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

Paper


Leong, Michelle S. and Tilley, Paul. 2008. "A lean strategy to performance measurement – reducing waste by measuring 'next' customer needs." Tzortzopoulos, Patricia and Kagioglou, Mike (ed.) 16th Annual Conference of the International Group for Lean Construction Safety, Quality and the Environment. Manchester, England 16 - 18 Jul 2008 Manchester, England.
Paper/Presentation Title

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

Presentation TypePaper
AuthorsLeong, Michelle S. (Author) and Tilley, Paul (Author)
EditorsTzortzopoulos, Patricia and Kagioglou, Mike
Journal or Proceedings TitleProceedings for the 16th Annual Conference of the International Group for Lean Construction Safety, Quality and the Environment
Number of Pages12
Year2008
Place of PublicationManchester, England
ISBN9781905732456
Web Address (URL) of Paperhttps://www.dropbox.com/s/pkusfzjyfgw6g0n/Leong_Tilley_A_lean_strategy_to_performance_measurement_reducing_waste_by_measuring_next_customer_needs.pdf
Conference/Event16th Annual Conference of the International Group for Lean Construction Safety, Quality and the Environment
Event Details
16th Annual Conference of the International Group for Lean Construction Safety, Quality and the Environment
Event Date
16 to end of 18 Jul 2008
Event Location
Manchester, England
Abstract

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

Keywordsdata collection, construction, lean, measures, NEXT customer, systems thinking, value, value demand, failure demand
ANZSRC Field of Research 2020330202. Building construction management and project planning
Byline AffiliationsLean Practitioners, United Kingdom
University of Dundee, United Kingdom
Institution of OriginUniversity of Southern Queensland
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