Key performance indicators for facility performance assessment: simulation of core indicators

Assessing a facility's performance is important for measuring its contribution towards organizational goals. Among many approaches to performance assessment is the holistic key performance indicator (KPI) approach. However, there are numerous KPIs available, and the chosen KPI needs to be relevant to facility goals and must be calculated, analysed and evaluated to allow for the future state of the facility to be acceptable at the lowest cost. The value of several key descriptive analytics in facility performance assessment may be enhanced through the use of simulation. Simulation transforms the descriptive analytics into predictive and prescriptive analytics by allowing for the robust assessment of plans and future outcomes through the creation of multiple scenarios, in this case, for an education facility. The simulation approach quantifies the interrelationship and interdependence of KPIs, and is potentially effective in analysing how maintenance expenditures can be optimized to maintain a desired level of Condition Index as demonstrated by several simulation scenarios.