Showing posts with label Quality. Show all posts
Showing posts with label Quality. Show all posts

Tuesday, August 19, 2008

Lean Construction: Forceful application of JIT & TQC into the construction industry?

'Lean Construction' is one of the latest buzzwords in the construction project management. What is 'Lean construction' ? Is it building structures which 'lean' in some angle like 'Tower of Pisa' ? Or , is it making tall and slim structures like 'Burj Al Arab' in Dubai ? Lets discuss what 'Lean Construction' is all about, its evolution and present status. I would also like to do a critical review of this philosophy in terms of its effectiveness & relevance.

Where JIT , TQC and lean manufacturing are originated?

All these philosophies originated in controlled environments were activities and scenarios are repetitive and more ‘predictable’. The basic concept of all these philosophies is process quality improvement by eliminating waste (Manpower, time & materials). These philosophies are applied on the conventional manufacturing process of Raw material passing through a process and get converted into a finished product. The following are more or less known and are fixed:

1) Available manpower, their skill level
2) Availability of raw materials (Known in advance & mostly stored in advance)
3) Work environment (Closed and mostly fixed)
4) Scope (End product is clearly defined and there are hardly any in process changes)

Micro planning and time-motion study analysis are very popular in industries which follow such production philosophies. Each minute/small action is subjected to critic and ways are sought to reduce the cycle time / execution time. Lay out of the plant is revised and finally optimized for a product or set of product to minimize production time. Read all these in conjunction with the fact that Japanese are hard workers (or allegedly workaholic!)

Such production philosophies found instant success in many mechanical production companies, especially Automobile industry. Most of these Japanese production philosophies heavily banked up on the repeatability of the job being carried out.

The star of the Japanese production philosophy is none other than TOYOTA. Many people celebrated its success and competitors envied. Industries outside of car manufacturing also started thinking about implementing same / similar philosophies in their production facilities.Many companies successfully implemented these techniques and benefited.

It was then, Mr.Lauri Koskela a researcher at VTT building technology-Finland , came up with an idea of extending the much celebrated ‘Japanese Production Philosophies’ into rather ‘unorganized’ construction industry in a seminar which was presented in 1999-2000 period.

He argued that the conventional construction project management is useless / insufficient and the CPM / networking methodologies do not represent the actual work. Major argument used by him in defense of the much established network scheduling based on CPM was , it does not cover many sub activities like waiting, moving and checking which consume considerable amount of manhours. 90% of the paper Mr.Koskela is talking about the definition and evolution of Japanese productions philosophies (JIT, TQC,TQM, Continuous improvement ..etc) in the manufacturing industry. Towards middle of the paper he is starting to talk about the construction industry and possibilities of implementing the Japanese productions philosophies in that.

I am not going in-depth review of his paper, which you may access online.
How ever this paper attracted huge attention in the industry and resulted in the origin or a new terminology ‘Lean construction’!

This gave birth to a new organization ‘Lean Construction Institute’ , a non-profit research organization in 1997. The founders were Mr.Glenn Ballard and Mr. Greg Howell who are considered to be pioneers in this philosophy.
http://www.leanconstruction.org/

LCI has generally been observed as a critic to, much established PMI (Project Management Institute). How ever, while PMI is being aggressively engaged in spreading its philosophies globally through creation of standards, education and certification, LCI is yet to make a good impact in the construction industry.

Generally all will agree to the fact that ,certain facets of Japanese production philosophies are directly applicable anywhere, which includes good house keeping and reduction of waste (Time & resources). But scrapping the age old project management philosophies followed in construction along with much established CPM –networking method does not seem to be very easy unless the ‘Lean Camp’ is able to convince construction professionals with the shortcomings of the existing methodologies.

So , where I am standing in the debate ?

