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INNOVATION
DELAY & DISRUPTION
WASTE ON SITE
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 Innovation in construction is considered
to be ‘the act of introducing and using
new ideas’. They are:
 Technologies;
 products and/or processes aimed at
solving problems;
 viewing things differently;
 improving efficiency and effectiveness;
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 immobility of the final product;
 the construction work happens
on site;
 The advantages of automated
products is rarely possible;
 Innovation in some areas has
improved productivity.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
A recent government report
suggests that:
Innovation needs to be at
the heart of the construction
industry’s efforts.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 There are many reasons for adopting
innovation in construction sector,
For small firms:
 Owners play a key role in driving
innovation in construction firms.
 Small firms focus on smaller contracts
in the market.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 The broader market segments is
occupied with large firms.
 Small firms lack resources and finance
to push towards innovation.
 This often hampers the capacity of
large firms to experiment and commit
to investment strategies.
 Innovation often does not give a
return in short term.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 The need for innovation in the
construction industry has long
been stressed from both within
and outside the industry.
 There is a need for innovation in
construction Because of:
 changes in global markets;
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 increased customer expectations;
 government pressure;
 all led to innovation becoming a
key focus for the construction
sector.
 Innovation in the Construction
Industry is still slower than other
industries.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 The mass production in other sectors
such as car manufacturing.
 pushed the industry toward
automation for higher productivity.
The area where application is fast
developing includes:
 the aid of computer database;
 robotics and automated process
control.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
Innovation has been slow because:
 Immobility;
 Durability;
 complexity and high risk of failure;
 all characteristics of construction products.
 The key towards a successful push for
technological innovation:
 It occurs when in all cases, firms target
minor and peripheral markets;
 where the cost advantages of new
technology could be more easily
demonstrated.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 Factors that influence and impact on
innovation in the industry are:
The external environment
 Innovation activity in small construction
firms is triggered mainly by key events in its
external business environments.
 changing client needs
 unforeseen project-specific events
 are all important for a big push towards
innovation.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 There are number of approaches in
which small construction firms can take
advantage of changes in its external
environment and advance its
innovation capacity.
 One approach is to make the effort to
predict and identify key events within
their client needs and ongoing projects
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 Small construction firms can also use their
external environment. They can be achieved
by:
 developing strong client relationships;
 make an effort to understand client
organisations;
 getting involved in industry associations and
forums;
 signing up to newsletters;
 can be a way to stay informed of client
needs.
 Also, what is happening in the industry.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
The structure of the industry
 The construction industry is generally
driven by single projects that require
the formation of a team to do the work.
 The subsequent separation of that
team once the job is completed.
 Put constrain on a push towards
innovation.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 It also can help innovation by
ensuring:
 great flexibility;
 fast adoption of new ideas and
technology;
 However, it can also constrain
innovation.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 knowledge gained through the
process of a project might be lost.
 As the company moves on to the
next project new people form a
group.
 Knowledge gained should be stored
and kept in a Management
Information System (MIS).
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
Steps towards innovation in
construction
Developing a strategy
Training within the
organisation
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 This can help overcome the
potential problems of lost
knowledge.
 Once knowledgeable people
leave the organization, the
knowledge will be lost.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
Adopt a method to:
 document lessons learned
 Including best practices after every
project
 valuable lesson for the organization
 This will help to avoid previous
mistakes and learn from
experience.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 strategy of documenting lessons
learnt from previous projects.
 It has been recognised as one of the
key contributing factors in achieving
KPIs.
 Heathrow Terminal 5 mega project.
 Has meet all objectives.
 Excluding the opening day and lo
luggage confusion.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
Organisational culture
 Culture of Innovation in construction
firms amongst small firms is very rear.
 nationally and internationally
 innovations is a key to become more
competitive
 innovation has to become a part of the
companies culture
 New ideas should be prevented from
