12. BENCHMARKING AND PRODUCTIVITY IMPROVING BUSINESS RESULT THROUGH BENCHMARKING  The term benchmarking includes a number of different activities built around a single, simple and powerful idea.  benchmarking is a continuing process;  opens the organisation to new and radical ideas;
  • 13. BENCHMARKING AND PRODUCTIVITY A major project management benchmarking company in the United States and in Europe concluded that at least 10 billion ponds was wasted due to items such as:
  • 14. BENCHMARKING AND PRODUCTIVITY repeated work; change of direction without a full knowledge of the change; Inefficiency at the head office and on site; the inability to adopt best practices in work process.
  • 17. BENCHMARKING AND PRODUCTIVITY one-on-one or data based benchmarking; domestic benchmarking;
  • 19. BENCHMARKING AND PRODUCTIVITY Competitive benchmarking is the benchmarking applied to one’s performance against competitors; measures of project excellence and effectiveness.
  • 20. BENCHMARKING AND PRODUCTIVITY  Manufacturing sectors have been relatively quick to respond to changes within the business environment.  An example of this is the relatively rapid and flexible response to the global economy.
  • 21. BENCHMARKING AND PRODUCTIVITY Companies needs to develop a culture of ‘lean construction’ through continuous improvement. The objective of this approach is to increase the performance, and at the same time reduce
  • 22. BENCHMARKING AND PRODUCTIVITY Steps to take in Benchmarking can be Described as:  Consider Activities with low Key Performance Indicators( KPIs);  Consider a process model first;  Consider what to benchmark from the process model first, second, and so on;  Define the measures;  Develop data collection methodology;  Collect data;
  • 23. BENCHMARKING AND PRODUCTIVITY  Identify deficiencies in the use of best practices and project management performance.  Identify reasons for deficiencies (root causes).  Develop an action plan (select best practices to reduce shortfall).  Integrate best practices into the project delivery process.  Adopt benchmarking as part of a continuous improvement program.  Monitor progress
  • 24. BENCHMARKING AND PRODUCTIVITY  Monitor factors such as:  cost  time  waste  safety  client satisfaction  and also many other critical
  • 27. BENCHMARKING AND PRODUCTIVITY Step 1-pull information from bill of quantity Productivity measurement table-related to case no.1 CRAFT/LABOUR PRODUCTIVITY CASE NO.1 POOR Total MD =Cost of material Waste Waste Craft Optve Craft Optve Labour Labo ur Productivity Loss or Gain £ Total loss/G ain =PR x TQ Unit 3x3 Bed House- 2 Story level Quanti ty (TQ) Deliver ed to site (Estima te) (Actual ) Hrs Hrs Hrs Hrs- PR=MD[A- X]+HC(EC-AC) +HL(EL-AL) LOSS £ Description- Activities (Act-) % % (EC) (AC) (EL) (AL) SUPERSTRUC TURE Facing Brick P.C £350 PER 1000 /Common Block 156 31.14 5% 6.50% 2.55 2.58 1.95 1.97 -0.9 -140 M2 Common Brick/Block 264 18.88 5% 6.50% 2.25 2.26 1.75 1.76 -0.47 -124 M2 Internal Walls- LWC Block 282 8 5% 7.00% 1.45 1.47 