lean construction
Tom Hallissey No Comments

Even though most construction owners regularly monitor labor productivity and efficiency, nearly three-fourths of projects are delivered over budget and after deadline. To solve this common problem, an industry non-profit, the Lean Construction Institute, is advocating that contractors concentrate on working to eliminate the wasting of resources, like time, movement and human potential.

What is Lean Construction?

Lean construction is a direct response to customer and supply chain complaints about performance results in the building industry. It works to develop and manage projects through improved relationships, shared knowledge and common goals.

This process aims to eliminate all types of wasted resources to improve a team’s profitability and punctuality.

It breaks down and reorganizes the traditional silos of knowledge, work and effort in order to improve the workings of the overall project rather than its individual participants.

lean construction

How you can Benefit from Leaner Construction

Lean construction may sound like a cheap industry fad, but the three things it promises to enhance are on every contractor’s list of top priorities.

  • Increased productivity
  • Less safety concerns
  • Cost savings

A leaner construction company tends to be more competitive, because the model works to streamline internal processes.

It advocates that contractors focus on not wasting these three things:

  • Time
  • Movement
  • Human potential

8 Areas where your Business Could be Leaner

In order to make your business leaner, you must examine key parts of your organization. It’s possible that one or more of these areas is holding your entire company back.

  1. Transportation
  2. Inventory
  3. Motion
  4. Waiting
  5. Overproduction
  6. Over-processing
  7. Defects
  8. Unused resources

For example, your company may be losing productivity, because of the unnecessary movement of people, construction equipment and materials between processes. Or, you could lose money, because you have more materials on hand than is required for the project.

lean construction

A Leaner, More Profitable Business

These management mistakes and many others tend to have an impact on the bottom line. In response, some contractors are now switching to a lean construction model that maximizes value through the elimination of waste. By optimizing an entire project, the results tend to trickle down to individual activities.

In the end, contractors may be able to enjoy the competitive advantage of running a more streamlined operation.

lean construction