Newsletter #60 July 2010



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.

JIT is more than timing!

Recently some naysayers have pointed to the production problems some plants experienced because they operated on a just-in-time basis and their supplies were disrupted by the volcano in Iceland. Having little in inventory, the plants were not able to maintain production. Theses critics suggest it would have been better to have stored a larger inventory so production would not have stopped. Yes, the eruption delayed production hurting the whole value chain, but that does not mean just-in-time delivery is wrong. Part of Lean is learning - the principle is to allow the problem to be a learning opportunity and improve while continually focusing on the big picture. Lean thinking is about asking questions and seeking useful answers. Production was lost in the short term, but what has been saved over the longer term? One cannot predict all natural disasters, but one can be prepared with alternative ways to deliver materials.



In construction problems arise that disrupt the flow of material to the job site. Usually the way foreman have addressed this is by ordering as much material as possible, as early as possible, and store it at the job. This usually results in damaged and missing material, in moving the material several times before installation, and in causes many hidden costs. We do not want crews to stop installing and we want to avoid all the excess costs of having material inventoried on the job. While one answer doesn’t fit every situation, applying Lean thinking can surface many possible ways to do both.



When a child is learning to ride a bicycle he will experience some falls. After practicing he learns to overcome the basic challenges of riding a bicycle. That doesn’t mean new challenges, such as running over piece of glass that punctures the tire won’t happen. Most people would think a child crazy if some new problem happens and he just gave up, junked the bike and never rode again. We would expect the child to learn from the experience and continue using this useful tool. We need to apply the same thinking to Lean applications. Learn from problems and keep improving.



What problems are you experiencing? How are you learning from them?

Executive participation

Mark Graban in the NWLEAN: Digest Number 2358 had this to share about when executives should participate in Lean events:



“How about getting the SLT (senior leadership team) to actually participate in an event, not just show up at the report out?



“Now that's a culture shift... John Toussaint, when CEO of ThedaCare, said he resisted for years the idea that he should participate first hand. Then, he finally gave in and he said that was when he really started understanding Lean.



“As David Meier, formerly of Toyota, says: the point of kaizen events is to learn how to do kaizen. How else will CEOs learn?”



5.5 ways the Senior Leadership Team can get involved in Lean initiatives.



1. Review the monthly variance reports of the Last Planner System and ask questions about the top constraints and barriers to raising PPC. (Of course this means they need to understand what PPC is!)



2. Be part of a Kaizen Blitz as discussed above. Not just pop in once in a while, but be part of the whole event, start to finish.



3. Apply the 5S’s to their own office. If they don’t walk the talk how can they expect others to?



4. Attend a “pull planning” session and just observe.



5. Do 5S audits and reward areas that score high with a pizza lunch or similar recognition.



5.5 Do a Muda walk every week. To learn how to do a Muda walk consider participating in the Muda Walk for a Month program coming in September. (Details below.)

The Human Side of Lean

In January 2010 Company President, Mr. Robert Chapman, chairman and CEO of Barry-Wehmiller did a radio interview about Lean and People. (Barry-Wehmiller is an industry leader and the largest packaging and automation company in North America with revenues over $900 million.) The interview is about 38 minutes long and his stories of how Lean has changed people’s lives are great. It is worth listening to. http://mondaymm.com/?p=381

The Last Planner System *

Some general contractors (GC) complain that the Last Planer System (LPS) suggests trades only do the work that they know can get done. Most GC’s feel they need the subcontractors to perform all the work they can. They believe that if crews limit themselves by only what they “know” can get done, the crews will not challenge themselves enough.



Rather than say “what the crews know can be done” a better way would be to say, “only do the work that is “ready” to be done.” The GC has the need to keep the work moving to meet the schedule. Often when crews are pushed they end up doing “show pipe” or partial work that does not really move the project forward and adds to the cost. When crews over-commit to “stretch goals,” it sounds great, but it creates unreliable workflow downstream and actually slows down the project. The LPS approach is to under-load a crew a little by using the Weekly Work Plans instead of pushing for stretch goals. This creates more reliability in the workflow. It is a balancing approach. Under-load the work so it is predictable in the task handoff to the next crew/trade, but not too much to impair job progress. This happens best as all trades share their look-ahead and weekly work plans. The look-ahead plans make the work ready so it can be done when needed. The weekly work plans show the promises made by the last planner (foremen) on what they will do. When crews are committed, not pushed, to complete tasks, they will work harder to keep their promises. There is no promise if one can’t say “no”. This is one of the counterintuitive principles of Lean construction, and it works.



