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ON-SITE CONSTRUCTION PRODUCTIVITY IMPROVEMENT

THROUGH
TOTAL QUALITY MANAGEMENT

BY

DAVID B. CORTINAS, DEGREE,

(B.S.)

REPORT

Presented to the Faculty of the Graduate School of

The University of Texas at Austin
in Partial Fulfillment
of the Requirements

for the Degree of

Master of Science in Civil Engineering

THE UNIVERSITY OF TEXAS

December, 1991

T253957

tJ

-.*>.

ON-SITE CONSTRUCTION PRODUCTIVITY IMPROVEMENT THROUGH

TOTAL QUALITY MANAGEMENT

11

ACKNOWLEDGEMENTS
I

owe

deep

debt
H.

of

gratitude

to

Dr.

John

D.

Borcherding and Mr.

Paul Cooper for their guidance and

support during the development of this report.

all,
I

Most of
for

would

like

to

thank

my wife,

Annette,

her
this

devotion,

understanding

and

support

during

challenging part of our lives.

111

TABLE OF CONTENTS
Page

CHAPTER

INTRODUCTION TO CONTINUOUS IMPROVEMENT

1
1

TOTAL QUALITY MANAGEMENT PHILOSOPHIES

NEED FOR IMPROVEMENT

1 2
6

TQM FUNDAMENTALS
TOP MANAGEMENT COMMITMENT AND LEADERSHIP

TRAINING

7 8
9

TEAMWORK

CUSTOMER AND SUPPLIER INTERACTION

PROCESS MEASUREMENT AND ANALYSIS

12

CONTINUOUS IMPROVEMENT

15

DEMING/SHEWHART PDCA CYCLE

18

CHAPTER

PLAN

21
21

PEOPLE AND PDCA FOR PRODUCTIVITY IMPROVEMENT

NEED FOR BETTER FEEDBACK DATA

=22
22

CURRENT METHODS OF OBTAINING FEEDBACK DATA

PROCESS ORIENTED FEEDBACK

24

PRODUCTIVITY MEASUREMENT TECHNIQUES

2
26
26 28

ACTIVITY UNIT RATES

LOST TIME AND CREW TRUE UNIT RATES

COLLECTION OF DATA AND PROBLEM DEFINITION

COLLECTION OF DATA
iv

28

PROBLEM DEFINITION PROBLEM ANALYSIS AND IDENTIFICATION OF CAUSES

29

31

ANALYSIS OF PROBLEM THROUGH STATISTICAL REPORTS 31

IDENTIFICATION CAUSES
PLANNING SOLUTIONS THROUGH TEAM APPROACH
31 38
38

CONSTRUCTION COMPANY TQM ORGANIZATION

PROJECT TEAMS AND TASK TEAMS
PLANNING SOLUTIONS

43

CHAPTER CHAPTER

DO

45
48

CHECK

PURPOSE

======

48
51

MOVING MEAN- RANGE CONTROL CHARTS

CHART CONSTRUCTION
CONTROL LIMITS
CONTROL CHART INTERPRETATION

51
56

58
62
g2 62 63 64 65
66 66

CHAPTER

ACT

STEPS TO ON-SITE PRODUCTIVITY IMPROVEMENT

INTRODUCTION

REDUCTION OF INEFFICIENT OPERATIONS

CORRECTIVE ACTION

STANDARDIZATION
CONTINUOUS IMPROVEMENT INTRODUCTION

MAINTENANCE AND INCREMENTAL IMPROVEMENT

v

68

INNOVATIVE METHODS IMPROVEMENT

CHAPTER

CONCLUSION AND RECOMMENDATIONS

72
72
74

CONCLUSIONS

RECOMMENDATIONS

BIBLIOGRAPHY

75

VI

LIST OF FIGURES
Page

Figure 1-1 The Deming Chain Reaction Figure

1-2

Juran's

Triple

Role

Concept

Applied

to
10

Construction Process
Figure
1-3

Juran's

Triple

Role

Concept

for

On-Site
16 19
2 3

Construction Activity Process

Figure 1-4 Deming/ Shewhart PDCA Cycle
Figure 1-5 Standardization of Improvement Figure 2-1 Foremen Time Card With Lost Time