getting lost.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 Innovative ideas should be rewarded.
 Opportunities for information and
knowledge sharing between projects
and business units should be created.
 Management should communicate the
importance of innovative solutions
thoroughly.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
Steps to take:
 give employees freedom to become
innovative
 support innovative employees actively
 This should be regardless of position
in the hierarchy.
 A few simple changes can make a
significant difference to the innovation
culture of your business.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 Changes must go through a
brainstorming sessions.
 The advantages or disadvantages
are assessed.
 Even sometimes a financial
incentive might help.
 Setting up a suggestion box.
 Encouraging inputs at staff
meetings.
INNOVATION AND CONSTRUCTION
PRODUCTIVITY
 One way of promoting innovating
ideas is the use of Value engineering.
 Value engineering is one method that
promotes innovative approaches.
 It looks critically at the design and
methods of construction.
 The use of equipment.
 Selecting best alternative to initial
designs or methods of work.
 Please go to VE Power Point
WASTAGE ON SITE
There are five significant sources of
Construction wastage:
1. design changes
2. left over material and scrap
3. waste from packaging and non-
reclaimable construction materials
4. design detailing errors
5. poor weather
6. repeat work following bad
workmanship
WASTAGE ON SITE
 On average 50% of the waste
deposited in a disposal site in the UK
is construction waste.
 The construction site waste could be
minimized by re-using materials.
 Recycling building waste.
 Trying to avoid waste by reducing
repeat work.
 Double handling of materials
 etc.
WASTAGE ON SITE
 Effective waste minimization
strategies can be developed for
construction project sites using the
following steps:
 Developing an inventory of all waste
streams on the construction site.
 Identifying the source of the waste
stream.
 Determining the quantities and
compositions of the waste stream.
Fig. 2.03 Typical adverse material management (Thomas et al, 1989)
Extensive multiple
handling of materials
Material badly stored
or marked
Poor House Keeping
Wastage on
Site
Access to storage
area obscured by
debris
Lack of planning of material
deliveries
Lack of co-ordination between
the time of deliveries and
erection.
Remobilization and re-
familiarisation after a lengthy
delay.
Running out of
materials
Lack of anticipation
about material
shortage
WASTAGE ON SITE
 Based on my own research and
derived mathematical formulas:
 AC= Actual time for Craft to carry
out a unit rate of a job.
 AL= Actual time for a Labour to
carry out a unit rate of a job.
 PR (Loss/Gain)=MD [A-X] + {(EC .
HC)+ (EL . HL)}-{(AC . HC)+ (AL .
HL)}
WASTAGE ON SITE
 PR (Loss/Gain) =MD [A-X] +
HC(EC- AC)+ HL(EL- AL)
 AC = a EC (1+Σ xi) and similarly AL
= a EL (1+Σ xi)
 xi = % of influential factors such
as weather, crew size, absenteeism,
machinery, accidents on site, etc.
JUST-IN-TIME (JIT)
 In order to achieve better
productivity:
 Just-in-Time (JIT) has been
introduced to reduce the level of
wastage on construction sites.
Benefits of JIT are:
 the ability to streamline operation
 the ability to be more responsive to
the environment
 and shortage of resources
JUST-IN-TIME (JIT)
 improvement in the level of
productivity
 improvement in scheduling
 cost saving
 improvement quality assurance
 improvement in buffer
JUST-IN-TIME (JIT)
 The JIT philosophy is about having:
 an accurate and reliable
documentation system;
 which will give support to all
functional departments;
 tt is a good communication tool;
 can be used by everyone in a project
to obtain necessary information for
his or her task.
JUST-IN-TIME (JIT)
significant wastage within the
construction process is mainly
related to factor such as:
 over production;
 poor transportation or mishandling;
 excessive waiting time;
 processing failure;
 unnecessary movement on site and
high inventories.
EFFECT OF DELAY AND DISRUPTION
ON CONSTRUCTION PRODUCTIVITY
 Delays within the construction site
are created by:
1. Idleness
2. waiting times
 The delays associated with waiting for
supervisory instruction,
 IF there are severe time constraints
 and problems with shortages of on-
site managerial staff
 It will make project duration longer.
EFFECT OF DELAY AND DISRUPTION ON
CONSTRUCTION PRODUCTIVITY
 The Construction Decision
Support System for delay
analysis [Delay Analysis System
(DAS)] is a good source of
information.
 It was developed by Yates in
1993 to assist managers during
the decision-making process.
EFFECT OF DELAY AND DISRUPTION
ON CONSTRUCTION PRODUCTIVITY
Delays can be classified as:
1. compensable,
2. Excusable
3. non- excusable
 a more complicated delay is
con-current delays,
EFFECT OF DELAY AND DISRUPTION
ON CONSTRUCTION PRODUCTIVITY
compensable Delays:
 this type of delay is caused by
the project owner
 the contractor can be
compensated for such delays
excusable Delay:
 this type of delay is not the fault
of the contractor or the owner of
the project
EFFECT OF DELAY AND DISRUPTION
ON CONSTRUCTION PRODUCTIVITY
non-excusable:
 this is caused by the
mismanagement of materials
 or the contractor workforce
 his sub-contractor
 because of suppliers
EFFECT OF DELAY AND DISRUPTION
ON CONSTRUCTION PRODUCTIVITY
 Types of disruptions are
organized into three
categories:
 disruption related to
resources: such as material
availability, tool availability,
equipment or information
availability.
EFFECT OF DELAY AND DISRUPTION
ON CONSTRUCTION PRODUCTIVITY
 disruption related to rework:
such as design change
 disruption related to
management:
such as congestion, out-of
sequence work, supervisory
034 innovation & productivity

