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The project delivery specialists
LEAN PROJECT DELIVERY –
KICKSTART YOUR LEAN CONSTRUCTION JOURNEY
Kickstart Your
Lean Cons...
2
Michael Kerr
PM Group
Group Construction Services QA/QC Manager
Landline: 021 452 2852
Email: michael.kerr@pmgroup-global....
Agenda
• 19.00 Welcome
• 19:05 Introduction to Lean Construction & LCI Ireland CoP
John French, LCI Core Group Member
• 19...
The project delivery specialists
INTRODUCTION TO LEAN CONSTRUCTION & LCI IRELAND COP
John French, LCI Core Group Member
Ki...
Ireland Community of Practice (CoP)
Agenda
1. Why Change, Why did we set up Lean Construction
Ireland in May 2014
2. CoP S...
Ireland Community of Practice (CoP)
•1. Why Change, Why
did we set up LCI -
Ireland CoP
Ireland Community of Practice (CoP)
Burning Platform for Change
(Source: US Chamber of Commerce, 2011)
Every Punchlist/Sna...
Ireland Community of Practice (CoP) 9
The Construction industry has not achieved the
productivity gains of many other sect...
Ireland Community of Practice (CoP)
Why - Benefits
1. Competitiveness & better
business yields
2. Higher Quality Construct...
Ireland Community of Practice (CoP)
Why –
“The
Benefits”
Ireland Community of Practice (CoP) 12
Intel Construction Revolution
An Owner’s Journey
External
Learning
Construction
Sto...
Ireland Community of Practice (CoP)
•2. CoP Structure &
Behaviour/Purpose
& Goals 2015
Ireland Community of Practice (CoP)
Contrac
tor
March
2014
LCI CoP
Formed
Ireland Community of Practice (CoP)
CoP’s outside US LinkedIn
• UK
1,109
• Ireland
947
• Denmark
728
• Germany
116
• Norwa...
Ireland Community of Practice (CoP)
Core Group
1. Growth
6.
Measure
2.
Knowledge
3. Barriers
4.
Collaboration
5. Demand
LC...
Ireland Community of Practice (CoP)
LCI Ireland Core Team :
• Owner
• John French - John.m.French@intel.com
• Trade & Gene...
Ireland Community of Practice (CoP)
Ireland Community of Practice (CoP)
Purpose of CoP
• 7 Groups working together to
change the Industry.
• Owners
• Trade Co...
Ireland Community of Practice (CoP)
•3. The LCI Ireland
CoP Journey – so
Far
Ireland Community of Practice (CoP)
• LCI May 2014 – Intel Launched –
• Owners Perspective - John Pemberton/Joe Foley
/ Ni...
Ireland Community of Practice (CoP)
• LCI Nov 2014 – CIF Sponsor
• CIF Perspective, President of CIF – Philip
Crompton
• M...
Ireland Community of Practice (CoP)
• Event #7 – LCI- Ireland CoP – June 2015
Details & Location TBD
• Event #8 – LCI- Ire...
Ireland Community of Practice (CoP)
Tactics for 2015
7. Develop Website – Demand
Leader - Richie Casey
10. Clients Forum -...
Ireland Community of Practice (CoP)
http://leanconstructionireland.org/wp/
Ireland Community of Practice (CoP)
Takeaway
Ireland Community of Practice (CoP)
Why
What
How
BIM VSM
Visual Factory
Poka-
Yoke
Pull
Plan
Kaizen
JIT
And
on
7 Wastes
5S...
Ireland Community of Practice (CoP)
The project delivery specialists
KEYNOTE SPEECH 1: THE LEAN PROJECT PATHWAY –
YOUR ROUTE TO DELIVERING A GREAT PROJECT
Ric...
Presentation Outline
• Applying Lean through all stages of the project cycle
• Introducing the Lean Project Pathway
• Maki...
Lean = Delivering Better Value
Project Costs
Market Price
Adding Best Value at Minimum Cost
Cost
Profit
V-A
NVA
WASTE
Time...
Optimise benefits by applying Lean through the
whole project cycle
Each main project phase is made up of a
number of sub-p...
How well do all interacting parties play as a team?
- Play well within their own tents?
- Do not always have the same game...
The Lean Project Pathway
Lean Project Strategy
Activity
Lean vision & objectives
Integrated high performing team
Collabora...
Integrate Tool /
Service
Business
Justification
Brief & Scope
Establish KPIs +
Associated
management
system
Feasibility St...
The Lean Project Pathway
Lean Mobilisation
Activity
Plan, review & challenge all activities to ensure
readiness and right ...
The Lean Project Pathway
Lean Construction
Activity
Collaborative project management (weekly &
daily)
5S workplace organis...
The Lean Project Pathway
Post Construction
Activity
Well planned and managed activities /processes
to support handover & m...
A Lean View?
• A good squad
• Team work
• Practiced
• Flow
• Visibility
• Control
• Continuous improvement
• Achieving goa...
Lean Tools and Techniques
Applying the appropriate tool to
the right situation.
Be prepared to adapt the
approach.
Don’t b...
“The significant
problems we have
cannot be solved at
the same level of
thinking with which
we created them”.
Lean Strategy
Lean Pre-
Construction
Lean
Mobilisation
Lean Project
Delivery
Lean Post
Construction
The Lean Project Pathw...
30% increase in design capacity
Up to £5 million per annum bottom line gain
Design predictability improved by over 50%
Pre...
Lean Construction Projects – Elements for Success
• Improvement currency - what’s the value of a day?
• Leadership & manag...
Here is Edward Bear, coming downstairs now,
BUMP
BUMP
BUMP
On the back of his head,
behind Christopher Robin.
It is, as fa...
Lean Construction Projects
Take-aways
• Lean Project Pathway – one page overview
• CIRIA guide
http://www.ciria.org/News/C...
Thank you …
The project delivery specialists
KEYNOTE SPEECH 2:
ENTERPRISE IRELAND LEAN BUSINESS OFFER
Richard Keegan
Kickstart Your
Le...
Why is the world going Lean?
Because it works!!
Who am I?
• Enterprise Ireland, Competitiveness Department
• EU Japan Centre for Industrial Co-Operation
• European Benchm...
Lean - Action based on FACTS
How GOOD are you? How do you know?
• Benchmarking = Diagnosis
Do you DECIDE to get better?
• ...
Facilitated
Assessment
Benchmarking
Physical&Process
Flow in the Office
Physical&Process
Development
Production
Control Sy...
What do we mean by Lean?
• Lean is shorthand for Best Practice within a sector
• Helps People identify and deliver improve...
What is Lean?
• Based on the Toyota Production System
• Focused on Effectiveness and Efficiency
• Doing the right things w...
QUICKER
BETTER
CHEAPER.........TOGETHER
Lean is doing what you do….
Some Lean Principles….
• Time
• Money
• Effort
Must want to compete…..
Rules
1. Fairness
2. Firmness
3. Consistency
4. Look
5. See
6. Understand
7. Think
8. Do
Dealing with People
Dealing with ...
Five Fundamental Lean tools…..
• Process Mapping
• Physical Flow mapping
• Check Sheets – What is going wrong?
• Run Chart...
Key Lean Questions…..
• What are you doing?
• How are you doing it?
• Why are you doing it?
• Who is going to improve it?
...
NOT just on the Production Floor!
Enterprise Ireland Lean Business Offer
Eligible cost elements Client
costs
EI grant
Lean-Start ‘Lean’ consultancy
fees at ...
Lean Works - Project Impacts
Savings Reported from Lean Start Projects
0
100
200
300
400
500
600
1 5 9 13 17 21 25 29 33 3...
Just because you can’t do it doesn’t mean it can’t
be done...
http://www.enterprise-ireland.com/en/
http://www.envirocentr...
The project delivery specialists
LEAN PROJECT DELIVERY : AE PERSEPECTIVE
Mick Lynam, Director, PM Group
Kickstart Your
Lea...
What is Lean?
• Systematic approach to delivering the highest quality, lowest
cost product or services with the shortest l...
Importance of the Start
66
CONCEPT / FEASABILITY FRONT END DESIGN DETAILED DESIGN PROCURE & CONTRACT CONSTRUCTION COMMISSI...
Life Cycle - ISPE Good Practice Guide
STAGE 1
Feasibility
STAGE 2
Conceptual
Development
STAGE 3
Project Delivery
Planning...
Life Cycle - ISPE Good Practice Guide
STAGE 1
Feasibility
STAGE 2
Conceptual
Development
STAGE 3
Project Delivery
Planning...
Where the Business Value resides…
Multiple Interfaces / Information Flows
70
Client
AE
Equip.
Vendor
CM
Sub Con.
C&Q
Internal Functional Groups
Internal Fun...