Figure

2-2
)

Weekly

Lost

Time

Pareto

Chart

(Before
32

Improvement

Figure

2-3

Weekly

Lost

Time

Pareto

Chart

(After
32

Improvement)

Figure 2-4 Line Graph Chart of Daily Crew True Unit

Rate Productivity
35

Figure

2-5

Line

Graph

Chart

of

Five

Day

Moving
35

Average Productivity
Figure
2-6

Line

Graph

Chart

of

Five

Day
of

Moving

Average
Process)

Productivity

(After

Improvement

Method
36

Figure 4-1 True Unit Rate Moving Mean-Range Control

Chart
vii
52

Figure 4-2 Normal Distribution Curve

Figure 5-1 Job Functions for Continuous Improvement
.
.

53

67

Figure

5-2

Effect

of

Incremental

Improvement

on
67

Productivity
Figure 5-3 Effect of Innovation on Productivity

71

vm

1.

CHAPTER

INTRODUCTION TO CONTINUOUS IMPROVEMENT

1.1.

TOTAL QUALITY MANAGEMENT PHILOSOPHIES

1.1.1.

NEED FOR IMPROVEMENT experiencing increasing

The construction industry is

competition,

rising legal

cost

related to cost overruns

and schedule delays, and decreasing profit margins. These

symptoms
are

forcing

many

construction

companies

to

realize that fundamental changes in the way they conduct

business must be made if they are to remain competitive.

Consequently,
to

many

construction
and

companies
of

are

beginning
Quality

adopt

the
(TQM)

methods

ideas

Total

Management
improve
the

used by many manufacturing companies to

of

state

their

industry 1

TQM management
manufacturing,
industries.

techniques
service,

have

been

successful
in

in

and most

recently

construction

Three Japanese contractors have earned the coveted Deming

Prize for quality improvement since the mid-1970s 2
.

This

progress projects

was

made

despite

the

fact

that

construction

are a unique one time process.

Quality Management Organizations and techniques", Consturction Industry Institute Source Document 51, (Aug
,

ln

1989) p. 54. 2 Ibid., p. 7.

,

1.1.2.

TOM FUNDAMENTALS
is
a

TQM

complete

management

philosophy

with

the

fundamental objective of achieving customer satisfaction

through
levels.

continuous

improvement

of

performance
promote
and

at

all

TQM management
process

philosophies

teamwork,

continuous
involvement,

improvement,

customer
and

supplier
to

innovation,

training,
cost

education

achieve
defect

customer
free

satisfaction,

effectiveness,
of

and any
of

work.

Continuous

improvement
the

company's

performance
cost
,

measured
schedule

in

basic

terms

quality

and

will

eventually

lead

to

customer satisfaction.
to a competitive edge.

Customer satisfaction will

lead

The Japanese were the first to use modern TQM ideas

in

the
a

early

1950s

to

transform their war

power.

torn

nation

into

global

economic

These

concepts

were

developed from the teachings of Dr. W. Edwards Deming and

Dr.

Joseph

M.

Juran.

The

integration

of

bedrock
is

philosophy of management and statistical methods

basis of the Deming management method 3
.

the

Both Deming and

Juran emphasize that

the

systems

and processes,

through

which work is done, cause 85% of the problems encountered

Mary Walton, The Demina Management Method The Putnam Publishing Group, 1986), p. 33.
3

(New

York

in any organization,

and that statistics can be used to

The

control

these

systems.

company's

workers

are

responsible for the remaining 15% of the problems

the
85/15
rule)
.

