Lean Principle - Value Stream

A contractor’s value stream is every step required to take raw materials and information then deliver a completed project to the waiting hands of a customer.

D. Brown Management Profile Picture
Share

A deep understanding of this value stream at various levels of detail down to actual installation steps is the foundation upon which major productivity improvements can be made.  

Field Productivity: Lean Principle - Value Stream.

As an example consider every step required to put lighting in a conference room - these are just the highlights:  

  • Initial design requirements
  • Quotes from distributor for estimating
  • Submittals and approvals
  • Ordering, tracking and receiving
  • Moving around jobsite to work area
  • Installation
  • Inspection
  • Training of the customer
  • Punch list

This is the highest level and if you mapped out each of those in another 5-25 steps you would start to see a clear picture of what it really takes to install a light fixture in a conference room.  

Start at the highest level - what can be cut out, reduced or sequenced differently?  

Look at the details - can you use 2 screws instead of 4?  50% cost savings at that step! 

Remember that the customer just wants light - could a skylight or more windows reduce the lighting need at the design stage?  


Labor Productivity Workshop


Lean Principle - Value Stream
Field labor is the often the biggest variable on a construction project - making it the biggest risk and opportunity....

Lean Principle - Value Stream
Field labor is the often the biggest variable on a construction project - making it the biggest risk and opportunity....

What is Lean
Labor productivity in the construction industry impacts all contractors and project owners and has become even more challenging with the craft labor shortage.
Lean Principle - Value Add vs. Non Value Add
For specialty contractors the field workforce represents most of their competitive advantage as well as their biggest source of variability. Making improvements to field productivity requires deeply understanding what truly adds value to the customer.
Lean Principle - People First (Then Process and Tools)
To optimize productivity, a contractor must focus on their people first, then processes and tools including technology as an integrated management system with a hierarchy. This is not a linear process: S.M.A.R.T. Experiments + Continuous Improvement.