PRIORITISATION OF INDICATORS FOR ASSESSING THE OPERATIONAL PERFORMANCE OF PUBLIC PRIVATE PARTNERSHIP (PPP) PROJECTS USING AHP MULTI-CRITERIA DECISION-MAKING METHODS

• Published in: Malaysian Construction Research Journal
• Main Author: Lop N.S.; Ismail K.; Isa H.M.; Khalil N.; Tahir E.
• Format: Article
• Language: English
• Published: Construction Research Institute of Malaysia 2024
• Online Access: https://www.scopus.com/inward/record.uri?eid=2-s2.0-85202040397&partnerID=40&md5=79cbdcaed81415329a20be9e633e23aa

Public Private Partnership (PPP) procurement has been used worldwide as a mechanism for the public sector to procure public facilities and services. Therefore, the quality performance of public facilities and services provided by concessionaire will be evaluated based on Key Performance Indicators (KPIs) as stipulated in the contract. This KPIs is used for determining the level of performance against the agreed level of standards as expected by the government. However, most of the PPP projects are currently facing difficulties in meeting the government’s standards. It is due to several issues for instance lack of methods for measuring the KPIs, the lack of KPIs implementation, project performance not reflecting the actual performance on-site, and inconsistent of works performance. These shortcomings have led to the difficulty in determining the performance level of the PPP projects. Thus, objective of this paper is to determine the relative importance weight for KPIs in measuring the operational performance of PPP projects. This research adopted the quantitative approach using questionnaires that consisted of the Analytical Hierarchy Process (AHP). Out of the 23 experts, 19 experts expressed their willingness to participate in the survey. Thus, the response rate for the survey was deemed acceptable, (i.e. 82.6%). The data are then analysed by using The Expert Choice 11 software for multi-criteria decision making. The results of AHP have successfully assigned weights and prioritized KPIs, with seven dimensions and 36 sub-dimensions of KPIs by listing the most critical KPIs according to weights. Hence, the establishment of the weighted KPIs was successfully employed as an aid of improving current method of assessing operational performance of PPP projects. © 2024, Construction Research Institute of Malaysia. All rights reserved.