1.1 1.12 -0.38 -107 M2 Internal Walls- Plastering- 13mm thick 708 1.71 5% 6.50% 0.45 0.45 0.23 0.23 -0.03 -24 M2 Internal Finish- Ceiling finish- set 504 0.47 5% 6.50% 0.25 0.25 0.13 0.13 0.47x (-0.02) 4 M2 Wall Tiling- 152x152 75 14.5 5% 6.50% 1 1 0.6 0.6 1.71x (-0.02) 22 M2 Net Rate Gross Total Total Total Total Total Time Total Time Total Cost Total Cost Total Time Total Time Total Cost Total Cost Unit (£) Rate Quan t- Quan t- Cost Cost Est- Est- Est- Est- Act.- Act.- Act- Act- (Est-) (Act-) (Est-) (Act-) Craft Labo ur Craft Labour Craft Labour Craft Labour (£) (£) (£) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) 64.5 5 72.94 160 - 1167 0 - 464 688 3257.3 3969.7 5 - - - - M2 57.2 9 64.73 130 - 8414. 9 - 63.75 315.9 447.15 1822.7 5 - - - - M2 40.8 1 46.12 225 - 1037 7 - 506.2 5 393.7 5 3553.9 2271.9 5 - - - - M2 35.2 4 39.82 410 1632 6 - 922.5 451 6475.9 5 2602.2 5 - - - - M2 13.9 1 15.98 440 - 7031. 2 - 638 484 4478.7 5 2792.7 - - - - M2 5.04 5.69 1125 - 6401. 3 506.2 5 258.7 5 3553.9 1492.9 5 - - - - M2 3.99 4.5 785 - 3532. 5 196.2 5 102 1377.7 588.55 - - - - M2 26.8 8 30.37 90 - 2733. 3 - 90 54 631.8 311.6 - - - - M2 Net Rate Gross Total Total Total Total Total Time Total Time Total Cost Total Cost Total Time Total Time Total Cost Total Cost Unit (£) Rate Quan tity Quan tity Cost Cost (Est-) (Est-) (Est-) (Est-) (Act.- ) (Act.-) (Act-) (Act-) (Est-) (Act-) (Est-) (Act-) Craft Labo ur Craft Labour Craft Labour Craft Labour (£) (£) (£) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) 64.5 72.94 114 - 8315. - 330.6 490.2 2320.8 2828.4 - - - - M2 Productivity measurement table-related to case no.1 CRAFT/LABOUR PRODUCTIVITY CASE NO.1 POOR Total MD =Cost of material Waste Waste Craft Optve Craft Optve Labour Labo ur Productivity Loss or Gain £ Total loss/G ain =PR x TQ Unit 3x3 Bed House- 2 Story level Quanti ty (TQ) Deliver ed to site (Estima te) (Actual ) Hrs Hrs Hrs Hrs- PR=MD[A- X]+HC(EC-AC) +HL(EL-AL) LOSS £ Description- Activities (Act-) % % (EC) (AC) (EL) (AL) SUPERSTRUC TURE Facing Brick P.C £350 PER 1000 /Common Block 156 31.14 5% 6.50% 2.55 2.58 1.95 1.97 -0.9 -140 M2 Common Brick/Block 264 18.88 5% 6.50% 2.25 2.26 1.75 1.76 -0.47 -124 M2 Internal Walls- LWC Block 282 8 5% 7.00% 1.45 1.47 1.1 1.12 -0.38 -107 M2 Internal Walls- Plastering- 13mm thick 708 1.71 5% 6.50% 0.45 0.45 0.23 0.23 -0.03 -24 M2 Internal Finish- Ceiling finish- set 504 0.47 5% 6.50% 0.25 0.25 0.13 0.13 0.47x (-0.02) 4 M2 Wall Tiling- 152x152 75 14.5 5% 6.50% 1 1 0.6 0.6 1.71x (-0.02) 22 M2
  • 28. Net Rate Gross Total Total Total Total Total Time Total Time Total Cost Total Cost Total Time Total Time Total Cost Total Cost Unit (£) Rate Quan t- Quan t- Cost Cost Est- Est- Est- Est- Act.- Act.- Act- Act- (Est-) (Act-) (Est-) (Act-) Craft Labo ur Craft Labour Craft Labour Craft Labour (£) (£) (£) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) 64.5 5 72.94 160 - 1167 0 - 464 688 3257.3 3969.7 5 - - - - M2 57.2 9 64.73 130 - 8414. 