Objectives and KPIs in Project Management

The balanced scorecard is designed to condense the project management information to form a summary of the factors that significantly impact the success of the project management unit. Additionally, the balanced scorecard should provide a realistic view of the project performance. To do this effectively, the number of objectives should be kept to a minimum. No more than eight to ten objectives should be defined for any project management balanced scorecard.

Once the objectives are defined, select no more than three KPIs for each objective. Excessive KPIs reduce the effectiveness of the scorecard by providing information on project aspects that do not significantly impact the overall success of the project. Additionally, excess data collection is cumbersome and cannot be completed effectively with normal resources.