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Lean Construction

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Lean construction is a translation and adaption of lean manufacturing (such as the Toyota Production System) 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 pursuit of concurrent and continuous improvements in all dimensions of the built and natural environment: design, construction, maintenance, salvaging, and recycling.

 Source: http://en.wikipedia.org/wiki/Lean_Construction

 

Vico and Lean

 

We at Vico build our products and services using the Toyota and Lean concepts. Vico Control for example was created based lean concepts such as flow, minimizing waste and visual aids for displaying complex data in an easy to understand way. One observation I had at the conference is that most Lean Techniques require careful tracking via a spreadsheet of construction activities that must be constantly updated while Vico Control is purpose built just for that. 

I recently attended the 9th annual Lean conference and listened to owners, construction managers, architects and subcontractors. The conference focused on the implementation of Lean tools for the AEC industry. These were some of the lean tools discussed at the conference:

 

Business Plan Validation - Target Value Design

 

More and more owners (such as Sutter) are starting to realize that the traditional Design Bid Build process has a lot of waste in it and does not lend itself to a smooth, collaborative project delivery. In order to facilitate an integrated project delivery sophisticated owners developed a new contract type called the Relational Contract. Under relational contracts, the owner bears the ultimate risk for the project's financial and performance goals. This risk may be mitigated, to the extent that a guaranteed maximum price has been established, a profit participation agreement is reached or a possible recovery against participants for negligence or breach of their contracts is pursued. The participants also risk a variable portion of their compensation, such as a bonus opportunity or innovation fund in order to stay incentivized for on time under budget delivery.

The AIA recently published a guide about IPD. For more information about the guide go to: http://www.aia.org/ipdg

 

Lean Production Control (Last Planner System)

 

The Last Planner SystemTM (LPS) is a lean production-based project planning and management process. It's a process that based on series of conversations between the project manager and the sub contractors. It provides a framework for each conversation (weekly work plans, 6 week look ahead schedule) and helps the PM in capturing and monitoring commitments from subcontractors. LPS aims to change the culture of project management, and therefore requires coaching and consulting to get through the implementation processes. It focuses on the people and the process aspect of construction.

A good summary of the methods and techniques that Last Planner uses can be found here: http://www.cif.org/Nom2003/Nom17_03.pdf

Vico Control is the logical next step for anyone who implements pull scheduling. I think Last Planner provides a framework for the discussions and culture change that implementation of Vico Control would also require. Russell Kenley's (professor of Construction, Unitec New Zeeland) paper about Control and Lean describes how Control can help reduce the complexity of the construction process. You can read more here: http://www.projectflow.com.au/papers.asp.

 

Subcontractors Adopting Lean

 

There were several subcontractors presenting how they implemented Lean tools and concepts. One of the most interesting one was Ipurity. Ipurity is a specialty piping company that was created as a Lean company from the ground up. The CEO of the company has more than 20 years of experience in Six Sigma, Lean and supply chain management. They created a subscription based model for installing clean piping systems for high-tech and bio-pharma customers. The subscription model allows for a high level of transparency between them and their clients. It also allows them to standardize and optimize their processes at a very high level. This in return reduces the cost of their services while maximizing profit margins.

Subcontractors involved the SSM St. Clare project were selected very early in the design process. They closely collaborated with the design team, and built a BIM model of the project. This enabled them to prefabricate most of the Mechanical, Plumbing systems. This process eliminated costly field work and allowed the subcontractor to maximize work in the shop. Approximately 75% of the HVAC piping, 80% of the ductwork and 65% or plumbing systems were prefabricated.

 

Summary 

 

There are many different Lean tools available for forward thinking project teams and companies.  Lean concepts are tools that project teams should evaluate based on projects, contracts and people. Process change requires commitment and vision from the people taking part in the effort. Technology, such as Vico Control, combined with other Lean concepts can expedite adoption of a more efficient construction process.

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Who builds the model?