9 - 63.75 315.9 447.15 1822.7 5 - - - - M2 40.8 1 46.12 225 - 1037 7 - 506.2 5 393.7 5 3553.9 2271.9 5 - - - - M2 35.2 4 39.82 410 1632 6 - 922.5 451 6475.9 5 2602.2 5 - - - - M2 13.9 1 15.98 440 - 7031. 2 - 638 484 4478.7 5 2792.7 - - - - M2 5.04 5.69 1125 - 6401. 3 506.2 5 258.7 5 3553.9 1492.9 5 - - - - M2 3.99 4.5 785 - 3532. 5 196.2 5 102 1377.7 588.55 - - - - M2 26.8 8 30.37 90 - 2733. 3 - 90 54 631.8 311.6 - - - - M2 Net Rate Gross Total Total Total Total Total Time Total Time Total Cost Total Cost Total Time Total Time Total Cost Total Cost Unit (£) Rate Quan tity Quan tity Cost Cost (Est-) (Est-) (Est-) (Est-) (Act.- ) (Act.-) (Act-) (Act-) (Est-) (Act-) (Est-) (Act-) Craft Labo ur Craft Labour Craft Labour Craft Labour (£) (£) (£) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) 64.5 72.94 114 - 8315. - 330.6 490.2 2320.8 2828.4 - - - - M2 Step 1-pull information from bill of quantity
  • 29. Step 2-carry out calculations-use Productivity measurement table-related to case no.1 CRAFT/LABOUR PRODUCTIVITY CASE NO.1 POOR Total MD =Cost of material Waste Waste Craft Optve Craft Optve Labour Labo ur Productivity Loss or Gain £ Total loss/G ain =PR x TQ Unit 3x3 Bed House- 2 Story level Quanti ty (TQ) Deliver ed to site (Estima te) (Actual ) Hrs Hrs Hrs Hrs- PR=MD[A- X]+HC(EC-AC) +HL(EL-AL) LOSS £ Description- Activities (Act-) % % (EC) (AC) (EL) (AL) SUPERSTRUC TURE Facing Brick P.C £350 PER 1000 /Common Block 156 31.14 5% 6.50% 2.55 2.58 1.95 1.97 -0.9 -140 M2 Common Brick/Block 264 18.88 5% 6.50% 2.25 2.26 1.75 1.76 -0.47 -124 M2 Internal Walls- LWC Block 282 8 5% 7.00% 1.45 1.47 1.1 1.12 -0.38 -107 M2 Internal Walls- Plastering- 13mm thick 708 1.71 5% 6.50% 0.45 0.45 0.23 0.23 -0.03 -24 M2 Internal Finish- Ceiling finish- set 504 0.47 5% 6.50% 0.25 0.25 0.13 0.13 0.47x (-0.02) 4 M2 Wall Tiling- 152x152 75 14.5 5% 6.50% 1 1 0.6 0.6 1.71x (-0.02) 22 M2
  • 31. BENCHMARKING AND PRODUCTIVITY  ACTIVITIES 1-2, 2-3, 3-4, 1-12, 1-9, …. To measure Items such as:  Time (increase/decrease)  Cost (increase/decrease)  Labour (increase/decrease)  Material (Material waste- increase/decrease)  Machinery (efficiency increase/decrease).
  • 32. BENCHMARKING AND PRODUCTIVITY  Compare Actual completion time for Activities 1-2, 2-3,..aganist allocated time for Activities 1-2, 2-3,  Compare Actual completion cost for Activities 1-2, 2-3,..aganist allocated cost for Activities 1-2, 2-3,  Compare Actual waste allowed(%) for Activities 1-2, 2-3,..against allowed waste (%) for Activities 1-2, 2-3,
  • 33. BENCHMARKING AND PRODUCTIVITY Productivity measurement table-related to case no.1 CRAFT/LABOUR PRODUCTIVITY CASE NO.1 POOR Total MD =Cost of material Waste Waste Craft Optve Craft Optve Labour Labo ur Productivity Loss or Gain £ Total loss/G ain =PR x TQ Unit 3x3 Bed House- 2 Story level Quanti ty (TQ) Deliver ed to site (Estima te) (Actual ) Hrs Hrs Hrs Hrs- PR=MD[A- X]+HC(EC-AC) +HL(EL-AL) LOSS £ Description- Activities (Act-) % % (EC) (AC) (EL) (AL) SUPERSTRUC TURE Facing Brick P.C £350 PER 1000 /Common Block 156 31.14 5% 6.50% 2.55 2.58 1.95 1.97 -0.9 -140 M2 