Depends on your point of view!
71
Project
Initiation
Stakeholder
Meeting
Concept
Design
SOR
FED / BoD
Detailed
Design
Proc...
Value Adding versus Waste
WORK PROCESSES
VALUE
ADDED
NON
VALUE ADDED
FLOW ELIMINATE
VALUE-STREAM MAPPING
• Eliminate the a...
Waste to be Avoided in Design
• Design Development e.g.
• Poorly defined Business Case / Scope - drives change & rework
• ...
Improve Information Flow
74
Lean Project ‘characteristics’
• Well thought out….careful project development
• Team understand where the Business Value ...
Project Opportunity v Single Company Opportunity
76
Multi Company
Project Opportunity
LEAN Project Delivery
Like Minded Pa...
PM Group Delivery Platform Revamp
77
International
Office Network
Belgium
China
Czech Republic
India
Ireland
Poland
Russia...
Positive Experience with LEAN
• Project Development Philosophy – emphasis on the start
• ‘Schematic Design in a Day’
• Mar...
PM Group Intranet & Delivery Platform Revamp
• 18 office network, 13 Countries
• Project Mgt
• Design
• Procurement
• Cons...
Thank You
80
The project delivery specialists
KICKING OFF A LEAN CONSTRUCTION JOURNEY
(CLIENT’S PERSPECTIVE) – MERCK / MSD
Sarah Fitzge...
LCI Ireland
Lean Project Delivery Approach
(Client’s perspective)
Merck/ MSD
25th Mar 2015
• Overview of Merck as a company - where we are in Ireland
• Merck’ s Project Delivery Approach
• Scoping Exercise – Use o...
About Merck/ MSD
Our Vision/ Mission
 We make a difference in the lives of people
globally through our innovative medicin...
Swords - Manufacturing
Leopardstown – Human
Health. Sales & Marketing;
EMEA Shared Business
Services Centre
Animal Health,...
86
• .
Merck’ s Project Delivery Approach
Initial Scoping Exercise
Use of Toyota tools and Competitive Scoping
Lean in Scope Defining Process
• Process Fit – uses lean tools from Toyota
• Define machine cycle times
• Identification o...
Competitive Scoping Model
Key Provisions:
Benchmark result to assure
competitive advantage
Provides visibility to senior...
89
Merck’ s Project Delivery Approach
Take it Offsite
Approaches Used Modular
Installation of first module – June Progress module installation – Oct
Full Modular - Carlow Ireland
- Designed in Sweden,...
Finished Photos – Modular Building
Progress – Module installation Oct 2009
Hybrid Modular Construction
92
Worker safety improved – all work
done from floor or ladder, instead of
from lift
“Hybrid m...
Modular Construction – Use of Skids
Pictures show Clean & Black
Utility skids
- Skids tagged and labelled with
access plat...
94
Merck’ s Project Delivery Approach
Right First Time
Use of Mock-ups
You can fix it now on the drafting board with an
eraser or you can fix it later on the construction
site with a sledge ham...
Mock-ups during Construction
 Aids Constructability – Equipment move in
 Proof of Space for Areas viewed as congested
 ...
First/ Next Steps on our Journey
• Community of Practice for Lean/ project delivery established approx. 12 months
• Within...
What we will be looking for ?
• Partners interested in moving forward lean delivery and who want to challenge
status quo
•...
The project delivery specialists
PANEL DISCUSSION
Kickstart Your
Lean Construction
Journey!
99
Wednesday 25th March 2015
Q&A
Does a company start by
applying some of the Lean
Tools on a sample project or
attempt to change the
company culture?
...
Q&A
Where does a small company
start and where are the main
sources of information?
101
Q&A
How and where does BIM fit
into Lean Construction?
102
Next LCI Community of Practice
“Going from Good to Great”
103
“A great organisation is one that makes a distinctive impact...
Thank You
&
Safe Home
104
Prochain SlideShare
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LCI Ireland COP March 2015 Event ( Sponsored by Project Management )

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Publié le

Introduction to Lean Construction & LCI Ireland CoP John French, LCI Core Group Member
Keynote Speech 1:– The Lean Project Pathway Richard O’Connor
Keynote Speech 2: – Enterprise Ireland Lean Business Offer Richard Keegan
Lean Project Delivery – An A&E Perspective – Mick Lynam, Director PM Group
Kicking off a Lean Construction Journey – MSD Ireland - Sarah Fitzgerald

Publié dans : Direction et management
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LCI Ireland COP March 2015 Event ( Sponsored by Project Management )

  1. 1. The project delivery specialists LEAN PROJECT DELIVERY – KICKSTART YOUR LEAN CONSTRUCTION JOURNEY Kickstart Your Lean Construction Journey! 1 Wednesday 25th March 2015
  2. 2. 2
  3. 3. Michael Kerr PM Group Group Construction Services QA/QC Manager Landline: 021 452 2852 Email: michael.kerr@pmgroup-global.com 3
  4. 4. Agenda • 19.00 Welcome • 19:05 Introduction to Lean Construction & LCI Ireland CoP John French, LCI Core Group Member • 19:30 Keynote Speech 1:– The Lean Project Pathway Richard O’Connor • 19.55 Keynote Speech 2: – Enterprise Ireland Lean Business Offer Richard Keegan • 20.15 Lean Project Delivery – An A&E Perspective – Mick Lynam, Director PM Group • 20:35 Kicking off a Lean Construction Journey – MSD Ireland • 20:50 Panel Discussion • 21.00 Networking 4
  5. 5. The project delivery specialists INTRODUCTION TO LEAN CONSTRUCTION & LCI IRELAND COP John French, LCI Core Group Member Kickstart Your Lean Construction Journey! 5 Wednesday 25th March 2015
  6. 6. Ireland Community of Practice (CoP) Agenda 1. Why Change, Why did we set up Lean Construction Ireland in May 2014 2. CoP Structure & Behaviour/Purpose & Goals 2015 3. The LCI Ireland CoP Journey – so Far 4. Takeaway
  7. 7. Ireland Community of Practice (CoP) •1. Why Change, Why did we set up LCI - Ireland CoP
  8. 8. Ireland Community of Practice (CoP) Burning Platform for Change (Source: US Chamber of Commerce, 2011) Every Punchlist/Snag list item costs $2370 1000 Punchlists = $2.3M Source : Larry Owen, ACIG -
  9. 9. Ireland Community of Practice (CoP) 9 The Construction industry has not achieved the productivity gains of many other sectors. Recent studies document inefficiencies and waste in the construction industry. • Economist article from 2000 identifies 30% waste in the US construction industry. • NIST study from 2004 targets lack of AEC software interoperability as costing the industry $15.8B annually. • US Bureau of Labor Statistics study shows construction alone, out of all non-farm industries, as decreasing in productivity since 1964, while all other non-farm industries have increased productivity by over 200% during the same period.
  10. 10. Ireland Community of Practice (CoP) Why - Benefits 1. Competitiveness & better business yields 2. Higher Quality Construction – 84% of practitioners 3. Greater Customer Satisfaction – 80% 4. Greater Productivity – 77% 5. Improved Safety – 77% (Source: McGraw Hill Construction SmartMarket Report – Lean Construction, Leveraging Collaboration and Advanced Practices to Increase Project Efficiency)
  11. 11. Ireland Community of Practice (CoP) Why – “The Benefits”
  12. 12. Ireland Community of Practice (CoP) 12 Intel Construction Revolution An Owner’s Journey External Learning Construction Story & Internal Learning Enterprise Vision & Goals/ Objectives Eliminate Waste Culture/ Behavior & Collaboration Standardize Framework Feb 2013 Nov 2013 Jan 2014 Mar 2014 Jun 2014 Jan 2015 Launch Lean Construction Ireland May 2014
  13. 13. Ireland Community of Practice (CoP) •2. CoP Structure & Behaviour/Purpose & Goals 2015
  14. 14. Ireland Community of Practice (CoP) Contrac tor March 2014 LCI CoP Formed
  15. 15. Ireland Community of Practice (CoP) CoP’s outside US LinkedIn • UK 1,109 • Ireland 947 • Denmark 728 • Germany 116 • Norway na • Australia 183 • Finland na LCI Ireland CoP • CoP off LCI in USA • No Fee, • No funding source • No Membership – just Share • All events are sponsored USA - The Home of LCI Community of Practice Structure ( CoP )
  16. 16. Ireland Community of Practice (CoP) Core Group 1. Growth 6. Measure 2. Knowledge 3. Barriers 4. Collaboration 5. Demand LCI Ireland CoP Structure Core Group
  17. 17. Ireland Community of Practice (CoP) LCI Ireland Core Team : • Owner • John French - John.m.French@intel.com • Trade & General Contractor • Gary E. Widger - Gary.Widger@mercuryeng.com • Kevin White - kwhite@joneseng.com • Scanlon, Fearghal - Fearghal.Scanlon@mwgroup.net • Designer • Paul Sexton - psexton@sceg.ie • CIF • Sean Downey - sdowney@cif.ie • Academia / Construction Innovation Lab • Brian Clare - briangclare@gmail.com • Facilities Management • Vincent Gibson - vgmphil@gmail.com If you want to get involved in LCI Ireland, please contact Core Team Member or Pillar Lead. LCI Ireland Pillar Leads: 1. Growth • Gerry Walsh - Gerard.Walsh@mercuryeng.com 2. Knowledge • Mick Delaney - mdelaney@llynch.com 3. Barriers • Dominic Greensmith - dominic.g.greensmith@intel.com 4. Collaboration • Paul Daniel - paul@totalbarriersolution.com 5. Demand • Richie Casey - richardx.m.casey@intel.com 6. Measure • Elly parker - eleanor.parker@intel.com LinkedIn Address : https://www.linkedin.com/groups/Lean-Construction-Ireland-4332330
  18. 18. Ireland Community of Practice (CoP)
  19. 19. Ireland Community of Practice (CoP) Purpose of CoP • 7 Groups working together to change the Industry. • Owners • Trade Contractors • General Contractors • Academia • Consultants • Architects & Engineers • Influential Bodies Ireland is a Centre of Excellence for Lean Construction, where everyone in the chain benefits.
