Our goal to deliver long-term shareholder value drives our strategic priorities. We measure our performance through a balanced set of key performance indicators that are both financial and non-financial.

They reflect our strategic priorities of growing and investing in the business and driving ongoing efficiencies that will lead to sustainable shareholder returns, supported by safe and responsible working practices.

KPIOur performanceWhy this is importantHow we calculateWhat we target
Underlying operating profit and margin
£9.0m (at 4.5%)
Operating profit has increased by 18%, reflecting an increase in the margin from 3.3% to 4.5%.
This is the principal measure used to assess the success of the Group's UK strategy.

We are focused on driving growth in operating profit in order to drive higher and sustainable returns for our investors.
Underlying operating profit is defined as operating profit before other items and before the results of JVs and associates (principally the Indian joint venture).

Underlying operating margin is calculated as underlying operating profit expressed as a percentage of revenue.
Our aim is to restore underlying operating margins to 5 to 6 per cent in FY16 and to generate steady margin improvement in FY17 and beyond.

In the medium term, as efficiencies and pricing offset inflation over time, we expect operating profit to grow at a faster rate than revenue.
Underlying basic earnings per share (EPS)
2.31p
EPS growth was 163%.
EPS is one of the key metrics in measuring shareholder value and a performance condition of the Group's performance share plan (PSP).

The measure reflects all aspects of the income statement including the performance of India and the management of the Group's tax rate.
EPS is calculated as underlying profit after tax divided by the weighted average number of shares in issue during the period.Our aim is to maximise sustainable EPS growth.
Operating cash conversion107%*
Cash conversion exceeds the Group's targets (*after adjusting for the sale of the Group's investment property).
Cash is critical for providing the financial resources to develop the Group's business and to provide adequate working capital to operate smoothly.

This measures how successful we are in converting profit to cash through management of working capital and capital expenditure.
Operating cash conversion is defined as cash flow generated from continuing operations after capital expenditure (before interest and tax) expressed as a percentage of underlying operating profit.We target a conversion rate of 85 per cent as a base level of achievement, subject to future capital investment made to position the Group for further growth.
Return on capital employed (ROCE)6.1%
ROCE has improved from 3.3%.
ROCE measures the return generated on the capital we have invested in the business and reflects our ability to add shareholder value over the long term.

We have an asset-intensive business model and ROCE reflects how productively we deploy those capital resources.
ROCE is calculated as underlying operating profit plus share of post-tax results from JVs and associates divided by the average of opening and closing capital employed.

Capital employed is defined as shareholders' equity after adding back retirement benefit obligations (net of tax), acquired intangible assets and net funds.
We aim to deliver ROCE which is in excess of 10 per cent over the whole economic cycle.
Order book£194m
The order book has increased by 5% since November 2014.
The order book is a key part of our focus on building long-term recurring revenue. It is an important measure of our success in winning new work.

Whilst the revenue within the order book is reported externally, the margin inherent within the order book is monitored internally to provide visibility of future earnings.
Our order book shows the total value of future revenue secured by contractual agreements.We aim to build a growing order book in line with our strategy.
Accident frequency rate (AFR)
0.21
The UK AFR has reduced from 0.57 to 0.33.
This is an industry-standard measure of the safe operation of our business and is one of a number of health and safety measures the Group uses to monitor its activities.AFR is equivalent to one reportable lost-time incident resulting in more than three working days' absence per 100,000 hours worked, which equates to approximately one working lifetime.We are committed to a target of zero injuries in the medium term.
Revenue growthNew for FY16
This KPI will be assessed for the first time during the year ending 31 March 2016.
This is a key measure for the business to track our overall success in specific contract activity, our progress in increasing our market share and our ability to maintain appropriate pricing levels.This represents the year-on-year percentage change in revenue from Group operations as reported in the accounts. The effects of acquisitions and disposals will be removed from this measure.To grow revenue year-on-year in line with our strategic objectives.

Our KPIs for profitability and AFR are linked to our performance share plan and annual incentive arrangements to ensure that the remuneration of our directors is aligned with our strategic priorities.