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066 management structure-the design
 
062 logistics and productivity
062 logistics and productivity062 logistics and productivity
062 logistics and productivity
 
065 management information system
065 management information system065 management information system
065 management information system
 
064 management accounting
064 management accounting064 management accounting
064 management accounting
 
063 management theory
063 management theory063 management theory
063 management theory
 
061 logistics and productivity
061 logistics and productivity061 logistics and productivity
061 logistics and productivity
 
059 lean construction
059 lean construction059 lean construction
059 lean construction
 
060 lean supply chain
060 lean supply chain060 lean supply chain
060 lean supply chain
 
055 kpi's-success factor
055 kpi's-success factor055 kpi's-success factor
055 kpi's-success factor
 
057 lean and environment
057 lean and environment057 lean and environment
057 lean and environment
 
058 lean construction (2)
058 lean construction (2)058 lean construction (2)
058 lean construction (2)
 
056 labour productivity
056 labour productivity056 labour productivity
056 labour productivity
 
054 jit and quality management system
054 jit and quality management system054 jit and quality management system
054 jit and quality management system
 
050 intergrating constructability
050 intergrating constructability050 intergrating constructability
050 intergrating constructability
 
049 integration of constructability
049 integration of constructability049 integration of constructability
049 integration of constructability
 
048 integrating workers motivation
048 integrating workers motivation048 integrating workers motivation
048 integrating workers motivation
 

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034 innovation & productivity

