Construction Value by Lean Management

Lean construction is an amalgamation of original research and development in design and construction with a mutation of lean manufacturing principles and practices to the end-to-end design and construction process. Unlike manufacturing construction is a project based-production process. Lean construction is concerned with the holistic approach of concurrent and continuous improvements in all dimensions of the built approach and tries to manage and improve construction processes with minimum cost and maximum value by considering customer needs. The term “Lean Construction” was coined by the International Group for Lean Construction in its first meeting in 1993 As the construction industry gets competitive, thinking and applying Lean to Construction activity is critical to winning customers and ensuring profitability. The aim of Lean Systems is to design, produce and deliver products/services, which exceed customer expectations in terms of Cost/Quality/Time/Performace. Lean construction is a new way to manage construction. The objective, principles, and techniques of Lean Construction taken together form the basis for a new project delivery process. Value Stream Mapping is a logical chart methodology for process tracking which helps the tracker to identify value-adding activities and non-value-adding activities.

Lean is just way far greater than just a philosophy. In the construction industry, eliminating waste and satisfying clients‟ requirements are of utmost importance. Quality Assurance can be only attained if everything goes with standards and advanced thinking and furthermore implementation of the newest trends in technology. Lean Construction Technology is one of them tied up for the betterment of Construction Industry. Objectives of this research are: 1. To identify and record the perception of different construction project participants on lean-based wastes on construction sites and quantify them via. Questionnaire Survey. 2. To study and demonstrate Value Stream Mapping on residential projects as a Lean Tool and identify possible benefits emerging from the application of this tool. 3. To increase output value through a systematic consideration of customer requirements and to examine non-value-adding activities from the current state map and then give provision for process improvement in future state maps. 4. To access lean construction techniques from the viewpoint of various experts and top management and to enhance the quality of the project and profit by minimizing wastage.

Alarcon, L et al (2015) Last Planner System and other Lean Construction techniques in over one hundred Construction for five years in Chile were selected for study by author. Benefits of the concerned study was 7% to 48% performance improvement reported by 8 companies along with improved reliability of planning and PPC. The concluding remark by the author was that IT tools can support a completer and more standard implementation of LPS. Ballard G (2015) This literature review is an attempt to answer ke questions about implementing lean in India‟s Construction Industry: Why bring lean thinking and practice into India‟s construction Industry? Heathrow Airport‟s Terminal 5 began construction in 2001 with a budget in excess of 7 billion British pounds-fully 80% of the airport owner/operators net worth. Gillen Ballard was personally involved in the civil phase of the Termina 5 project, working as technical director for Strategic Project Solutions, a management consultant for both BAA and Laing O‟ Rourke, the prime civil contractor. Lucia h, et al (2015) The above article presents how HA of UK has benefited by using Lean Techniques on their Road Schemes and displayed few examples over it. The Highways Agency (HA) is an executive Agency of the UK Department for Transport (DfT). The UK government has been instrumental in encouraging the UK public sector to find ways to improve efficiency and has launched a Continuous Improvement (CI) initiative across all government departments. The HA has successfully applied Lean Techniques as a driver to delivering CI. The Author concluded that, from 2009 to date the HA has achieved solid savings by application of Lean methodology in the UK Road schemes. Savings of over £100 Million have been attributed to Lean Intervention. These savings made considerable contribution to the efficiency savings of £114Million demanded by the UK Treasury. Savings of up to 30% on scheme completion have been reported by encouraging discussions among stakeholders at Collaborative planning meetings. Maitreya Yadav (2015) The above article presents the outcome of how the PPC (Percent Plan Complete) rate has changed from adopting lean principles. A comparison of data is done by keeping tally of establishing a Lean Team before and after implementation of lean principles. The key learning from the experience is that for lean to become self-sustainable at a project the implementation efforts have to be initiated by the project team with the command coming from the project leader/manager and not from the senior leaders at head office. Concluded that both the top down and bottom-up approaches were ineffective for a full-scale lean implementation to implementation continued successfully.

