6 Principles of Lean in Construction Management

Lean manufacturing is an overwhelmingly prevalent methodology that dominates the manufacturing industry. As lean became more and more common, it began to be spread to other industries that were able to apply the principles as well, such as construction management. A large percentage of construction firms are beginning to embrace lean methodology, in which they emphasize value maximization as well as waste reduction. 

This approach to construction management is simple - get the project done in the least amount of time possible and utilize resources to the fullest extent. This will ultimately save the firm money and time in the long run. Following the projects critical path and most cost effective route is essential to consider within the project and lean methodology and can aid the project tremendously. Before implementation of the lean methodology in construction management, it is important to understand the six principles of lean that pertain to this industry. 

6 Principles of Lean Construction Management 

The six principles of lean construction management are relatively easy to understand and implement. The six lean principles of construction management pertain to the following:

• Identify Value - The overall traditional approach to construction focuses on what the customer is seeking for you to build. Obviously, this will include the plans and specifications of the project. Lean construction pertains to what the customer actually values and not only what to build but the reasons behind wanting to build it. Identifying value is a key component within construction management and understanding the customer’s point of view. Lean construction also brings together all factors and aspects of the operation such as the architect, engineer, general contractor, suppliers, and more. 
• Define Value Stream - Defining the value stream is one of the most important steps within lean methodology. Once you have a clear understanding of the value from the customer’s point of view, you are easily able to lay out all of the processes necessary needed to deliver that value. This is called the value stream. For each activity, the necessary labor, information, equipment, and materials are defined. Any steps or resources that are not considered to add value are then removed. 
• Elimination of Waste - The main goal of lean manufacturing is to eliminate or minimize the amount of waste within an operation. Lean construction targets each major types fo waste which include defects, overproduction, waiting, underutilization of talent, transportation, inventory, motion, and over processing. 
• Work Process Flow - The ideal state of lean construction management is continuous workflow that is considered reliable and predictable. This sequence is key in construction, and you can’t start building the frame until the footings are set. 
• Pull Planning and Scheduling - Creating reliable workflows depends on work being released based on downstream demand. Lean construction recognizes that this is best conducted through those that are performing the work, which are often subcontractors. Participants communicate and collaborate close with each other to determine the schedule of tasks. 
• Continuous Improvement - The belief that it is possible to continuously improve processes and eliminate waste is the overall goal of lean philosophy. Opportunities for improvement are then identified and acted upon during the project and applied to future projects. The construction industry is not exempt from the tendency to stick to old ways and resist change but the many benefits of the lean approach are compelling more and more firms to take on the challenge. 

A software that can aid with lean construction management is PlanetTogether’s Advanced Planning and Scheduling (APS) Software. Advanced Planning and Scheduling (APS) Software enables manufacturing operations and construction projects to have thorough visibility and overall insight into their operation and locate areas that are in need of efficiency optimization. Without utilization of APS software, operations may find themselves falling short in terms of productivity, effectiveness, and quality. Therefore, APS software has become a must for modern-day manufacturing facilities and adequate project management. 

Advanced Planning and Scheduling Software 

Advanced Planning and Scheduling (APS) software has become a must for modern-day manufacturing operations due to customer demand for increased product mix and fast delivery combined with downward cost pressures. APS can be quickly integrated with a ERP/MRP software to fill gaps where these system lack planning and scheduling flexibility and accuracy. Advanced Planning and Scheduling (APS) helps planners save time while providing greater agility in updating ever-changing priorities, production schedules, and inventory plans.

• Create optimized schedules balancing production efficiency and delivery performance
• Maximize output on bottleneck resources to increase revenue
• Synchronize supply with demand to reduce inventories
• Provide company-wide visibility to capacity
• Enable scenario data-driven decision making

Implementation of Advanced Planning and Scheduling (APS) software will take your manufacturing operations to the next level of production efficiency, taking advantage of the operational data you already have in your ERP.