Development of a Performance Assessment Model for Contractors in Saudi Arabian Construction Projects

Abstract

Saudi Arabia leads the Gulf Cooperation Council countries in the construction industry, with 63% of the region’s future projects and $1.4 trillion in building and transportation projects. Previous studies have shown that 60% of construction projects are behind the schedule. One of the reasons behind this delay is the inappropriate selection of contractors for construction projects; therefore, the development of a contractor performance assessment model is needed for construction projects in Saudi Arabia. The proposed model includes the major key performance indicators (KPIs) used to measure contractors’ performance in construction projects. Afterward, a questionnaire is conducted with construction professionals to recommend the important KPIs to consider while developing the model. The analytic hierarchy process decision-making technique is applied for assessing relative priorities among the identified KPIs based on expert or decision-maker consensus. The results show that the time category is the most important in selecting the best contractor, emphasizing the significance of timely project completion.