Investigation of Contemporary Performance Measurement Systems for Production Management of Renovation Projects

Abstract

Renovation projects exhibit complex characteristics due to the presence of constraints that lead to cost and schedule overruns. Numerous researchers have concluded that the performance of renovation projects is typically lower than that of new construction projects. This paper discusses the initial phases of a research conducted at Michigan State University, which focused on developing a framework for production management of renovation projects. The emphasis of this paper is on the findings from literature review and interviews, pertinent to performance measurement in renovation projects that led to the framework development. However, the framework development and the framework itself have not been discussed. This paper primarily addresses two questions: (1) what are the complexities of renovation projects that lead to underperformance in cost, time, and quality? and (2) what are the limitations of state-of-the-art construction performance measurement systems for managing production in renovation projects? Interviews of 10 construction companies were conducted to identify current practices of production management in renovation projects. This research observed a lack of a formal production management process in renovation projects, with a limited use of performance measurement systems. The research identified essential attributes for avoiding schedule and cost overruns on renovation projects.

Site managers’ ICT tools for monitoring resources in refurbishment

“…Refurbishment includes a number of site activities or processes which are partly tied to company processes. Singh et al (2014) list nine typical site processes: preparation of plans and specifications; site investigation by contractor; preparation of site logistics plan; mobilization and demobilization; temporary construction; selective demolition; materials and equipment procurement; demolition waste management; mechanical, electrical, and rough in plumbing. More than one of these processes could have serious consequences for environmental sustainability since they concern refurbishment waste (Li and Yang, 2014; Sezer, 2017).…”

“…It is an urgent task to investigate current refurbishment site practices in order to understand how digital support can be improved. Performance measurement is an important issue in this context, given the often voiced dissatisfaction with underperformance in construction and the constraints faced by refurbishment projects (Singh et al , 2014). It is believed that site managers play a crucial role (Koch et al , 2015) for the everyday use of ICT tools in the construction industry (Mäki and Kerosuo, 2015).…”

Building information modelling to cut disruption in housing retrofit

“…Retrofit projects tend to be complex due to their intrinsic characteristics, such as (a) a high level of uncertainty (Bozorgi and Jones, 2013;Singh et al, 2014); (b) the construction process normally happens in short time frames (Manuel, 2011); (c) production generally needs to be undertaken in small batches; (d) challenges related to the poor understanding of user needs and to the technologies to be used (Gholami et al, 2013) and (e) such projects tend to have a high level of interference from users, as they may be occupying the building during construction works (Egbu, 1994;Mc Grath et al, 2013). These characteristics tend to lead to higher costs and longer project time frames than anticipated (Ciria, 2004).…”

Assessing the Risk Level of the Challenges Faced In Construction Projects

“…Conventionally, the performance of a construction project is assessed based on three parameters i.e. time, incurred cost, and quality [4][5][6].…”