(called

For

example,

construction
given
faulty
Since

worker
plans,

cannot

perform a
instructions,

quality
or

job

when

poor

shoddy

materials.
for

upper
of

management
work,

controls

the

systems

the

performance
when

improvements
the

can

only
to

be

made
the

management
the
all

embraces
workers.

obligation

improve

system not
teamwork
at

Management

must

encourage

levels to identify and remove system problems;

thereby,

improve

quality,
of

decrease
each
process.
the

cost,

and

improve

the the
in

productivity
benefits
of

Deming
chain

illustrates
shown

TQM

through

reaction 4

Figure 1-1.
Improve quality

"

Cost decrease because of less rework, fewer mistakes, fewer delays, and better use of machine time and materials

Improve productivity

Increase market

Stay in business

Provide jobs and more jobs

Figure 1-1 The Deming Chain Reaction

W. Edwards Deming, Out of the Crisis (Massachusetts Institute of Technology Center for Advanced Engineering Study, Cambridge, Mass, 1986), p.

In 1979,

Philip

B.

Crosby joined Deming and Juran in

through
a

promoting quality consciousness

of

the

publication
step
an
the

"Quality

is

Free."

He

provides
begins

fourteen

quality

improvement
for

plan

that

with
and

gaining
what

appreciation

what

quality means,

for

true "cost of quality" is in terms dollars.

that

He contends
(not

quality
,

is

conformance

to

requirements

goodness)
is

and that the only cost associated with quality

Undoubtedly,
the
it

the cost of doing things wrong.

is

always cheaper to meet the requirements right

time 5
.

first

The cost of quality is the cost associated with

quality

management

activities

(prevention

&

appraisal)

plus the cost associated with failure.

of

He uses the cost

of

quality

to

convince

top

management

the

need

for

quality,

and to provide a basis to track the progress of

.

quality improvements 6

Although

TQM

approaches

differ,

they

all

entail

cultural change where attention is focused on meeting the

customer's
in

requirements
The

through
cost
of

continuous

improvements

performance.
in as

implementing
process
is

quality
cheap.

activities
However,
5

the the

construction
quality
of

not

the

construction
(New

process
Mentor,

Philip B. Crosby, 1979) p. 16. 6 Ibid., p. 104.

,

Quality

is

Free

York:

(scoping,

design, procurement,

construction and start-up)

improves,

the

cost

associated

with

failures

decreases

(fewer change orders and delays,

less rework and shorter

schedule)
(cost

The goal is to minimize the "cost of quality"

failures)
(cost
,

of

and

maximize
and

the

return
.

on

investment 7

of

prevention
geared

appraisal)
the

Since

TQM

approaches

are

toward

manufacturing
modify
these

industries,

construction

companies

must

approaches to compensate for the difference between the

two

industries 8

The

TQM

method

chosen
the

must

be

well
of

thought out and tailored to meet

the

specific needs
the

organization,

and

must

contain

following

fundamental TQM elements:

1. 2.
3

4. 5. 6.

Top Management Commitment and Leadership Training and Education Teamwork Customer and Supplier Interaction Process Measurement and Analysis Continuous Improvement

"Cost of Quality Deviations in Design and Construction", Consturction Industry Institute Publication 10-1, (Jan
7
,

1989)
8

p.

23.

CII,

Soucre Document 51, p. 29.

1.1.3.

TOP MANAGEMENT COMMITMENT AND LEADERSHIP

Quality

improvements
admits
are
that

can

begin

only
exist,

after
and

top that

management
improvements

problems

necessary.

Since

top

management

controls the decisions and funds that define the systems

causing 85% of the problems

(85/15 rule)

management must
improve.

acknowledge

that

they

need and want

to

This

admission creates a corporate environment where problems

can
be
identified,

analyzed

and

corrected

through

an

integrated team effort.

Top management must provide leadership and direction
by:
(1)

adopting
a

new
for
a

philosophy

about

quality,

(2)

developing
and
(3)

method

measuring
well

quality
out

performance,

implementing

thought

TQM
that

plan

for

achieving

improvements.

Crosby

suggests

companies

should define where management stands on quality through

a company policy statement 9
.

Likewise,

Deming calls this

of

commitment

to

quality

"constancy

purpose." 10

Management needs to demonstrate a genuine concern for the

people
support,

of

its

organization
and

in

order

to in

gain
these

their

commitment A

participation

new
of

methods.

prerequisite to gaining the commitment

10

Crosby, p. 149. Deming, p. 24

people
fear

is

the

elimination of
so

adverse
in

relationships

and

tactics

typical

today's

construction

environment.

