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Key Terms that Explain How CPM and Last Planner System Can Work Together in Construction

Improving the management and execution of construction projects requires getting everyone on the same page. Two widely-used methodologies – the Critical Path Method, which emphasizes sequencing and interdependencies of tasks, and the Last Planner System®, which fosters collaboration and adaptability among jobsite teams –  use different approaches to achieve this goal.

When teams don’t align, a gap forms between the big-picture master schedule used to map progress from beginning-to-end of the project and the production schedule used to manage the day-to-day, week-to-week progress. Such a gap leads to miscommunication, delays, and other costly problems as the actual work on the site drifts away from the expected outcomes in the high-level, master schedule. 

In this article, we’ll explore the Critical Path Method (CPM), and the Last Planner System (LPS) to better understand their history and key concepts. We aim to highlight the importance of integrating these methods to bridge scheduling gaps and optimize construction workflows.

Levels of Schedules and Associated Methods in Construction Projects

Before we dive into the details of CPM and LPS, it is helpful to review different levels of scheduling done in large construction projects.

One of the most important tasks at the beginning of a construction project is when the General Contractor creates the baseline schedule (the long-term schedule). The baseline schedule represents the plan agreed upon by the Owner and the General Contractor for how the General Contractor will execute the project. This schedule is typically created using the CPM scheduling methodology, in which all the tasks needed to complete a project are defined and put in sequence. The baseline schedule is used for tracking progress but also for determining when payments will be made by the Owner to the General Contractor based on agreed upon milestones.

The master schedule represents the working version of that baseline schedule that includes the detail needed to manage construction at a high level. As construction proceeds, the master schedule evolves to reflect the evolution of the intended plan based on how the work is proceeding. When teams face large problems such as supply chain delays or unexpected events disrupting construction, the schedulers revise the baseline schedule and master schedule.

On the job sites, teams use production schedules at various levels of scope and detail to manage the work. Increasingly, this level of scheduling is created using The Last Planner System methodology.  While the master schedule shows major milestones, the production schedule provides much more specific plans for how these tasks will be completed. This includes crew planning, material delivery, equipment usage, and many other project details. The Last Planner System seeks to engage the people doing the work to collaborate and optimize the workflows, achieving savings and efficiencies based on their hands-on understanding of the project.

Each method approaches planning from a different angle, using its own set of concepts and terms to plan and organize the construction process. As we will discuss below, a troublesome gap between the schedules forms when a two-way flow of information does not occur. We will now explain the perspective and key terms used for both methods so we can better understand how to bridge the gap.

What is the Critical Path Method (CPM) for Construction Project Management?

CPM scheduling has been a mainstay in construction project management for nearly 60 years. In the late 1950s, Morgan Walker of DuPont and James Kelley of Remington Rand developed the approach in response to a request: “See what you can do about scheduling.”  

CPM emphasizes the interdependencies of tasks as these relate to scheduling, sequencing, and duration of the tasks, and the impact of these interdependencies on the entire project timeline. To ensure smooth progression throughout the project, all tasks must be clearly defined and manageable. CPM focuses on the logical scheduling connections among construction activities and on identifying the longest sequence of dependent critical activities that directly impact a project’s completion date – the critical path. The critical path determines the minimum project completion time. 

CPM ensures tasks finish in a logical sequence. For example, the plumber and electrician complete their rough-ins before the drywall specialist installs and sands the drywall. Otherwise, changes to plumbing or electrical work could require cutting into drywall and repairing the cuts. Construction team leaders use CPM-based software, mostly Oracle Primavera P6 and MS Project, to create and manage the contractual project schedule. The master plan is a coarse rendering of the tasks in the schedule. 

Here are some key terms to help understand CPM.

Activity Sequencing: CPM meticulously outlines all project activities and establishes logical relationships among those activities. CPM then determines which tasks must finish before other tasks can begin. This interdependence is often visually represented in a Gantt chart, a bar chart illustrating the start and end dates of each activity, and their relationships.

Float: Activities not on the critical path have float, representing the permissible delay without affecting the critical path. While float provides scheduling flexibility, mismanaging or failing to monitor float will lead to delays as float activities become critical path activities.

To effectively implement a CPM schedule, managers typically follow a series of steps:

  • Create a work breakdown structure. Managers break the project down into smaller, manageable tasks.
  • Develop a CPM diagram. Managers construct a visual representation of task dependencies. 
  • Forward pass calculation. Managers identify the earliest start and finish dates for each task.
  • Backward pass calculation (float). Managers determine float by calculating the latest start and finish times. 

With its focus on detailed activity breakdown and critical path analysis, CPM proves valuable for large-scale projects demanding precise scheduling and sequencing, and adherence to strict deadlines. However, CPM has limitations pertaining to task scheduling, particularly in its susceptibility to errors in initial estimates and its inability to inherently account for resource constraints.

What is the Last Planner System?

The term “Last Planner System” is the way that people who are using Lean Construction talk about the scheduling process. Lean Construction, inspired by the Toyota Production System, was coined in 1993, but proponents trace the origins to the construction of the Empire State Building starting in 1929. The Last Planner System, the umbrella planning term most often used, prioritizes waste minimization and continuous improvement throughout the construction process. As part of its holistic approach, the Last Planner System focuses on optimizing the entire project workflow and maximizing value delivery. 

One of the main advantages of the Last Planner System is its collaborative nature. While CPM focuses on the scheduling interdependencies of tasks, the Last Planner System emphasizes the efficient coordination and cooperation of jobsite teams to minimize downtime, minimize waste, and enhance workflow reliability. This approach fosters a planning environment where commitments among trades are managed in short execution windows, allowing for continuous improvement and transparency.

The Last Planner System emphasizes empowering those directly responsible for executing the work to create and manage their schedules. This bottom-up approach to Lean construction planning fosters ownership and promotes realistic task durations, leading to greater schedule reliability. LPS often utilizes visual tools, such as sticky note walls, to track progress and identify bottlenecks.