  • 2. INNOVATION AND CONSTRUCTION PRODUCTIVITY  Innovation in construction is considered to be ‘the act of introducing and using new ideas’. They are:  Technologies;  products and/or processes aimed at solving problems;  viewing things differently;  improving efficiency and effectiveness;
  • 3. INNOVATION AND CONSTRUCTION PRODUCTIVITY  immobility of the final product;  the construction work happens on site;  The advantages of automated products is rarely possible;  Innovation in some areas has improved productivity.
  • 4. INNOVATION AND CONSTRUCTION PRODUCTIVITY A recent government report suggests that: Innovation needs to be at the heart of the construction industry’s efforts.
  • 5. INNOVATION AND CONSTRUCTION PRODUCTIVITY  There are many reasons for adopting innovation in construction sector, For small firms:  Owners play a key role in driving innovation in construction firms.  Small firms focus on smaller contracts in the market.
  • 6. INNOVATION AND CONSTRUCTION PRODUCTIVITY  The broader market segments is occupied with large firms.  Small firms lack resources and finance to push towards innovation.  This often hampers the capacity of large firms to experiment and commit to investment strategies.  Innovation often does not give a return in short term.
  • 7. INNOVATION AND CONSTRUCTION PRODUCTIVITY  The need for innovation in the construction industry has long been stressed from both within and outside the industry.  There is a need for innovation in construction Because of:  changes in global markets;
  • 8. INNOVATION AND CONSTRUCTION PRODUCTIVITY  increased customer expectations;  government pressure;  all led to innovation becoming a key focus for the construction sector.  Innovation in the Construction Industry is still slower than other industries.
  • 9. INNOVATION AND CONSTRUCTION PRODUCTIVITY  The mass production in other sectors such as car manufacturing.  pushed the industry toward automation for higher productivity. The area where application is fast developing includes:  the aid of computer database;  robotics and automated process control.
  • 10. INNOVATION AND CONSTRUCTION PRODUCTIVITY Innovation has been slow because:  Immobility;  Durability;  complexity and high risk of failure;  all characteristics of construction products.  The key towards a successful push for technological innovation:  It occurs when in all cases, firms target minor and peripheral markets;  where the cost advantages of new technology could be more easily demonstrated.
  • 11. INNOVATION AND CONSTRUCTION PRODUCTIVITY  Factors that influence and impact on innovation in the industry are: The external environment  Innovation activity in small construction firms is triggered mainly by key events in its external business environments.  changing client needs  unforeseen project-specific events  are all important for a big push towards innovation.
  • 12. INNOVATION AND CONSTRUCTION PRODUCTIVITY  There are number of approaches in which small construction firms can take advantage of changes in its external environment and advance its innovation capacity.  One approach is to make the effort to predict and identify key events within their client needs and ongoing projects
  • 13. INNOVATION AND CONSTRUCTION PRODUCTIVITY  Small construction firms can also use their external environment. They can be achieved by:  developing strong client relationships;  make an effort to understand client organisations;  getting involved in industry associations and forums;  signing up to newsletters;  can be a way to stay informed of client needs.  Also, what is happening in the industry.
  • 14. INNOVATION AND CONSTRUCTION PRODUCTIVITY The structure of the industry  The construction industry is generally driven by single projects that require the formation of a team to do the work.  The subsequent separation of that team once the job is completed.  Put constrain on a push towards innovation.
  • 15. INNOVATION AND CONSTRUCTION PRODUCTIVITY  It also can help innovation by ensuring:  great flexibility;  fast adoption of new ideas and technology;  However, it can also constrain innovation.
  • 16. INNOVATION AND CONSTRUCTION PRODUCTIVITY  knowledge gained through the process of a project might be lost.  As the company moves on to the next project new people form a group.  Knowledge gained should be stored and kept in a Management Information System (MIS).
  • 17. INNOVATION AND CONSTRUCTION PRODUCTIVITY Steps towards innovation in construction Developing a strategy Training within the organisation
  • 18. INNOVATION AND CONSTRUCTION PRODUCTIVITY  This can help overcome the potential problems of lost knowledge.  Once knowledgeable people leave the organization, the knowledge will be lost.
  • 19. INNOVATION AND CONSTRUCTION PRODUCTIVITY Adopt a method to:  document lessons learned  Including best practices after every project  valuable lesson for the organization  This will help to avoid previous mistakes and learn from experience.
  • 20. INNOVATION AND CONSTRUCTION PRODUCTIVITY  strategy of documenting lessons learnt from previous projects.  It has been recognised as one of the key contributing factors in achieving KPIs.  Heathrow Terminal 5 mega project.  Has meet all objectives.  Excluding the opening day and lo luggage confusion.
  • 21. INNOVATION AND CONSTRUCTION PRODUCTIVITY Organisational culture  Culture of Innovation in construction firms amongst small firms is very rear.  nationally and internationally  innovations is a key to become more competitive  innovation has to become a part of the companies culture  New ideas should be prevented from getting lost.
