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July, 2024
The Problem
The Problem
Everyone agrees Digital Engineering improves outcomes. But most teams cannot prove it.
We talk about:
Efficiency
Collaboration
Transformation
Yet when asked, “What is the impact?”, the answer is often unclear. In an industry where 70% of projects exceed time or budget (McKinsey, 2023), assumptions are not enough. Digital Engineering needs measurable evidence.
The Real Issue
The Real Issue
Most metrics come too late.
We measure:
Fewer RFIs
Reduced rework
Smoother handover
These are useful, but they are lagging indicators. By the time they appear, the outcome is already fixed. You cannot steer a project by looking in the rear-view mirror.
Leading vs Lagging Indicators
Leading vs Lagging Indicators
Lagging indicators confirm what has already happened. Leading indicators show what is happening and what will happen next.
Lagging = outcomes
Leading = behaviours
High-performing teams use both, but they lead with leading indicators.
A Better Way to Measure Digital Engineering
A Better Way to Measure Digital Engineering
Focus on signals that can be acted on early.
BIM Implementation: The percentage of design packages using coordinated models before IFC (leading) can predict a reduction in design conflicts detected during the construction phase (lagging).
Digital Collaboration: The number of virtual design and construction (VDC) sessions per design phase (leading) can lead to a decrease in Requests for Information (RFIs) during construction (lagging).
Digital Skills Development: Hours of digital technology training completed per team (leading) can result in smoother tool adoption (lagging).
Cloud-based Project Management: The percentage of project teams accessing the model via CDE weekly (leading) can predict better version control (lagging).
Mobile Technology on Site: The percentage of issues logged via mobile tools (leading) can decrease the time between issue identification and resolution (lagging).
Digital Quality Control: The frequency of digital quality checks performed during construction (leading) can reduce post-handover defects and warranty claims (lagging).
What This Enables
What This Enables
Tracking leading indicators allows teams to:
Identify issues early
Adjust workflows in real time
Improve coordination before problems escalate
Build a clear link between digital activity and project outcomes
Where Most Projects Fail
Where Most Projects Fail
Measuring only at the end
Focusing on outputs instead of behaviours
Tracking data that is not actionable
Overcomplicating dashboards without improving decisions
A Practical Starting Point
A Practical Starting Point
You do not need a complex system.
Start with:
Pick 2–3 Leading Indicators: Choose ones that relate to a goal your project already cares about—like reducing rework or improving communication.
Set a Simple Baseline: Use last month’s data, or estimate based on past projects. Perfection isn’t the goal—visibility is.
Track Weekly or Fortnightly: Make it visible: a shared dashboard, a site board, or even a whiteboard in the meeting room. The key is frequency and consistency.
Share What You See: Review with your team. Discuss what’s helping—and what’s not. Adjust actions, not just dashboards.
Link to Lagging Outcomes: At project close, compare your leading indicators to actual outcomes. You’ll start spotting patterns—and building a case for smarter digital investment.
The goal is not perfection. It is visibility.
Example of how this can be developed into a simple management register:
Example of how this can be developed into a simple management register:
Every project is unique, so the indicators that work best for your project may differ based on specific goals and challenges. Tailoring these metrics to your context ensures they remain relevant and actionable.
The Shift
The Shift
Digital Engineering is often treated as a long-term investment. But value is built through short feedback loops.
The teams that succeed:
Measure early
Adjust quickly
Learn continuously
The Bottom Line
The Bottom Line
You cannot improve what you do not measure. More importantly, you cannot improve what you measure too late. Start measuring what drives outcomes, not just what confirms them.
Digital Engineering is not just about delivering models. It is about delivering performance.
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