A key performance indicator is the Percent Plan Complete (PPC), which measures how effectively teams are performing week-over-week at meeting their commitments. This metric provides the percentage of commitments teams are hitting on time, reinforcing the commitment to maximize both project and customer value. 

Other key practices of the Last Planner System include:

Milestone Planning

The practice of conducting milestone planning by setting incremental goals that fit within the Master Schedule. 

Pull Planning

A collaborative technique that begins with the project’s end goal and works backward, involving all stakeholders in determining the sequence of tasks and dependencies. By engaging those closest to the work in planning, pull planning fosters a shared understanding of goals and dependencies, promoting accountability and reducing rework.

Daily Huddle

A meeting at which the team reviews the previous day’s completed activities and discusses the current day’s tasks. This helps maintain safety, coordination, and adherence to plans, while fostering team culture and habits. 

Look Ahead Planning

The practice of breaking down larger project sequences into actionable, short-term tasks, ensuring teams have clear and achievable goals within a specified timeframe. 

Waste Removal

The focus on process improvement to minimize or eliminate eight forms of waste in construction: overproduction, waiting, unnecessary transportation, over-processing, defects, inventory, motion, and unused talent. Achieving this goal leads to cost savings, improved productivity, and enhanced customer satisfaction.

Collaborative Learning

The promotion of collective accountability and systematic learning to achieve better project outcomes. Teams work together to identify constraints, share knowledge, and collectively solve problems to improve workflow reliability. Through Plan-Do-Check-Act (PDCA) cycles, teams analyze performance data, identify deviations, and implement better practices.

The Last Planner System does not attempt to predict the flow of work over a long period the same way that CPM does. Instead the focus is on a much shorter time scale. The Last Planner System unlocks the intelligence and creativity of the teams on the ground, addressing directly the idea that schedules must change and adapt as work is performed and problems arise and are solved.

Both of these methods are crucial to the success of large construction projects. Communication and execution goes much better when all teams understand what is happening in both levels.

Looking for a better way to bridge the gap between CPM and LPS?

Touchplan® is the leading real-time construction planning platform that helps teams:

  • Improve collaboration between schedulers and field teams
  • Enhance workflow reliability by aligning high-level planning with daily execution
  • Reduce delays and rework with real-time progress tracking and insights

Learn how Touchplan® can help your team unite CPM and the Last Planner System. Schedule a demo today.

Celebrating 2024: Touchplan Updates That Drive Smarter Project Planning

As 2024 comes to a close, we’re reflecting on a year of growth and innovation for Touchplan®. Thanks to your feedback and our team’s dedication to delivering solutions that meet your needs, we’ve launched new features that improve project planning, execution, and collaboration.  

Here’s a closer look at the most significant updates of the year: 

Breaking New Ground in Construction Analytics

In February, we introduced Management Analytics, an expansion of Touchplan’s analytics platform that delivers actionable insights for all stakeholders through three views: Project Analytics, Portfolio Analytics, and Company Analytics. 

  • Project Analytics: Designed for superintendents and project managers, this feature highlights leading indicators, trends, and blockers to help teams anticipate and resolve issues early, standardize planning, and reduce delays. 
  • Portfolio Analytics: Ideal for regional and division managers, it enables detailed project comparisons, performance tracking, and corrective action for projects that aren’t meeting KPIs. 
  • Company Analytics: Tailored for executives, this tool offers an enterprise-wide view of the project landscape, empowering leaders to implement strategies and best practices while standing up new projects faster. 

Strategic Synchronization: Touchplan + Primavera P6

In July, we released a powerful new integration to synchronize Touchplan with Oracle’s Primavera P6, solving the long-standing challenge of keeping master schedules and daily workflows aligned. 

This integration unifies the Critical Path Method (CPM) and the Last Planner System (LPS), combining P6’s high-level scheduling with Touchplan’s on-the-ground collaboration capabilities. This “human-in-the-loop” approach ensures experienced schedulers retain control of data selection while eliminating tedious manual data formatting. 

Why This Matters: 

  • Prevents schedule drift, ensuring contract schedules reflect actual site conditions. 
  • Saves time by automating data synchronization while preserving planning autonomy. 
  • Empowers project teams to address complexity without being bogged down by data management. 

Improved Features to Enhance Efficiency 

In 2024, we also introduced several features to simplify workflows and improve project management: 

  • Task Status Tracking: Mark tasks as started but not yet completed for clearer visibility into in-progress activities. 
  • Enhanced Import Features: Copy and paste tickets between projects using a formatted Excel template for seamless collaboration. 
  • PowerBI Connector: Integrate Touchplan analytics directly into PowerBI for advanced reporting and data visualization. 
  • Quick View Dashboards: Access upcoming tasks and labor insights at a glance for improved planning across projects. 

Improved Search, Security, and User Control 

To further enhance usability, we added: 

  • Advanced Plan Search & Filter: Quickly locate details with enhanced search capabilities. 
  • Transparency Slider: Control the visibility of excluded tickets for clearer plan views. 
  • Enhanced Security: Automatic logout after one week of inactivity for added protection. 

Customizable Analytics Reporting 

We also introduced new ways to tailor reporting to your team’s needs: 

  • New Report Filters: Filter reports by WBS Codes or External Linkage for precise insights. 
  • Date Filters for Analytics Dashboards: View data from the past 1, 6, or 12 weeks to track progress over time. 

Looking Ahead to 2025 

We’re proud of the progress we’ve made in 2024, and we remain committed to innovating with your team’s needs in mind. From powerful analytics to smarter integrations, these updates are designed to help your team succeed at every level of project planning and execution. 

Here’s to a successful 2025 and beyond! 

Webinar Recap: Building a Best-of-Breed ConTech Stack

In construction, a standardized tech stack that combines functions like scheduling, document control, and collaboration can improve planning and help teams work more efficiently.

But how do teams build a ConTech stack that’s tailored to the unique challenges of construction projects? What best practices help ensure company-wide adoption, especially at the field level? For industry leaders like EllisDon, balancing in-house tools with best-in-class external solutions is key to creating a tech stack that works for the entire team.

