Lean & 5S's in Construction

Newsletter #61 August 2010

Lean - Do We Add Value?

I recently experienced a minor surgery. All seemed to go well until I received the bills. While always a shock this was a double shock to me. I received two invoices from the anesthesiologist for the same amount. My first thought was that there was duplication invoicing. I called my insurance company who, hopefully, watches for such errors. They informed me that it was not a duplication, but a common medical practice to have one anesthesiologist administer the medication while another monitors it. I do not claim to be an expert on medical practices, but I fail to see how a second anesthesiologist adds any real value to the function. The operation was only about an hour long – I heard the nurse say it was even shorter than that. Assuming an hour before and after for the anesthesiologist to complete the job, I was paying not one but two people over $300 per hour each. (As a consultant I would love to command that rate.) I know enough about quality inspection that errors are not effectively stopped by more inspection. I can also be confident that there are several less expensive and more effective prevention actions that could be applied for this function. I see no value added in the second person with a substantial addition in costs. Now I can see more easily why healthcare costs are rising. I can’t do much to change this wasteful practice, but can ask these questions about construction practices:

• Do we have non value added work in what we do?
  
• Do we change for two people doing a job when one is all that is needed?
  
• Do we use inspection as a way to deliver quality instead of preventions. Corrective punch-lists are more expensive than doing work right the first time.

Last Chance – Muda Walk

Time is running out to sign up for this year’s Muda Walk for a Month. The 4th annual Muda Walk for a Month starts on Aug. 30th. Sign up as a Muda walker by August 27. During September I will email you a weekly theme to use while doing a Muda (waste) walk in your company. The walk may be at a job site, in the shop, office or even a service truck. During the walk you 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 you log the problems you address the improvements you make and to share them with me at the end of the month. This is a free service and you must sign up by Aug. 27th The first week of the Muda walk will start on August 30th. To register to do the Muda Walk for a month just email your request to me.

New this year is a Muda Walk for a Month Blog. You can read the weekly theme, see examples and even post your own comments or pictures. Practice watching for Muda – see pictures on blog

Find it – Fix it

"Humantech announced the winners of its third annual Find It - Fix It Challenge, which recognizes and rewards simple and effective workplace solutions that result in increased productivity, improved worker morale, and fewer workplace injuries and illnesses. Organizations were encouraged to submit photos and videos of their best ergonomic improvements for judging by Humantech's board certified professional ergonomists and staff.



This year's first place was awarded to John Deere Des Moines Works. The winning improvement focused on John Deere's 7760 Cotton Harvester's muffler assembly installation. Before the fix, the operation required two employees to lift the 30-plus-pound assembly above their heads and maintain awkward postures holding it in place while one additional operator fastened it to the machine. An internal team designed and fabricated a fixture to hold the assembly and mounted it to an electric lift to raise and lower it. The solution enables one operator to quickly and easy maneuver the muffler

assembly into place and fasten it without additional assistance. The customized lift cart has eliminated the overhead work and awkward postures while dramatically improving the productivity of the operation. "



"We are proud to be recognized for developing an effective ergonomic solution that not only improves workplace safety but also improves the efficiency of the operation" says Dan Wisner, ergonomic engineer at John Deere Des Moines Works. "This fix, along with our two other improvements in the Challenges top 15 finalists, showcases our team's ingenuity and commitment to John Deere's continuous improvement process."

Source: NWLEAN: Digest Number 2346

Lean in the Office

“Buffy Smith, senior buyer, shares the impact lean has made on her professional life. "I used to spend a good part of my day literally walking invoices around in circles, not being as productive as I could have been, because we had so much wasted motion in our processes," says the purchasing supervisor. She cites the path of an invoice as an example: 3.1 days of processing; 80 steps in the invoicing process, including 30 handoffs among employees and 12 trips to the printer; 1,080 feet of travel per invoice, with 17,540 feet (that's 3.3 miles!) of average transport by purchasing agents on any given day.



“That was then -- before the company applied lean improvement techniques to its administrative processes. This is now: one day to process an invoice, requiring half the steps and one-third the number of handoffs. Moreover, Fokker Aerotron discovered that 30% of the total invoicing paperwork volume for customer parts was not needed at all.”

Source: “Taking Lean beyond the shop floor” IndustryWeek , April 2010

Lean Leadership

Womack says leaders should focus their time on the following priorities:

• Gain agreement on what is important – set priorities
• Create brilliant lean processes to achieve what's important
• Create stability and then continuously improve every process
• Mentor subordinates as Lean managers

How do you spend you time?

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.

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

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. 26, 2010 - LCI Michigan Chapter Business Meeting, East Lansing, MI Registration details

Sept. 8, 2010 - LCI NorCal Chapter Bay Area Branch Meeting- Union City, CA

Sept. 9, 2010 LCI NorCal Chapter Central Valley Branch Meeting, - Union City, CA

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)

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

Sept. 21, 2010 - Parade of Trades applied to all construction and Lean in Engineering Design. Sponsor: LCI – AZ Chapter. Scottsdale AZ

Sept. 30, 2010 - DFW Owners Talk About Lean in the Metroplex, sponsored by LCI DFW Chapter - Dallas, TX. Registration details

Week of October 18, 2010 - LCI Annual Congress - Boulder, CO, Check on calendar

A Quick Thought

Jim Highsmith, a founding member of the Agile Alliance and celebrated author once said: “Deliver the product needed at the end, not the one requested at the beginning.”

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 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.



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. If you find this newsletter helpful, please forward it to anyone you know who will benefit from this information. You may help them improve their company.