Lean Construction Ireland Annual Book of Cases 2021 97 Cost Modelling Developing a model of the cost components and systems specific to a project and structuring it in a manner that the components and system costs can be continually updated either via benchmarks, metrics,or detailed estimates to provide the teamwith a constantly up to date cost model for the project. In theTVD environment, the cost model should allow for projecting“what-if ”scenarios based on value decisions that have yet to be made. Critical Path Method (CPM) The critical path method is a step-by-step project management technique to identify activities on the critical path. It is an approach to project scheduling that breaks the project into several work tasks, displays them in a flow chart, and then calculates the project duration based on estimated durations for each task. It identifies tasks that are critical, time-wise, in completing the project. Critical To Quality (CTQ) These are the key measurable characteristics of a product or process whose performance standards or specification limits must be met in order to satisfy the customer. CTQs represent the product or service characteristics as defined by the customer/user. Current State Map This is a snapshot of how a process is currently done, showing the current methodology of how you produce products or perform services for your customers. It is a visual method of succinctly recording the key aspects of the current structure and processes in the whole, or any part, of a supply chain. Customer The individual engaged in a conversation for action who will receive the results of performance either requested from, or offered by, the performer.That is, the person receiving goods/information from a performer. Customers can be internal (for example, a foreman receiving answers to an RFI; or an architect receiving mechanical loads from an engineer), and external (for example, end users or client organisations). CycleTime The time it takes to produce a product, service, or unit of work (for example, a room, building, quadrant), or to complete a process, and as timed by actual measurement. DefinedTask A quality task must be “defined”. It must have a beginning and end, and it should be clear to all when it has been completed. Dependence This refers to where two or more tasks are sufficiently related that one cannot be started (or finished) without a certain measure of progress or completion having been achieved by the other.Waiting on release of work. Direct Observation Also known as“Observational Study”, this is a method of collecting evaluative information in which the evaluator watches the subject in their usual work environment without altering that environment. DMAIC Define, Measure,Analyse, Improve, and Control. DMAIC is a datadriven improvement cycle used for improving, optimising, and stabilising business processes and designs. EarnedValue (EV) This is an approach involving monitoring the project plan, actual work, and work completed value, to see if a project is on track. Earned Value shows how much of the budget and time should have been spent, considering the amount of work done so far. EightWastes A framework of eight types of activity that do not add value thus they are “Waste”.They can be summarised as “DOWNTIME” (Defects, Over-Production,Waiting, Non-utilised resources/ talent,Transportation, Inventory, Motion, Excess-Processing); or as “TIMWOODS” (Transportation, Inventory, Motion,Waiting, OverProduction,Over-Processing, Defects, Skills). Enterprise Resource Planning (ERP) This is the integrated management of core business processes,often in real-time, mediated by software and technology, and providing an integrated and continuously updated view of core business processes using common databases. Error-Proofing Is a method that prevents that helps workers avoid mistakes in their work,or prevents an error or defect from happening or being passed on to the next operation. Fishbone Diagram This was developed by Ishikawa – often referred to as an“Ishikawa Diagram” – and is a cause-and-effect diagram used in root cause analysis to better understand the factors contributing to a problem. Five Big Ideas A set of organising concepts that support Lean Project Delivery. They were developed to explain and organise the Sutter Health Lean Construction Initiative: Optimise the project not the piece, Collaborate, Really Collaborate (originally implied “specialty contractors involved at schematic design”), Projects as Networks of Commitment, Increase Relatedness, andTightly Couple Action and Learning. Five Core Principles These are the core principles underpinning Lean that were developed byWomack and Jones (1996), and include: 1. Value: It is defined by your customers who buy results not products (clean clothes vs.washing machines).We should give the customer what they want rather than what is convenient for us to give them. 2. Value Stream: The sequence of all processes from raw material to customer. 3. Flow: Keep value moving; avoid batches and queues; there should be few non-value-adding steps. 4. Pull: Short-term response to customer’s rate of demand and no over-production. 5. Perfection: Delivering exactly what a customer wants, when they want it, at a fair price, and defect-free, with minimum waste. Glossary
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