MOCA Systems Inc., the providers of Touchplan®, partnered with construction services company EllisDon to host a webinar titled, “Building a Best-of-Breed ConTech Stack – EllisDon’s Transformative Approach to Construction Technology.”

The live session featured Brett Adamczyk, MSI’s Executive Vice President, and Hammad Chaudhry, EllisDon’s Vice President of Innovation & Construction Technology. The industry experts explored how implementing a best-of-breed ConTech stack can address the challenges of today’s complex construction projects, focusing on digital solutions and strategies that enhance collaboration, efficiency, and data-driven decision-making across all project phases.

Hammad shared insight into EllisDon’s ConTech selection process, which was a rigorous, organization-wide process to find best-in-class solutions that would standardize workflows across projects. Reviewing over 250 software options, they prioritized solutions that addressed key needs in scheduling, project management, and document control. Touchplan was chosen as a central tool for its collaborative pull planning, real-time updates, and integration with software like P6 and Microsoft Project. By adopting Touchplan, EllisDon established a consistent approach to scheduling, enhancing transparency and accountability across projects.

Here are some additional takeaways from the informative webinar:

  • An Integrated Tech Stack is Essential: Combining scheduling, document control, and collaboration technology improves workflows, accountability, and efficiency.“For EllisDon, we have some core tools that we’ve developed, and we have maybe 250 other tools that play a part. We wanted to get to the next level where we were able to standardize with one partner.”
  • Standardization Ensures Quality and Consistency: Standardized digital solutions provide reliable data, improve decision-making, and set the foundation for AI. “Having standardized tools and processes ensures a consistent process from job site to job site, so people can move between projects without relearning everything.”
  • Collaborative Solutions Boost Accountability: Real-time platforms like Touchplan aligns teams and helps them proactively manage issues. “In our pull-planning process, we openly discussed where potential friction points could be, and Touchplan allows teams to take accountability and help validate those areas for improvement.”
  • Data Aggregation Enables Smart Decisions: Aggregated data offers valuable insights and prepares teams for the future. “One of the great initiatives we’ve been able to develop at EllisDon is having a large insights analytics team. We’re pulling in data from our own systems, Gate 3 and FieldWire, and from our strategic partners to create dashboards and reports as machine learning and AI become more applicable.”
  • Training and a Tech-Savvy Generation Drive Success: Effective training and a digitally skilled workforce accelerate tech adoption and bridge generational gaps. “It’s a reverse mentorship opportunity. Digitally skilled new team members can help train and upskill existing team members on tech, while learning from experienced builders.”

You can watch the webinar here.

If you’re ready to build a best-of-breed ConTech stack, schedule a live demo with us today to discover how Touchplan can be an essential part of your solution for successful project delivery.

The Operational Advantage: 3 Ways Touchplan® Helps Projects Stay On Time and On Budget

In an industry marked by slim margins and complex project timelines, efficient construction planning is more important than ever. With profit margins for commercial general contractors averaging just 4%, there is little room for mistakes and unplanned costs. A staggering 77% of projects face delays of 40% or more due to inadequate preparation, further highlighting the urgent need for effective planning.

Touchplan is a collaborative production planning platform that provides general and specialty contractors with planning tools that help prevent schedule and budget slippage and reduce the likelihood of errors and omissions that can lead to safety incidents. It also gives owners critical project data such as schedule variances and constraints to help monitor progress in real time and anticipate potential problems.

Here are three key ways that Touchplan helps improve operations to help projects stay on budget and on time.

  1. Lets Teams Spend More Time in the Field

“Trade partners can literally log into Touchplan themselves, do their tickets, and have their scope of work ready to go before the meeting even starts. This has helped us shorten our 6-month phase planning meetings from 4-6 hours down to 2 hours and our weekly meetings from 2 hours down to approximately 30 minutes.”

– Justin Spafford, Senior Project Manager – Flintco, LLC

Thanks to Touchplan, team members can receive project updates in real time rather than waiting for meetings. This makes meetings more efficient and less time-consuming. According to Touchplan’s report on The Return on Investment of Construction Planning Software, users reported a 50% reduction in meeting times since adopting the platform.

With Touchplan’s collaborative software, teams can create detailed schedules for the day, week, and month, allowing them to prepare effectively before meetings. The platform’s Mobile Ticket List feature provides real-time status updates directly from the field, which keeps team members continually updated. As a result, meetings can focus on upcoming tasks and moving the project forward, allowing team members to spend more time in the field than in a meeting room.

  1. Provides Accessible Data to Drive Informed Decisions and Continuous Improvement

Touchplan simplifies aggregating and analyzing plans, which reduces time-consuming manual updates that often lead to errors. With real-time visibility of project metrics displayed on Touchplan’s analytics dashboards, the platform achieves an 85% reduction in time spent on plan updates as noted in the Touchplan report.

Here are three areas where Touchplan analytics provide value in real-time:

  • Risk Identification: Teams can proactively identify bottlenecks for early informed decision-making.
  • Transparency Across Projects: Touchplan analytics offers a comprehensive dashboard view, ensuring all details are visible. Real-time data analysis promotes collaboration and accountability in monitoring project performance.
  • Management Analytics: Delivers actionable insights into construction planning by analyzing past trends, current project status, and future resource needs. Management Analytics aligns customers’ analytics dashboards into three easy-to-use formats, providing relevant information for executives, managers, and field leaders. This supports data-driven, collaborative decision-making through Project Analytics, Portfolio Analytics, and Company Analytics.
  • Exceptional KPI Management: Touchplan analytics enhances visibility with an intuitive interface featuring charts and trend reports, simplifying KPI tracking and enabling accurate decision-making for project success.

By automating updates and providing real-time insights, teams can swiftly address issues and allocate resources more effectively.

  1. Minimizes Errors and Keeps Projects on Track

Touchplan also plays an important role in reducing rework rates, which refer to the need to redo tasks due to poor planning or out-of-sequence work. The platform’s Variance Identification feature helps teams spot schedule deviations as they happen, improving workflow predictability and minimizing errors. If a subcontractor falls behind on a task, the team is alerted immediately allowing them to adjust timelines or reallocate resources. This proactive management of constraints has led to a significant 20% reduction in rework among Touchplan adopters.

