This e-newsletter is written by Dennis Sowards to share ideas on the 5S’s and Lean practices especially as they are applied in construction. If you have ideas or lessons learned to share please contact me.

Lean Leadership

Jim Womack offers this Lean Leadership checklist. How are you doing in Lean Leadership?

• Do you make sure that Lean process improvement is focused on the processes that matter most? Working on processes that do add value to the customer. That helps solve the customer’s problem/reason he came to your company.
• Do you ask Five Whys or One Who? All work is a process. Do you look for the root cause of the problem with the process or someone to blame?
• Do you show respect by asking questions? Covey says the greatest for of trust is to ask for one’s opinion. Do you ask for the opinions of those closest to the work or do you do give all the answers yourself?
• Do you dog into the details by going to see so that the root cause of the problem or gap is clear? Leaders turn hunches and data into facts. Hunches and data become facts when it is verified. Verification includes going to Gemba and seeing what is happening. This doesn’t mean you don’t trust others but that you work with them to get the facts.
• Do you ask for alternatives to solve a problem not just one countermeasure? Leaders explore options and ensure those providing answers also are open to explore other possibilities.
• Do you ask about additional countermeasures in case things don’t go as planned during implementation? Asking detailed questions shows respect for someone more than staying out of the details.
• Do you work to teach people to be leaders?
• Do you assign responsibility for Lean transformation through detailed discussions with every function, department and person touching the process?

He says that Lean leadership is not:

• Charisma or heroic fire fighting
• Bureaucracy
• Do it my way
• Do it you way, but make sure you make the numbers

Lean Leadership is

• Let’s get agreement on our purpose and core processes (that achieve our purpose)
• Let’s transform the process together

The three key attributes of Lean Leaders, according to Womack, are:

• Go See: Go to the area where value is being created (Gemba) and verify the situation.
• Ask ‘Why’ questions: Why is this a problem? What is the problem? What are the possible causes? Why does this cause that? What are possible countermeasures? Why is one countermeasure the best?
• Show Respect: Assign clear responsibilities for every process and problem. Asking questions about people’s work shows you care, asking for their opinion shows you value their contribution. Being delegating responsibility and then hands-off about details is a mistaken leadership approach. Womack says leaders need to get into the details by listening to those doing the work. In asking hard questions, leaders show they understand and are looking for countermeasures that work.

Source: Jim Womack, Webinar, May 1, 2008.

Ideas from 5S Leaders

“5S is a community event, in our office we have zoned it, we have a zone owner with a team leader with overall responsibility. To ensure that we have all participate we have a people rotate schedule. They will use a check sheet, looking for areas of improvement. Our goal is to have a clean tidy office improving after each assessment.”
Lean Forum 05/23/08

“This management team focus is on keeping the 5's culture going and not letting any backdrops. Sometimes I feel that I am the only one doing evaluations and talking about it. So, I gather a couple of peers to this team to help me spread out the motivation, training on a daily basis and the ideas to countermeasure anything we see as ‘MUDA’".
Lean Weekly Digest Forum 05/23/08

Checklists Do Work – What we can learn from healthcare

A recent study done by Johns Hopkins University has shown great promise in healthcare. They tested a simple five-item checklist that ensures the proper precautions are taken to prevent hospital acquired catheter-related infections. The findings of the 18 month long study were published in the New England Journal of Medicine in Dec. 2006. Using the checklist, the number of infections fell from 4% to zero. The research estimated that is simple checklist saved an estimated 1500 lives and around $200 million in medical costs. The cost estimated to follow the checklist at over 108 intensive care units included in the study, totaled $500,000. Would you invest $500,000 to save $200,000,000? It does take time to follow a checklist, but it works and can save time and rework. Most construction companies already have many checklists for how they estimate, prepare for and execute work. The problem is not in having, but in using the checklists consistently. Consider the possible benefits of really using your checklists?

Source: Quality Progress, March 2008, page 18.

