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Blog > Construction > Measuring Project Progress : 6 Methods You Should Know

Measuring Project Progress : 6 Methods

You Should Know
MARCH 28, 2015 BY RESHMA SADHU — 8 COMMENTS

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Accurately measuring the progress of a

project is always a challenge. There are
many factors to account for in a progress
update – type of measurement, accuracy
of the data, and the system of record are
all important factor in accurate progress
measurements.

Software packages like Primavera P6 don’t always help us out. Sure there a 3
choices for Percent Complete Types, but how to we decide which one works best
and under which conditions?

Inaccurate progress will foil your ability to spot early warning signs of trouble
ahead. So to avoid that, here are 6 common methods for measuring
project progress that will help you best measure performance and work
completion. The methods below are summarized from the “Project Control:
Integrating Cost and Schedule in Construction,” textbook by Wayne Del Pico.
6 Ways to Measure Project Progress
1. Units Completed
The Units Completed lends itself well to tracking tasks that are done repeatedly,
where each iteration can easily be measured. Usually a task that is done
repeatedly tends to take about the same amount of time, resources and e ort, so
tracking the units completed works well here. A simple example could be installing
standard light xtures. Each xture takes roughly the same amount of time. If we
had 100 xtures to install then we can simply count the units installed. In this case,
there are no subjective experience-based judgement involved.

 2. Incremental Milestones

Also known as the ‘steps’ method, the incremental milestones method is
predominantly used for cost accounts that involve subtasks that need to be
completed in an orderly fashion. An example of this technique is the forming and
placing of a concrete foundation wall – laying the foundation wall on footings,
erecting inside wall panels and brace, setting horizontal and vertical rebar in
formwork and so forth needs to be done in sequence to complete the task
appropriately.

So how do you calculate this data? The calculation is built on each single step and
the budgeted amount of time (labour hours) that is needed to complete the task
by the construction crew. As each step is completed, they are documented as a
mini-milestone which represents a percentage of the total installation process. The
percentage given for each sub-task can vary based on the project. This progress is
usually agreed on to be used as a measuring tool beforehand. A good way to
implement this method in Primavera P6 is using Activity Steps.

 3. Start/Finish
This method is only focused on capturing the starting point and the nishing point
of the task and nothing in between. It’s best for tasks that are short in duration.
You would implement this method if the tasks work estimations are not available
or if the percent complete progress data is too di cult to collect.

 “Classic examples include testing services such as load test on electric

panels, ushing and cleaning of piping, and similar tasks.”1

Using the Start/Finish technique, we earn a percentage of progress when the task
starts and the other half is earned once the task is complete. These percentages
are determined by the owner and contractor of the project.

Often, companies agree to use the standard 50/50 Rule or other rules:

50/50 Rule – once started, the task is marked as 50% complete and the
balance is earned at nal completion of the work.

20/80 Rule – used to track higher value tasks that takes a longer time to reach
completion.

0/100 Rule – this rule illustrates that once 100 percent of the task is
completed, only then will the value be earned. Examples of this are testing or
experimental tasks since you cannot get results until the task is completed.

 4. Cost Ratio

The Cost Ratio method is usually implemented on a project that has tasks that
tend to occur over a long phase or the entire project. Often used for Overhead
costs, this technique is measured based on the budgeted allocation of dollars vs.
the labour hours of production. This method gives the contractor the ability to
earn value that is equal to the overall percent of project completion.
 “For example,[] if the overall progress of the project was determined to
be 42 percent, then the contractor would have earned 42 percent of
the overhead and fees.”1

 5. Experience/Opinion
Unlike the methods above that rely on de nitive data, this method relies on the
experience and subjectivity of the project manager. This technique is used for
tasks such as de-watering or frost removal/protection. It’s not usually
recommended and tends to be seen as the last resort because each individual
experiences and opinions vary from one another and can cause con ict between
owners, contractors, and architects.

 6. Weighted or Equivalent Units

This method was highlighted as the best technique in the text and is the one that
requires more e ort, but also extends to a wider data range. The tasks that are
being calculated tend to occur over a longer duration time and includes multiple
sub-tasks, where sub-tasks can have di erent units of measurements.

The example used to illustrate this method is building a structural steel package. In
order to complete this project it requires various units, labour hours, resources
and sub-tasks. So to calculate the sub-tasks, it’s weighted on the estimated level of
e orts in labour hours or by monetary value that is particular to each sub-task.
Once the weighted value is determined, it’s converted to re ect that value in units
of measure speci c to the task – and for this example, the units of measure would
be tons.

So once each sub-task has been completed, the weighted tons (units of measure)
is then converted to the equivalent units of percentage complete of the overall
project.
These 6 methods for measuring project progress are commonly used in
Construction project management and lter into a process of determining a
percentage complete for the project as a whole using Earned Value Management.

Which of these methods do you use the most on your projects?

1
Source: Del Pico, Wayne J. (2013) Project Control: Integrating Cost and Schedule
in Construction. Hoboken, New Jersey: John Wiley & Sons, Inc.

Filed Under: Construction, Progressing, Project Controls Tips & Tutorials, Project Management

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 About Reshma Sadhu
Reshma is a Marketing Intern at Plan Academy. She is a Graduate of
the Social Sciences program at McMaster University and has a background in
Marketing. She loves to travel and has a strong interest in practicing
meditation – oh and playing Mah Jong! You can connect with her on LinkedIn
at: ca.linkedin.com/in/sadhureshma

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Comments

Victor says:
5 years ago
Reshma, great article.
Part of the methods you mentioned are incorporated is Earned Value
Management (EVM). EVM is the most powerful project control we ever had. Many
project managers nd EVM di cult to set up however. To help close that gap, I
included an appendix on how to set up EVM in my latest eBook “Project
Management Quick Start”. Keep up the good works

Reply

Navindu says:
3 years ago
Hi Sir,
 in EVM calculation, Actual Work Done needs to be calculated .( EVM = BV x
Actual Work Done), how to calculate the Actual Work Done (Physical
Progress). Please advise.

TIA

Reply

Faisal says:
3 years ago
Nice Article..

To setup the PMS (with respect to Quantity and Man-hours) during

the approval or preparation of Planning Package for monitoring or
calculating the physical progress which will help you to calculate
the physical progress.

Reply

Lucy says:
2 years ago
Hi Victor,

Could you please share your ebook? Where can I nd it?

Reply

Ahmed says:
 3 years ago
Many Thanks Reshma Sadhu

Reply

Arief says:
2 years ago
Nice share.

Reply

Trend EA for MT4 says:

2 years ago
Useful information. Lucky me I found your web site by chance, and I’m
surprised why this coincidence did not took place in advance! I bookmarked it.
Trend EA for MT4 http://robotfx.ro/post/155561253247/robotfx-nonlagma

Reply

Benjamin Adesola says:

February 14, 2019 at 4:12 pm
Dear Victor,

Where can I nd your eBook Project Management Quick Start?

I look forward to your reply.

Cheers

Reply
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