A MOCA Systems, Inc. study analyzed data from Touchplan, finding that schedule variances related to handoffs, staffing issues, material/equipment challenges, design changes, and weather were major causes of delays. With real-time notifications to help promptly address these variances and take necessary action, Touchplan users can reduce disruptions and keep projects on budget and schedule.

Touchplan also offers a Visual Lookahead Schedule, providing a clear and comprehensive view of the plan. Instead of manually combing through the master schedule during Owner-Architect-Contractor meetings, teams can refer to the platform to quickly understand construction progress. This clarity helps reduce rework and delays, ensuring projects stay on track and that they remain aligned with their goals.

By utilizing pull planning to determine the necessary tasks and then organizing them within the lookahead schedule, teams can proactively address potential issues early. This approach minimizes the risk of out-of-sequence work, enhancing coordination and collaboration among stakeholders. By keeping teams aligned, construction teams can avoid the pitfalls of rework and keep projects moving forward.

The Operational Advantage of Touchplan

As a digital planning solution, Touchplan improves efficiency by enabling teams to recover time that is typically lost to manual planning. By focusing on forward-looking tasks, teams can hold more productive meetings. With real-time updates, Touchplan enables users to quickly identify issues, allocate resources effectively, and improve workflows, while its analytics deliver actionable data for informed decision-making.

The result is successful project delivery that meets budget and schedule requirements.

To learn more about how Touchplan can drive success in your projects, schedule a demonstration today.

 

 

 

New Study: Global Interest in Lean Construction Methods

A new study by MOCA Systems, Inc., the provider of Touchplan®, the leading Lean production planning platform, reveals key insights into the regional interest in Lean Construction, a methodology focused on maximizing value and minimizing waste in construction projects. Special attention is given to North America, showing a lower search interest in Lean Construction than South and Central America but with a fast-growing interest in it.

Key Insights

– South and Central America show the highest interest in Lean Construction with an average search interest index of 16.67, which represents the average level of interest based on search data on a scale from 0 to 100.

– In North America, the interest in Lean Construction is growing faster than the interest in Critical Path Method (CPM), with a 68.75% increase from 2021 to 2023 compared to CPM’s 20.69%.

– Middle East and Africa have the second-highest average search interest index for Lean Construction at 15.87, followed by Europe at 8.25.

South & Central America and North America’s Interest in Lean Construction

North America and South & Central America show contrasting trends in their interest in Lean Construction and their economic indicators. South & Central America has the highest average search interest index for Lean Construction at 16.67, while North America has a lower index (8). North America has a significantly higher GDP compared to South & Central America.

Lean vs CPM

The growth in interest in Lean Construction has significantly outpaced the interest in CPM in recent years in the United States From 2021 to 2023, Lean Construction interest surged by 68.75%. During the same period, CPM interest saw a more modest increase of 20.69%.

Regional Insights

South and Central America

  • Highest average search interest index for Lean Construction.
  • Construction Volume 2023: 208.81 Million USD
  • Average Search Interest: 16.67

Middle East and Africa

  • Second-highest average search interest index for Lean Construction.
  • Construction Volume 2023: 271.14 Million USD
  • Average Search Interest: 15.87

Europe

  • Third in terms of average search interest in Lean Construction.
  • Construction Volume 2023: 838.73 Million USD
  • Average Search Interest: 8.25

North America

  • Fourth in terms of average search interest in Lean Construction.
  • Construction Volume 2023: 1,454.17 Million USD
  • Average Search Interest: 8.00

Asia-Pacific

  • Lowest average search interest index for Lean Construction.
  • Construction Volume 2023: 703.24 Million USD
  • Average Search Interest: 6.80

Methodology

We analyzed data from various regions, including GDP figures and construction spending. We analyzed Google Trend search interest in Lean Construction from 2019 to 2024. We also compared the growth of search interest in Lean Construction to that of the CPM over a three-year period.

How Digitizing LPS® with Touchplan® Creates Flow on Construction Projects

Flow in Lean Construction is the smooth and continuous movement of work and resources through a project. The key to creating and sustaining flow is minimizing blockages, eliminating waste, and planning the sequence of work in the most logical, productive way possible. Digitizing Lean with Touchplan significantly enhances flow by providing real-time project updates, data-driven insights, and visual, collaborative workflow planning. 

By enabling team members to identify and eliminate roadblocks, create efficient hand-offs, plan productive activity sequences, and re-sequence work to minimize disruptions, Touchplan ensures that projects are always in forward motion. This digital approach to Lean enables real-time collaboration and decisions, avoidance of unnecessary wait time and waste, and fosters worker trust and collaboration on the job site. 

With the seamless combination of proven Lean Construction principles and the digital efficiency of Touchplan, teams can anticipate and mitigate potential disruptions, maintain steady progress, and deliver projects on time and within budget. 

 

Key Ways Touchplan Creates Flow on Construction Projects: 

