Lean Construction Leadership

David Trent Director - Project Controls

Words to remember

Albert Schweitzer
Example is not the main thing in influencing others, it is the only thing.

General George S. Patton:

Never tell people how to do things. Tell them what to do and they will surprise you with their ingenuity.

Traditional Project Leadership

Value Stream Managers-Project Managers

Supervisors Lead Hands

Team LeadersLead Hands

Direct Workers

Lean Leadership

Direct Workers

Team LeadersLead Hands

Supervisors- Lead Hands

Value Stream Managers-Project Managers

The Human Condition Four things contribute to a project:

Resources (Material, Space, People)
Prerequisites (Work, Material, Design/Specifications) Directives (Agreements, Decisions, Instructions) External Conditions (Weather, Geotechnical, Regulatory)

We must consider the Human aspect of the first three

Concerns or Interests

Reliability and Trust

Integral part of the Flow of the project

Lean Construction

What is Lean Construction Anyway? Lean Construction is

customer focused (nay, driven) organisation Identification and elimination of waste Standardised processes/work steps Appropriate measurement, analysis, and action Reliable, sustainable flow of work

Cultural Change

Waste

Henry Ford The easiest waste, and the hardest to correct is the waste of time, because wasted time does not litter the floor like wasted material

Why

Seven Wastes
Overproduction Why put in cable tray for something that isnt needed for weeks when others are waiting for it in another work area. This is the worst form of waste and leads to the other six. Waiting Standing around because you need something before you can start/continue working on your task. Conveyance Unnecessary movement of equipment, parts and tools. Processing Performing unnecessary work. Inventory Too much or not enough are both wastes. Motion Unnecessary movement of people Correction Rework for any reason
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Five Big Ideas

COLLABORATE, REALLY COLLABORTE.

Acknowledgements: Sutter Health

INCREASE RELATEDNESS

OPTIMIZE THE WHOLE

PROJECTS AS NETWORKS OF COMMITMENT

TIGHTLY COUPLE LEARNING W/ACTION

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Acknowledgements: Greg Howell - LCI Will Lichtig - LCI

Three Linked Opportunities

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Adapted from:

Greg Howell - LCI Will Lichtig - LCI

Learning Loops
Purposes Design Concepts Product Design Fabrication & Logistics

Commissioning

Modifications

Design Criteria

Process Design

Detailed Engineering

Construction

Operations & Maintenance

Project Definition

Design

Procure

Construct

Operate & Maintain

Production Control

Work Structuring
Continuous Learning
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What are your drivers? What do you measure?

The push for footage

How much of your production is show pipe?
How often do you have to revisit a work face to finish a task? What is your real percentage of re-work?

On what is your reward system based?

How often do you consider the next craft in the work sequence and what they require?
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Measurement and Metrics 90% of measuring the value of Lean Construction is in use today.
Earned Quantities/Planned Quantities Recordable/Lost Time Injury Rates Quality metrics (weld reject rates and non-conformances) Rework Etc.

The other 90% is unique to Lean Construction

Last Planner Planned Percent Complete (PPC) The difference is moving away from Project Control to Production Control.

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The Last Planner System Last Planner System

System of commitments 6-12 week look-ahead (from material management through the hands at the workface, plus all interfacing disciplines) Work face planning (one crews work for one (or two) week period) Elimination of restraints and going right to work without delay for the entire week

The focus is on ensuring reliable flow of work from one task to the next, minimizing the seven wastes. Accept the fundamental reality of constant change and continuously re-planning throughout a project Improved Safety Performance!

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Acknowledgements: Pete Glynn - LIS

Case 1 Refiner in Mid-US (first implementation of Last Planner )

Refinery shutdown Two shifts of 12 hours each, 7 days per week Over 1million direct man-hours All float consumed by engineering/design/material issues 9.5% improvement in labor productivity Complete schedule recovery Safety performance best ever for a shutdown at this facility

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Acknowledgements: COAA

Case 2 Canadian Hydrocarbon Grassroots Construction

Two nearly identical projects with same Owner and CM One used Workface Planning (Last Planner) and one did not (until later)

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Background Workface Planning (Last Planner)? Engineering Sub-Contractor Experience Project Size Labour Availability Job A (Used) Same Less Job B (Did not use) Same More

More More

Less Less

Planners Contract

12 Reimbursable

1 Lump Sum

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Background

Workface Planning (Last Planner)? Schedule Predictability Hours Rework Progress Reporting

Job A (Used) On time On S curve On Budget Same Accurate

Job B (Did not use) On time Major Deviations 3X Budget Same Hit and Miss

Productivity Scaffolding

2X greater Same

Baseline Same

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Results JOB A Productivity increased for all contractors Piping productivity doubled Electrical productivity increased by 50% Scaffolding costs greatly reduced All contractors believed the increased planning resulted in improved productivity All contractors believed the Workface Planning was introduced too late on the project

Unnecessary scaffolding take downs were virtually eliminated

Recommendations were made to implement Workface Planning on subsequent projects

Job B was converted to a cost reimbursable job and immediately implemented Workface Planning (Last Planner) to recover schedule.
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Lean Behaviors
(5 fundamental concepts)

Acknowledgements: M.L. Emiliani 1998

Specify Value

Pull

Perfection

Identify the Value Stream

Flow

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Key Differences Between Lean and Current Forms of Project Management

Aspect Control Performance Lean Construction Make things happen Maximize value/minimize waste Current Form Monitoring results Optimizing each activity/task

Project Delivery
Value Coordination Decision making

Focus on Discovery and Development

Continuously re-defined by the Customer Pull - reliable/continuous flow of work Bottom up

Transactional and Decision Making base

Defined by Customer at outset of job Push (schedule driven) using original plan Top down

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Acknowledgement - CII

Going Lean The Construction Industry Institute surveyed Lean Construction Practitioners and found that there are five major principles, on which each team must focus:
Customer Focus

Culture/People
Workplace Organisation/Standardisation Waste Elimination

Continuous Improvement and Built-In Quality

*The Construction Industry Institute, based at The University of Texas at Austin, is a consortium of more than 100 leading owner, engineering-contractor, and supplier firms from both the public and private arenas.

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LEADERSHIP

Create the culture

Be the Directional Manager

Standardize Processes Continuous Improvement Focus Embrace Uncertainty Lead Change

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What is YOUR Standard Work?

Daily Meetings (15 minute stand-ups)

Move from focus on results to focus on process

Insist on Continuous Improvement

Visual Controls insist on the right metrics

Ask, dont Tell

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Start with what goes wrong!!!

We learn best from our mistakes

Be quick about root cause analysis, remedy options, and implementing improvements Measure value and keep/lose changes tried as appropriate

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