Deming states that,

for better quality and

"secure.
"

productivity,
that
"secure"

people
means

need
to

to

feel

He

notes A
fear

be

"without

fear." 11

construction environment where workers are without

of bringing up problems,

asking questions, and expressing

ideas is ripe for improvement.

1.1.4.

TRAINING
TQM,

Under
quality.

everyone

is

responsible

for

improving
at

Consequently,

appropriate

training

all

levels is essential to the success of a TQM plan.

Basic
of

instruction
company's

should

include

the

fundamentals

the

TQM

approach,

team
and

problem

solving,

interpersonal

communications
statistical
methods.

interaction, The

and
effort
in an

rudimentary

training
each level
be
a

should be planned and tailored to fit

organization,
and
its

effectiveness

should
must
are be

measured
company
be
made.

and

carefully
if

tracked.

Training

priority,

continuous

improvements
also

to

Training

and

education plans

should

consider

that
it

quality improvements may mean fewer people,

is

and that
fill

necessary
p.

to

train

these

people

to

other

n Deming,

59

function.

Deming emphasizes that management must make it

no one

clear

that

will

lose
.

their

job

because

of

improvements in productivity 12
is

Education and retraining

that

an

investment
for

in

people

will

have
and

long

term

benefits

the
a

company,

industry,

individual.

Masaaki Imai,

noted Japanese quality expert said that

"quality starts with training and ends with training." 13

1.1.5.

TEAMWORK
activities
involve

TQM

everyone

in

the

company,

managers and workers alike.

the vast

Teamwork is necessary to tap

force,

resource potential of the labor

and to

develop cross functional cooperation that breaks barriers

both horizontally and vertically within an organization.

As

teamwork

spreads

from

one

department
and

to

the

next,

interrelations,

communications,

understanding
When all the
on
a

strengthens the organization at all levels.

people
goal,
a

of

an

organization

become

focused

common

cooperative climate develops where problems and

causes are identified through teamwork.

The

company's
for

quality

team

organization
teams

is

the the

structure

teamwork.

Quality

provide

12

13

Walton, p. 84. Masaaki Imai, KAIZEN The Kev to Japan's Competitive Success (New York: Random House Business Division,
.

1986)

p.

58.

organizational

structure necessary to

implement

the

TQM

continuous improvement process.

Chapter Two will expound

on procedures for team problem solving techniques.

1.1.6.
If

CUSTOMER AND SUPPLIER INTERACTION

we are to achieve customer satisfaction,
we must

both understand what the customer needs, and be receptive

to

feedback

about

how

well

we

have

performed.

Implementing feedback improvement ideas decreases the gap

between

the

customer's
Similarly,

needs

and

present
ensure

process
we

performance.

we

should

that

express our needs and feedback to our suppliers.

organization,

Every

department

and

individual

involved in any
processor,

process will play the roles of customer,

supplier.

and
role

Juran calls
.

this

phenomenon the
the

triple triple

concept 14

Figure

1-2

demonstrates

roles

played by parties of the construction process.

In

Figure

1-2,

the

Owner

is

the

ultimate

project
his

customer.

However,

when
and

he

communicates
and

requirements,

decisions

feedback,

provides

funding he becomes a supplier to both the A/E Firm and

the

Constructor.
(input)

Upon
the

receipt

of

the

Owner's
from
a

requirements

A/E

switches

roles

Joeseph M. Juran, Juran on Plannnina for Quality York: The Free Press, 1988), p. 17.
14

New

10

INPUT

IDEA

T
OWNER
PROCESS

INITIAL SCOPING

OUTPUT OWNER REQUIREMENT

INPUT

DESIGN PHASE
INPUT

PROCESS

A/E

PLANS

&

SPECS

OUTPUT

T
CONSTRUCTOR
PROCESS

CONSTRUCTION PHASE

T
I

OUTPUT

FACILITY

INPUT

T
START-UP
PROCESS

OWNER

FEEDBACK

OUTPU

INPUT-OUTPUT DIAGRAM
Figure 1-2 Juran's Triple Role Concept Applied to Construction Process

11

customer

to

processor,
(output)
.

and
The

processes

the

plans
can

and
then
a

specifications

Constructor,

transform
complete
(customer)
In

the

input

(plans
(output)

and

specifications)

into

facility

that

meets

the

Owner's

requirements.
one must be aware of
the needs
of

each process,

both

external

customers,

and

internal

customers.