  • Enable Smooth Handoffs: Touchplan significantly reduces delays caused by poorly executed handoffs between disciplines, a major factor in commercial construction projects. By improving the handoff process, Touchplan helps maintain the master schedule, ensuring timely project completion, increased efficiency, and enhanced profitability. 
  • Identify and Track Variance Reasons: Variances in the schedule disrupt project flow and cause delays. Touchplan allows users to track committed activities, identify which issues have the biggest impact on construction project schedules, and easily adjust plans to mitigate variances’ impact on the schedule.  
  • Labor Flow Optimization: Ensure continuous and safe labor utilization with real-time, software-enabled production planning. Quickly adapt to variances to prevent delays, rework, and productivity loss, keeping the right skills in the right place at the right time. 
  • Efficient Sequencing and Resequencing: Touchplan enables users to efficiently plan, sequence, and re-sequence work activities, ensuring that project workflows remain logical, productive, and adaptable to changes, minimizing disruptions and maintaining continuous progress. 
  • Eliminates Waste: Touchplan allows teams to create productive workflows by identifying and removing inefficiencies, such as unnecessary waiting times, rework, and miscommunication, ensuring that resources are optimally utilized, and waste is minimized throughout the project. 
  • Reduce Disruptive Rework: Touchplan’s Variance Identification improves the flow of construction projects with enhanced variance and constraint tracking, increasing project predictability and reducing mistakes or out-of-sequence work that might cause rework. 
  • Aggregated, Data-Driven Decisioning: Aggregating data at the portfolio and company level allows for a comprehensive view of project performance, enabling informed decisions that optimize workflows and minimize disruptions, ultimately enhancing the flow of construction activities. 
  • Continuous Improvement: Touchplan’s facilitation of continuous learning through real-time feedback and data analysis promotes ongoing process refinement, leading to smoother workflows and improved flow in construction projects. 
  • Visual, Proactive Problem-Solving: Touchplan’s easy-to-understand visual planning space helps teams track progress and identify bottlenecks before they impact the schedule. 
  • Enhanced Communication: Real-time updates and shared access to project information keeps everyone informed and aligned. 
  • Boosting Motivation: Touchplan helps teams plan together and stay accountable, which keeps everyone motivated. It supports working independently, collaborating with your team, and improving skills with quick feedback. 
  • Encouraging Self-Motivation: The best way to boost productivity is through self-motivation. Touchplan makes it easier to plan and work together, supporting important factors like choosing what works best for you, planning side by side with your team, and getting better at your job with helpful feedback. 
  • Keeping Workers “in the zone”: Touchplan helps workers stay fully focused and productive by matching their skills with the job’s challenges. Just like surfers adjust to changing waves, Touchplan helps workers adapt to the changing demands of a construction project, keeping everything running smoothly and efficiently. 

Nurturing Lean Leaders for Business Sustainment and Retention

Introduction.

In this the last of our four-part series on ‘Unpacking Lean Leadership’, we will look at how to nurture Lean leaders after going through the costly and time-consuming processes of identification, selection and training.

Many businesses I deal with have an ongoing concern that if they train and nurture people to become effective Lean Leaders, that they are in fact just creating better employees for the next employer particularly due to an increase in mobility with millennial and post-millennial employees.  I find this a defeatist attitude as what they are really saying is that they do not have the confidence that they can provide long-term employment opportunities, or that they are intimidated by these new leaders who they now see as competition for their own jobs.  This mindset must change to focus on business growth and prosperity using this new capital to take the business into the future.

Strategy

Nurturing and retaining trained Lean leaders requires a strategic approach, ongoing effort, creating a positive work environment, and providing intelligent incentives. Having practiced leadership as an RAF officer and an industry leader for a combined 45 years, I know it’s tough, but here are some strategies that have worked for me in nurturing and sustaining new leadership talent.

Be Interested.

If you want to nurture new leaders, you must be interested in them and their development.  This may seem obvious but too many leaders treat their personnel as a resource or a threat and not as a future force multiplier for business.  Get to know your people by talking with them and not at them.  Understand their interests as well as their strengths and weaknesses and maintain a dialogue that will support and encourage their development.

Career Development and Advancement.

Nurture Leaders Through Clear Career Pathways.  To keep people interested in staying in your business, they must be able to see clear promotion opportunities.  As part of your annual review with each person you should clearly outline these potential career advancement opportunities within the organization, and how they can better prepare themselves to take these opportunities for personal and business gain.  If you are not doing at least an annual review, then start now.  Depending on the individual this review may need to be every 6 or even 3 months.  Remember these people are an investment.

In one plant where I was a leader, there were no such opportunities for advancement until I sat down with senior leadership and looked at how introducing levels of opportunity would improve retention and job satisfaction.  The upshot was a 3-level leadership program that was actually cost neutral and was readily accepted by the team.

You should also involve your new and potential leaders in succession planning, preparing them for these higher-level roles.  This is where a partnering or mentoring program can be so useful as more senior personnel pass on their experience.  This was the daily routine in the military where I served for 30 years, but I see this less in the civilian world.  If those that are interested in developing leadership are all working toward the same aim, even though there would be healthy competition, I have always found be they military or civilian that ‘the cream will always rise to the top.’

Continuous Learning.

Learning in all areas of business should never be a ‘once and done.’  Offer opportunities for continuous learning either developed internally (which is the ideal) or bought in from external sources.  Advanced courses, certifications, and industry conferences not only improves the individual to run your business but builds a culture of internal entrepreneurship.

Support growth in your people in supporting them becoming members of professional organizations.  For example, the Institute of Leadership (ILM) has a comprehensive program of training that will develop your team members.  Project7 work closely with the ILM and our Lean Leadership Acadamy has been certified to ILM level 5.

Recognition and Acknowledgment of Achievements.

Regularly acknowledge and celebrate the achievements of your growing leaders, particularly if they have made advances in Lean projects and improvements and always acknowledge exceptional performance.  However, make these acknowledgements meaningful and sustainable. Often a public thank you is enough or letting them use a premier parking spot for a month; keep it simple and sustainable.  I saw one company reward an employee with a flat screen tv, and then enter a whole world of hurt when the next month the ‘winner’ was given a first aid kit.  Another company rewarded the entire plant for hitting the best production figures ever with a steak bar-b-que.  However, when they exceeded the best ever figures again the next month, they only got pizza.

Competitive Compensation and Salary Reviews.

Though you should conduct regular salary reviews to ensure compensation remains competitive within the industry, be mindful that employees will leave your business and move elsewhere for the same or even less money if they do not see a future in staying with your business. Baby boomer bosses can be particularly guilty of thinking younger employees can overlook a poor situation and lack of advancement with a bonus. Compensation must be fair and equitable, but it will not guarantee retention.

Empowerment and Autonomy

Empower Lean leaders with the authority to make decisions and implement changes. Allow new leaders to take ownership of significant Lean projects as soon as they are able, fostering a sense of responsibility and accomplishment. Adults learn best by doing and as long as they have some level of supervision and can only ‘fail safe,’ then let them learn by participative action.