The Last Planner System *

When the Last Planner tool is used correctly and consistently to drive PPC above 50%, great things happen especially to budgets, productivity, and even schedule. In today’s challenging competitive environment, meeting budget is even more important than ever, even when that project’s budget may have been tightened to win the job. To those who don’t use Last Planner, consider this challenge – measure your current PPC (Percent of Plan (work) Completed). See where you are at for several weeks in the % of work you planned to do. If it is consistently above 50%, keep it up. Most project supervisors are surprised to find that it is not usually above 50%. Then try the Last Planner, give it a real test drive for several weeks. See if it doesn’t produce better results. But some of our foremen say they don’t need to write their weekly plans down, they have it all in their head! If you don’t ever write your weekly plan down, it’s hard to measure PPC. Even more, it is hard to know how effective you are. And it’s a good bet that you experience a few “oops” on your job. The shortest pencil is longer than the longest memory. Here is your first improvement opportunity to start writing down a plan.

Remember nothing improves unless something changes.

Are you still managing projects the way we’ve always done it and hoping for improved results? If you want to be great, being OK or good is not going to make it. The Last Planner is a proven tool, but like any tool, it is only as great as it is used. Try it.

* Last Planner System is a trademark of the Lean Construction Institute.

Lean has Opportunities for those in the know

According to IndustryWeek magazine, 70% of the manufacturing plans in the US have implemented some type of Lean tools. In a recent survey by the New Horizons Foundation, it found that 28% of HVAC and sheet metal contractors have implemented some Lean tools.

Another Lean expert put it this way:

• 85% of the companies are clueless regarding Lean (he was speaking of more than just manufacturing)
• Another 10% know the jargon
• Only 5% practice the art skillfully*

His point is that those who do get it have a real advantage. Just like Toyota has a great advantage in the auto industry.

Are you clueless? Do you know the jargon or are you an industry leader? What do you want to be?

* Source: A Wall Street View of Lean Transformation, Webinar by Lean Enterprise Institute, 2008

Learning Opportunities

You may be interested in attending one of these training seminars by Dennis Sowards:
July 29, 2008 - Lean Works In Construction – presented in the morning, Applying the 5 S's for Lean Construction presented in the afternoon, Tulsa, OK, sponsored by SMACNA of Oklahoma, Inc., Contact: Terry Elliott at (918) 838-3223.
July 30, 2008 - Lean Works In Construction – presented in the morning, Planning that really Works - The Last Planner presented in the afternoon, Tulsa, OK, sponsored by SMACNA of Oklahoma, Inc., Contact: Terry Elliott at (918) 838-3223.
Oct 2, 2008 – Lean Works in Construction, Seattle, WA – Sponsor: SMACNA - Western Washington Chapter – contact Joanne Williams at 206 285-4144. Must be a SMACNA member to attend.
Nov 10, 2008 - Gaining Customer Loyalty by Design, Oakland, CA – Sponsor: Bay Area SMACNA Chapter – contact Audrey Kerns at (510) 635-8212. Must be a SMACNA member to attend.

Other Lean Learning Opportunities:
June 30-July 2, 2008 - Introduction to Lean Construction - Texas Lean Construction Summit, College Station, TX
July 7, 2008 - A 2 hour walk through of Harborview Medical Center in Seattle with Turner. Hardhats and safety glasses required. Sponsored by the Cascadia LCI Chapter, Details TBD, for more info contact Myra
July 14 – 20, 2008 – International Group for Lean Construction (IGLC), Manchester, United Kingdom
July 17–18, 2008 - Lean and Green Summit, Boulder CO
October 28-31, 2008 - 10th Annual Lean Construction Congress, Boulder Colorado Sponsor: Lean Construction Institute

A Quick Thought

Everyone thinks of changing the world, but no one thinks of changing himself.
- Leo Tolstoy

For more information about Lean applications to construction and especially the 5S’s contact Dennis Sowards at his office at 480-835-1185 or his cell at 602-740-7271 or at his web site: www.YourQSS.com