4-hour Introduction to Lean 4-hr L… · Introduction to Lean Construction. ... Not LEED, Green, or...

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4-hour Introduction to

Lean

David MacNeel

Tony Lowe

Presenters:

Lean Construction Institute

Provider Number: H561

Introduction to Lean ConstructionCourse Number: 20131022AM1-B

David MacNeel October 7, 2014

This course is registered with AIA CES for continuing professional education. As such, it does not include content that may be deemed or construed to be an approval or endorsement by the AIA of any material of construction or any method or manner ofhandling, using, distributing, or dealing in any material or product.

___________________________________________Questions related to specific materials, methods, and services will be addressed at the conclusion of this presentation.

4 Credit(s) earned on completion of this course will be reported to AIA CES for AIA members. Certificates of Completion for both AIA members and non-AIA members are available upon request.

This presentation is protected by US and International Copyright laws. Reproduction, distribution, display and use of the presentation without written permission of the

speakers is prohibited.

© 2014 Lean Construction Institute, On Point Lean Consulting & Southland Industries, et. al.

Copyright Materials

This experiential four-hour workshop introduces some of the key ideas in Lean Design & Construction. …

CourseDescription

LearningObjectives

At the end of the this workshop, participants will be able to:

1. describe lean principles and culture and give examples of their application in design and construction

2. be aware of lean tools and how to think about them

3. categorize waste in the context of everyday activities on site and in the design office

4. explain the advantages of reducing and standardizing batch/zone size so as to improve flow in design and site-based production

Dave MacNeel

TonyLowe

Agenda

• History of Lean • Why Lean in Design & Construction?• What is Lean?• 5S Exercise• Production System Design Exercise • Waste & Value• Lean tools• Takeaways & Questions

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Objectives

Participants should understand …

• the background and culture of Lean

• the basic aims of Lean Design & Lean Construction

• the foundational principals on which Lean cultures are started and grown

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Past1

2

3

4

Future

Integrated Project DeliveryProduction System &

Work Structuring

Network of CommitmentsDependence & variation

Last Planner® System

Additional Lean Tools

Intro to Lean

Project as aCollective Enterprise

Awakening New Possibilities

16th LCI Congress | San Francisco, CA | October 7-10, 2014

U.S. Roots of Lean (1880-1930) Scientific Management

Frederick Taylor16th LCI Congress | San Francisco, CA | October 7-10, 2014

U.S. Roots of Lean (1880-1930) Scientific Management

• “Focus on training rather than finding the ‘right [person]’”

• "In the past the [person] has been first; in the future. the system must be first”

16th LCI Congress | San Francisco, CA | October 7-10, 2014

U.S. Roots of Lean (1880-1930) Scientific Management

Focus of Scientific Management:• The great loss which the whole country is

suffering through inefficiency in almost all of our daily acts

• The remedy for this inefficiency lies in systematic management

• …the best management is a true science, resting upon clearly defined laws, rules, and principles, as a foundation.

16th LCI Congress | San Francisco, CA | October 7-10, 2014

U.S. Roots of Lean: Assembly Lines (1901-1913)

16th LCI Congress | San Francisco, CA | October 7-10, 2014

U.S. Roots of Lean: WWII (1939-1945)

16th LCI Congress | San Francisco, CA | October 7-10, 2014

U.S. Roots of Lean: The Problem (1941)

16th LCI Congress | San Francisco, CA | October 7-10, 2014

U.S. Roots of Lean (1941-1945)

The Solution: • Training Within Industry (TWI) Service• 600 Industrial Engineers

• 3 core Training Programs• Job Instruction (how to teach)• Job Relations (communication)• Job Methods (waste reduction)

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Boeing’s Challenge (1941)

• Rush order for B-17 bombers• Limited to existing production facilities• Hired 33,000 unskilled workers:

• ½ made up of cowboys, fishermen, farmers, lumberjacks

• ½ Seattle area housewives

16th LCI Congress | San Francisco, CA | October 7-10, 2014

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Enter: Training Within Industry (TWI)• Production in 1941: 75 planes/month• Production in 1944: 364 planes/month

• 485% increase (1.6 planes per hour)

• 60% reduction in labor hours per plane• Cost per plane 1941: $ 242,000• Cost per plane 1944: $ 139,000

• 43% reduction in 32 months!