Foster a culture of collaboration where Lean leaders work closely with cross-functional teams. It is frightening how often I have worked in a business where people have worked in the same building for 10 or 15 years and yet have never spoken to each other even when a simple conversation could solve a difficult problem. Encourage open communication with and across your new leaders and maintain open lines of communication between leaders at all levels, particularly with upper management.

Culture

Nurture your developing leaders in line with your business culture ensuring that culture is the lived experience of your people and not just a poster in the reception area of your business. I remember going to one business that had such a poster which was surrounded by awards for excellence in production and leadership. It was all very impressive until I looked at the dates on the awards and the most recent was 15 years old. If your culture is not supporting excellence ‘today’ then it needs a close examination and that should start with your current leaders, to avoid nurturing a next generation of leaders who will also fail.

Work-life Balance

Work-life balance and flexible work arrangements have become a norm in many industries since the pandemic.  In manufacturing this has always been difficult, but not impossible.  If you want to get payback on the time, money and effort you put into nurturing leadership then you have to try and be the difference.  Though this can be very difficult on a 24/7 production line you can start to make the change by asking your people what you can do to improve work-life balance, and flexible work arrangements.  For some, job sharing can work, for others operating a true Lean process can reduce hours, for others they might just like a quiet spot away from the production line to have their lunch.  Progressive, pragmatic, leaders have to find the ‘art of the possible,’ and not parrot the worn out “it has always been that way.”

Conclusion.

Nurturing and retaining trained Lean manufacturing leaders requires a comprehensive approach that includes career development, recognition, a positive work environment, supportive leadership, work-life balance, a sense of purpose, and a strong organizational culture. By focusing on these areas, organizations can create an environment where Lean leaders feel valued, challenged, and motivated to stay and grow within the company.

If you need a partner to implement or progress leadership development in your business, we really would like to help. It could just be a conversation, or helping you set up a syllabus or developing and delivering your training.  Let’s open a dialogue and replicate our success in your business.

How to Develop Inclusive Lean Leadership Training

Introduction

Training the next generation of Lean leaders is a multi-faceted process that encompasses education, practical experience, and tailored continuous development focused specifically on developing promoters of business performance. Particularly important in achieving this performance is to build the cultures where inclusive leadership can thrive. To be successful in this it is essential to remember that it is People + Process = Performance.  Thus, your training cannot just be about the tools of Lean, but also nurturing the people who will both implement and sustain the tools.

Here are some ideas that I have promoted through my career that may also resonate with you as you develop your own inclusive leadership training.

  • Diverse Learning and Development Opportunities: Ensure that the curriculum for leadership development includes diverse perspectives, practical expertise and actual case studies.  Try and use your own staff to share their experiences of your business.  Apply learnings directly from their experience to real-world projects so that you not only get an ROI but that the training reinforces your own business culture.
  • Workshops and Seminars: Based on the size of your business, conduct or support workshops either on site or on-line covering the basics of Lean principles, such as the leadership models, 5S methodology, value stream mapping, Kaizen, and waste identification.
  • Culture before tools; Focus on teaching and nurturing your Lean Leadership culture before getting too fixated on Lean ‘belt courses’.  It is the culture that will change your business not simply the tools.
  • If you decide that you do not have the internal capacity to drive your leadership program than selectively choose an external provider that can adapt their training courses to meet your specific need. Our 10-day, Project7 Lean Leadership and Management Academy certified to ILM Level 5 was specifically designed to meet this need and having trained over 15000 delegates over the past 19 years we know what will work in your business.  Learn more by following this link Lean Leadership & Management Academy (project7consultancy.com).

Advanced inclusive Lean Leadership Techniques:  Developing training is also about continuous improvement so once you have established a basic Lean culture, you should learn from your experience and then move on to more in-depth training which is validated by hands-on experience.

  • Follow-on and more in-depth training provides exposure to specific Lean tools and techniques, such as Total Productive Maintenance (TPM) Total Productive Maintenance Training (TPMT) – Project7 Consultancy, Just-In-Time (JIT) production, and error-proofing (Poka-Yoke).
  • Developing Genba: Develop Genba walks using KATA. This is particularly useful for your developing leaders to engage with employees and identify further areas for improvement.  Pair new leaders with experienced Lean practitioners during Genba walks for guidance and knowledge sharing.  Every interaction is an opportunity.
  • Kaizen Events: Encourage potential leaders to facilitate their own Kaizen events to solve real-world problems, encouraging them to ‘learn by doing.’
  • Project-Based Learning: Encourage learning using Participatory Action Learning in Teams.  Start with small, manageable Lean projects to build confidence and experience.  Gradually increase the complexity and scope of projects as leaders gain more experience and demonstrate capability.
  • Mentoring and Coaching: Establish mentoring programs where experienced Lean leaders guide and support new leaders.  Consider hiring external Lean coaches for specialized training and objective feedback.
  • Change Management: Educate new Lean leaders on change management principles to help them guide teams through Lean transformations using models such as Cotter’s 8 Steps or the Project7 RESPECT program.  Teach strategies for engaging and motivating employees to embrace Lean initiatives.

Conclusion

Training new Lean leaders involves a comprehensive approach that combines structured education, practical experience, continuous development, and performance feedback. By focusing on these areas, organizations can effectively develop their own leaders who can drive Lean transformation and sustain continuous improvement efforts within their own culture of excellence.  Project7 have developed training to cover Lean leadership development where a business does not have an in-house resource so, please give us a call or write us a note at [email protected] if you have any questions on developing your own Lean Leadership training.

Unpacking Lean Leadership – Building A Diverse Lean Leadership Team.

Introduction

Welcome to Part 2 of our 4-part series on unpacking Lean leadership where I will discuss how to build a diverse and inclusive Lean leadership team.