External customers are external to the company; whereas,

internal customers
in

are

within

the
to

company.

Everyone
their

invovled

the

process

needs

understand

customer's requirements,
others,

and know how their work affects

affect

and

how
of

others
the

their

work.
in

The
the

performance
construction
constructors,

"suppliers"

involved
owners,

process,

including

designers,

vendors and labor

force,

depends not

only

on their own skills and desires to work,

but also on how

well

they

understand

their

internal

and

external

customer's needs.
A
recent

Construction
the

Industry

Institute

study

determined that

cost

of

quality

deviations on nine

industrial projects averaged twelve percent of installed

project
15

cost 15

Deviations occur when the work product

of Costs Quality in Construction Industry
(May 1989)
p.
1.

"Measuring the Construction", Publication 10-2,

Design and Institute

,

12

fails

to

meet

the

requirements.

Owners,

designers,

constructors, vendors and labor force should realize that

they share a mutual win-win incentive for joining efforts

and commitment to reduce the cost of project deviations.

As demonstrated in the Deming Chain Reaction,
to

commitment
lead
to

quality

improvement

in

construction

will

decreases in construction cost,

and profit
margins,

increases in productivity
to

benefits
and more

humankind
through
In

in

terms

of
of

better
savings

facilities,

jobs

investment

toward

future

projects.

short,

everybody

wins
1.1.7.

PROCESS MEASUREMENT AND ANALYSIS

Before we can improve the quality of any process,

must have a method of measuring current performance.

we

process is the series of actions, methods and procedures

directed to the achievement of a goal.
process

Measurement of
base

performance

will

enable

us

to

decisions
The of

about the process on solid data rather than hunches.

system

of

measurement

should
.

consist

of

unit

measurement and a sensor16

The unit of measurement

is

defined amount of

some

quality feature that both expresses the customers needs,

and

permits

evaluation

of

the

process.

The

sensor

16 Juran,

p.

13

provides the method for collecting the data in terms of

the
unit
of

measure.

Quality

features
not

are

measured

to

provide a basis for improvement,

to provide a basis

for pointing fingers and finding fault.

The

TQM

problem

solving
as
a

process
to

uses

fundamental
and

statistical methods

tool

interpret

control

the current performance of a measured process.

Through
can
an

properly
begin
to

interpreted
pinpoint

statistical
causes
of

data,

manager With

the

problems.

understaning of problem causes,

the

the manager

can control

amount

of

variance

in

the

process,

and

implement

improvements
Each

construction

project

is

unique

dynami c
whereby,
the

process
ideas

typically spanning over several years;

are

transformed
in

into

facility

when

work

accomplished
Procurement,

sequenced

phases

(Scoping,
is

Design,

Construction,
It

and Start-up)

supplied to

the next phase.

is well

accepted that the decisions

and

made

in

the

early

scoping
on

design
cost

phases

have
as

the
a

greatest

influence

project

and

success

whole 17

Consequently, TQM efforts to measure and improve

"Input Variables Impacting Design Effectiveness", Constrution Industry Institute Publication 8-2, Jul
,

17

1987, p.

2.

14

the

performance

of

these

early

phases

will

have

the

greatest potential rewards, and must be done.

However,

some

errors,

omissions

and

mistakes

in

scoping and design phases are often times not discovered

until
several

months
the

or

years

later

in

the

project
phases.

process,

during

construction

and

start-up

When we measure the performance of latter project phases,

we are measuring all phases of a project both early and
latter.

The scoping and design constraints found during

construction and start-up phases should be feed back to

the

suppliers

of

these

inputs

for

future

improvements.

Unfortunately, due to the unique,

sequenced nature of the

project process,
to

these

improvements will
the

generally

come

late

to

improve
however,
of

current

project.

