Lean Construction is a production management-based approach for project delivery, minimise waste and maximise value for the customers. In other words, Lean construction uses a mix of operational research and practical development along with principles of Lean manufacturing to improve construction processes at minimum costs.
Identification of waste in construction design and building operations is the first step towards Lean construction. Waste in Lean construction is defined as anything that uses more resources without generating any value. In fact, a big percentage of total project costs increases if waste continues to be a part of the construction and building process.
Lean construction involves waste identification and elimination. Streamlining construction processes and establishing a culture of continuous improvement is a crucial aspect of Lean. It also focuses on seamless collaboration between different departments and stake holders to maximise efficiency and reduce waste for achieving excellent results.
What is Lean and What are Lean Principles?
The concept of Lean was first introduced in the Toyota Production System in Japan during the mid-20th century. Later it was used by a number of American and European car manufacturers. Since then, Lean has evolved and found its way in all the areas of business departments (finance, HR, Customer Service) and industries outside of automotive.
More than cost, Lean emphasizes on value creation. It seeks to remove all the non-value adding activities, elements and processes whilst improving those that add value. Lean aims to define value in customer terms, identify bottlenecks for removal, and circle out areas where more value can be added. The goal of lean is to create a seamless and standardised process wherein goods and services flow from one value-adding place to another. These are what are called the principles of Lean.
The Five Principles of Lean Methodology
| Principles | Description |
| 1. Define Value | Value is defined as what a customer is actually willing to pay for. It includes knowing the pain points of customers and how your product or services can ease their pain, satisfy their needs at the price that they can afford. |
| 2. Mapping Value Stream | Taking the identified customer’s value as a reference point and mapping all the activities that contribute positively towards these values. It also includes elimination of any bottlenecks or waste that slows down the process. |
| 3. Create Flow | After eliminating the bottlenecks, we move to flow. A flow involves breaking down the process, distributing workload, creating cross-functional teams for an uninterrupted and seamless process. |
| 4. Place a “Pull” System | In simple words, “Pull” means letting the customer reach out for the product and immediately creating rather than producing products and services in advance. This reduces wastage and unsold inventory. |
| 5. Continuous Improvement | The fifth principle of Lean is the most crucial one. It emphasizes on not just creating but sustaining a culture of continuous improvement at an organisational level. It involves participation from top management to bottom ranked workers for driving efficient results. |
Types of Wastes Identified By Lean Construction
As mentioned above, Lean Construction draws heavily from Lean Manufacturing (like Toyota’s system). However, it does modify itself to fit the complexities of construction and building projects. There are many types of waste (non-value adding activities) that delays process, increase costs and time. But we will focus on the 5 major wastes that hamper the productivity and quality delivered by construction businesses.
Here is a tabular representation of 7 major wastes and descriptions:
| Waste | Description |
| 1. Rework | Rework is any activity that requires redoing the process due to poor quality, inefficiency or change in order. |
| 2. Request for Information | Excessive time consumption due to waiting for approvals, clarifications, or seeking out missing information. |
| 3. Change in Order | Shift from initially placed order or scope. This waste disrupts flow and already planned workflow. |
| 4. Insufficient Resources | Any business is likely to suffer if it is functioning on insufficient resources. Not having adequate resources, materials, labour, or equipment can and will delay the construction process. |
| 5. Process Inefficiency | If work is not performed according to the set standard or is being performed in a rather disjointed manner, it leads to process inefficiency. This process inefficiency is a major waste standing in the way of achieving construction excellence. |
| 6. Excess Material | Excess material is anything which is present more than required. Having excess material leads to inventory waste and occupies more space and resources. |
| 7. Unnecessary Transportation/ Motion | Any non-value adding movement of materials or excessive movement of materials leads to waste of time and resources. It keeps the workers busy and engaged without generating any productivity. |
| 8. Safety Losses | Safety hazards are a big challenge for any construction business. Accident delays in workplays that could cause disruption, unsafe working conditions, even work getting stopped due to investigation of hazard comes under safety losses waste. |
How Can a Lean Consultant Help?
If your construction business is losing its productivity and efficiency due to any of the above waste, it’s time to consider a professional service of a lean consultant. Lean consultants are experts who have worked on multiple projects and with different departments and industries. They have practical knowledge and experience in implementing lean principles and establishing a culture of continuous improvement in your organization. To implement lean in your construction business, a lean consultant may use all or every Lean tool mentioned below:
- Last Planner System – for collaborative planning.
- Just-In-Time (JIT) – for delivering goods and services as and when needed.
- 5S of Lean – to keep the workspace clean, organised and accident-free.
- Value Stream Mapping – Analysing workflow and identifying barriers and including all activity that adds value.
- Kanban Board/ Card – a visual scheduling system that helps workers organise and improve their workflow.