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

Muda Walk for a Month is Coming

There has never been a better time to attack waste and increase productivity. The Fourth Annual Muda Walk for a Month is coming this September.

During September I will email participants the weekly theme to use while doing a Muda (waste) walk in one’s company. The walk may be at a job site, in the shop, office or even a service truck. During the walk, participants will look for ways to eliminate waste and improve operations. The Muda Walk challenge is to do a walk at least one hour a week and best if it is done one hour each day. That may sound like a hard commitment to make, but those who invested the time in past years have reaped useful rewards. I ask that participants log the problems and improvements, and share them with me at the end of the month.

This is a free service, but participants must sign up by Aug 27, 2010. The first week of the Muda walk will start on August 30th. To register, just email your request

Learning Opportunities

You may be interested in attending one of these training opportunities led by Dennis Sowards:



Sept. 2, 2010 – Lean Works in HVAC Service – Webinar – Sponsor SMACNA

Sept 23, 2010 – Lean Construction – It can work for you - Phoenix, AZ, Sponsor: PIPE & 469 JAC, contact Cathy Mayeux at 480.966.0377



Oct. 11, 2010 - Lean Principles Based on Kaizen Blitz - at the Industrial Contractors Forum of the SMACNA 2010 National Convention, Phoenix AZ. Contact

Oct. 21, 2010 – Gaining Customer Loyalty by Design - Phoenix, AZ, Sponsor: PIPE & 469 JAC, contact Cathy Mayeux at 480.966.0377 or CMayeux@pipetrust.org



Oct. 29, 2010 – Lean in Construction and Lean applied to Service at PHCC National Convention, Las Vegas.

Nov. 17, 2010 – Lean in Service Webinar – sponsored by PHCC.

Other Lean Events

Aug. 17-18, 2010 - Introduction Seminar: Lean Construction Basics & Possibilities,

- Sponsored by the Lean Construction Institute, Hebron, KY – Details and registration at: http://lci-intro-08-17-2010.eventbrite.com



Aug 18, 201 - Lean Construction in Small Size Projects, Sponsored by the LCI Los Angeles Area Chapter - Long Beach, CA - Registration details at: http://lci-la-08-2010.eventbrite.com

Sept. 15, 2010 - 1st Annual CURT / LCI Summit: Getting in the Game, Sponsors: LCI has partnered with the Construction Users Roundtable (CURT). Covington, KY.

For Summit registration information (you must do so through CURT via fax), http://curt.org/pdf/September_2010_CURT_LCI_Summit_REGISTRATION%20FORM.pdf

Sept. 16, 2010 - LCI Owner Forum - Adopting Lean: Taking Ownership, Sponsor:

LCI & will build on the previous day's CURT / LCI Summit. - Covington, KY. Registration details are at: http://lci-owner-09-16-2010.eventbrite.com

Sept. 21, 2010 - Parade of Trades applied to all construction and Lean in Engineering Design. Sponsor: LCI – AZ Chapter. Scottsdale AZ. - Event and registration details coming soon. Check on calendar on http://leanconstruction.org



Sept. 15, 2010 - The 1st Annual CURT|LCI Summit - “Getting In The Game”

Cincinnati Marriott RiverCenter, Covington, KY, http://curt.org/htmlnewsletter/0910newsletter.html



Week of October 18, 2010 - LCI Annual Congress - Boulder, CO, Check on calendar on http://leanconstruction.org

A Quick Thought

If we don’t understand what it is that we don’t understand, we have no idea what to do about it. - Shigeo Shingo

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 <http://www.YourQSS.com>

PRIVACY STATEMENT: I respect you and your privacy. Your name or e-mail address will never be sold, traded, rented or bartered, or given away - nor will it be used for any other purpose than to communicate with you. Period.



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