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Lean Construction Background

• Historical focus on labor productivity• Tipping Point: Venezuelan Refinery

• Spot improvements produced little or no improvement to the project as a whole

• Problem defined as “foreman planning”

• Question arose: How do they plan now?

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Lean Construction Background

• Interviewed 475+ superintendents and foremen and asked:• What tasks do you plan to complete by

the end of next week?• At the end of the week, they went back

and checked on the progress• Teams actually completed only 54% of the

tasks they had planned to do just days before starting the work. Surprised?

16th LCI Congress | San Francisco, CA | October 7-10, 2014

The Opportunity…

88%

12%

ManufacturingProductive Waste

43%57%

ConstructionProductive Waste

2004 Construction Industry Institute (CII) Study16th LCI Congress | San Francisco, CA | October 7-10, 2014

So, what is Lean?

Not an Acronym

Not LEED, Green, or Sustainability

Little or No Waste

16th LCI Congress | San Francisco, CA | October 7-10, 2014

• Cost Cutting• Slashing prices• Workforce reductions• Beating up subs & suppliers• Being Spartan or stingy

What Lean is NOT about:

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Why Lean Design & Construction?

• Projects take too long

• Projects cost too much

• Projects kill & injure too many

• Huge risks to all stakeholders

• Performance disappointments

16th LCI Congress | San Francisco, CA | October 7-10, 2014

2014 Lean MetricsNew UHS Temecula Hospital

30% schedule savings3.5 years vs 5 years

40% cost savings$250MM Market vs $150MM Actual

16th LCI Congress | San Francisco, CA | October 7-10, 2014

2014 Lean MetricsSubcontractor Labor Hour Savings

11% Flooring19% Painter26% Framing & Drywall30% Electricians

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Toyota Production System

Problem Solving

People and Partners

Process

Long-Term Philosophy

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Fundamental Principles

• Specify value

• Identify the value stream

• Make work flow

• Work at the pull of the customer

• Pursue perfection

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Plan–Do–Check-Adjust (PDCA)

PLAN

DO

CHECK

ADJUST

Predict

Take Action

Reflect & Study

Improve the System

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Goals of Lean Design and Lean Construction

• Achieve reliable workflow• Minimize waste• Maximize value to the customer• Optimize the whole, not the parts• Develop a discipline of learning

and continuous improvement

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Two Non-Negotiables

•Continuous improvement•Respect for people

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Benefits of Lean

• Safer – fewer incidents and injuries

• Faster – finished earlier

• Lower cost – higher productivity, less waste, less rework

• Less stress on the participants• Far more satisfied stakeholders

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Find the Number Exercise

Find the Number Exercise was developed by Pathway to Lean

16th LCI Congress | San Francisco, CA | October 7-10, 2014

5S Examples - Sort

Photos Courtesy of Turner Construction

16th LCI Congress | San Francisco, CA | October 7-10, 2014

• Communicate the plan• Everyone working with a

coordinated plan• All materials on carts• Reduce clutter, safer• Workers proud of their

workplace and product

5S Example - Straighten

Photos Courtesy of Turner Construction

16th LCI Congress | San Francisco, CA | October 7-10, 2014

5S Example - Standardize

Photos Courtesy of Turner Construction16th LCI Congress | San Francisco, CA | October 7-10, 2014

5S ReviewSort

• Get rid of unneeded & surplus materials• Only stage material to be used that day

Straighten• Identify the location where items will be

used and place those items close• Organize and communicate the location

for items that are needed in the area• Designate staging areas by work area

16th LCI Congress | San Francisco, CA | October 7-10, 2014

5S ReviewShine

• Clean work areas and storage areas• Tools and equip. clean and ready for use• Remove dunnage and crating promptly

Standardize• Shadow boards and labels• Shelving and labels

Sustain• Audit the workplace regularly• Make it a habit

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Production System DesignExercise

The Airplane Game

Lean Zone® Production Methodologies is a registered trademark of Visionary Products.

