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Evaluating Key Performance Indicators in Water Supply Construction Projects in Nepal: Multi-Criteria Analysis of Stakeholder Perspectives, Ranking, and Strategic Improvements

Evaluating Key Performance Indicators in Water Supply Construction Projects in Nepal: Multi-Criteria Analysis of Stakeholder Perspectives, Ranking, and Strategic Improvements

Student: Dhiraj Khadka

Supervisor: Er. Subash Kumar Bhattarai

Submitted Date: March, 2025

Abstract

This study analyzes the ranking of Key Performance Indicators (KPIs) in water supply projects in Nepal, along with the factors influencing them and possible improvement measures. The research is structured around three major objectives. First, the study evaluates stakeholder perspectives on ranking KPIs in water supply projects implemented by the Department of Water Supply and Sewerage Management (DWSSM). Using the Borda Count and Garrett Ranking methods, the findings reveal that Quality, Project Duration, and Project Cost are the top three priorities across both ranking methods. A comparative analysis with similar research highlights consistent prioritization of Quality, Time, and Cost across various infrastructure projects. Second, the study identifies factors influencing these KPIs through Relative Importance Index (RII), Cluster Analysis for top ranked KPIs and Spearman’s rank correlation. Key factors affecting KPIs varied across different categories. Material quality, specification compliance, and workforce mobilization were the primary drivers of quality, while delays in approvals and procurement significantly impacted project timelines. Cash flow and resource costs were the most pressing concerns in cost management, and regulatory compliance, environmental sustainability, and community engagement played crucial roles in project governance. The correlation analysis indicated strong alignment between employers and contractors on coordination, governance, and public health concerns, while significant disagreements were observed in areas such as innovation, productivity, and workforce management. Third, the study explores measures to improve KPIs through Thematic Analysis, NLP-based Topic Modeling, and Sentiment Analysis. Findings suggest stakeholder coordination, training, process optimization, and digital transformation as key drivers for improvement. Comparison of Key Informant Interviews (KII) and Questionnaire Survey (QS) recommendations reveals that contractors focus on execution efficiency, engineers prioritize process optimization, and consultants emphasize policy-driven solutions. Integrating these approaches—operational efficiency, structured policies, and technology adoption—can enhance water supply project performance in Nepal.

Keywords

This study analyzes the ranking of Key Performance Indicators (KPIs) in water supply projects in Nepal, along with the factors influencing them and possible improvement measures. The research is structured around three major objectives. First, the study evaluates stakeholder perspectives on ranking KPIs in water supply projects implemented by the Department of Water Supply and Sewerage Management (DWSSM). Using the Borda Count and Garrett Ranking methods, the findings reveal that Quality, Project Duration, and Project Cost are the top three priorities across both ranking methods. A comparative analysis with similar research highlights consistent prioritization of Quality, Time, and Cost across various infrastructure projects. Second, the study identifies factors influencing these KPIs through Relative Importance Index (RII), Cluster Analysis for top ranked KPIs and Spearman’s rank correlation. Key factors affecting KPIs varied across different categories. Material quality, specification compliance, and workforce mobilization were the primary drivers of quality, while delays in approvals and procurement significantly impacted project timelines. Cash flow and resource costs were the most pressing concerns in cost management, and regulatory compliance, environmental sustainability, and community engagement played crucial roles in project governance. The correlation analysis indicated strong alignment between employers and contractors on coordination, governance, and public health concerns, while significant disagreements were observed in areas such as innovation, productivity, and workforce management. Third, the study explores measures to improve KPIs through Thematic Analysis, NLP-based Topic Modeling, and Sentiment Analysis. Findings suggest stakeholder coordination, training, process optimization, and digital transformation as key drivers for improvement. Comparison of Key Informant Interviews (KII) and Questionnaire Survey (QS) recommendations reveals that contractors focus on execution efficiency, engineers prioritize process optimization, and consultants emphasize policy-driven solutions. Integrating these approaches—operational efficiency, structured policies, and technology adoption—can enhance water supply project performance in Nepal.