  20. 20. Ireland Community of Practice (CoP) •3. The LCI Ireland CoP Journey – so Far
  21. 21. Ireland Community of Practice (CoP) • LCI May 2014 – Intel Launched – • Owners Perspective - John Pemberton/Joe Foley / Nick Masci • 160 Attended • LCI June 2014 – Jones Sponsored– • Richard Donnelly 6ix Sigma – Tools & Techniques & Case Studies • Dr Richard Keegan – Enterprise Ireland “ Quicker - Better - Cheaper-Together” • 140 Attended • LCI Sept 2014 – Mercury Sponsored– • Peter Court, MEP Director of Delivery at CHUM Montreal for Construction Sante Montreal – “From Theory to Practice” • Launch Pillar Strategy • 160 Attended LCI Events ………….
  22. 22. Ireland Community of Practice (CoP) • LCI Nov 2014 – CIF Sponsor • CIF Perspective, President of CIF – Philip Crompton • Michael Stone ( designer Group ) & Murtagh – Business Case • Pillars Reportout • 180 Attended • LCI Feb 2015 – M+W Group Sponsored– • Barry O Leary – Irish Perspective to Embrace Lean • Graeme Shaw – London Underground North Line Case Study • 4 X Break-out Groups & Pillar Report • 240 Attended • LCI March 2015 – PM Group Sponsored– • PM’s perspective • How to start a Journey • Clients Perspective – Merck/MSD • In Cork Area We area Here
  23. 23. Ireland Community of Practice (CoP) • Event #7 – LCI- Ireland CoP – June 2015 Details & Location TBD • Event #8 – LCI- Ireland CoP – Sept 2015 Details & Location TBD Future Events • Event #9 – LCI- Ireland CoP – Nov 2015 Details & Location TBD • National Lean Construction Awards - LCI- Ireland CoP – Q4 2015 Details & Location TBD
  24. 24. Ireland Community of Practice (CoP) Tactics for 2015 7. Develop Website – Demand Leader - Richie Casey 10. Clients Forum - Barriers Leader - D Greensmith 3. Lean Const Starter Pack – Knowledge Leader -Mick Delaney 2. Script LCI Ireland Message – Growth G Walshe 4. Lean Development Pack – Knowledge Leader -Mick Delaney 5. Promote Lean ( Coaching ) - Demand Leader – Richie Casey 1. Develop Finance Plan for LCI CoP Leader - D Greensmith 6. Develop Lean Library Leader – Eleanor Parker 8. National Awards Ceremony Leader - Paul Daniel 9. IGLC Submissions Leader - Paul Daniel H1 ‘15 H2 ‘15
  25. 25. Ireland Community of Practice (CoP) http://leanconstructionireland.org/wp/
  26. 26. Ireland Community of Practice (CoP) Takeaway
  27. 27. Ireland Community of Practice (CoP) Why What How BIM VSM Visual Factory Poka- Yoke Pull Plan Kaizen JIT And on 7 Wastes 5S’s Gemba Walks KanBan DO PDCA TVD Where to Start • Understand your Why • Start with the People , not the Tools • Go Narrow & Deep • Glorify your early adopters What is Your Organisations – “ Why “
  28. 28. Ireland Community of Practice (CoP)
  29. 29. The project delivery specialists KEYNOTE SPEECH 1: THE LEAN PROJECT PATHWAY – YOUR ROUTE TO DELIVERING A GREAT PROJECT Richard O’Connor Kickstart Your Lean Construction Journey! 29 Wednesday 25th March 2015
  30. 30. Presentation Outline • Applying Lean through all stages of the project cycle • Introducing the Lean Project Pathway • Making-it-happen - Elements for success • Take-aways
  31. 31. Lean = Delivering Better Value Project Costs Market Price Adding Best Value at Minimum Cost Cost Profit V-A NVA WASTE Time Future - Price Down?
  32. 32. Optimise benefits by applying Lean through the whole project cycle Each main project phase is made up of a number of sub-phase activities ‘Micro’ Process Level Value Adding Non Value Adding Waste
  33. 33. How well do all interacting parties play as a team? - Play well within their own tents? - Do not always have the same game plan - Are the right moves always played? - How well are the moves completed? - Visibility and control? One view of construction project delivery A beautiful game?
  34. 34. The Lean Project Pathway Lean Project Strategy Activity Lean vision & objectives Integrated high performing team Collaboration – Design, costing, planning Stable supply Establish measurement processes 1% productivity improvement month on month 50% reduction in the cost of quality CLC Landsidefacility Logistics scheduling Control Point Designproductionof approveddrawings Motts - P2 level Materials Marshalling Area (Airside- adjacent to work area) Erect Steelwork + HandrailAssembly 1 erectiongang 4 members to erect as designed steelwork 1 follow-upgang 3-4 members on-site works to deal with late design QualityCheck Process rates= quality= No. People = Gangs = shifts = Assemblyof Handrail onto Steel Workdone on-site Daily (pershift) confirmationof timedmaterialssupply Control Point 18 - 600 moves/ day max current load = xx % Lead-time = Balfour Beatty system DeliveryManagement System & QualityManagement System Watson Developdesign+correction footplate drawingfor approval Watson - 3D modelling - I.D. all components, ComptList+ Fab. Drwgs - Setof instructionsforCNCmanufacture - Bill of Materials+ Autoordersto Steel Supplier(s) Securityand document check I Excess Stock 25t Trailer Steel Suppliers Corus Tata European - Recycled Steel I Max = Monthly prodn. run Drivers drop-off loaded trailers Shunt vehicles moce between CLC and site, picking up loaded trailers as required. Empty trailers dropped off by shunt vehicle. Returning lorries take away empty trailer. Lead time between 2 hours to over 2 days No. of iterations? Lead time forApproval? Autoorderfor Steel by month RUUKI (Finland) PROROOF (Estonia) Panel Assembly output rate = 250-300 sq m / wk II 3 Trailer Loads PRATER Mon & Weds Despatch 2 Gridlines = 6 Trailer Loads FERRY - Detaileddesigndrawings - Autoorderfor Roofingby month 2D-3D modelling - Positioning - Clashdetection - Service penetrations - Verified design drawings - Bill of materials & MRP - Time & quantityorder schedule CORUS (Merseyside) I tbc Harwich or Tilbury Dock 25t Trailer 1 shiftload = 6 Trailers Installationof roof panels - Production Rate = 1 gridline pershift - Just-In-Time delivery of 1shiftloadcalled-off fromCLCby BB logistics whenneeded - avoidson-site congestion - Roof panelspre-assembledinfactory andshippeddirecttosite viaCLC - Additionalpre-installationof roof lights - ensuresquality andminimises workingat height - Each gridline becomesweathertight DESIGN - Panel sizes - Shopdrawings 60m MobileTower Crane Load panels directly from trailer to roof as needed Materials Marshalling Area (Airside) Adjacent to work area (Stops double- handling) Install Roof Panels and Roof lights 18 panels / shift 1 panel = 21.6 sq m 1 gang 6 people Waste packagingmaterials segregated and full skips removed by sitelogistics Production and Material Logistics Planning and Control - for all products / trades (Balfour Beatty, Byrne Brothers, Watsons,Prater Lindner) Tuesday: 6 weekly co-ordination meeting with Client to review forward programme Wednesday : 2-Weekly look-ahead - Agree weekly production plan and material delivery schedules Thursday: Northern Logistics meeting + Integration meeting for night working and weekend working Confirmingwork plans,key interfaces with client,handover areas and timing, weekly look-ahead logistics drawings STRUCTURAL STEEL ROOFING QualityCheck QualityCheck Installationof Steelwork - Production Rate = 1 loadpershift - Just-In-Time delivery of 1shiftloadcalled-off fromCLCby BB logisticswhenneeded - avoidson-site congestion - Pre-assemblehandrails priorto erection - ensuresquality and minimises workingatheight Log NCRs & RFIs for any design changes Feedback to Design Team according to Balfour Beatty Design Change Control procedure Delivery as per timed scheduleof finish painted steelwork Watson Steel (Bolton or Thirsk) I-Beam Section Pre- Fabrication II 2 days Average ShotblastI Store in Yard Avg Qty = ??days Paint & Cure Formal Quality Control Handover involving PackageManager, Structural Engineer, Out-going Trade, In-coming Trade Formal Quality Control Handover involving PackageManager, Structural Engineer, Out-going Trade, In-coming Trade Daily(pershift) confirmationof timedmaterialssupply 25t Trailer 1 shift load(6 + 2) Elements Install Cladding 6-8 Elements / shift 1 Element = 8.5x3m (2.3t) max. 6x2m (1.2t) min. 1 gang 6 people + Crane Operator Waste packaging materials segregated and full skips removed by sitelogistics Formal Quality Control Handover involving PackageManager, Structural Engineer, Out-going Trade, In-comingTrade QualityCheck Singleload pulled to sitewhen required - typically afternoon delivery for night shift Singleload pulled to sitewhen required - typically afternoon delivery for night shift KALZIP ROOF (on top of ProRoof panel) Delivery stillages flat-packed abd returned as 1 load (20 per load) 2 stillages per trailer 8 Elements per shift Each Element pulled as required 60m MobileTower Crane Off-load from