Diversity candidates for your leadership team generally come from groups that are underrepresented or marginalized in the workplace. These groups can vary depending on the specific context and region, but commonly recognized diversity categories include:

  1. Racial and Ethnic Minorities.
  2. Women. 50% of the work force who are largely absent form industrial and manufacturing businesses. There are many reasons for this including, historical precedents and gender roles, workplace culture and discrimination, occupational segregation, work-life balance challenges and ingrained perceptions.
  3. LGBTQ+ Community, for many of the same reasons that dissuade women entering the industrial and manufacturing workspace.
  4. People who are differently abled. These people could include those with physical challenges, mental health conditions, or those who are neurodiverse individuals (e.g., autism spectrum, ADHD).
  5. Veterans, particularly those who have physical or mental health challenges.
  6. Older adults, typically those over the age of 55.
  7. Religious minorities, specifically those groups whose religious practices are underrepresented or marginalized.
  8. Socioeconomically disadvantaged individuals that can include people from low-income backgrounds and first-generation college students.
  9. Immigrants and refugees who have relocated from another country, particularly those facing barriers due to language or immigration status.

These groups should be a focus for diversity and inclusion initiatives aimed at creating more equitable and representative environments.

Building a Diverse Program

Building diversity into your Lean Leadership Program is crucial for reflecting the diverse perspectives, backgrounds, and life experiences of not only your workforce but also of your customers or clients. I have seen first-hand where diversity has made business stronger, so here I am going to suggest some proven steps and strategies that have helped to effectively incorporate diversity into a Lean Leadership Team.

  • Define Your Lean Leadership Diversity and Inclusion Goals. We all know that without measurable goals, progress is difficult if not impossible.  Define what diversity and inclusion mean for your organization and then set SMART goals.
  • Alignment with Values: Ensure that your SMART goals align with the organization’s core values and strategic vision. Do not start a diversity journey just to fall into line with a trend.  Do it because it is the right thing to do and ensure your business values are articulated and that they underpin your strategy for diversity alignment.
  • Leadership Commitment: Ensure commitment from all and particularly senior leadership to champion diversity and inclusion efforts.  Change from the middle is never easy so ensure all leadership levels support your leadership diversity program and that they then become and stay engaged.
  • Role Models: From CEO down, all leaders must be role models and demonstrate inclusion valuing diversity through inclusive language and behaviors.

Building Diverse Recruitment Strategies.

Building Diversity into your leadership team must start with an inclusive recruitment program. Like any change you may wish to make in business, building a diverse recruitment strategy needs focus and bringing together the right people.  Use inclusive language in job descriptions ensuring that the job adverts are accessible to a diverse audience.  Be mindful of where job adverts need to be placed to ensure your leadership opportunities are reaching underrepresented groups. Think about how to use Community Outreach and Partnerships, and engage with local religious, educational, retraining institutions and specialist recruiters.  Don’t forget that employee referral program can also be very helpful if you already have some representatives from diverse communities on your team.

Dealing with Bias in Recruitment.

Bias in the recruitment processes can be both conscious and unconscious so ensure hiring managers and importantly all members of your recruitment panel should be trained on bias and inclusive hiring practices.  When it comes to interviewing, build a diverse interview panel.  This can be a challenge but make it a positive requirement to use diverse interview panels to bring multiple perspectives into the selection process.  This will not only bring the necessary cultural diversification to your hiring process but also provide a demonstration of diversity to your job applicants.

After interviews, continue to develop your diverse pool of talent.  Mentorship and sponsorship program should be created that pair diverse talent with experienced leaders.  This ensures each learn from each other to the benefit of better understanding and building diverse businesses leaders.

Mentor and Coach

Build a diverse pipeline by identifying high-potential diverse talent early in their careers and provide targeted development opportunities.  Encourage established leaders to mentor and coach high-potential and become advocates for the career advancement of your diversity candidates.  This needs to start with leaders identifying new or current employees but also leaders need to take the time to visit schools, colleges and universities to make candidates aware of your businesses positive diversity strategy to attract diversity candidates.

It is now important to ensure the business is putting effort into creating a sustained inclusive culture.  Encourage and support the formation of inclusion using Employee Resource Groups (ERG) for various diversity groups (e.g., women, ethnic minorities, LGBTQ+, differently abled employees, etc.).  Celebrate the strength of what each group can bring to the business, as well as celebrating their diversity.  Remember the object is to develop a ‘team’ but to acknowledge difference by celebrating inclusion.

Involve your ERG in the leadership development process, providing a platform for diverse voices and to bring understanding of individuals needs from differing backgrounds and cultures.  This can be as simple as providing a quiet room for daily prayers, ensuring ramps are built to ensure access to all areas of the business, or providing vegetarian options in your canteen or vending machines.

Feedback Mechanisms.

Use and action employee surveys, focus groups and feedback mechanisms to understand the experiences of diverse employees and leaders.  Use these forums to continuously improve diversity and inclusion efforts within the leadership program.  However, one word of warning: do not reach out for input and then ignore that input; such hypocrisy driven by political correctness will not build diversity or inclusion.

Succession Planning.

Develop a diverse pool of candidates for key leadership roles to ensure a sustainable pipeline and create individual development plans for diverse talent to prepare them for future leadership roles.  Nurturing your own people not only brings you the right staff but is a key factor in retention when individuals see they have a future if they stay with the business.  Conduct workshops on diversity and inclusion for all leaders, focusing on positives to the business by building inclusive leadership.

Here are a few examples where I have experienced changes to promote inclusion in the workplace.

  • Ensure all staff get opportunities not just those that look like you. Giving such an opportunity to a female graduate where none had been offered before, turned a disengaged employee into a prime mover for change who after just 6 months took my place at the annual review presenting to the national C’suite.
  • Providing a place for a Muslim employee to carry out prayer helped them fulfil their religious commitment and become a part of the team.
  • Building access ramps helped a wheelchair user gain access to a part of the paper mill previously closed off to them.
  • Moving from complex written instructions to pictorial instructions enabled a Hispanic operator to become a shift leader.
  • Including non-English speakers in work social events encouraged them to tell their friends about the business from which several were recruited and two became team leaders.
  • Selecting a person that was the best person for the job, who had been rejected by others just due to their size.  They were easily accommodated with a golf cart to get around and also became a great mentor to a new potential leader.

