Federal Construction Delivery – Time for LEAN


Lean = Faster, Better, Cheaper, New Efficiencies, Teamwork, Time, Savings, Commitment, and Ownership

Lean = Job Order Contracting, JOC, Integrated Project Delivery, IPD….

“Lean is a system of project delivery in which improvements in the overall process are sought concurrently and continuously throughout the inception, design, construction, and commissioning of the project. Lean streamlines supply chains and reliability in commitments to insure a continuous and predictable flow. Lean strives to provide maximum value to the client eliminates waste in the process and is built on the foundation of respect for all persons.” – Alliance of Construction Excellence

Lean is not new, nor is it complicated.   JOC and IPD, for example are over 20 years old.  Both are proven LEAN processes.  Training and supporting technology exists, as well as standardized cost data architectures (example – e4Clicks Project Estimator).   The benefits associate with LEAN are also well documented.  These benefits, as well as key characteristics, support all project participants including Owners, Contractors, Subcontractors, AEs, and oversight groups.

Benefits include:

1. More construction projects complete on-time and on-budget.

2. Virtual elimination of legal disputes.

3. Significant reduction in change orders.

4. Shorter procurement and overall project times.

5. Longer term and beneficial relationships among owners and service providers.

Key Characteristics of LEAN construction delivery methods

  1. Qualifications Based or Best Value Selection
  2. Some form of pricing transparency (for example, for JOC, an RSMeans unit price book – UPB)
  3. Early and ongoing collaboration between project stakeholders
  4. Some form of financial incentive to drive performance
  5. Appropriate distribution of risk

“In the long history of humankind, those who learned to collaborate and improvise most effectively have prevailed.”
– Charles Darwin

Despite the availability of LEAN construction delivery methods, many/most Federal Government Departments and Agencies continue to flounder…

However, although progress has been made, major issues persist in regard to
the maintenance and repair of federal facilities:
• Federal facilities continue to deteriorate.
• Federal agencies continue to operate and maintain facilities that are excess
to their missions.
• Each federal agency approaches reinvestment in maintenance and repair
differently.
• Federal facilities program managers have been unable to communicate
effectively the link between reinvestment in facilities’ maintenance and
repair and the core missions of their agencies.
• The federal government as a whole has not taken a leadership role in the
maintenance and repair of its facilities.

–  Source: 2012, Predicting Outcomes from Investments in Maintenance and
Repair for Federal Facilities, Committee on Predicting Outcomes of Investments in Maintenance and Repair for Federal Facilities; National Research Council

Is there reason to believe improvement is on the horizon…. Yes and No,

Yes: The United States Air Force (USAF) has been a leader in deploying Job Order Contracting (JOC), known as SABER Air Force terminology.  USAF has deployed “best practice” JOC successfully and continues to do so.

No:  Many/most of the other DOD Departments and non-DOD Federal Agencies continue to operate in an ad-hoc manner without any true global oversight, management, or transparency and associated local implementation of LEAN construction delivery methods.

Thus, what will make a difference?  Hopefully the basic fact that appropriate management of our built physical infrastructure is directly linked to critical environmental and economic issues, if not our very survival as we as now accustomed, will drive accelerated acceptance of LEAN construction delivery methods.

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