A WASTE-BASED MANAGEMENT APPROACH FOR QUANTIFYING AND

REMOVING WASTE IN CONSTRUCTION16 EUROPEAN GROUP FOR LEAN CONSTRUCTION

MEETINGValencia, Spain

Lecturer: Juan Felipe Pons Achellponsj@juanfelipepons.comwww.juanfelipepons.com

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DEFINITION

• The approach of a waste-based management means that we will focus on bringing to surface the waste, trying not to hide the waste and doing it visible since the beginning of the Project Delivery. In order to achieve this goal we need to base our decisions in a methodology which allows us to see and be aware at anytime of the amount of waste we generate in any process of the Project Delivery, for everyone to be aware of waste in order to take actions immediately.

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Activities of workers

Pure WasteUnnecessary work (10-40%)

Work

Work that adds value

Non-value-adding-activitiesNo added value but must be done under current conditions.

THE CIRCLE OF UNPRODUCTIVENESS

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ConstructionDirectCost

ConstructionIndirect

Cost

Contingencies

Profit

Construction Target Cost

Waste D.C.

Net D.C.

Waste I.C.

Net I.C.

Contingencies

Profit

CONSTRUCTIONPHASE

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WASTE-BASED MANAGEMENT

WHAT

• To find out the root causes of Waste

• To make visible the Waste

WHY

• To transform activities which don’t add value into profit

WHERE

• In the Genba• The

construction site

WHO

• Contractors• Sub-

contractors• Site

managers• Construction

Site Staff (operators / workers)

• Engineers and Architects

• Suppliers

HOW

• Identifying Waste

• Quantifying Waste

• Controlling Waste

• Removing Waste

• Avoiding Waste

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Gen

Ba

Kan

Ri

Reality

Space

Administer

Natural Law

The place where reality exists or

shows up

To administer by following the law of

nature

Genba

Kanri

The Genba in ManufacturingThe Plant

The Genba in ConstructionThe construction site

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GENBA-ORIENTED THINKING IN CONSTRUCTION

Gen

ba

The real sceneThe construction siteTo practice pragmatic problem-solvingExperimental laboratory

Gen

buts

u The real thingMaterials, Processes, Machinery, People.Seeing for ourselves the nature of the problem, so that we can take action.

Gen

jitsu The real fact

To find out the root causes of problemsTo make them visible5 WhyDaily KaizenPDCAStandardization

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The 5 How we need to answer to define our methodology for removing waste

• How to Identify?

• How to Quantify?

• How to Control?

• How to Remove?

• How to Avoid?

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IDENTIFYING WASTE

Defining and classifying waste (Overproduction, Substitution, Waiting Time, Transporting, Over processing, Inventory, Motions, Quality Defects, Making-do, Talent)

Drawing the value stream map of processes Standardizing processes Practicing Gemba Walks Visual management

REMARKING THE IDEA OF LEARNING TO SEE

Brainstorming Sessions Teaching and training construction site staff (not only managers) Understanding the Toyota’s Commitment Learning

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Adapting the Toyota’s workers learning rules to construction

How do you do this work?

How do you know you are doing this work correctly?

How do you know that the outcome is free of defects?

What do you do if you have a problem?

Adapted from Steven Spear & H. Kent Bowen “Decoding the DNA of the TPS” and Mike Rother “Toyota Kata”

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QUANTIFYING WASTE Measurable tangible parameters

Waste of Material

Waste of Inventory

Waste Labour

Waste of Equipment

Waste of Defects

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QUANTIFYING WASTE

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Concept Description

WDC Refers to the sum of the total cost of each waste during the construction phase. There could also be tasks without waste and tasks with several wastes.

Wmaterial Refers to the waste of material (scrap) of each of the materials, in every process, during the construction phase. It includes material from over-production, making-do, breakages, losses of material, robberies, obsolescence, changes in the project once the material has already been purchased, changes of the customer, etc.

Winventory Refers to excess of inventory. It includes Financial cost and management of inventory (renting storage, vigilance personnel, handling, internal transport, etc.)

Wlabour Refers to excess of labor and idle time due to lack of material, lack of information or lack of work place available for a gang.

Wequipment Refers to excess of transport, equipment breakdowns, underutilization of equipment, lost tools, etc.

Wquality defects It mainly refers to rework due to final or intermediate product which does not fit the quality specifications.

Adapted from Ramaswamy and Kalidindi (2009)

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CONTROLLING WASTE

• Formoso et al. (1999) pointed out the lack of perception from managers of variability in production and productivity rates, the lack of integration of waste control with the planning and control process, and the need for not only verifying but also monitoring the efficiency of construction processes

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CONTROLLING WASTE

Visual Management

•VM as a concept, not as a tool•VM helps to make problems and information visible and improve transparency

Monitoring (Indicators)

•Waste Classification (%)•Waste Control Table•Waste Direct cost (%)•Control Graphic to monitor waste

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TOOLS FOR REMOVING WASTE

Last Planner System BIM 5S

Poka-Yoke Andon Lights

Kanban System

Flow LineQuality Circles /

Autonomous work groups

Organizing Layout

Heijunka Box TPM IT

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DNA of the Toyota Production System

All work shall be highly specified as to content, sequence,

timing, and outcome.

Every customer-supplier connection must be direct, and there must be an unambiguous yes-or-not way to send requests

and receive responses.

The pathway for every product must

be simple and direct.

Any improvement must be made in accordance with the scientific method, under the guidance of a teacher, at the lowest possible level in the

organization.

Adapted from Steven Spear & H. Kent Bowen “Decoding the DNA of the TPS” and Mike Rother “Toyota Kata”

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CONCLUSIONS

• Waste is embedded in Construction, and people are not aware of its impact in the results. Preliminary studies (varying from 10 to 40%).

• In any case, in the global competitiveness today, we cannot afford such rates. And we need to raise awareness in the construction sector about what waste means and how much it costs to organizations and companies.

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CONCLUSIONS

• We’d like to highlight the advantages of a waste-based management approach in order to make visible the waste meanwhile it’s happening, so that it’s easier to quantify and remove.

• A second contribution is to present a methodology and a set of tools and steps in order to reduce, quantify and control waste.

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CONCLUSIONS

• To validate this methodology and achieve reliable data is needed true collaboration from contractors and subcontractors, and transparency between them to detect waste.

• Further studies are necessary to know the true rate of waste in all construction stages; and other issue to consider is the amount of Waste Overhead Cost or Indirect Cost.

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• If we look around we’ll see still a lot of Taylorism and Fordism Companies in Construction. For many businessmen a good management means executives on one side, and workers on the other; on one side men who think, and on the other side, men who can only work.

• Over recent years, Construction Business has become terrible complex. For construction companies, survival is very uncertain in an environment increasingly filled with risk, the unexpected, competition and lack of funding.

21Sentences adapted from Kiyoshi Suzaki to nowadays construction

• Staff working on the construction site are not only producers of value to society, but also to customers.

• If we understand that our work in construction sector adds value to society and at the same time we realize that we are affected by the changes we perform, then we’ll be able to define the way towards a better future.

• Process control can be achieved by means of making people before making products.

Picture by Juan Felipe Pons AchellSausalito, San Francisco BayTitle: The man who practice Kaizen with stones 22

Sentences adapted from Kiyoshi Suzaki to nowadays construction