These

improvements,

can be maintained to

improve the
the
Owner,

overall

performance

future

projects

that

Designer and Constructor undertakes.

of

The dynamic nature the

the

construction
and

process

reinforces

need

for

customer

supplier

interaction,

process

measurement

and continuous improvement.

a

Chapter Two and Four present

system

for

measuring and

statistically

examining

the

performance of on-site construction activities/processes

as
a

basis

for

continuous

project

quality

and

productivity improvement.

15

1.1.8.

CONTINUOUS IMPROVEMENT

TQM is a customer driven strategy based on continuous

improvement in performance measured in terms of quality,

cost,

and

schedule.

Constant
steps
to

improvement
-

occurs

when
and

management
incrementally

takes

(1)

maintain
and

improve

current

procedures

methods
and
(2)

through
support

process

control

oriented

thinking,

major

innovations

with

sufficient

time,

energy

and money.

A manager satisfied with the current status

quo is sure to fall behind the competition.

The key
to

achieving
and

incremental

improvements
Each

is

process

control

improvement.

on-site

construction activity is a distinct process with defined

procedures
(people,

for

the

management
materials,
and

of

construction
tools,

inputs

skills,

equipment,

information,

place

energy)

and

with

defined

construction methods for transforming the inputs into an

output
that

meets
.

the

project

plans

and

specifications

(requirements)

Figure 1-3 shows the Triple Role/Inputfor

Output

diagram

on-site

construction

activities.

Field Management is the customer of the activities units

of work in place,

and the Labor Force is the customer of

the construction inputs.

16

PLANS & SPECIFICATIONS A1* FUNDS INPUT

PROCEDURES
FIELD MANAGEMENT
PROCESS

PLANNING AND COORDINATION

CONSTRUCTION INPUTS
> OUTPUT
(PEOPLE,

SKILLS, MATERIALS, TOOLS, EQUIPMENT, INFO, SPACE, & ENERGY)

INPUT

t FEEDBACK

-*

ON-SITE CONSTRUCTION ACTIVITY

FOREMEN
PROCESS

METHODS

UNITS OF WORK- IN- PLACE

OUTPUT

INPUT-OUTPUT DIAGRAM

Figure 1-3 Juran s Triple Role Concept for On-Site Construction Activity Process
'

17

Continual

improvement

in

the

quality
and

of

on-site

construction better
will

activity
of

procedures
the

methods
at

aimed
next

at

satisfaction
in

customer
fewer

the

stage

result

less
of

rework,

delays

and mistakes,

and

better

use

construction
in

inputs.

Consequently,
the

constant

improvement

the quality of

construction

activity process leads to decreased cost of quality and

increased
productivity.

Quality

in

construction

is

associated not only with the materials and final product,

but

also

with
are

the

way

people work,
and
the

the

way

tools

and and

equipment

operated,

way

systems

procedures are dealt with.

Improvements
productivity,
improvements.
the
in

quality

will
is

lead

to
to

increased

only

question
today's
or

where

begin
to

the
a

Solving
tomorrow,
the

crisis

only
an

fight

similar battle
not

eliminating
it

irritant

is

improving
Only

process;

is

simply

putting
thinking

out

fires.

through

process-oriented

and

statistical analysis can we begin to understand the true

causes of problems.
causes, we can

When we understand the nature of the

expend effort to improve the process.

Process-oriented thinking is achieved in construction

when(1)

we place as much emphasis on the process of the and

(2)

construction activity as we do on the results,

18

when we
symptoms

learn

to

recognize
causes
of

the

difference
The

between

the

and the

problems.

construction
contractors

industry is results oriented.

All too often,

bid projects based on estimates,

measure the difference

and if a negative
to

between the estimated and actual cost,

balance
(symptom)

exits,

we

attempt

justify

our

mismanagement on hunches.

Rarely do we invoke processcauses

of

oriented thinking to search for the real

problems that lie within the process.
1.2.

the

DEMING/SHEWHART PDCA CYCLE

The Deming/Shewhart

Plan-Do-Check-Act
an

(PDCA)

Cycle 18

shown in Figure 1-4

is

essential

tool

for

achieving
of

process

improvements,

and ensuring that

the benefits

improvements last.
current
(2)

The "Plan" is a complete study of the

situation,

during which-

(1)

data

is

gathered,
(3)

problems are analyzed using statistical methods,

are
identified,

causes

and

(4)

solutions

are

planned.

