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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: [email protected]
Tony LoweSheetmetal Gen ForemanSouthland IndustriesCell: [email protected]
Presenters:
This concludes The American Institute of Architects Continuing Education Systems Course
Lean Construction Institute [email protected]