trailer Sort into required installation sequence Erect in position via crane I HEUCK Profile Extrude & Paint (Lead time8 weeks max) I 1 Vehicle + Trailer Load 1 loadper shift requirements + 2 8 Elements per journey (leadtime = 1 day) Dover Dock FERRY 1 Vehicle Load Called-offper week 9m painted lengths TEILE (Germany) 1 Vehicle Load Assembleddouble-glazed & coated Supplier(s) (Germany) Gasket & Fixings LIDNER FACADES - UK MonthlyForward Plan WeeklyFocus Meeting Call-off process Call-off Despatchplan Lead time = Same day delivery (within 24 hours) tbc AIRBUILD - Material ControlSystem - Verifieddesign drawings - Bill of materials&MRP - Time & quantityorderschedule Installationof CladdingElements - Production Rate = 1 gridline pershift - Just-In-Time delivery of 1shiftloadcalled-off fromCLCby BB logistics whenneeded - avoidson-site congestion - Claddingpre-assembledinfactory andshippeddirecttosite viaCLC - Additionalon-site pre-assembly of StickSystem - Each gridline becomesweathertightallowingfollow-oninternal fit-out CLADDING UK Suppliers - Glass - Gaskets - Flashing - Trims Average 2 deliveries per week I Various items 2-3 days maximum Design Drawings + DeliverySchedule I Potential to hold up to 1.5 days of stock (tbc) if an issue occurs on-site LINDER FACADES (Germany) I Cut Elements Assemble and Inspect Elements Pack Elements Dedicated production line I Max 50 stillages Min 8 stillages 1 week's Material AIRBUILD: - Controlsmaterial movementfromSuppliersintoCLCandMarshallingareas - Airbuildallocatesdelivery timeslotsforaccessintoCLC- slotsbeingaligned toup-to-date constructionrequirementsas communicatedfromsite - If vehiclesdonothave an Airbuildbooking, thennoaccessontosite - Ensureseffective andefficient'single-load'flow of material tosite and providesthe 'pull' signal formaterial movement Allocate Transaction No. + location of delivery Airbuild System Daily confirmation of material requirements to site logistics team Transport company receives informationMaterials delivered Confirm delivery of materials CLC Material, Delivery, Faciltiy controls Excess design iterations + NCRs due to design integration issues Issuesassociatedwith the coordinationof transport - resulting inexcess deliveries Excessive inventorydue to poor integrationof planning systems - on average over 2 weeks stock in the system Use of shunt vehicles introduces double handling and scheduling/ coordinationwas complex I Excess Stock Workingat height and productivity issues due to assembling safety handrails in situas height. Slows follow-on trades. Additional handling and associatedequipment - impacts productivity. Part finished components requiringexcess on-site remedialfinishingworks.. Issueswith qualityand installationmethods causing additional works onsite. Design issues resulting frompoor integrationof designteamplus limiteduse of designmodelling. Small component design and production - resultedin excess inventoryand transportation. Issuesassociatedwith the coordinationof transport - resulting inexcess deliveries Excess inventorydue to poor integrationof planning systems - on average over 2 weeks stock in the system Excess inventory I Small panels andcomponents requiresexcess working at height, excessmaterial handling andassociatedplant. Impacts productivity. Qualitycheck after installation - if anyNRFT qualityissues, then results in excessive rework effort, time andcost.
  35. 35. Integrate Tool / Service Business Justification Brief & Scope Establish KPIs + Associated management system Feasibility Study Review of feasibility Study + site visit to discuss how to overcome any issues Cost Study Business Case Board Approval / Sign-off Value Management + Whole Life Cost Analysis + Risk Management workshop Cost Challenge Workshop 1 Update Cost Plan + Savings Register Outline Design + Program Review workshop (SITE BASED??) Room Data Sheets Sign-off Plan & Cost Detailed Design Create Drawing Schedule Value Engineering + Risk Mgt Cost Challenge Workshop 2 Detailed Cost Plan Agree Target Cost Develop Sample (panels, room, etc) Presentation, review & sign-off of Samples Capital Board Sign-off Define decant process / program Place Order Collaborative Planning Workshop Pre-construction Plan + Documents Start on site Milestone Timing By 31st March 08 By 31st March 08 Board + FIC Approval by 16th (mid) May 08 by 30th May 08 by 27th June 08 Start Mid May Finish by 18th July 08 By 18th July 08 By 1st August 08 By 1st Sept 08 - (predicted construction time of 24 wks) Capital Developments Mgr Estates Strategy Define project outputs Agree KPIs + process + ownership to drive / use on the project Appoint Architect & review Brief + other potential works with Architect Define what is required on the scheme Minimum build standards (HBN) Lessons learnt from previous projects Oversee Review with Program Director Raise Requisition Lead ABC C-ordinate & Author Consulted Minimum build standards (HBN) + 100 scale drawings + initial program Lessons learnt from previous projects Lead Project Manager Agree KPIs + process + ownership to drive / use on the project Design option, program, cost + narrative Coordinate Lead Lead Coordinate Coordinate Coordinate Coordinate Coordinate Constructor Prices per sq m + real costs on items such as ironmongery, etc Ease of build + phasing + input to program Lessons learnt from previous projects Including sub- contractors as necessary Get prices from Sub-Contractors Lead Place sub- contract + long lead item orders Architects Design option, program, cost + narrative Basics for the scheme + info from specialists Lessons learnt from previous projects End User Clinical Justification + Clinical Risks + Decant Define project outputs Define what is required on the scheme Staff experience and needs + any key date milestones / considerations 1. Jackie; 2. Eddie Review and Sign- off Detailed Design Input points to be considered + specific needs QS Design option, program, cost + narrative Formulate Initial Cost Plan Outline construction costing + fees Lead Trust Finance Review costs + implications to the service Review costs + implications to the service Performance Manager Lead / co- ordinate implementation Lessons learnt from previous projects COO Review Business Case and Sign-off Review and Sign- off Detailed Design Board Review Business Case and Sign-off Review and Sign- off Detailed Design MobilisationOutline DesignFeasibility Detailed Design Integrate Tool / Service Business Justification Brief & Scope Establish KPIs + Associated management system Feasibility Study Review of feasibility Study + site visit to discuss how to overcome any issues Cost Study Business Case Board Approval / Sign-off Milestone Timing By 31st March 08 By 31st March 08 Board + FIC Approval by 16th (mid) May 08 Capital Developments Mgr Estates Strategy Define project outputs Agree KPIs + process + ownership to drive / use on the project Appoint Architect & review Brief + other potential works with Architect Define what is required on the scheme ABC C-ordinate & Author Consulted Feasibility Activity Good consistent processes Gateway planning Right first time design – BIM, FMEA, DFMA, design delivery Collaborative programming including critical path / constraints analysis & pace + Plan-to-protect Establish measurement processes The Lean Project Pathway Lean Pre-construction
  36. 36. The Lean Project Pathway Lean Mobilisation Activity Plan, review & challenge all activities to ensure readiness and right first time construction Detailed day-by-day look-a-head programme including challenge, pace, line balance Mock-up training + draft standard operations Pre-works readiness Set project standards (e.g. 5S & visual management) Issue Ref. No: Care Point Key Issue Date: Safety Quality Page 3 of Knack Main Task Step Main Task Step Continue to work from the back of the plot to the front so as to ease access May have to use sledge hammer to help seat panel and to help butt up against adjoining panel For the reason of easy access, it is often beneficial to start erecting inner wall panels before erecting final outer wall panel (No. 17) DPC used to provide water barrier bewteen outer walls at seams and adjoining internal wall Start at top edge and nail DPC to wall face to hold in position, then unravel DPC roll downwards, measure & cut DPC to length, and nail to wall face Refer to drawing to ensure selection of correct Top Plate Position each Top Plate so that outer edge is flush with outer face of wall panel Levelling Up all Walls Levelling all walls to ensure erection is within allowable vertical tolerance - Lay length of 90mm timber diagonally against upright wall to be levelled - Fix timber pad to