PPP Social Infrastructure Procurement: Examining the Feasibility of a Lifecycle Performance Measurement Framework

Abstract

Public-private partnerships (PPPs) have been extensively used to deliver an array of infrastructure projects in Australia; they have become an integral part of several state governments’ procurement strategies. Over the last decade, however, several major PPP projects have incurred significant cost and schedule overruns, which have marred their use as a mechanism for delivering much-needed infrastructure. The paucity of performance measurement frameworks has contributed to the difficulty of proactively managing the effective and efficient delivery of PPPs, particularly during operations and maintenance. With this in mind, a lifecycle and stakeholder-oriented performance measurement framework (PMF) is conceptualized within the context of social infrastructure PPPs. The opinions of 160 practitioners about the proposed measures and their core indicators were solicited using a questionnaire survey. Confirmatory factor analysis was used to test the significance of proposed measures and their relevant core indicators (CIs) for measuring the performance of PPP projects throughout their lifecycle. The analysis reveals that the proposed PMF is a reliable and robust tool that can be used to assist with ensuring that social infrastructure PPPs can be delivered successfully throughout each phase of their lifecycle. The developed PMF provides governments and private consortiums with a robust and practical tool to measure and control the performance of their future projects.