046 INTERGRATING SCM WITH FEM & LEAN CONSTRUCTION
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Transcript of 046 INTERGRATING SCM WITH FEM & LEAN CONSTRUCTION
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Supply chain management (SCM) is a concept that has originated from the supply system.
Toyota adopted the system to coordinate its supplies, and manage its suppliers.
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It also describes the connection between companies that change basic materials, products or services into a finished product for the client.
The client, main contractor, designer, surveyor, sub-contractor are all part of the supply chain.
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Modern procurement methods, unlike the old procurement methods, suggest and encourages all participants to adopt Supply Chain Management policy.
As a result the emergence of PPC 2000, TPC2005,..
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All participants in the supply chain have a long-term objective to work together to deliver a product free from defect, completed on time with minimum cost.
This close working relationships will improve the construction industries’ productivity both nationally and internationally.
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The benefits for all participants in thesupply chain management can besummarised as: Costs reduction No cost overrun Waste minimization High quality product
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Defect free productFull end user’s satisfactionUser friendly productsContinuous improvementHigher reliability between supply chain
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The front-end of a project is defined as: The period from an idea is conceived to the final
decision to finance the project is made. Front-end Planning is an important process in the
building project life cycle. Known in architecture terms as; programming schematic design design development
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The purpose of front-end management is to:
produce a complete and reliable project concepts for evaluation before a final decision is made by the client to proceed with the project.
After final decision to finance the project is made.
It is followed by the detailed planning phase.
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Most companies admit that they do not carry out front -end planning.
Often small companies do not know about front-end Planning.
It is required for every building project. Research has shown that efforts in the
detailed planning phase pay back in the implementation phase of projects.
The largest financial gains are represented by activities in the front-end phase.
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Efforts made in the detailed planning phase would save:
labourmachinerymaterials in the implementation phase of projects.
It puts the company in a better and stronger position in today’s competitive market.
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The uncertainty is at its highest and the cost of changes at its lowest in the front-end phase.
Uncertainty affecting a project start to fade during construction phase.
Once the client and management team have committed themselves to the project,
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Challenges in Front-End Management of
ProjectsAny decision made during concept phase are the ones with greatest impact on the final project results.
All the project conditions are set up in the concept phase.
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Key Issues in Front-End Management ofProjects1. A front-end assessment always starts
gathering of relevant information.2. The knowledge gained from earlier
projects are valuable.3. Often this knowledge is not stored in a
right place.4. The method of communication to collect
the information is also very important.
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FRONT-ENDPLANNING
Decisionmaking
projectconcepts
Step 2
Financethe project
Step 3
Detailedplanningphase.
Motivatedworkforce
Labour productivityMachineryHigh efficiency
Materialminimum
waste
Quantitativedecisionmaking
QuantitativeDecisionMaking
DECISIONMAKING
UNDER RISK(DMUR)
DECISIONMAKINGUNDER
CERTAINTY(DMUC)
DECISIONMAKINGUNDER
UNCERTAINTY
ValueManagement
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Lean construction main objective is to maximizes value and reduces waste.
It applies specific techniques in an innovative project delivery approach.
including:1. supply chain management, 2. Just-In-Time techniques.
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Just-In-Time(JIT)
Supply ChainManagement
(SCM)
LeanConstruction
maximizes valuereduceswaste
Based on LeanManufacturing, of the Toyota
Production system
High productivity
LAST PLANNERSYSTEM
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As well as the open sharing of information between all the parties involved in the production process.
Lean manufacturing is an outgrowth of the Toyota Production system.
Developed by Taichii Ohno in Toyota in the 1950s.
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It is based on lean manufacturing, of the Toyota Production system. developed by Taichii Ohno in the 1950s.
Ohno learnt from mass production at Ford Motor manufacturing facilities in the U.S. and witnessed high level of waste during production.
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Ohno identified several wastes in mass production systems in car industry such as:
1. overproducing2. waiting time 3. transporting
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also, in other areas such as:1. processing methods; 2. unnecessary stock on hand; 3. unnecessary motion;4. defective goods; 5. failure to meet customers’ needs;6. high waste through out the
process.
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Womack and Jones (1996) suggested that there are five key principles that need to be monitored when lean construction systems are applied in construction. Those are:
Value-clarifying the customer’s needs; the supply chain involvement in all stages,
from inception to completion; By clarifying activities or products that signify value.
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Value stream: By mapping thewhole value streamestablishing cooperation between all parties involved;
identifying and eliminating waste; From taking such steps the construction process can be improved.
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Flow: Business flow includes project
information such as:1. specifications 2. contracts 3. plans, etc. Job site flow involves the activities and
the way they have to be carried out. Supply flow refers to the materials
used in a project.
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Pull: The efforts of all participants provides smooth pulls during the construction process.
Perfection: Use of best methods of work instructions and best procedures.
Introduction of best quality control methods.
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Just-In-Time(JIT)
Supply ChainManagement
(SCM)
Business FlowPull
Perfection
LeanConstruction
maximizes valuereduceswaste
Based on LeanManufacturing, of the Toyota
Production system
JIT onlyconsiders the
Resourcesrequired
Construction LeanImprovement Programme
(CLIP),(Supply chain)
High quality product with minimallead-time
Eliminating delays and disruptions
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Just-In-Time(JIT)
Supply ChainManagement
(SCM)
LeanConstruction
maximizes valuereduceswaste
Based on LeanManufacturing, of the Toyota
Production system
High productivity
LAST PLANNERSYSTEM
FRONT-ENDPLANNING
Decisionmaking
projectconcepts
Step 2
Financethe project
Step 3
Detailedplanningphase.
Motivatedworkforce
Labour productivityMachineryHigh efficiency
Materialminimum
waste
Quantitativedecisionmaking
QuantitativeDecisionMaking
DECISIONMAKING
UNDER RISK(DMUR)
DECISIONMAKINGUNDER
CERTAINTY(DMUC)
DECISIONMAKINGUNDER
UNCERTAINTY
ValueManagement