floor Use Hilty gun to drive fixing through timber pad into floor pad - Nail bottom end of timber diagonal into timber pad - Using spirit level check vertical edge of wall panel for level of upright Pushing against top of panel using a foot will often create the required level of adjustment. Check drawing for allowable tolerance level. - If required, adjust panel by pushing top of wall panel in the required direction If greater force is required to achieve necessary adjustment then drive a wedge between the outer face of the wall panel and the scaffold (if erected) - Use eye to check line of top face along panels Alternatively, lever the whole frame in the required direction by using a lever in the central void between the two properties W hen specificied level of vertical is achieved, nail top of timber stay to inner upright on wall panel Hammer 2 nails, not driving nails completely home, so later removal of timber stay is easy Recheck vertical position using spirit level 9 Sketch Operator 2 Care Point 6 Repeat erection of remaining outer walls following the basic steps defined in points 3, 4 5 & 6, and by following basic sequence of panel erection as defined on sequence drawing No. Operator 1 Fit DPC to vertical faces down seam edges as indicated on the drawing. Repeat for all specified positions. 7 Fix Top Plates to top edges of erected walls (Repeat for all walls as indicated by drawing) 2-PERSON JOB DETAIL SHEET Work / Job Description: Timber Frame Outer Wall Erection - Ground Floor 8 Suggested location of timber pads used when levelling-up vertical walls Position Timber pad so that timber diagonal lines up with an inner upright of wall panel Adjust panel level of vertical by pushing top edge of panel. W hen vertical, nail timber diagonal to inner upright of wall panel
  37. 37. The Lean Project Pathway Lean Construction Activity Collaborative project management (weekly & daily) 5S workplace organisation Production loss analysis Problem solving 1st run studies – best methods & productivity improvement Visual management Synchronised JIT material logistics Value Adding Non Value Adding Waste Enforced Waste 0.0% 20.0% 40.0% 60.0% 80.0% 100.0% 0 10 20 30 40 50 60 70 Design Change Incorrect Materials Waiting for Information Labour Availability Crane Breakdown Material Poor Quality Late Deliveries Lost Production Time THE PROBLEM: Date Raised: Where: How: Who: Where: Originator: Work Stream: When: Owner Target Date Owner Target Date Owner Target Date PDCA applied Design revision required? SOP updated / created? Team brief? Benefits realised? Issue resolution documented? Improvement Sign-off Other areas where the Improvement can be applied Other Decent Homes programmes Excessive level of quality defects at handover Over 148 properties, 50% of properties had defects at handover 13% of quality defects attributed to Defective Radiators Yes No Yes Yes Yes - Issue resolved Yes and logged as part of learning portal F Smith 9th April '07 H Jaycock 16th April '07 Client team relied on Surveyor experience and did not see the need to define method Not considered an important focus and stuck with what was common current practices Work with Surveyors, Decent Homes work stream supervisors and plumbers to define an agreed method. Develop standard operating procedure. Train all relevant people. Carry-out a 5S Workplace Organisation activity to improve the set-up, organisation, operation and management of the central stores. Rationalise stored stock. Develop standard operating procedure to support. Train all people in new methods. Define and standardise method (link to root cause countermeasure as for 'Wrong Radiator Supplied'), train all relevant people. Contractor and trade supervision to ensure standard approach to radiator position is adhered to. Poor materials planning and management processes Not considered to be an issue Main focus and effort directed towards works delivery with limited visibility or understanding of stores set-up and operation Management never 'sighted' as the issue due to no / limited data A3 PROBLEM RESOLUTION SHEET 20th March '07 F Smith Decent Homes Project XYZ All Toolbox talk to all trades plus closer supervision and review at property sign-off Supervisors All work streams Immediate Incorrect specification Poor storage practices & handling Variable method of specifying position of radiator in a room Unclear and variable approach between the Surveyors Materials, parts and componentry stored randomly and poorly, often on top of one another resulting in double handling, scuffing and damage Method not defined plus some Surveyors &/or Plumbers changed optimum position in response to Tenant request INDENTIFY THE ROOT CAUSE 5 Why Analysis COUNTERMEASURE VERIFYRESOLUTION/ IMPROVEMENTACTION ROOTCAUSEWHY2WHY3WHY4WHY5 Wrong Radiator Supplied Damaged Radiator Incorrect Location WHY1 Unclear method + different assumptions used when calculating size of radiator required Too much stock stored and poor organisation of central stores Method never formally defined nor enforced Method never formally defined INFORMATION RELATING TO THE ISSUE CONTAIN Fishbone Analysis INDENTIFY THE ROOT CAUSE UNDERSTAND THE ISSUE 50%50% Properites With Quality Snags No. Properties with Snags No. Properties Snag Free Data period: 19th-23rd Mar 07 Sample Size: 148 Properties Date Drawn: 26th Mar 07 Drawn By: J Smith 13 10 9 9 3 3 2 1 26% 46% 64% 82% 88% 94% 98% 100% 0.0% 20.0% 40.0% 60.0% 80.0% 100.0% 0 10 20 30 40 50 Radiators Building Works Pipe work / Trunking Domestic & Blow Off Boiler Vertical Flues Electrical Works Gas No.ofOccurences Analysis of Quality Issues Data period: 19th-23rd Mar 07 Sample Size: 148 Properties Date Drawn: 26th Mar 07 Drawn By: J Smith 8 3 1 0 1 2 3 4 5 6 7 8 9 10 Radiator Change Damaged Grille Marked Radiator No.ofOccurences Analysis of Radiator Quality Issues Data analysed to understand types of defects made up the 50% The Decent Homes team used fishbone analysis to identify all possible contributory factors to the Radiator Change issue. Data relating to Defective Radiators analysed to reveal main quality issue Radiator Change Person Material Machine (Tools) Method Environment Incorrect Fitting Cutting Corners Grill Damage Wrong Size Wrong Radiator Supplied Specified Lack of Training Lack of Care Damaged Radiator Handling Packaging Storage Connector Thread Incorrect Tools Insufficient Tools Damaged Tools Marking Out Incorrect Location Tenant Preference / Change Incorrect Fitting Poor Method Poor On-site Storage Difficult Working Conditions Cramped Furniture not clearedSmall Rooms Additional data identified 3 factors that were the main contributors to the problem Keep asking 'Why' until you feel that you have exposed the true 'root' cause of the issue PROJECT: ABC Overall % VA OPERATION: 2nd Fix Carpentry Total Steps 14 4 3 0 0 21 31.1% PROCESS: Total Distance %Waste DATE: 2011 Total Time 40.0% No. Workers Distance Time Oper'n Tran's Delay Insp'n Store VA NVA Waste 1 Unload materials from van 3 26 3 3 2 Sort materials for fix 1 12 12 3 Take off protection to boxes 1 57 6 6 4 Mark positions of switches and sockets 1 61 11 11 5 Cut plasterboard for light switch in living room 1 2 2 6 Fit back box for switch 1 1 1 7 Trim cables 1 1 1 8 Connect the switch 1 2 2 9 Move to sockets 2 7 0.5 0.5 10 Fit sockets 1 3 3 11 Unpack light fitting 1 1 1 12 Walk up step ladder 1 2 0.5 0.5 13 Fit light fitting 1 2 2 14 Repeat in the next room 2 10 16 12 4 15 Cut hole in plasterboard to find cable 1 12 12 16 Feed cable back to the correct position 1 4 4 17 Refit the plasterboard cut outs 1 8 8 18 Fit light switch 1 2 2 19 Cut back cables to sockets 1 1 1 1 20 Fit sockets 1 2 2 2 TOTALS 24 166 90 14 4 3 0 0 28 26 36 Dry liners hadn't pulled the cables through w hilst boarding Running concurrently Apprentice is passing materials Value Comment / IssueNo. Activity / Element Measurement Flow COMPANY: XYX ACTIVITY SAMPLING SHEET SUMMARY Work Study 0 20 40 60 80 100 Minutes 2nd Fix Electrical VA NVA Waste Work Analysis Standard Operations Issue Ref. No: Care Point Key Issue Date: Safety Quality Page 2 of 5 Knack Main Task Step Main Task Step Clear path from panel stack to erection position. Ensure safe lifting method. Refer to draw ing to select appropriate panel Start erection in rear corner of plot - w ork from back to front of property to aid access Secure 1st outer panel in position Ensure trained & competent in the use of hilty gun Secure 1st outer panel in position - Nail panel through bottom timber into sole plate, one nail in each end +one in the middle Use Hilty Gun for rapid nailing - Fit timber stay to hold panel upright Timber stay used to hold