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October 31, 2007  

 

Recently I attended the AGC BIM forum meeting in Boston (before the Red Sox won the World Series for the second time). There were many presentations about challenges and experiences with the current use of BIM in the AEC industry. The meeting was attended by architects, contractors, fabricators, subcontractors, and even lawyers.  One of the most discussed topics at the forum was the challenges of the modeling process.  Building the right model for coordination, estimating and scheduling at different stages of the construction process is not an obvious task.

 

I have seen three different approaches in the industry. The model can be created by the designer, in house by the contractor or using a service provider. The creator of the model can be defined by the project type, the delivery method or the contract, and finally the use case of the model and its intended purpose. It can also shift from one team member to the other depending on skills available in the various organizations.

 

When the model is created by the designer there is usually a very close partnership and trust established between the designer and the contractor.  Sometimes a sophisticated client will request the architect and the contractor to share information and adopt a model based approach. The model is mostly used for coordination by the design team, engineers and the contractor. Without clear specifications for modeling, the process can break down very easily and create friction within the team. The disadvantage of this approach is that although the model might represent the design well, it might not represent the way the building will be constructed.  Additionally, different Level of Detail (LoD) are frequently used by designing when not modeling to a spec.  In these cases, the contractor often has to spend more time adjusting the model for downstream use than it takes to model the building from scratch.  Although it seems counterintuitive that it could take longer to edit something than to recreate it, we have found this be true in our own internal tests when the models weren't created according to predefined specifications. The advantage of working together with a predefined spec is that there is a closer partnership between project team members and less rework.  Undoubtably, this approach will ultimately prove to be the most efficient, but it is also the most difficult way to begin, particularly if both the designers and contractor do not have the experience with modeling to know how a spec would need to be designed to fulfill their collective requirements.  I recommend that companies develop their own expertise first and then work on collaboration.

 

Modeling in-house requires hiring new people or finding the right ones within the organization. Many of our larger clients were able to set up BIM enabled preconstruction or construction teams. The advantage of this option that contractor can develop modeling as an in-house skill, and be more competitive in providing preconstruction services for example. The disadvantage is that it is expensive to hire and train people and takes more time to get started with BIM, than using models that others create.  Ultimately, I believe all firms will need in-house expertise in modeling even if other parties create the model.  The two primary reasons are that the firm will need to extend the model to fully suit their purposes and to be able to perform what-if scenarios and respond to change orders quickly.

 

Modeling as a service is available today from multiple suppliers. Modeling as a service could is perceived to cost more but can be part of the project budget and the cost of the model can be justified through the direct benefits it provides to the contractor and the owner. There are three different use cases for a model: Modeling for Coordination, Modeling for Estimation and Modeling for Scheduling. The contractor can decide which use case they would like to focus on and gain experience in using the model. Deliverables usually are ready in a very short period of time. I also believe that services should be combined with knowledge transfer, and I found it an efficient and relatively painless way to get started even on more complex and demanding projects.

 

Eventually, I believe the industry will achieve the vision of smooth dataflow between parties, but I think many current efforts at achieving the benefits of BIM are failing because the participants are trying too hard to solve the dataflow problems and losing sight of the key objectives and benefits.  Companies need to start working with models as any of the three approaches described above produce significant benefits.  Starting with services, moving to internal modeling, and ending with collaborative modeling seems to be the easiest path to change the traditional practices for the vast majority of firms.  Even firms that have begun with collaborative modeling have often not spread the process to a majority of their projects that could have benefited from modeling.  In other words, a staged approach makes it easier to spread the benefits to a majority of projects and a company may have projects using all three stages as they transform their internal processes and supply chain.

 

All options above require the design team, the contractor and the service provider to develop a process for creating the model and other deliverables and set up protocols for collaboration. Developing the process and implementing it at the same time are daunting tasks. It is not simple to develop a process that facilities fast and efficient modeling that integrates estimating and scheduling data with the model and can be used for coordination. The information captured in the model has to be well structured, and documented properly. This is the first step towards a more efficient flow of information and a more predictable construction process.

 

The question today is not whether you start or not, it's more like when and how?

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