If your project has adopted a standard process for project management and software life cycle management then it is possible to measure performance of the project easily. the baseline project plan is created and once the project starts measurements can be done at project milestones.
For example, when requirement specification gets completed then project metrics like time and cost can be calculated. The quality measurement can be taken by testing (verifying) the requirement specifications and finding out number of defects.
If any deviations are found at this milestone then corrective steps can be taken. For example, the requirement specifications were not completed as per schedule and they got delayed by 25 man days. The root cause analysis can be done and corrections can be implemented so that the project can be kept on track for the remaining duration of the project as per baseline. If quality level was below par and more defects were found than the accepted norm then again the root cause can be analysed using any of the root cause analysis techniques like Pareto charts, Ishikawa diagrams etc.
the measurement results on projects are also known as management metrics. Using the measurements, the management can find the root causes and find suitable solutions to remove these causes. Management metrics are the most important tools for any project manager and the top management.