Download - Five Big Ideas Rehaping Project Delivery
© 2004, 2006 Lean Project Consulting, Inc.
Putting the Focus On the Customer
Five Big Ideas Reshaping
Project Delivery
Hal Macomber and Gregory Howell
© 2004, 2006 Lean Project Consulting, Inc.
It's what you learn after you know it all that counts.
– John Wooden UCLA Basketball Coach
© 2004, 2006 Lean Project Consulting, Inc.
Lean Principles
• Lean Revolution– Toyota Production
System – Lean Thinking– Project-Based
Production• Reliability before
Productivity• Collaborative Design• Rethinking Construction
– Lean Solutions
• Five Lean Principles– Customer Value– Value Stream– Flow– Pull– Pursue Perfection
© 2004, 2006 Lean Project Consulting, Inc.
Five Big IdeasLean Philosophy for Projects
Collaborate;Really
Collaborate
Optimize the Whole
Tightly CoupleLearning w/
Action
Projects as Networks ofCommitment
IncreaseRelatedness
© 2004, 2006 Lean Project Consulting, Inc.
1. Collaborate, Really Collaborate in Design, Planning, and Execution
• Finding and working to a purpose held in common.• Discover why others are there.• Aim for coherence: Align rewards and systems• Pay attention to timing level of detail• Learn from people who will perform• Create situations for surprise contributions• Reinforce positive iterations (learning)• Avoid negative iterations (rework)
© 2004, 2006 Lean Project Consulting, Inc.
Teams: Seeing the Fragmentation
OwnerArchitect
Civil
Structural
Mechanical
Electrical
Plumbing
Landscape
Elevators
Interior
Parking
CM/GC
Site
Steel
Mechanical
Electrical
Plumbing
Landscape
FramingFloor Cover
Painting
Geotech
Materials
Service
Traffic
Equipment
OfficeLabsManufact’
gDistribution
Eng’g
Operations
© 2004, 2006 Lean Project Consulting, Inc.
Possibilities from Collaboration
• Design and construction are iterative– solutions to a series of problems– possible solution often creates another
problem– art of the conversation allows creative, yet
realistic exploration of the possible
© 2004, 2006 Lean Project Consulting, Inc.
2. Increase Relatedness among All Project Participants.
• People come together as strangers on AEC projects.
• Healthcare projects require learning, innovation, and collaboration.
• That takes deep relatedness.• Learn to build relationships intentionally.• Key skill is listening.
© 2004, 2006 Lean Project Consulting, Inc.
Transforming Teams:Building Relatedness of the Players
M/E/P
CORE GROUP
Structure
Landscape
Material Handling
Vertical Transp.
Site Improvements
Interior/ Finishes
Building Envelope
• Relationships Based on Prudent Trust
• Teams don’t have meaningless players
• Teams participate from beginning to completion
• Execution virtually never relies on only one player!
• Team members learn to play the game together.
© 2004, 2006 Lean Project Consulting, Inc.
3. Projects Are NetworksOf Commitments
There are three kinds of work:1. Design (from nothing to something)2. Material transformation3. Coordination of action
Coordination is possible among task performers in the conversations people have with each other
© 2004, 2006 Lean Project Consulting, Inc.
Work in Projects
• Transformation work – physical “touch” work turns inputs into outputs
• Making and Keeping Commitments – the basic work of all business
• Design – Creating Conditions of Satisfaction
© 2004, 2006 Lean Project Consulting, Inc.
Conditions of Satisfaction
&Date of
Completion
CUSTOMER
Request“Will You?”
Prepar
atio
n
1
3
4
PO
InquiryNegotiation
Clarification&
Negotiation
Signed
PROVIDER2
Perfo
rman
ce
Declare Complete“I’m Done”
Accepted Submitted
Commit“I Promise I WILL”
Assurance
DeclareSatisfaction“Thank you”
Conditions of Satisfaction&
Completion Date
The “Physics” of Coordination
© 2004, 2006 Lean Project Consulting, Inc.
Building the Network of Commitments in Planning
• Hold planning conversations in public.• Identify key milestones to deliver the promise of the
project. Identify long lead items and make requests.• Build phase schedules with those responsible for
the work in each phase. Establish rules for speaking up.
• Make work ready by screening, requesting and securing reliable promises. Only release when ready and needed.
• Secure promises for daily task completions from each performer or Last Planner
• Report completions each day. Identify reasons for incompletions. Take action. Re-plan.
© 2004, 2006 Lean Project Consulting, Inc.
4. Optimize the Project
• Optimize at the project level – Not the subcontractor performer group– Not the task level
• Think work streams• Think systems• Think customer outcomes• Pursue planning reliability before worker
productivity
© 2004, 2006 Lean Project Consulting, Inc.
