Effectiveness of Key Performance Indicators in Measuring the Performance of Build Operate Transfer Projects in Nigeria

Abstract

Performance of build operate transfer (BOT) project has become an issue of concern to many stakeholders. Hence, the need for using Key Performance Indicators (KPIs) to measure the achievement of the project goal. The aim of this research is to seek the perception of various stakeholders on the use of KPIs in BOT projects in Nigerian. Descriptive and explorative design was used for the study. In achieving the objectives, a total of 66 respondents were selected and given questionnaires in the federal capital territory of Nigeria, Abuja, out of which 48 were fully returned. 36 KPIs for performance management of BOT were identified and group under five attributes and subjected to 5 point Likert scale. Data was analyzed with SPSS. The result show that the most effective key performance indicators are indicators of public about toll/tariff with mean M=4.4, safety management and skill M=4.2, satisfaction of project team with BOT projects M=4.1, construction period of BOT and party best allocated risk M=3.6 respectively. Therefore, the study recommends that organizations involve in BOT projects are strongly encouraged to measure their goals using KPIs.