Developing an Indicator System for ESG Performance Evaluation in International Construction Projects

Abstract Sustainable development has imposed increasingly stringent requirements on international construction projects, particularly during the construction phase, yet effective tools for assessing sustainability at this stage remain limited. To address this gap, this study develops a project-level indicator system for evaluating the environmental, social, and governance (ESG) performance of international construction projects. It employs a systematic literature review to identify potential indicators and then refines them through an expert questionnaire survey. The final system comprises three primary ESG dimensions, 21 Tier 2 indicators, and 57 Tier 3 indicators. Seven key indicators are identified that warrant particular attention during project execution: (1) workplace safety, (2) local government support, (3) management efficiency, (4) project compliance, (5) local procurement rate, (6) project schedule controllability, and (7) subcontractor supplier management. The findings provide a practical and quantifiable framework to support ESG performance assessment at the project level. This system not only supports project managers in improving sustainable delivery practices but also facilitates the application of ESG principles beyond the corporate level, offering valuable insights for both practitioners and future academic research.