I'm skeptical of all LOC-related measurements, not just because of different relative expressiveness of languages, but because individual programmers will vary enough in the expressiveness of their code as to make this metric "fuzzy" at best.
The things I would measure in the interests of project management are:
- Number of open defects on the project. There's no single scalar that can tell you where the project is and how close it is to a releasable state, but this is still a handy number to have on hand and watch over time.
- Defect detection rate. This is not the rate of introduction of new defects into the system, but it's probably the closest proxy you'll find.
- Defect resolution rate. If this is less than the detection rate, you're falling behind - if it's greater, you're getting ahead.
All of these numbers are more useful if you combine them with severity information. A product with 20 minor bugs may well closer to release than one with 2 crashing bugs. If you're clearing the minor bugs but not the severe ones, you have to get the developers to refocus their attention.
I would track these numbers per project and per developer. The reason for doing them per project should be clear. The per-developer numbers are certainly not the whole picture of an individual contributor's skill or productivity, but can point you to people who might need training or remediation.
You may also wish to tag all the tickets in your defect tracking system by project module as well (especially for larger projects), so that you can tell when critical modules are in a fragile state.