Lean Construction starts from a simple ideal: Give customers what they want, do it instantly, and manage production to minimize waste. This ideal fixes attention firmly on what matters—managing the total project—and differs radically from current practice, which tries to optimize each activity and is thus unable to assure project outcomes.

The Lean Construction Institute (LCI) is working to define the theory, principles and techniques of a production management based project delivery system. It draws on lessons learned in other industries about how to design and make things. People applying lean already understand that work flow reliability is more important than point speed, that central control has an important but limited role in managing production, and that rapid learning is the best response to uncertainty and complexity. We believe this approach will change the construction industry and we see it happening among owners, suppliers and our members.

LCI has the core engine, Last Planner System of Production Control, up and running. We know that it -

• works in a wide variety of project settings,
• is particularly appropriate on complex, uncertain and quick circumstances,
• works in both design and construction, and
• forms the basis for a new approach to managing front end planning, design and supply chains.

We are confident this system is more than a patch. And like any new system will eventually require extensive changes in our other “software” including how we contract for and manage work.

We developed this system by first understanding the essential “physics” of production and design. In production this means understanding the combined effects of dependence and variation on system throughput. In design it means coming to grips with the dynamic and wicked nature of projects themselves. Once we have this understanding in hand, we can design systems that maximize value and minimize waste – and get the job done. And finally we can design the organizations to support these systems and draft the contracts needed to create those organizations.

A closing thought: This revolution is coming at construction from both sides. Progressive owners have applied lean on shop floors to align their production technology with their business strategy. Some of these owners are now putting pressure on their facilities departments to apply lean to achieve the same goals. And suppliers from Cold Springs Granite to Trane now use these techniques in producing the bits and pieces that make up projects. Both groups are frustrated by the failures of project management. Some of each are taking steps to gain greater control over the problem. Owners, by changing how they work with designers and contractors, and suppliers by extending their business into specialty contracting and property development.

Gregory A. Howell, P.E.
Director, Lean Construction Institute
www.leanconstruction.org
Ghowell@leanconstruction.org
208/726-9989

David Clendenen is the Editor of AECVision and Managing Editor of AECCafe.com

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