  • 22. INNOVATION AND CONSTRUCTION PRODUCTIVITY  Innovative ideas should be rewarded.  Opportunities for information and knowledge sharing between projects and business units should be created.  Management should communicate the importance of innovative solutions thoroughly.
  • 23. INNOVATION AND CONSTRUCTION PRODUCTIVITY Steps to take:  give employees freedom to become innovative  support innovative employees actively  This should be regardless of position in the hierarchy.  A few simple changes can make a significant difference to the innovation culture of your business.
  • 24. INNOVATION AND CONSTRUCTION PRODUCTIVITY  Changes must go through a brainstorming sessions.  The advantages or disadvantages are assessed.  Even sometimes a financial incentive might help.  Setting up a suggestion box.  Encouraging inputs at staff meetings.
  • 25. INNOVATION AND CONSTRUCTION PRODUCTIVITY  One way of promoting innovating ideas is the use of Value engineering.  Value engineering is one method that promotes innovative approaches.  It looks critically at the design and methods of construction.  The use of equipment.  Selecting best alternative to initial designs or methods of work.  Please go to VE Power Point
  • 26. WASTAGE ON SITE There are five significant sources of Construction wastage: 1. design changes 2. left over material and scrap 3. waste from packaging and non- reclaimable construction materials 4. design detailing errors 5. poor weather 6. repeat work following bad workmanship
  • 27. WASTAGE ON SITE  On average 50% of the waste deposited in a disposal site in the UK is construction waste.  The construction site waste could be minimized by re-using materials.  Recycling building waste.  Trying to avoid waste by reducing repeat work.  Double handling of materials  etc.
  • 28. WASTAGE ON SITE  Effective waste minimization strategies can be developed for construction project sites using the following steps:  Developing an inventory of all waste streams on the construction site.  Identifying the source of the waste stream.  Determining the quantities and compositions of the waste stream.
  • 29. Fig. 2.03 Typical adverse material management (Thomas et al, 1989) Extensive multiple handling of materials Material badly stored or marked Poor House Keeping Wastage on Site Access to storage area obscured by debris Lack of planning of material deliveries Lack of co-ordination between the time of deliveries and erection. Remobilization and re- familiarisation after a lengthy delay. Running out of materials Lack of anticipation about material shortage
  • 30. WASTAGE ON SITE  Based on my own research and derived mathematical formulas:  AC= Actual time for Craft to carry out a unit rate of a job.  AL= Actual time for a Labour to carry out a unit rate of a job.  PR (Loss/Gain)=MD [A-X] + {(EC . HC)+ (EL . HL)}-{(AC . HC)+ (AL . HL)}
  • 31. WASTAGE ON SITE  PR (Loss/Gain) =MD [A-X] + HC(EC- AC)+ HL(EL- AL)  AC = a EC (1+Σ xi) and similarly AL = a EL (1+Σ xi)  xi = % of influential factors such as weather, crew size, absenteeism, machinery, accidents on site, etc.
  • 32. JUST-IN-TIME (JIT)  In order to achieve better productivity:  Just-in-Time (JIT) has been introduced to reduce the level of wastage on construction sites. Benefits of JIT are:  the ability to streamline operation  the ability to be more responsive to the environment  and shortage of resources
  • 33. JUST-IN-TIME (JIT)  improvement in the level of productivity  improvement in scheduling  cost saving  improvement quality assurance  improvement in buffer
  • 34. JUST-IN-TIME (JIT)  The JIT philosophy is about having:  an accurate and reliable documentation system;  which will give support to all functional departments;  tt is a good communication tool;  can be used by everyone in a project to obtain necessary information for his or her task.
  • 35. JUST-IN-TIME (JIT) significant wastage within the construction process is mainly related to factor such as:  over production;  poor transportation or mishandling;  excessive waiting time;  processing failure;  unnecessary movement on site and high inventories.
  • 36. EFFECT OF DELAY AND DISRUPTION ON CONSTRUCTION PRODUCTIVITY  Delays within the construction site are created by: 1. Idleness 2. waiting times  The delays associated with waiting for supervisory instruction,  IF there are severe time constraints  and problems with shortages of on- site managerial staff  It will make project duration longer.
  • 37. EFFECT OF DELAY AND DISRUPTION ON CONSTRUCTION PRODUCTIVITY  The Construction Decision Support System for delay analysis [Delay Analysis System (DAS)] is a good source of information.  It was developed by Yates in 1993 to assist managers during the decision-making process.
  • 38. EFFECT OF DELAY AND DISRUPTION ON CONSTRUCTION PRODUCTIVITY Delays can be classified as: 1. compensable, 2. Excusable 3. non- excusable  a more complicated delay is con-current delays,
  • 39. EFFECT OF DELAY AND DISRUPTION ON CONSTRUCTION PRODUCTIVITY compensable Delays:  this type of delay is caused by the project owner  the contractor can be compensated for such delays excusable Delay:  this type of delay is not the fault of the contractor or the owner of the project
  • 40. EFFECT OF DELAY AND DISRUPTION ON CONSTRUCTION PRODUCTIVITY non-excusable:  this is caused by the mismanagement of materials  or the contractor workforce  his sub-contractor  because of suppliers
  • 41. EFFECT OF DELAY AND DISRUPTION ON CONSTRUCTION PRODUCTIVITY  Types of disruptions are organized into three categories:  disruption related to resources: such as material availability, tool availability, equipment or information availability.
  • 42. EFFECT OF DELAY AND DISRUPTION ON CONSTRUCTION PRODUCTIVITY  disruption related to rework: such as design change  disruption related to management: such as congestion, out-of sequence work, supervisory