Bygballe, L (2014) The Lean Construction concept is created and recreated as people at various levels in the internal project-based organization learn and engage in the new practice. Second, as Lean Construction at a project site will involve people from various companies, we also need to consider how the external project-based organization would engage in the translation and transformation process of the Lean Construction concept. Dhivyamenaga (2014) The objective of this study was to assess the application of lean construction of construction companies and give quality rating model to construction companies. The main tool for the collection of data was structured questionnaire. As a result, the performance level of construction companies in relation to the use of Lean Construction was obtained, to check how it was understood and how its principles were applied. After this, the results were evaluated and suggestions were made to the companies to help them implement Lean Thinking. Fatima A. (2014) The objective of the study is to analyse the Last Planner System in reducing the construction complexities involved in the project and to analyse the last planner system to complete the project within the stipulated time and cost and to study the concept of lean construction and how it is being implied in the local construction industry. The researchers kept keen control over project master schedule, look ahead schedule and prepared a weekly work plan for the upcoming works scheduled to be attained. After analysing the Last Planner system, it is observed that there is a saving of Rs.1, 15, 5800.00 for the total project. Harsha (2013) This paper has strongly addressed the application of lean practices in construction. what the current state of practice is. But the paper gives a great summary of applicable steps toward becoming lean and likely benefits to a construction organization. Significant research remains to be complete for the translation of construction to lean thinking. There has however, been relatively little research on case studies, research based on quantitative data or research making categorization of the types of waste that exist in construction. The Last Planner System is briefly explained in above article along with Indian Construction Overview, Analysis of Waste, Core elements of lean construction, Lean Models, and case studies of Pacific Contracting and IIT Guwahati. Devaki M, Jayanthi R (2012) The researchers led a comprehensive survey o identify barriers in implementing Lean Principles in local construction industries and came to conclusion that there are several factors contributing as barriers. According to the research, lack of exposure on the need for Lean Construction, uncertainty in the supply chain, tendency to apply traditional management, culture and human attitudinal issued (mindset issued), lack of commitment from top management, non-participative management style for workforce, attitude and ability to work in group, difficulties in understanding the concept of lean construction, fragmentation and subcontracting, lack of client and supplier involvement and lack of proper training are main factors contributing. Garrett al (2011) A lean tool, value stream mapping (VSM), and various other lean concepts were used, electronic versions of the submittals. Part of the coordination effort was eliminated. Activities in the process were reduced from (8 to 5), decrease lead time (40%) and process time (25%). E-copies affected review time of the submittal. Yoder’s J (2009) Building Information Modelling (BIM) as a Lean Construction tool was used by Turner Construction Company for Tennessee Medical Centre, US. Concerned tool led the project to reduction in cost from estimated at $286 million by $3 Million, shortening the delivery time. Howell G et al (1998) In this paper, authors gave advice on implementation of Lean application. They claimed that implementing lean thinking will lead to change in almost every aspect of project and company management. On the commercial side, begin to form long term alliances with like minds along the value stream. As a citizen of the industry, spend time and effort developing lean thinking in others, even competitors. More than one firm changing to lean has come up against the inability of their suppliers to support lean projects. Once on the way to becoming lean, these suppliers become almost schizophrenic as part of their customers work one way and the others lean. If this advice sounds wrong, it probably means change lean offers you and your organization. Lauri Koskela (1993) In this paper, the concepts, principles, and methods of lean production are reviewed, and their applicability in construction is analysed. The implications of lean production to construction practice and research are considered. Author also described difference between conventional production philosophy and new lean production philosophy. According to author, conventional production consists of all activities as value adding activities whereas in lean philosophy there are both value adding and non-value adding activities. Conventional production philosophy focuses on control over cost of activities and lean philosophy focuses on cost, time, and value of flows. In conventional practice there is scope of improvement by increasing efficiency using new technologies whereas in lean philosophy improvement can be achieved by elimination or suppression of non-value adding activities, and increase of efficiency of value-adding activities through continuous improvement and new technology.

The following methodology has been adopted to collect and analyse the necessary data. Data Collection: Collection of various data, literature, and methodologies available in various sources like Journals, Articles, and with the help of the Internet. Literature Review: Thorough study of relevant articles, at least 15, from various nationally and internationally recognized journals showing prior implementation and results that are availed by using Lean Philosophy in the Construction industry. Deciding objectives and scope of the study: Based on the literature reviewed, objectives that are important to be implemented for completion of the project are necessary to be decided and these objectives will act towards actual completion of the project. Furthermore, the scope or limitations of this study are also decided well in hand. Scope of study will help in only prioritizing on important factors that are supposed to fulfil the requirements of objectives decided. Tool selection: After all, above works are completed, Lean tools that can be effective to be selected, in this case Value Stream Mapping and implemented in three phases on a construction site. Phases: The three phases will include domains

2nd Phase- Collection of survey responses, analysis of responses, identification of cycle times, resources required, inventory time, lead time and customer demands for each activity. 3rd Phase- Plot current state map and identify value adding activities, analysis of current state map and preparation of future state map.

Lean Construction has been introduced as a new management approach to improve productivity in the construction industry. Much research has been done on lean concepts and principles, resulting in successful adaptations of lean ideas from the automotive industry to the construction industry. Construction companies are striving to transform their current form of project management into a lean management approach. Construction is the second largest industry in India after agriculture. Diverse and involved in all areas of construction: roads, railways, urban infrastructure, ports, and airports. A project was seen as a temporary production system that had to be designed, planned, produced, and delivered within a certain time. Fast track projects with long and complex supply chains involving many parties and subject to multiple major process design changes have complex flow management with disastrous results.

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