The customer perception of project value scale: development and validation

Abstract

PurposeDespite the significant interest from researchers and practitioners, the literature on project value measurement from the perspective of the customer is non-existent. This study aims to address this gap by developing and validating a scale to measure project value through a customer lens called the customer perception of project value scale.Design/methodology/approachA list of items was initially generated based on 762 sample responses through a systematic review of the literature and with the participation of specialists. Exploratory and confirmatory factorial analyses and structural equation modelling were used to develop and validate the scale.FindingsThe authors formulated a four-dimension scale. The dimensions used to measure the second-order construct are customer centrality, process, delivery and cost-benefit. This was validated using a nomological structure.Research limitations/implicationsThe non-consensual nature of what is value in projects restricts the results of this study to the context of a specific group of stakeholders only, that is, the consumers of the projects. The authors also see limitations in the absence of competing scales, which do not allow the comparison of the instrument with alternative measures.Practical implicationsThis study allows project managers and other professionals to measure a project’s perceived value from the customer’s point of view and manage the improvement of this perception.Originality/valueTo the best of the authors’ knowledge, this is the first study to propose a scale to measure project value, which advances the literature on project management and value and contributes to academic knowledge and practice by measuring project value from the customer standpoint.