panel upright w hilst fetchiing next panel Fetch, position & secure 2nd panel Ensure safe carrying & passage as for Step 1 Fetch, position & secure 2nd panel - Nail panel through bottom timber into sole plate, one nail in end next to 1st panel. Ensure 2nd panel is in correct position w ith regard to outer edge of sole plate, is butted-up flush w ith adjoining face of 1st panel - Check position of 2nd panel and that both panels are vertical Use spirit level to ensure both panels are vertical - Nail 2nd panel to 1st panel down vertical inner edge. Remove timber stay from 1st panel. Use hammer for easier access + claw to pull nails from timber stay & panel - Nail 2nd panel through bottom timber into sole plate, one nail at least every 600mm Use Hilty Gun for rapid nailing Fetch, position & secure 3rd panel Ensure safe carrying & passage as for Step 1 Fetch, position & secure 3rd panel - Select next panel that adjoins either of the first two panels Refer to draw ing for panel identification - Repeat nailing and butting-up procedure as for step 3 Ensure panel is positioned correctly - flush against sole plate edge & with vertical face of adjoining panel To ensure flush fit between adjoining vertical faces lift bottom corner of panel currently being fitted (Figure 1) Use Hilty Gun for rapid nailing - Hold Wall panel upright & in position 3 2 Operator 2 - Hold Wall panel upright & in position Care Point 1 2-PERSON JOB DETAIL SHEET Work / Job Description: Timber Frame Outer Wall Erection - Ground Floor Sketch Get first outer w all panel and lift to position for erection Get first outer w all panel and lift to position for erection Ensure appropriate head protection is w orn No. Operator 1 - Hold Wall panel upright & in position - Hold Wall panel upright & in position 4 Nail panels together hammering nails dow n through top edge of one panel into adjacent panel M ay have to use sledge hammer to help seat panels so as to ensure level top face along adjacent panels Nail panels at low er outer face through panel overhang into sole plate 6 5 Stand on appropriate raised w ork surface that is properly erected and stable Before using any tools, equipment or plant you must have undergone relevant training and possess evidence that provescompetence in the safe use & effective operation such item(s) Vertical f aces must be joined so that continuous contact along length of Fixed Panel Figure 1 Erect f irst panel starting on one of the rear corners of plot Whilst 1st Operator adjusts panel into f inal position, 2nd operator holds panel staedty & upright Improve
  38. 38. The Lean Project Pathway Post Construction Activity Well planned and managed activities /processes to support handover & maintenance Collaborative post project review - Lessons learnt - Interface wastes Problem solving Improved processes & practices
  39. 39. A Lean View? • A good squad • Team work • Practiced • Flow • Visibility • Control • Continuous improvement • Achieving goals!
  40. 40. Lean Tools and Techniques Applying the appropriate tool to the right situation. Be prepared to adapt the approach. Don’t become a ‘tool head’! Apply within the context of an overall Lean strategy
  41. 41. “The significant problems we have cannot be solved at the same level of thinking with which we created them”.
  42. 42. Lean Strategy Lean Pre- Construction Lean Mobilisation Lean Project Delivery Lean Post Construction The Lean Project Pathway • Agreed project vision & objectives • ‘One-team’ collaborative strategy • Collaborative design, costing & planning • Supply chain development • Agreed performance measurement • Good, consistent processes • Gateway planning • Right first time design – BIM, FMEA, DFMA • Collaborative planning including critical path, line balance & pace + Plan-to- protect • Establish measurement processes • Set standard for visual management & 5S • Collaborative project management – Last Plan • 5S workplace organisation • Production loss analysis • DMAIC root cause problem solving • Quality & productivity reviews • KPI performance analysis • Visual management • Plan, review and challenge to ensure readiness for construction • Collaborative detailed short-term planning – day- by-day, pace, line balance & flow • Mock-Ups & 1st run studies • Draft standard operations • Best methods training • Lean logistics • Well structured and planned handover (e.g. Soft Landings) • Collaborative post project review – lessons learnt, issues, opportunities, etc. • Define and capture best practices and processes • PDCA Lend Lease Lean and Continuous Improvement Toolkit PROCESSES CULTUREPEOPLERELATIONSHIPS COMMUNICATION
  43. 43. 30% increase in design capacity Up to £5 million per annum bottom line gain Design predictability improved by over 50% Pre-construction lead time reduced by 40% Productivity tripled NRFT quality reduced by over 70% Programme stability Improved safety Lean Construction Projects Benefits Delivered Construction programme duration reduced by between 20 – 67%
  44. 44. Lean Construction Projects – Elements for Success • Improvement currency - what’s the value of a day? • Leadership & management – vision, strategy, constancy, ‘walk-the-talk’ • Create the enabling environment • Capability, capacity, time, resources • Procurement versus supply chain development Process 1 Process 2 Process 3 Process 4 END USER VALUE CHAIN SUPPLIER TOCUSTOMER OF NEXT CUSTOMER Process 1 Process 2 Process 3 Process 4 END USER VALUE CHAIN SUPPLIER TOCUSTOMER OF NEXT CUSTOMER • End-to-end – apply the 5 Lean ‘process’ principles • One team, one vision • Early engagement • Collaborative • Next customer
  45. 45. Here is Edward Bear, coming downstairs now, BUMP BUMP BUMP On the back of his head, behind Christopher Robin. It is, as far as he knows, the only way of coming downstairs, but sometimes he feels that there really is another way, if only he could stop bumping for a moment and think of it. Stand back, review, challenge, improve You’ll feel better for it!
  46. 46. Lean Construction Projects Take-aways • Lean Project Pathway – one page overview • CIRIA guide http://www.ciria.org/News/CIRIA_news2/lean_thinking_approach.aspx • 15-30 minute challenge 15-30 Minute Challenge 1 2 3 Observation 1 Observation 2 Observation 3 Observation 4 Observation 5 Averages Row 1 Total number of operatives you can see 12 14 13 12 15 13.20 Row 2 Number observed actually doing something to progress the construction of the building. i.e. laying a brick, bolting steel, fixing a cladding panel etc. Do not include moving materials, walking or an operative watching another whilst another works etc. 8 6 4 7 9 6.80 51.52% Row 3 Number observed preparing to carry out work. i.e. moving materials, plant, tools, themselves, setting out, reading drawings, clearing up etc 2 4 5 2 3 3.20 24.24% Row 4 Number observed waiting, walking, looking for materials, information etc 2 4 4 3 3 3.20 24.24% Non Value Adding - Any work carried out, which is necessary under current conditions but does not increase product value e.g. inspection, setting out, movement of people, material and plant, etc. Waste - All other meaningless, non essential activities e.g. Excessive Transportation of Men, Materials, Tools & Plant, Waiting, Excessive Operator Motion, Rework due to Bad Quality Instructions for 5 brief observations in a 15 minute period: - In Row3 under Observation 1 - write the number of operatives carrying out Non Value Adding work - In Row4 under Observation 1 - write the number of operatives who are partaking in Wasteful activities - Finally calculate the results as shown in this example Brief description of activities being observed - Repeat the same process for Observations 2,3,4 & 5 at 3 minute intervals Value Adding - Any process that changes the nature, shape or characteristics of the product, in line with customer requirements e.g. laying a brick, crimping a pipe, pouring concrete etc Take 15-30 mins to make a brief assessment of the level of value adding activities on your project - Position yourself in a comfortable, safe position where you can observe the largest number of operatives at work - In Row1 under Observation 1 - write the total number of operatives you can see on your first observation - In Row2 under Observation 1 - write the number of operatives carrying out Value Adding work Value Non Value Adding Waste 51.52%24.24% 24.24% Value Adding Non Value Adding Waste
  47. 47. Thank you …
  48. 48. The project delivery specialists KEYNOTE SPEECH 2: ENTERPRISE IRELAND LEAN BUSINESS OFFER Richard Keegan Kickstart Your Lean Construction Journey! 48 Wednesday 25th March 2015
  49. 49. Why is the world going Lean? Because it works!!