Lean Design: An Overview
* Involve downstream players in upstream decisions* Alternate between all-group meetings and task force activities* Create and exploit opportunities to increase value in every phase of the project
Organize in Cross Functional Teams
Pursue a set based strategy
* Select from alternatives at the last responsible moment* Share incomplete information* Share ranges of acceptable solutions
Structure design work to approach the lean ideal
* Simultaneous design of product and process* Consider decommissioning, commissioning, assembly, fabrication, purchasing, logistics, detailed engineering, and design* Shift detailed design to fabricators and installers
Minimize Negative Iteration * Pull scheduling* Design Structure Matrix* Strategies for managing irreducible loops
Use Last Planner System of Production Control
* Try to make only quality assignment* Make work ready within a lookahead period* Measure PPC* Identify and act on reasons for plan failure
Use technologies that facilitate lean design
* Shared geometry; single model* Web based interface
© Lean Construction Institute 2003, used with permission.
© 2004, 2006 Lean Project Consulting, Inc.
Embrace Uncertainty
• Modern science has moved well beyond a fixation on exact prediction and control; it has learned to accept unpredictability as an unavoidable and, at times, even beneficial aspect of the world, as a resource that can sometimes be harnessed.
Mark Buchanan, Power Laws and the New Science of Complexity Management, Strategy+Business, Spring 2004
© 2004, 2006 Lean Project Consulting, Inc.
5. Tightly couple actionwith learning
• Toyota calls it single piece flow• For so long we’ve misunderstood what Toyota
was doing• They have designed their whole system of work to
align with customer demand and to give performers throughout the process opportunity to learn while in action
• Applying the scientific method - PDCA.
© 2004, 2006 Lean Project Consulting, Inc.
Designing Work for Learning
• Experimentation• Single-Piece Flow• Habits for Feedback
– Plus/Delta Reviews– Five Why Analysis
• Planning that Anticipates Learning
© 2004, 2006 Lean Project Consulting, Inc.
• The tough part is that many times you’ve got to change before the real requirement to change is necessarily seen. That means people will make mistakes.
• You’ve got to give people the opportunity to make mistakes, to fail, and not to crucify them for doing that.
Art Collins, Medtronic, CEO’s on Innovation, Fortune Magazine, March 8, 2004
© 2004, 2006 Lean Project Consulting, Inc.
Reaching a New Frontier: Leadership, Planning and Management
Traditional Thought• Leadership dictates direction
• Planning is partitioned by trades/disciplines and is linear. It is predictive and generally fixed, setting parameters for management
• Management controls are inflexible, autocratic - processes are fixed and measures are isolated and generally historical
Lean Thought• Leadership facilitates collaborative
direction• Planning is collaborative, project based
and seeks to integrate efforts to eliminate negative iterations. It learns as project evolves
• Management develops a “network of commitments” to implement plan, evolves intelligence, measures are integrated and proactive
© 2004, 2006 Lean Project Consulting, Inc.
Limitations of theCurrent Approach
• Activity Centered: Ignores the effect of workflow variation on performance.
• Separates downstream players from upstream activities
• Command and control creates a commitment free zone– Requires motivation, ignores promising. – Fails to produce trust.– Push Planning cannot Coordinate the specialists
• Control only as tracking misses the best opportunity for control
© Lean Construction Institute 2003, used with permission.
© 2004, 2006 Lean Project Consulting, Inc.
Project Management Works
When Practices, Systems and Leadership produce coherent commitments connecting the promise of the project to the work of specialists, and coordinates their actions.– Creating reliable workflow within and between
workgroups– Allowing decisions to be delayed to the last
responsible moment.– Adjusting appropriately in the moment to increase
value and reduce waste.
© Lean Construction Institute 2003, used with permission.
© 2004, 2006 Lean Project Consulting, Inc.
Master Scheduling
Weekly Work Planning
Lookahead Planning
Learning
Phase Scheduling
Set milestones
Specify handoffs
Make ready &Launchreplanning whenneeded
Promise
Measure PPC &Act on reasonsfor failure tokeep promises
SHOULD
CAN
WILL
DID
Planning, Controlling & Correcting
© Lean Construction Institute 2003, used with permission.
© 2004, 2006 Lean Project Consulting, Inc.
Connecting to the Big Ideas
• Collaborate - Wait till you see the movie• Increase Relatedness - Keeping promises sure
helps. • Networks of Commitments - Designed and
activated in planning.• Optimize the Whole - Improving reliability
increases total capacity.• Connecting Action to Learning - Immediate
feedback every day improves planning system performance.
© 2004, 2006 Lean Project Consulting, Inc.
Five Big IdeasEmergent Outcomes
Collaborate;Really
Collaborate
Projects as Networks ofCommitment
Tightly CoupleLearning w/
Action
OptimizeThe Whole
IncreaseRelatedness
Innovation Competitive
ContinuousImprovement
Reliability
BuildTrust
© 2004, 2006 Lean Project Consulting, Inc.
Breaking with Common Sense
Learning to deal with discontinuity requires that individuals and organizations face the difficult task of thinking differently; of breaking habits and questioning long-standing conceptual and cultural commitments.
Mark Buchanan, Power Laws and the New Science of Complexity Management, Strategy+Business, Spring 2004