The "Do" is the implementation of the planned improvement

on a pilot
scale.

The
the

"Check"

is

the verification and the

confirmation
improvement

that

plan

achieved
effects.

desired
The
"Act"

without

adverse

side

18

Deming, p. 88

19

means

to

prevent
the

recurrence
improvement
as

of
a

the

problem
practice

by
to

standardizing

new

improve upon through the next plan step.

goes round and round 19 ."

"The PDCA Cycle

DEMING/SHEWHART PDCA CYCLE |

CORRECTIVE ACTION AS NECESSARY, STANDARDIZE THE IMPROVEMENTS, AND FEED FORWARD TO THE NEXT PLAN.

PLAN IMPROVEMENT FOR THE CURRENT PROCESS

O PROGRESS
VERIFY THE RESULTS OF THE PLAN

IMPLEMENT THE PLAN

ON A SMALL SCALE

Figure 1-4 Deming/Shewhart PDCA Cycle

By continually turning the PDCA Cycle,

both managers
to

and

workers
of

are

constantly

challenged
1-5

reach

new

heights

improvement.

Figure

demonstrates

how a

19

Imai,

p.

63.

20

proposed

solution

becomes

standard 20

to

prevent

recurrence of the problem.

PDCA CYCLE
WHAT
H

DATA GATHERING & DEFINITION OF PROBLEM

ANALYSIS OF PROBLEM

PLAN

WHY

IDENTIFICATION OF

CAUSES

HOW
DO

PLANNING SOLUTION

IMPLEMENTATION

CHECK

VERIFY RESULTS

ACT

STANDARDIZATION

Figure 1-5 Standardization of Improvement

The remainder of this report describes how to apply
the PDCA Cycle to improve the quality and productivity of

on-site construction activities.

20 Imai,

p.

76

2.

CHAPTER

PLAN
2.1.

PEOPLE AND PDCA FOR PRODUCTIVITY IMPROVEMENT

Successful

on-site

construction

productivity-

improvement programs embody the blending of

"techniques."
are
the

"people"

and

TQM philosophies presented in Chapter One

of

basis

the

"people"

side

of

productivity

improvement program.
an

The "people" aspects of TQM create

environment

where

commitment

to

improvement

and

teamwork thrives.

Remember,

this commitment can only be

generated after top management successfully demonstrates

a

sincere concern for people at all levels,

create adverse relations
The

and removes
so

the barriers that

common in
side of

today's construction climate.

"techniques"

productivity improvement is based on a plan-of-action for

the implementation of a step-by-step procedure to achieve

improvement.
(PDCA)

The

Deming/Shewhart
a

Plan-Do-Check-Act
for

Cycle

provides

plan-of-action
in

achieving

productivity
activities

improvements

on-site

construction

Improvements

are

sought,

found

and

implemented
The
steps

through

the

PDCA

problem-solving
phase of
21

process.
the

included in the

"Plan"

PDCA Cycle

include

22

(1)

data gathering and definition of problem,

(2) (3)

problem
cause

analysis

through
and

statistical
(4)

methods,
for
a

identification

planning
identify

solution.
to

Management's
problems that

ability

to

and plan

solutions

impede productivity is dependent upon the

ease and accuracy with which feedback data from the field
can be collected and interpreted.
2.2. NEED FOR BETTER FEEDBACK DATA

2.2.1.

CURRENT METHODS OF OBTAINING FEEDBACK DATA

management
generally
employs

Construction

both

informal and formal data gathering methods for assessing

the

effectiveness

of

on-site

construction

activities 1

The informal methods simply include the observations and

feedback that management obtains through job-site tours,

and
informal
"How
is
it

going?"

communication

with

project

personnel.

Although

informal

communication
willingness
to

demonstrates
listen
to

management's
lower
levels

concern
of

and

the

the

hierarchy,

informal

data gathering is often misleading.