  50. 50. Who am I? • Enterprise Ireland, Competitiveness Department • EU Japan Centre for Industrial Co-Operation • European Benchmarking Network • Advisor Internationally on Benchmarking and Best Practice • Trinity College Dublin, Business School • Author
  51. 51. Lean - Action based on FACTS How GOOD are you? How do you know? • Benchmarking = Diagnosis Do you DECIDE to get better? • Lean - Best Practice = Medicine
  52. 52. Facilitated Assessment Benchmarking Physical&Process Flow in the Office Physical&Process Development Production Control Systems Saving Time in the Workplace Maintenance Practical Quality Tools Team Building & Culture Sales and Growing them Financial Management Supply Chain & Logistics Innovation& Design Business Strategy Implementation Level 3 Self Assessment Benchmarking Physical Flow Process Flow Set Up Time Reduction Check Sheets Run Chart People & Teams Basic Maintenance Level 1 Level 2 Process Benchmarking The Five S’s Total Productive Maintenance Overall Equipment Efficiency Six Sigma Business Excellence Value Analysis &Management Lean Production Target Cost Management
  53. 53. What do we mean by Lean? • Lean is shorthand for Best Practice within a sector • Helps People identify and deliver improvements in their businesses • Provides a framework for competitiveness improvement by building the capability and competences of people • Driving and integrated into company strategy
  54. 54. What is Lean? • Based on the Toyota Production System • Focused on Effectiveness and Efficiency • Doing the right things well! • A War on Waste!!! • What is the alternative?
  55. 55. QUICKER BETTER CHEAPER.........TOGETHER Lean is doing what you do….
  56. 56. Some Lean Principles…. • Time • Money • Effort Must want to compete…..
  57. 57. Rules 1. Fairness 2. Firmness 3. Consistency 4. Look 5. See 6. Understand 7. Think 8. Do Dealing with People Dealing with Processes
  58. 58. Five Fundamental Lean tools….. • Process Mapping • Physical Flow mapping • Check Sheets – What is going wrong? • Run Charts – Is it getting better or worse? • Teams – People working together to improve their business
  59. 59. Key Lean Questions….. • What are you doing? • How are you doing it? • Why are you doing it? • Who is going to improve it? • When? Capture the FACTS! Make things better…..
  60. 60. NOT just on the Production Floor!
  61. 61. Enterprise Ireland Lean Business Offer Eligible cost elements Client costs EI grant Lean-Start ‘Lean’ consultancy fees at €900 per day €6300 €5000 Lean-Plus ‘Lean’ (& specialist ) training fees Cost of company ‘lean project champion’. subject to EI assessment. Up to €70 k Up to 50% Lean Transform Training fees training costs company staff costs and other costs as may be approved by EI Typically over €100 k As set by EI. < 50%
  62. 62. Lean Works - Project Impacts Savings Reported from Lean Start Projects 0 100 200 300 400 500 600 1 5 9 13 17 21 25 29 33 37 41 45 49 53 57 ThousandEuro(€k) LeanPlus Reported Savings 0 50 100 150 200 250 300 350 400 450 500 1 2 3 4 5 6 7 8 9 10 11 12 Savings(€K) Transform Projects reporting very significant results… Percentage change in employment for companies engaged in Lean Transform Projects -60.0% -40.0% -20.0% 0.0% 20.0% 40.0% 60.0% 80.0% 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Company %ChangeinEmployment Employment up Savings made
  63. 63. Just because you can’t do it doesn’t mean it can’t be done... http://www.enterprise-ireland.com/en/ http://www.envirocentre.ie/index.html Becoming Lean Becoming a Lean Service Company First Steps to Green Competitiveness Guidebook NSAI – SWIFT 11:2013 Driving Competitiveness using Lean
  64. 64. The project delivery specialists LEAN PROJECT DELIVERY : AE PERSEPECTIVE Mick Lynam, Director, PM Group Kickstart Your Lean Construction Journey! 64 Wednesday 25th March 2015
  65. 65. What is Lean? • Systematic approach to delivering the highest quality, lowest cost product or services with the shortest lead time through the relentless elimination of waste • You can’t eliminate the waste unless you know what it is Lean doesn't mean poor quality You can be lean and deliver excellent quality
  66. 66. Importance of the Start 66 CONCEPT / FEASABILITY FRONT END DESIGN DETAILED DESIGN PROCURE & CONTRACT CONSTRUCTION COMMISSIONING CONCEPT DESIGN BASIS OF DESIGN DETAILED DESIGN PROCURE & CONTRACT CONSTRUCTION COMMISSIONING OPTIMAL INFLUENCE V COST OF CHANGE BASIS OF DESIGNCONCEPT DESIGN Ability to Influence the Project Cost & Schedule Impact of Change
  67. 67. Life Cycle - ISPE Good Practice Guide STAGE 1 Feasibility STAGE 2 Conceptual Development STAGE 3 Project Delivery Planning PROJECT INITIATION STAGE 4 Design STAGE 5 Implementation STAGE 6 Close-out PROJECT DELIVERY“Design Production” “Design Development” 10% effort 90% effort Pareto’s Principle…
  68. 68. Life Cycle - ISPE Good Practice Guide STAGE 1 Feasibility STAGE 2 Conceptual Development STAGE 3 Project Delivery Planning PROJECT INITIATION STAGE 4 Design STAGE 5 Implementation STAGE 6 Close-out PROJECT DELIVERY • Information flows • Interdependencies • Interfaces • Decisions • Assumptions (where information is not available in time) Quality & Completeness of effort in these ‘development’ phases directly drives ‘level of waste’ in subsequent ‘production’ phases in project delivery • Options • Iterations • Previous Lessons • Optimisation • Decisions
  69. 69. Where the Business Value resides…
  70. 70. Multiple Interfaces / Information Flows 70 Client AE Equip. Vendor CM Sub Con. C&Q Internal Functional Groups Internal Functional Groups Internal Functional Groups 20 Vendors Internal Functional Groups Internal Functional Groups 20 S/C’s LEAN PROJECT STRATEGY / CULTURE e.g. 50 companies to align LEAN PHILOSOPHY WITHIN EACH ORGANISATION? e.g. maybe 20 Functional Groups [Depts] in each org. Internal Functional Groups
  71. 71. Depends on your point of view! 71 Project Initiation Stakeholder Meeting Concept Design SOR FED / BoD Detailed Design Procurement Construction Commissioning Verification / Qualification Operational Readiness Handover to Operations Operational Support Achieve ROI Client’s Project Manager Designers Consultant’s Project Manager Equipment Vendor Constructors Operational Readiness Internal Systems Purchase Orders Contracts Cash Flow Stakeholder Management Supply Chain Quality Assurance Business Case Governance IT Legal Recruitment
  72. 72. Value Adding versus Waste WORK PROCESSES VALUE ADDED NON VALUE ADDED FLOW ELIMINATE VALUE-STREAM MAPPING • Eliminate the abnormal and the unnecessary non value added • Reduce the non-value added but necessary • Put the value-added processes in a natural flow sequence ABNORMALNORMAL NECESSARY UNNECESSARY REDUCE Isometric Meetings Rework
  73. 73. Waste to be Avoided in Design • Design Development e.g. • Poorly defined Business Case / Scope - drives change & rework • No formal Business buy in - drives change & rework • Misalignment on Value Drivers – TCO v Cap Cost - rework • Lack of up front Definition – drives change & rework • Poorly thought out Project Delivery Strategies – inefficiency • Designing without knowing the Capital Budget – rework • Design Production e.g. • Design Deliverables Produced – “because they are on the list” • Starting Detailed Design too early - rework • Ineffective Coordination, Poor Communication - rework • Non Business Value Add Change - waste • Misaligned Information Work Flows e.g. Vendor Data not available • Design without Constructability – waste onsite • Too many / Inefficient Meetings • RFI ‘wars’ 73
  74. 74. Improve Information Flow 74
  75. 75. Lean Project ‘characteristics’ • Well thought out….careful project development • Team understand where the Business Value resides • Full project life cycle thinking • Strong Decision Making • Procured to encourage / allow Collaboration • Common LEAN Language & Understanding • Interactive Team Planning • Client-Design-Vendor-Constructor-CQ work flow alignment • Remove Duplication & Avoid Gaps • Culture of Challenging Waste • Culture of Continuous Improvement • Constant questioning ‘WHY?’ • OK to Challenge Change • Designed to Cost • Effective use of BIM • Focus on smooth waste free Work & Information Flows 75
  76. 76. Project Opportunity v Single Company Opportunity 76 Multi Company Project Opportunity LEAN Project Delivery Like Minded Partners Collaboration Shared Commercial Benefits Single Company Opportunity LEAN Culture Learning & Development LEAN Processes Increase % Value Add Improve Competitiveness Improve Bottom Line € Individual Company benefits Industry benefits these +