Well, I feel the ‘Lean’ methodology is more ‘Micro planning’. Typically the number of activities involved in a construction project of decent size is millions! Spending time on tweaking & optimizing each is nearly impossible. Good hygiene & 5S can be implemented at site. Supervisors can be instructed to plan their activities in more detail in such a way that labour & tools are not idle. Changing the lay out is not very easy since it s ever changing in the construction scenario and the same sequence or ‘cycle of operations’ are not repeated. In construction, at one place, a series of activities happen only once. An area is set up, equipments are installed, piping is connected and other commissioning activities are followed. This area is not again empty for repeating the task. Scope change is also very common phenomena in construction projects. This is because of the fact that micro engineering is not a viable option in construction projects. As the project is progressed changes can be made if it is favorable to the end product.

Each project is unique even if it is a similar kind of plant/facility built before. This is due to the fact that environmental factors changes from project to project. Managers, engineer and labours involved, location, technology, funding, local community influence, government regulations..etc varies from project to project. While millions of identical cars are produced in a car factory, even the leading construction companies might not have done more than 100 projects of similar kind! All these facts write off the possibility of ‘optimizing the flow process’ as done in manufacturing. The only thing can be done is strict supervision and better day to day & weekly planning.

I strongly feel that we should not adapt to some new philosophy in construction just because it was successful in bulk manufacturing. More and more structured planning (Top down approach or ‘progressive elaboration’). That is what we need to enhance in the construction project management. Supervisors are to be equipped with PM concepts and should be able to plan their activities. Also people working in the construction industry are to be more cost oriented apart from being quality & safety conscious. Each and every action must be viewed in a ‘cost’ angle as well. An idle tool or employee is loss of money. Rework will disturb schedule and eventually pull profit down.

It is impossible to define optimized set of actions for construction projects as in manufacturing. We can adopt a philosophy of reducing waste and implementing good house keeping hence reduce idle time and improve safety. It’s all about creating a positive mindset among those who work at site!


Hey pharaohs of Lean please don’t scare poor construction professionals with ‘Hi-Fi’ buzz words. They are working hard and fighting with the harsh environment to make dreams real. They don’t have the security and comfort of a modern machine shop. They are stressed since they have to satisfy the needs of people, technology schedule, cost, quality and safety! Please don’t do ‘Time-motion’ study on them! You may be damaging the ‘Big-Picture’ by doing that!

(The views expressed in this blog are absolutely personal opinions and terminologies used are properties of respective trademark and registration owners. The objective of this article is to have a constructive criticism of Lean Construction philosophy with a stint of humor.You are free to post comments no matter you agree or disagree with my views!)


References:
Lean Construction Institute (LCI) : http://www.leanconstruction.org/
Wikipedia : http://en.wikipedia.org/wiki/Lean_Construction
Lauri Kosklea : Application of new production philosophy to construction


Image courtesy  : http://www.onlineweblibrary.com/

Monday, July 28, 2008

Continuous Improvement

If you search for "continuous improvement" in Wikipedia ,you may get redirected to another page "Kaizen". The japanese word 'Kaizen' means 'Improvement'. This concept was launched and popularized by 'Masaaki Imaai' Mr.Imai does not work for any manufacturing companies. He is a management consultant concentrating on the productivity and quality enhancement initiatives rooted in Japan. He is the chairman of 'Cambridge Corporation' - a management consultancy helping western companies to implement Japanese management concepts.
Anybody who conduct a research in Japanese productivity initiatives , will end up in one factory - 'Toyota' . Toyota has enviable record in breakthrough productivity initiatives and quality improvement programmes. I have recently read an article on different continuous improvement initiatives in Toyota. The innovations were simple yet fantastic. When we read the problem and then the solution , we will feel like, it cant be better than that ! But they never stop innovation. They work on improving what they have. That is blended into their work culture and they call it "Continuous Improvement" .
No one can 'achieve' continuous improvement . We can only initiate and maintain that. But when ever an organisation plan to marry this philosaphy , they go with clear goals. Continuous improvement should be 'aligned to business objectives' . We shall not grow in a direction which we dont want to !
Another thing to be clarified by the management is , what kind of quality improvement they are planning -
  • Product Quality
  • Process Quality
 Ultimately process quality improvement only bring profit to the organization and undoubtfully the most basic intention of any business entity is to make profit ! I would suggest any management to adopt "Process Quality Improvement" initiative.
Process Quality Improvement 

