KPIs define the metrics and how the Account Teams manage the Supplier's performance against agreed SLA’s. KPI results will typically be aggregated to a country / regional / global account level as required to meet CBRE and client reporting requirements using the reporting formats and to the frequencies agreed upon with the client.
KPIs should adopt a SMART approach which ensures that they are:
- Specific
- Measurable
- Achievable
- Realistic, and
- Time-Constrained
What do KPI's Do?
Which KPI's to use?
Responsibility of Account teams
Responsibility of the Supplier partner
RL-017 Ver 1.0 (Jan 24)
Key Points - Penalties and Reporting
KPI’s should include the following dimensions and metrics to meet the minimum standard of any Contract:
- Operational Performance
- Customer Satisfaction
- Financial Performance
- Service / Product Availability and Quality Assurance
- Environmental, Sustainability and Corporate Responsibility Targets and Compliance
Those KPI's that are Category specific should be developed during the SLA phase and included in the SLA and Contract.
Links to Category KPI's (In Development)
Resource Library
Key Performance Indicators (KPI's)
Resource Library
What aspects of the KPI's must be Defined?
Improve Data Analytics
Accelerate Digital Transformation
Reduce Spend Cost
Manage & Mitigate Inflation
Reduce Procurement Risk
5
4
3
2
1
Target and
Actual V Target
5
Owner of the KPI
4
Reporting
Frequency
3
Formula of
Calculation
2
Description of the
KPI
1
Example (CSAT Score)
Rating- Min 4
Total nbr customers rating 4 or above / Total number customers surveyed
Example:
Monthly-by Survey
Facilities Manager:
Reporting to AD
Target:
90%
Actual V Target
85% / 90%
Example:
Customer satisfaction (CSAT) is a key performance indicator (KPI) that measures how happy customers are with the level of service
Transitioning of Supplier
Program Optimisation - Change of SOW
Renewed Savings Directives
Cost-Plus Supplier overspending
Contract sunsets within 6 months
5
4
3
2
1
Improve Data Analytics
Accelerate Digital Transformation
Reduce Spend Cost
Manage & Mitigate Inflation
Reduce Procurement Risk
5
4
3
2
1
Agree on review and reporting mechanisms
5
Set start date and Responsibilities
4
Embed KPI's into SLA and Contract
3
Agree in principal the confirmed KPI's with Supplier
2
Define the KPI's to be implemented
1
Transitioning of Supplier
Program Optimisation - Change of SOW
Renewed Savings Directives
Cost-Plus Supplier overspending
Contract sunsets within 6 months
5
4
3
2
1
Improve Data Analytics
Accelerate Digital Transformation
Reduce Spend Cost
Manage & Mitigate Inflation
Reduce Procurement Risk
5
4
3
2
1
Escalate as required to CBRE management
5
Remediate issues when they arise
4
Understand and report on trends impacting KPI performance
3
Work to achieve or exceed KPI targets
2
Track and Report on KPI's
1
Any KPI non-compliance penalties should be established and documented including the calculation and processing methodology
Where KPI scores are non-compliant, any penalty or management fee at risk impact is to be reported, processed, and escalated internally
It is the Account Teams' responsibility to ensure that accurate penalty processing is established and maintained at all times
Reporting of KPI metrics to the client is to be conducted by the Account Team to meet Account / Client KPI reporting
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MRO
Pest Control
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