  77. 77. PM Group Delivery Platform Revamp 77 International Office Network Belgium China Czech Republic India Ireland Poland Russia Saudi Arabia Singapore Slovakia Turkey United Kingdom United States
  78. 78. Positive Experience with LEAN • Project Development Philosophy – emphasis on the start • ‘Schematic Design in a Day’ • Market Ready Design • Design to Cost • BIM – great enabler of communication & collaboration • Modularisation • Last Planner – both Design & Construction • Intel Fab 10 Project – LEAN & Integrated Project Delivery [IPD] 78
  79. 79. PM Group Intranet & Delivery Platform Revamp • 18 office network, 13 Countries • Project Mgt • Design • Procurement • Construction • Commissioning • Qualification • Managed Services • OTS • Business Process & Intranet Revamp ongoing • An opportunity to ‘lean’ our service delivery platforms • Embracing the LCI initiative 79
  80. 80. Thank You 80
  81. 81. The project delivery specialists KICKING OFF A LEAN CONSTRUCTION JOURNEY (CLIENT’S PERSPECTIVE) – MERCK / MSD Sarah Fitzgerald, MSD Ireland Kickstart Your Lean Construction Journey! 81 Wednesday 25th March 2015
  82. 82. LCI Ireland Lean Project Delivery Approach (Client’s perspective) Merck/ MSD 25th Mar 2015
  83. 83. • Overview of Merck as a company - where we are in Ireland • Merck’ s Project Delivery Approach • Scoping Exercise – Use of Toyota tools and Competitive Scoping • Take it offsite – Use of modular • Right First Time - Use of mock-ups • First/ Next Steps on our Journey • What we will be looking for ? Topics Covered
  84. 84. About Merck/ MSD Our Vision/ Mission  We make a difference in the lives of people globally through our innovative medicines, vaccines, and consumer health and animal products. We aspire to be the best healthcare company in the world and are dedicated to providing leading innovations and solutions for tomorrow. Quick Facts  The company is known as Merck in the United States and Canada. Everywhere else, we are known as MSD.  Employees – Approx. 70 K worldwide across 140 countries  Headquarters: Kenilworth New Jersey  Businesses: Pharmaceuticals Animal Health Vaccines  2014 Revenue $ 42.2 billion What We Stand For ►Excellence in science and healthcare innovation, with an emphasis on addressing unmet medical needs. ►Focus on patients and anticipating customers ’needs. ►Commitment to expand access to our medicines and vaccines, and to improve global health
  85. 85. Swords - Manufacturing Leopardstown – Human Health. Sales & Marketing; EMEA Shared Business Services Centre Animal Health, Sales & Marketing Rathdrum - Manufacturing Carlow - Manufacturing Ballydine - Manufacturing Brinny - Manufacturing MSD in Ireland  Five Manufacturing Sites cover different medical needs Biologics, Vaccines Sterile , API ,Pharm, Large and Small Molecule Systems  Products made in Ireland : Oncology ,Rheumatoid arthritis Hepatitis C Women’s Health Products , Anaesthesiology and mental health  We employ over 2,200 in Ireland  We have invested over €2.2 B in Ireland in projects  Over past 5 years we have invested more than Eur 500 MM
  86. 86. 86 • . Merck’ s Project Delivery Approach Initial Scoping Exercise Use of Toyota tools and Competitive Scoping
  87. 87. Lean in Scope Defining Process • Process Fit – uses lean tools from Toyota • Define machine cycle times • Identification of Waste - Value add / Non Value Add NVA times • Helps to time and opportunities for cycle time improvements • Waterfall Chart A visual to display the impact of NVA Work on capacity • Work Combination Table Simple modeling tool to expose constraints, highlight conflicts and ID Labor requirements
  88. 88. Competitive Scoping Model Key Provisions: Benchmark result to assure competitive advantage Provides visibility to senior management/ sponsors – team choice ‘Meeting the True Business Requirements’ Risk adjusted scope provides lowest initial cost scope with acceptable business risk Financial and Competitive Decision Making tools used to evaluate lifecycle or strategic adds Benchmark/ Target Least cost Scope baseline meeting minimum functional requirements satisfies external regulatory and code requirements Another company can not do it for less Benchmark/ Target Key Assumptions Business Drivers Start with clear definition of business drivers and key assumptions Risk Adjusted Scope Proposed Project Scope Strategic/ Pre-Investment Adds Lifecycle Adds Least Cost Scope Least Cost Scoping Risk Tolerance Assessment Proposed Scope Development
  89. 89. 89 Merck’ s Project Delivery Approach Take it Offsite Approaches Used Modular
  90. 90. Installation of first module – June Progress module installation – Oct Full Modular - Carlow Ireland - Designed in Sweden, made in Estonia - 133 modules (40 ft containers 30 tonnes each) - Designed, reviewed and delivery in sequence - 5 distinct blocks - New benchmark for module setting – up to 8 modules a day beating previous record - Autoclaves, washers installed during fabrication - Filling lines shipped direct to site
  91. 91. Finished Photos – Modular Building Progress – Module installation Oct 2009
  92. 92. Hybrid Modular Construction 92 Worker safety improved – all work done from floor or ladder, instead of from lift “Hybrid modular”: Pre-fabricating congested areas of the facility off site, as opposed to “full modular”, which is fabricating the entire facility off site Modules fabricated in Charleston, SC. 25,000 labor hours removed from site, equal to 50 workers for 12 weeks • Project work area constrained • Needed 150 construction workers (at peak) to meet schedule; space available for only 100 • On multiple Merck projects, modular was selected based on faster, safer, and more expensive • Actual results for hybrid showed faster, safer, and less expensive for 3 projects ( US)
  93. 93. Modular Construction – Use of Skids Pictures show Clean & Black Utility skids - Skids tagged and labelled with access platforms pre-installed - Workshop environment – improved quality& efficiencies over jobsite - Early Mechanical Completion
  94. 94. 94 Merck’ s Project Delivery Approach Right First Time Use of Mock-ups
  95. 95. You can fix it now on the drafting board with an eraser or you can fix it later on the construction site with a sledge hammer Use of Mock-ups During Design Constructability/ Move in Plans User Buy in/ Training Opportunity/ Safety ergonomics Proof of Space for Areas viewed as congested
  96. 96. Mock-ups during Construction  Aids Constructability – Equipment move in  Proof of Space for Areas viewed as congested  End User Buy –in on approach  Proves area as unworkable early prior to construction  Saves money  Provides training opportunity  Provides Common Understanding  Can be completed  Within Actual Area – using tape/ writing on walls  Outside the Area – shell space or vendor shop  Static or Dynamic  Not costly  Doesn’t have to take much time  Team Formation Benefits Take Aways from Mock-ups
  97. 97. First/ Next Steps on our Journey • Community of Practice for Lean/ project delivery established approx. 12 months • Within last month re-organised our engineering group GES and lean leaders appointed - 4 globally • Leaders in process of mapping out the first 100 days • Looking at lean education for organisation • Benchmarking with others • Identified Pilot Projects that are in charter/ early stage design phase – different sizes, business units geographic location. • Develop clear detailed business case. • Use Target Value Design • Lean pull based design and execution • Looking to involve subcontractors earlier in design process • Continue/ Build on what we do well
  98. 98. What we will be looking for ? • Partners interested in moving forward lean delivery and who want to challenge status quo • Knowledge of lean and willingness to implement will be seen as competitive advantage Any Questions???? Email : sarah_fitzgerald@merck.com
  99. 99. The project delivery specialists PANEL DISCUSSION Kickstart Your Lean Construction Journey! 99 Wednesday 25th March 2015
  100. 100. Q&A Does a company start by applying some of the Lean Tools on a sample project or attempt to change the company culture? 100
  101. 101. Q&A Where does a small company start and where are the main sources of information? 101
  102. 102. Q&A How and where does BIM fit into Lean Construction? 102
  103. 103. Next LCI Community of Practice “Going from Good to Great” 103 “A great organisation is one that makes a distinctive impact and delivers superior performance over a long period of time” [Jim Collins] Sustaining Lean in an organisation Sponsored by DPS Ltd Date: Wed, 24 June 2015 Time: 6:30pm Location: Dublin
  104. 104. Thank You & Safe Home 104

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