Conclusion

Introducing diversity into your Lean Leadership Program requires effort but brings great reward.  You will need to build a comprehensive approach that spans recruitment, development, culture, and accountability. By setting clear goals, implementing inclusive practices, and fostering an environment that values diverse perspectives, your organization can develop a diverse leadership pipeline that drives innovation, enhances problem-solving, and reflects the diversity of your workforce and customers.  Time and again I have seen how this effort brings business benefit.  In short if you do not have a diverse and inclusive work force you will need to do something different.  Try some of the ideas above or even better think of your own.

New Study: Top 5 Factors Impacting Construction Project Schedules

Contributors:

  • Tim Negris, CMO
  • Jason Lyon, Vice President of Customer Success

MOCA Systems, Inc. used data from the Touchplan® production planning platform to analyze over 321,042 committed activities over the last 12 months to identify what issues are having the biggest impact on construction project schedules.

Key Insights – Top Schedule Variance Reasons

  • Schedule variances related to handoffs are the #1 reason for delayed activities, with over 168,000 reported issues.
  • Variances related to Staffing/crew/manpower are the second highest reported variance reason, indicating the impact of the skilled labor shortage on project schedules.
  • Material/Equipment-related issues are the third most cited reasons for activity delays.
  • Design Issues/Changes cause variances in the schedule and have the fourth number of reported issues.
  • Weather follows closely behind design issues/changes as the fifth largest variance reason reported.

What are variance reasons?

Variance reasons are explanations for why a planned activity that was committed to finish on a certain date was not completed as planned. Originating from the Last Planner System®, the practice of tracking variance reasons stems from the fundamental Lean principle of using data to continuously learn, improve planning, and ultimately deliver projects on time and under budget. 

For example, “predecessor not ready” is a common variance reason indicating that the preceding work was not finished in time for the next activity to start. This leads to delays and requires replanning to get back on track.

The following is an analysis of the top reported variance reason types: handoffs between disciplines, staffing/crew/manpower, material/equipment-related, and design issues/changes.

Jason Lyon, Vice President of Touchplan Customer Success, provides details about each of the top categories.

Handoffs Between Disciplines

Handoffs between disciplines are the #1 reason for delayed activities, accounting for over 168,000 reported issues.

Poorly executed handoffs between disciplines are the leading cause of delays, severely impacting the master schedule in commercial construction projects.

For general contractors (GCs), this means extended deadlines, increased costs, and disrupted project timelines. Improving handoff processes is crucial to maintaining the master schedule, ensuring timely project completion, and enhancing overall efficiency and profitability.

“One of the cited variances that went into handoff variances was ‘predecessor not ready,’ which is a good example of waiting on the trade ahead to finish their work. This screams handoff. It’s the transition point where one trade partner completes their work, and another begins. When these transitions aren’t managed well, it leads to delays,” says Lyon.

Along with delays, when handoffs are not planned or executed properly, they lead to worker congestion and rework, which hampers overall productivity. As Lyon noted, “Missed handoffs equal replanning, and replanning creates more time spent in planning meetings. You have to work through the challenges that are created as a result of missed handoffs.”

Properly planning handoffs for Touchplan’s users has proven to reduce rework by 20% and planning-related project delays by 50%.

Staffing/Crew/Manpower

Staffing/Crew/Manpower issues resulted in 65,000 variances.

“The construction industry is grappling with a persistent shortage of skilled labor that is driving up costs and delaying projects,” says Lyon. “With rising labor demands and no immediate workforce solutions, contractors must proactively ensure tasks are performed efficiently and disruptions are minimized through proactive, collaborative planning practices.”

Insufficient staffing and improperly planning manpower leads to missed deadlines that can severely impact project progress. Addressing staffing variances requires ensuring that teams are optimizing the flow of labor by sequencing activities in the most efficient order possible and collaboratively planning crews with those who will be completing the work.

Material/Equipment

Material/Equipment-related issues caused 44,000 variances.

“Material and equipment-related issues often stem from delays in the delivery of supplies or machinery,” says Lyon. “When materials or equipment aren’t available as planned, it causes significant disruptions and delays in the project schedule.”

With critical materials like switchgear taking a year or more to arrive on site, teams need to address long lead items in their schedules as early as possible to minimize potential delays. Proper management of materials and equipment and the ability sequence work around their delivery are essential for preventing these variances and keeping the project on track.

Design Issues/Changes

Design Issues/Changes led to 18,000 variances.

“Design issues or changes often result in rework and delays. When there are discrepancies or modifications in the design, it leads to confusion and requires additional time to address these changes, impacting overall productivity,” says Lyon.

Addressing design issues promptly and ensuring clear communication about any changes can minimize the impact on the project timeline.

Weather

Weather-related events caused 17,350 variances.

Weather variances in construction refer to delays or disruptions in the construction schedule caused by adverse weather conditions. These variances can impact labor productivity, material delivery, and overall project timelines.

“The construction industry is extremely vulnerable to delays due to weather events,” says Lyon. “Heavy rain, high winds, and extremely high or low temperatures can put work on hold.”

Although no team can control the weather, proper planning for upcoming weather issues can mitigate impacts on the schedule. This means teams need a real-time, digital platform to re-sequence activities when weather impedes work. This proactive approach ensures that teams do not need to scramble on the day of an event to adjust activities, thereby maintaining project momentum and reducing potential delays.

Methodology

Resulting from a decade of capturing more than 22 terabytes of project data, Touchplan has the largest set of as-built construction data in the world.

Over the past 12 months, 321,042 total committed activities have been captured in Touchplan. To track the status of these, users regularly update the completion dates of their activities. If a task is completed early or late, users must provide a variance reason. These variance reasons allow teams to explain why the work was not completed on time, and give context to any delays or early completions. The data in this report represents the top reasons users reported for why their individual tasks were not completed on the promised dates.