Manufacturing is based on the following philosophy:
Raw materials -> Process -> Product

Raw material include physical materials , people , ..etc . Process is the method and sequence of manufacturing, Product is the end result. Assume we have 2 samples of product from 2 different factories. After the quality test it was found that both have same features/quality. How ever when examined , the cost of production for both the samples were found to be different. One company has put better 'methodology' to manufacture the product than other. They effectively utilised the manpower, used proper tools and techniques, eliminated waste and delay and manufactured the product with out compromising the quality. Such a 'Fine tuned' process will not happen in a day. It happened through 'Continuous Improvement' only. Those who deal with the process always quiz better way of doing it , come up with suggestions for improvements, implement thoughts and measure results.
Till the last day they produce they will keep on improving their process. Improvements are normally not 'Drastic' in this philosophy. They are step by step 'enhancements'. Hence there wont be any stoppage in production (atleast no major stoppage!) to implement the new ideas. Each and every employee (from sweeper to CEO!) contributes to this initiative. No bullying, no politics.
There was a great article which i have gone through. An American manager joined Toyota's US plant. He was very enthusiastic and with in a month of service he came up with some improvement project and successfully implemented. In a management meeting , where the Japanese bosses were present , he presented his 'Project report' , highlighting achievements. When he turned back , he saw the 'puzzled' faces of his bosses. One of them asked him "But , what is the problem, where is the problem?"
The American manager was stunned. He felt insulted. Understanding the situation the head of the plant , explained the new manager about Toyota culture.
"We know that you are efficient. That is why we hired you. But in management meetings , were are here to discuss problems"
"Improvements and achievements are part of our job. Many low grade workers in Toyota has come up with fantastic ideas which saved millions.But we wont stop it there celebrating that!"

Welcome to Toyota culture !

This was a phase shift to the American manager , who was familiar with the more 'western' six sigma concepts , where a set of specialist white collor guys jump in to the plant, quiz the employees, take measurements ,play with 'MiniTab' software, conduct 'Hi-Fi' meetings , make flashy presentations and end up with a 'Black Belt' project, which will be well documented and kept in the shelf!
Continuous Improvement is not Goal Setting !
Here people wont over celebrate such initiatives. It is their part of job. Now you will be knowing why Toyota is opening several new plants in US , when its competitors are busy in lay offs and 'down scaling' !

Features of Continuous Improvement 
Different texts may give you different ideas or wordings .. but the basic concept is fine tuning the steps of production to improve flow and reduce waste (Time & money). Let me list a few , which i have read in the Lauri Koskela's paper on "Application of the new production philosophy to construction" - which laid the foundation of  "Lean Construction " and "Lean Construction Institute "  :
  1. Efficiency of flow process
  2. Small steps, detailing and ultimately fine tuning
  3. Involvement of everyone in the company
  4. Internal 'know-how' , best practice
  5. Overcome constraints in 'Variability reduction' or 'Cycle time compression'
  6. Require little investment but great effort to maintain it.
  7. Maintaining the drive (continuous improvement) and improve it
  8. Primarily idiosyncratic (Attitude based) : Embodied in the minds of people, system of equipmens, procedure and the organisation as a whole !
  9. People drive it !

What to measure in Continuous Improvement 
  1. Measure waste
  2. Measure value addition
  3. Measure variance (Defects)
  4. Cycle time
  5. Degree of simplification

How to implement Continuous Improvement

Continuos improvement is not a 'System' like ERP to implement. It is a 'Philosophy' .Any organisation can marry this philosophy by:
  1. Making a management commitment
  2. Taking the message to the worker level
  3. Never quit !
There are increasing effort to bring the Japanese productivity initiatives generally  followed in manufacturing to Project environment. The biggest criticism for this is , the difference in the way both business operates. In projects most of the activities are unique and non repetitive unlike manufacturing. Still effort to absorb best practices are always recommended. Development of 'best practices', 'continuous improvement' , 'Delay elimination ' ..etc are relevent in project scenario as well.

I will be putting more articles on the developing concept of 'Lean Construction'