ISO/TR 24514:2018

TECHNICAL ISO/TR
REPORT 24514
First edition
2018-05
Activities relating to drinking water
and wastewater services — Examples
of the use of performance indicators
using ISO 24510, ISO 24511 and ISO
24512 and related methodologies
Activités relatives aux services de l'eau potable et de
l'assainissement — Exemples d'utilisation d'indicateurs de
performance à l'aide l'ISO 24510, l'ISO 24511 et l'ISO 24512 et des
méthodologies associées
Reference number
©
ISO 2018
© ISO 2018
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Contents Page
Foreword .iv
Introduction .v
1 Scope . 1
2 Normative references . 1
3 Terms and definitions . 1
4 Format for the examples provided in this document . 3
4.1 General . 3
4.2 Name of the organization . 3
4.3 Background of the organization . 3
4.4 Objective for making use of performance indicators . 3
4.5 Performance indicator methodology . 3
4.6 Summary of the experience . 3
Annex A (informative) International organizations . 4
Annex B (informative) National regulatory organizations . 8
Annex C (informative) Associations or groups of organizations .23
Annex D (informative) Individual utilities .41
Bibliography .65
Foreword
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This document was prepared by Technical Committee ISO/TC 224, Service activities relating to drinking
water supply, wastewater and stormwater systems.
Any feedback or questions on this document should be directed to the user’s national standards body. A
complete listing of these bodies can be found at www .iso .org/members .html.
iv © ISO 2018 – All rights reserved

Introduction
0.1 General
This document is a companion document to ISO 24510, ISO 24511 and ISO 24512 and was originally to
be developed with the thought that many organizations (water utilities, regulators, users’ associations)
would benefit from examples illustrating how the performance indicator methodology and the
performance indicators, such as those described and illustrated in the series of standards on the topic of
activities relating to drinking water and wastewater services produced by ISO/TC 224, have been applied
by a variety of organizations. Please refer to ISO 24510, ISO 24511 and ISO 24512 for guidance on the
[1],[2],[3]
process and concepts . However, there are many similar and parallel methodologies measuring
the performance of organizations, not least of which are several “benchmarking” methodologies, some
of which are described in this document. Therefore, this document provides examples of quantification
practices and processes for measuring organizational performance.
Performance indicators as developed by ISO TC 224 are intended to be used primarily within water
utilities, often over time, to demonstrate progress towards achieving high-level corporate objectives. In
practice, these indicators are also being used to indicate projected benefits that could be achieved with
changes in investment strategies or operations. Benchmarking, on the other hand, is used primarily
to demonstrate the efficiency of operations, particularly by sharing information between comparable
organizations often with the identification of best practices related to the particular operation being
benchmarked. Used in a time series, all can also be applied to demonstrating progress towards meeting
objectives and demonstrating continuous improvement. What is confusing is that both can use exactly
the same metric, i.e. a numerator using one data set, and a denominator using another data set. For
example, energy used/megalitre of water produced.
Figure 1 illustrates the basic similarities in the use of a typical metric for the internal uses linked to
achieving corporate objectives (performance indicators) and how benchmarking (as described in
[11]
ISO 24523 ) enables information sharing on metrics and ultimately sharing of best practices. Both
methodologies are intended to assist in continuous improvement and to measure achievement of
objectives.
Figure 1 — Illustration of uses of performance metrics.
Within the field of organizational assessment or measurement, there are several terms that are regarded
at least informally as being interchangeable. These include “performance indicators”, “performance
measures” and “benchmarks”. The first is the preferred terminology of the series of standards on the
topic of activities relating to drinking water and wastewater services produced by ISO/TC 224. The
terminology describing the process for utilizing “performance indicators” and “performance measures”
tends to be “assessment”. The terminology describing the development and utilization of “benchmarks”
is “benchmarking”. The end result can be the same: both result in the calculation of a metric that
indicates the status achieved in respect of performance of a particular function or activity. However,
these terms are used to achieve subtly different purposes. Performance indicators are normally used
to measure activities within a single organization where the basis of calculation does not change
from year to year and, at least in the ISO standards referenced, are directly related to organizational
objectives at the corporate level.
Benchmarking is intended to encourage and allow comparison between organizations providing similar
services in a defined context. Such methodologies often serve to measure achievement of operational
objectives (which are necessarily a subset of corporate objectives and which support the achievement of
the corporate objectives). That is, the elements comprising the numerator and the elements comprising
the denominator should be identical between the organizations being compared. The benchmarks will
enable comparison of organizations in common and defined fields, but are not necessarily directly
or closely linked to the high-level corporate objectives. ISO 24523 provides information on the
[11]
benchmarking process .
A distinction between the performance indicator methodology and the benchmarking methodology is
that while performance indicator comparison can be an essential part of benchmarking, performance
assessment is a crucial part of benchmarking. Therefore, benchmarking is a way to apply the ISO 2451X
standards. However, “benchmarking” differentiates from pure performance indicator comparisons
through additional and continuing work steps, in particular “analysis” and “implementation” (see
[12]
ISO 24523, Table 1 ), leading to performance improvement.
The purpose of this document is to provide practical examples based on real life applications for the
consideration of utilities using the guidelines in ISO 24510, ISO 24511 and ISO 24512, and also to
indicate examples of where other metrics are employed for regulatory and other purposes.
This document should encourage and assist utilities, particularly small and medium-sized organizations,
when using ISO 24510, ISO 24511 and ISO 24512, to think and communicate clearly about the meaning
and use of performance indicators.
0.2 Summary of the methodology of the series of standards on the topic of activities relating
to drinking water and wastewater services produced by ISO/TC 224
The series of standards on the topic of activities relating to drinking water and wastewater services
produced by ISO/TC 224 provide guidance for water utilities that wish to demonstrate that they are
meeting their broad social and other objectives as established by top management. These often reflect
objectives established implicitly or explicitly in legislation which may govern the delivery of water
services. The series of standards on the topic of activities relating to drinking water and wastewater
services produced by ISO/TC 224 contemplate a three-step process. Step 1 is to determine water
utilities’ strategic objectives. Such objectives in the case of water and sanitation services explicitly
include promoting public health, protecting the environment and providing for a sustainable service.
Step 2 asks what service criteria are to be used to determine if the objective is being met. The final step
asks what metrics should be used to demonstrate that the criteria are being achieved.
For example, Table 1 may represent these three stages in respect to the objective of promoting
public health.
Table 1 — Example of the performance indicator steps employed within the series of standards on
the topic of activities relating to drinking water and wastewater services produced by ISO/TC 224
Objective Service criteria Indicator
(Step 1 – define) (Step 2 – how to measure) (Step 3 – establish a metric)
Promoting public health Delivering safe drinking water Percentage of delivered water quality
tests that meet regulated requirements
vi © ISO 2018 – All rights reserved

0.3 Purpose of the applications
In many countries, governments require that utilities (both public and private) report on their
performance, in a unified and consistent manner. For example, all countries within the OECD are
committed to such a policy and have established requirements for public sector utilities to publish
annual reports indicating measures of their performance. The purpose of this policy and program is
to provide assurances
...