Measuring the performance of property management companies in high-rise flats

Daniel C.W. Ho, Technological and Higher Education Institute of Hong Kong, Vocational Training Council
Ervi Liusman


Purpose: The complex nature of multi-ownership, multi-storey buildings requires the services of property management companies (PMCs). Naturally, homeowners favor PMCs with good performance. Yet, their performances vary. The purpose of this paper is to measure the performance of PMCs in managing high-rise flats using the logic model as the contextual framework with its indicators adapted from the building quality index (BQI) scheme.

Design/Methodology/Approach: For this pilot study, the research was based on visual inspection and interviews with building management staff for the information concerning the output and outcome indicators. The authors also tested the relationship between outcomes and outputs and other factors that affect the performance of PMCs.

Findings: Based on our pilot study of 41 high-rise residential buildings, the performance outcomes of the PMCs varied considerably. The same PMC was likely to yield different performance outcomes due to unique building characteristics. The outputs, building ages and rehabilitation statuses of the buildings were the contributing factors to the PMCs’ performance outcomes.

Practical Implications: The performance outcomes of the logic model can help homeowners and PMCs understand current PMC performance, which can help trigger the development of a strategy to enhance the health and safety of residential buildings in the future.

Originality/Value: Unlike traditional performance measurements that use financial figures or balanced scorecards to measure organizational performance, the authors used the logic model performance measurement system because the performance outcomes of the PMCs were explicitly reflected in the physical building conditions. This framework was relatively straightforward and could be applied to cities dominated by multi-ownership, multi-storey apartments.