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Airplane Simulation Debrief

At your tables discuss:• What are the key points/lessons?

• HOW did we get +/- 400% better?

• How might these Key Points and Lessons apply to your work?

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Airplane Game Lessons• Release work from one performer to the next

by pull instead of push (1 piece flow)• Minimize batch sizes to reduce cycle time• Make everyone responsible for QC• Balance the workload between trades• Encourage and enable performers to

collaborate with one another to maintain steady workflow

16th LCI Congress | San Francisco, CA | October 7-10, 2014

The Heart of Lean Systems

Eliminating:

• Waste

• Unevenness

• Overburdening

Waste

UnevenBurden

16th LCI Congress | San Francisco, CA | October 7-10, 2014

The Seven Original Wastes1. Over-productionProducing more than is

needed2. WaitingAGC Definition:

Workers waiting for work OR Work waiting for workers

3. TransportationUnnecessary movement

of materials

4. Over-processingSpending more time & expense than the customer requires5. Inventoryextra material (WIP)6. MotionUnnecessary movement by people7. DefectsRework because of mistakes

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Additional Waste #1:

• Underutilizing the creativity of:• Project Team members• Coworkers

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Additional Waste #2:

• Workarounds

• Firefighting

• Making Do

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Eliminating WasteDiscuss at your tables:

Examples of waste in your work….

1. Over-production2. Waiting3. Transportation4. Over-processing5. Inventory

6. Motion7. Defects8. Underutilized

creativity9. Work-arounds

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Unevenness

• Unevenness is variation• Hurry up and wait

• Variation creates unpredictability, firefighting, and workarounds

• Last Planner® reduces unevenness by structuring predictable workflow

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Overburdening

• Overburdening People:• Physical wear and tear• Unnecessary movement and strain• Extreme productivity losses due to

extended overtime• Overburdening Equipment:

• Machinery• Rigging

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Value Creation

• If it is not something the customer is willing to pay for, it is Non-Value Added

• Everything else is waste -and should be eliminated, simplified, or reduced

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Value Categories

• Value Added• Examples:

• Non-Value Added – Necessary• Examples:

• Non-Value Added – Waste • Examples:

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Value Pie: Current State

Value

Non-Value

Added

Waste43%

57%Graphic Courtesy of KHS&S Contractors

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Why don’t we see Waste?

• People generally “look” busy• It doesn’t “feel” like waste• We are conditioned not to

speak up• Don’t want to rock the boat• Feels like confrontation• Don’t want to offend anyone

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Lean Design & Construction Tools

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Past1

2

3

4

Future

Integrated Project DeliveryProduction System &

Work Structuring

Network of CommitmentsDependence & variation

Last Planner® System

Additional Lean Tools

Intro to Lean

Project as aCollective Enterprise

Awakening New Possibilities

16th LCI Congress | San Francisco, CA | October 7-10, 2014

+ / ∆

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Last Planner® System

Learning

Weekly Work

PlanningMake Ready

Planning

Pull Planning

Milestone Schedule

DID

< DO >

WILL

CAN

SHOULDLPS Pyramid Graphic Courtesy of On Point Lean16th LCI Congress | San Francisco, CA | October 7-10, 2014

Last Planner® System: When and how

Learning

Weekly Work

PlanningMake Ready

Planning

Pull Planning

Milestone Schedule

Daily

Weekly

Weekly

As Needed

Pre-Set

LPS Pyramid Graphic Courtesy of On Point Lean16th LCI Congress | San Francisco, CA | October 7-10, 2014

Milestone Schedule

• Typically based on historical performance• …but usually contains traditional waste

and inefficiencies• Big opportunity to do better

• Identifies Phases• Helps determine long lead items

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Last Planner® System

Learning

Weekly Work

PlanningMake Ready

Planning

Pull Planning

Milestone Schedule

Daily

Weekly

Weekly

As Needed

Pre-Set

LPS Pyramid Graphic Courtesy of On Point Lean16th LCI Congress | San Francisco, CA | October 7-10, 2014

You Have a 5:45pm flight on Friday… What time do you need to leave the hotel?

