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Management 81
ISSN 1820-0222
ISSN 2406-0658 (Online)
Measuring Project Success in Project-Oriented Organizations

 

UDC: 005.216.1:[005.72:005.74 ; 005.8

DOI: 10.7595/management.fon.2013.0019

 

A significant need for flexibility and organizational performance improvement has initiated an increased implementation of the project management concept and a shift from a functional to a project-oriented organization. The need for a flexible, yet integrated management system that will provide both strategic, as well as operational excellence in organizations is caused by the uniqueness of contemporary business environment. The most common issues faced by these organizations are the alignment between projects implemented by an organization and that organization’s strategy, and models for measuring project success in terms of its contribution to an organization’s strategic goals. The aim of this paper is to analyze the known frameworks and models used for measuring project success and present recommendations for developing conceptual framework that would allow for a systematic selection of key performance indicators (KPIs) to be used as a base for measuring project success. The paper gives an overview of the different characteristics and categories of the KPIs, the links between measurements and KPIs, KPI interdependence, and indicates the possibility of an integrated performance index adapted application. Key recommendations for the development of a conceptual framework for measurement and analysis of project success are to determine KPIs based on project life cycle phases and an analysis of project environment. This is especially important during the formulation of KPIs that will serve as a basis for project success measurement and evaluation in terms of contribution to an organization’s strategic goals.

Keywords: project success measurement, performance measures, key performance indicators, project management, project-oriented organizations.

 

Marija Todorović1, Zorica Mitrović1, Dragan Bjelica1

1University of Belgrade, Faculty of Organizational Sciences

 

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