1. “LEAN SIX SIGMA REDUCES TIME VARIABILITY IN
RESILIENCE-DRIVEN / HIGH RELIABILITY
CONSTRUCTION ORGANISATIONS.”
COURSE: MARKETS INNOVATION AND ORGANIZATIONS (195810100)
ENSCHEDE, 24-01-2013
Dimitrios Kordas (M-CME/s1231901)

2. POSITION
 From the Academia to the Industry
 To whom to address?
 All scale construction firms
 National institutes of Construction Management & Construction
Technology
 Why to create a new working philosophy?
 Construction is too big to fail!
 Innovating only within the organizations, not without!
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3. PROBLEM
The construction suffers frequently from:
 fragmented supply chains
 lack of process transparency
 poor knowledge and communication management
 lack of industry standards
 changes in designs, scope, and work practices
 cost overruns
 frustrating delays
 culture of mistrust and opportunism
 moral hazards
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4. CHANGE PROBLEM WASTE ROUTE CAUSES
(source: Vrijhoef, 1998) 24-01-2013 4

5. POSSIBILITIES
Value Engineering V-Model
Product Life Cycle
Risk classification matrix
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6. IS IT ENOUGH?
 All methods do not count systematically the faults done
 No opportunity for categorization of route causes
 Lack of power to explain the production of defects
 Shift for new managerial skills model
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7. NAMING THE PAIN
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8. PROPOSITION
Eliminate Waste (muda)
Eliminate Variability (mura)
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9. HOW TO IMPLEMENT?
1. Stocking times and
inventory
2. Shipping delays
3. Checking
1. Define Problem 4. Assembly speed
2. Measure 5. Experience
3. Analyze faults
4. Improve
1. Customer Value 5. Control High
2. Value stream Reliability
3. Material and info Culture and
flow 6 Sigma: Training
4. Customer pull DMAIC
product procedure
5. Optimize process
Lean
process:
Improvement
Method
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10. BARRIERS AND RISKS
Obstacles
 Understand when the 6σ approach is applicable and when not
 Test the approach before applying
 Engage employees and partners on changes
 Use metrics to evaluate personnel’s adaptation
 Senior executives must participate
 Integrate correctly… the 2 approaches
 Educate for constant education and improvement
Find the Balance, not always easy!
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11. SUCCESS STORIES
IMPECCABLE PROJECTS AS
COORDINATION COLLECTIVE
- Workflow ENTREPRISE
- Human capital - Financial incentives
- Innovation - Project optimization
PROJECTS AS PRODUCTION
SYSTEMS
- Changing the works structure
- High Reliability Practices
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