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Pull Planning Construction

Photo Courtesy of The PENTA Building Group

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Pull Planning Design

Photo Courtesy of Sutter Health Facility Services

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Last Planner® System

Learning

Weekly Work

PlanningMake Ready

Planning

Pull Planning

Milestone Schedule

Daily

Weekly

Weekly

As Needed

Pre-Set

LPS Pyramid Graphic Courtesy of On Point Lean16th LCI Congress | San Francisco, CA | October 7-10, 2014

Make-Ready PlanningWhat Do You Need?

Photo Courtesy of Clark Construction Group

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Last Planner® System

Learning

Weekly Work

PlanningMake Ready

Planning

Pull Planning

Milestone Schedule

Daily

Weekly

Weekly

As Needed

Pre-Set

LPS Pyramid Graphic Courtesy of On Point Lean16th LCI Congress | San Francisco, CA | October 7-10, 2014

Weekly Work Plan Courtesy of SpawGlass

Very specific activities are listed

Responsible Company & Supt/Fmn

Tasks are sorted by specific areas of the project

Day-by-day plan (with crew size) to accomplish the tasks by the end of the week

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Last Planner® System

Learning

Weekly Work

PlanningMake Ready

Planning

Pull Planning

Milestone Schedule

Daily & Weekly

Weekly

Weekly

As Needed

Pre-Set

LPS Pyramid Graphic Courtesy of On Point Lean16th LCI Congress | San Francisco, CA | October 7-10, 2014

Daily Huddles

Photo Courtesy of Sellen Construction

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Percent Plan Complete

PPC Data Chart Courtesy of Baker Concrete

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Continuous Improvement

• Study & Learn from all plan variances• Conduct a “5-Why?” to get to the

Root Cause• Install countermeasures to prevent

re-occurrence of Root Cause andother potential causes

• Re-group and re-plan as necessary

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Additional Lean Design &

Construction Tools

16th LCI Congress | San Francisco, CA | October 7-10, 2014

+ / ∆

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Biggest Obstacle to Lean

“The greatest obstacle to discovery [Lean] isn’t ignorance or lack of intelligence… ….it’s the illusion of knowledge.”

– John Maxwell

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Cautions• Lean requires discipline,

perseverance, and hard work • Teams must devote time and

energy to making things better.• Payoffs are down the road• Know that Lean is NOT a car wash,

….it’s an investment

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Cautions

Don’t confuse SIMPLE with EASY

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Lean Leadership

• Lean should be practiced at ALL levels of an organization • NOT just “supported”

• “Do No Harm”• Learning Lean is a lot like learning

to play a musical instrument• Outliers by Malcolm Gladwell

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Taking Lean to the Front Lines

Train the people doing the work to spot problems and then utilize their knowledge and skills to help improve the work.

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Fix What Bugs You

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Fix What Bugs You

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Fix What Bugs You

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Fix What Bugs You

16th LCI Congress | San Francisco, CA | October 7-10, 2014

Key Takeaways&

Questions

16th LCI Congress | San Francisco, CA | October 7-10, 2014

4-hour Introduction to Lean

David MacNeelPrincipal & Lean CoachOn Point LeanCell: 513-500-4511dmacneel@onpointlean.com

Tony LoweSheetmetal Gen ForemanSouthland IndustriesCell: 510-455-0011tlowe@southlandind.com

Presenters:

This concludes The American Institute of Architects Continuing Education Systems Course

Lean Construction Institute info@leanconstruction.org