Are Your Property KPIs Driving the Right Outcomes?

Property Strategy, Outsourcing, and Facilities Management KPIs

When it comes to managing property portfolios, outsourced service providers, and FM strategies, many organisations focus on what’s easy to measure – not what actually matters.

How do you cut through the noise and set KPIs that reflect the true value of property as a strategic enabler – not just a cost to be managed?

📍 Property Strategy KPIs: Measuring Strategic Impact

A well-defined property strategy should support broader organisational goals. That means your KPIs should focus on:

Contribution to core business targets (cost, risk, growth, customers)
Portfolio alignment with workforce or service delivery needs
Speed of implementation for strategic property initiatives
Internal customer satisfaction

These metrics go beyond traditional space efficiency – they help decision-makers understand whether the portfolio is fit-for-purpose and evolving as needed.

📍 Outsourcing KPIs: Managing Risk and Performance

Successful management of outsourced relationships isn’t just about ticking off SLAs. You need to set KPIs that incentivise the right behaviours and outcomes, such as:

Achievement of savings targets, commercial outcomes or cost avoidance
Compliance with contractual obligations (e.g. reporting, governance)
Management of risk and contribution of organsiational risk manement
Performance on strategic initiatives (e.g. sustainability upgrades, technology deployment)
Strength of supplier relationship and responsiveness to change

You will also need to design performance frameworks that adjust over time, as strategic priorities shift.

📍 Facilities Management Strategy KPIs: Enabling Better Service Delivery

FM strategy should underpin the experience of the end user, and support operational efficiency. That means tracking:

FM service delivery cost vs. benchmark
Asset lifecycle performance vs. planned spend
Supplier innovation and value-add initiatives delivered
Progress against strategic initiatives such as reactive vs planned maintenance spend

Rather than drowning in metrics, focus on the few that truly matter – so they can manage by exception, not micromanage providers.

TargetedBrains’s contract review and supplier review services will assess and report on the relevance of KPI’s and their alignment with organisational objectives. Similarly, our functional review of property, asset management and FM teams and services will highlight KPIs as part of an overall assessment of performance. Ask contactus@targetedbrains.com if you are using the right KPIs.

What are property KPIs and why do they matter?

Property KPIs (Key Performance Indicators) are quantifiable measures used to track how effectively a property portfolio or facility is delivering on strategic goals (e.g. cost, risk, service, user experience). They matter because they shift focus from simply managing costs to aligning property performance with broader organisational outcomes.

How do you choose the “right” KPIs for a property portfolio?

The right KPIs should link directly to strategic objectives (e.g. growth, service delivery, risk mitigation), be measurable and relevant, and evolve as priorities change. Avoid focusing solely on what’s easy to measure and instead emphasize what truly drives value.

What are common mistakes when setting property KPIs?

Typical pitfalls include: too many metrics, focusing on activity (e.g. number of tasks) rather than outcomes, misaligned metrics across stakeholders, KPIs that don’t adapt over time, and ignoring the behavioural incentives created by what is measured.

How can outsourcing or supplier KPIs be better aligned to outcomes, not just compliance?

To shift from compliance to outcomes, you should include metrics tied to value creation (e.g. cost avoidance, innovation, sustainability upgrades) and risk management, set incentives that reward proactive performance improvement, and build flexibility for changing priorities.

What role do Facilities Management (FM) KPIs play in property outcomes?

FM KPIs act as the operational bridge that connects property strategy with everyday user experience. Good FM KPIs capture asset lifecycle performance, cost benchmarking, planned vs reactive maintenance ratios, service quality, and supplier innovation contributions.

How frequently should property KPIs be reviewed or updated?

You should review KPIs at least annually, but more frequently (e.g. quarterly) during times of change. As your organisation evolves, or strategic priorities shift, your KPIs should adapt so they remain relevant and drive the right behaviours.

How do you visualise or report property KPI performance in a way that drives action?

Use dashboards and exception reporting (highlight issues, not everything). Visual formats (charts, heat maps, trend lines) help decision-makers focus on where intervention is needed, rather than sifting through large KPI tables.

Can KPIs differ between core real estate assets and non-core or outsourced assets?

Yes — core assets may emphasise strategic alignment, occupancy, and capital value, while non-core or outsourced assets might emphasise cost control, performance against benchmarks, service quality, and supplier innovation. But consistency in metric logic helps overall governance.

What success indicators should a KPI framework deliver?

A good KPI framework will: reduce misaligned performance, motivate better outcomes, highlight where corrective action is needed, provide transparency and accountability, and evolve in step with strategy.

How can TargetedBrains help organisations assess or improve their property KPI frameworks?

TargetedBrains offers contract review, supplier review, functional property reviews, and benchmarking services. We assess KPI relevance, alignment with strategic objectives, and help re-design KPI frameworks so they support better property, asset and facilities outcomes.