A lean strategy to performance measurement – reducing waste by measuring 'next' customer needs

Leong, Michelle S. and Tilley, Paul (2008) A lean strategy to performance measurement – reducing waste by measuring 'next' customer needs. In: 16th Annual Conference of the International Group for Lean Construction Safety, Quality and the Environment, 16-18 Jul 2008, Manchester, England.

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Abstract

Despite the odd victory here and there, the construction industry is continuing to be seen by many as a poor performer – especially considering the advances being made in other industries. It is the authors’ belief that this is due (to a large extent) from a gateway waste of not measuring and/or using wrong, inappropriate or insufficient measures for performance appraisal. By identifying and using appropriate measures for benchmarking performance, both quick wins and long-term process improvements can be achieved, as better knowledge helps to identify the right direction and focus areas for investing in improvement efforts.
The aim of this paper is to briefly discuss current performance measurement (or lack there of) within the construction industry and through the use of a simple case study example, identify some of the waste and repercussions of either not measuring or using inadequate/inappropriate measures or targets. The paper also aims to explore the notion of measuring NEXT customer needs – as part of a lean performance measurement strategy – in order to try to achieve end user customer satisfaction. A case study example involving the RFI process is then used to illustrate the authors’ belief that tailoring measures according to NEXT customer needs will assist in driving behaviour towards end user value, improving performance, reducing waste and contributing directly to the bottom line.


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Item Type: Conference or Workshop Item (Commonwealth Reporting Category E) (Paper)
Refereed: Yes
Item Status: Live Archive
Faculty / Department / School: Historic - Faculty of Engineering and Surveying - Department of Surveying and Land Information
Date Deposited: 19 Aug 2014 07:18
Last Modified: 10 Jun 2015 00:25
Uncontrolled Keywords: data collection, construction, lean, measures, NEXT customer, systems thinking, value, value demand, failure demand
Fields of Research : 12 Built Environment and Design > 1202 Building > 120201 Building Construction Management and Project Planning
Socio-Economic Objective: B Economic Development > 87 Construction > 8704 Construction Processes > 870401 Civil Construction Processes
B Economic Development > 87 Construction > 8704 Construction Processes > 870403 Industrial Construction Processes
B Economic Development > 87 Construction > 8701 Construction Planning > 870101 Civil Construction Planning
B Economic Development > 87 Construction > 8704 Construction Processes > 870404 Residential Construction Processes
B Economic Development > 87 Construction > 8701 Construction Planning > 870104 Residential Construction Planning
B Economic Development > 87 Construction > 8701 Construction Planning > 870102 Commercial Construction Planning
B Economic Development > 87 Construction > 8704 Construction Processes > 870402 Commercial Construction Processes
URI: http://eprints.usq.edu.au/id/eprint/25663

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