Common Brick/Block 264 18.88 5% 6.50% 2.25 2.26 1.75 1.76 -0.47 -124 M2 Internal Walls- LWC Block 282 8 5% 7.00% 1.45 1.47 1.1 1.12 -0.38 -107 M2 Internal Walls- Plastering- 13mm thick 708 1.71 5% 6.50% 0.45 0.45 0.23 0.23 -0.03 -24 M2 Internal Finish- Ceiling finish- set 504 0.47 5% 6.50% 0.25 0.25 0.13 0.13 0.47x (-0.02) 4 M2 Wall Tiling- 152x152 75 14.5 5% 6.50% 1 1 0.6 0.6 1.71x (-0.02) 22 M2 Net Rate Gross Total Total Total Total Total Time Total Time Total Cost Total Cost Total Time Total Time Total Cost Total Cost Unit (£) Rate Quan t- Quan t- Cost Cost Est- Est- Est- Est- Act.- Act.- Act- Act- (Est-) (Act-) (Est-) (Act-) Craft Labo ur Craft Labour Craft Labour Craft Labour (£) (£) (£) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) 64.5 5 72.94 160 - 1167 0 - 464 688 3257.3 3969.7 5 - - - - M2 57.2 9 64.73 130 - 8414. 9 - 63.75 315.9 447.15 1822.7 5 - - - - M2 40.8 1 46.12 225 - 1037 7 - 506.2 5 393.7 5 3553.9 2271.9 5 - - - - M2 35.2 4 39.82 410 1632 6 - 922.5 451 6475.9 5 2602.2 5 - - - - M2 13.9 1 15.98 440 - 7031. 2 - 638 484 4478.7 5 2792.7 - - - - M2 5.04 5.69 1125 - 6401. 3 506.2 5 258.7 5 3553.9 1492.9 5 - - - - M2 3.99 4.5 785 - 3532. 5 196.2 5 102 1377.7 588.55 - - - - M2 26.8 8 30.37 90 - 2733. 3 - 90 54 631.8 311.6 - - - - M2 Net Rate Gross Total Total Total Total Total Time Total Time Total Cost Total Cost Total Time Total Time Total Cost Total Cost Unit (£) Rate Quan tity Quan tity Cost Cost (Est-) (Est-) (Est-) (Est-) (Act.- ) (Act.-) (Act-) (Act-) (Est-) (Act-) (Est-) (Act-) Craft Labo ur Craft Labour Craft Labour Craft Labour (£) (£) (£) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) (Hrs) 64.5 72.94 114 - 8315. - 330.6 490.2 2320.8 2828.4 - - - - M2 Productivity measurement table-related to case no.1 CRAFT/LABOUR PRODUCTIVITY CASE NO.1 POOR Total MD =Cost of material Waste Waste Craft Optve Craft Optve Labour Labo ur Productivity Loss or Gain £ Total loss/G ain =PR x TQ Unit 3x3 Bed House- 2 Story level Quanti ty (TQ) Deliver ed to site (Estima te) (Actual ) Hrs Hrs Hrs Hrs- PR=MD[A- X]+HC(EC-AC) +HL(EL-AL) LOSS £ Description- Activities (Act-) % % (EC) (AC) (EL) (AL) SUPERSTRUC TURE Facing Brick P.C £350 PER 1000 /Common Block 156 31.14 5% 6.50% 2.55 2.58 1.95 1.97 -0.9 -140 M2 Common Brick/Block 264 18.88 5% 6.50% 2.25 2.26 1.75 1.76 -0.47 -124 M2 Internal Walls- LWC Block 282 8 5% 7.00% 1.45 1.47 1.1 1.12 -0.38 -107 M2 Internal Walls- Plastering- 13mm thick 708 1.71 5% 6.50% 0.45 0.45 0.23 0.23 -0.03 -24 M2 Internal Finish- Ceiling finish- set 504 0.47 5% 6.50% 0.25 0.25 0.13 0.13 0.47x (-0.02) 4 M2 Wall Tiling- 152x152 75 14.5 5% 6.50% 1 1 0.6 0.6 1.71x (-0.02) 22 M2
  • 34. BENCHMARKING AND PRODUCTIVITY  COST OF MATERIALS 31.14 5% WASTE ALLOWED 6.50% WASTE EXPERIENCED 31.14(6.50- 5)=31.14X1.50=£46.71 46.71X156=7286.76 THE ESTIMATED COST FOR THIS ITEM= 7286.76-46.71=7240.05 Total MD =Cost of material Waste Waste Quanti ty (TQ) Deliver ed to site (Estima te) (Actual ) (Act-) % % 156 31.14 5% 6.50% 264 18.88 5% 6.50% 282 8 5% 7.00% 708 1.71 5% 6.50%