The labor force has

learned

not

to

be

caught

unproductive,

and

field

Oglesby, Henry W. Parker, and Gregory A. Howell, Productivity Improvement in Construction (New York: McGraw-Hill Inc., 1989), p. 134.
1

Clarkson

H.

23

supervisors

often

fear

the

possible

repercussions

of

forwarding bad news to upper level management.

Formal

assessment

methods
are

most

frequently
and
cost

used

by-

construction
reports.

managers
These

schedule

control

formal

assessment
to

methods

provide

management
through
earlier.
or
the

with an

opportunity
of

improve

productivity

application

the

PDCA

process

mentioned

Unfortunately, as pressure from a late schedule

budget

overrun
and
of

builds,

management
information
and

will
to

often
judge

use
the

schedule

cost
the

control
labor
this

performance
Instead
of

force

field
for

supervision.
improvement,
for

using

information
field

management
performance,

may
and
in

blame

supervisors

poor
all
is

hold
the

them

accountable
process.

for

deficiencies
unfair,

construction

This

as many of

these cost
in

and schedule deficiencies

for

are

due

to

failures

the
or

"system"

administrative
in

project
and

support.

Delays

inadequacies
and

schedules,

tools,

materials,

equipment

information

constraints lead to low levels of productivity and poor

morale.
Since field managers
support

have very
functions
will

little
that

control

over affect
for

administrative
their

adversely

productivity,
cost

they

resent
for

management
deciding

using

control

information

24

performance.
field

To

stay

clear

of

management's
less

pressures,

managers

will

often

report

than

accurate

information.

Altering of cost and work completed figures

for accounts that are in trouble may be the only method

field

supervisors

have

for

saving

themselves

from

an

unjust punishment.

A
rather

cost
that

control

system

incorrectly
and

used may
to

deceive

inform management,
operations
and

lead

conflicts,

less-efficient
among
project
are

strained

relationships
assessment

personnel 2
results

Current

formal

methods
oriented.

oriented

rather

than

process

They may alert management when the project is

or

behind
reports

schedule

over

cost,

but

schedule

and
data

cost
to

seldom

provide

management

with

hard

pinpoint the causes of the deficiencies in the process.

2.2.2.

PROCESS ORIENTED FEEDBACK

Before we can improve the quality and productivity of

on-site
different

construction
way
of
.

activities,
the

we

must

look

for
of

measuring

performance
this

the

activity process
must provide a
the

As shown in Chapter One,

system
Also,
for

"unit of measure"

and a

"sensor."
a

unit

of

measure
that

should

provide
the

standard
needs

performance
2

expresses

customer's

and

0glesby, p 33

25

provides a basis for improvement.

requirements for the quality,
activity,

Field Management has

each
for

schedule and cost of

has

while

the

labor

force

requirements

proper support of construction inputs (see Figure 1-3).

The next section will present a system for obtaining

feedback
processes.

on

the

performance

of

construction

activity

This system entails a modification of current

labor productivity measurement techniques to acquire data about the performance of construction activity procedures

and methods
time
lost

The modification entails the separation of

to

due

system delays

from

actual

work-hours

used to produce work in place.

System delays are due to

the procedures for support of construction inputs;

as,

where

actual

work

hours

are

the

result

of

construction

methods.

This modified productivity measurement

two

system
Unit
for

provides
Rates"

units

of
"

measure,

called

"Crew

True

and "Lost Time,

that can be used as a basis

planning improvements in construction activity procedures

and methods

26

2.3.

PRODUCTIVITY MEASUREMENT TECHNIQUES

2.3.1.

ACTIVITY UNIT RATES

the

Since

major

cost

variable
a

on

construction

project is labor productivity,

contractor will want to

of

measure work-hours major

element
of

and quantity
a

work

in

place
3
.

as

cost

control

program

Labor
is
4

productivity, also called activity "unit rate,

"

"work-

hours

performed

per

units

of

work

completed.

The

dividing of work-hour information collected from daily or

weekly time cards by the units of work accomplished for a

given

construction
the

activity
an

enables
activity.

management

to

evaluate

efficiency of

Activity unit

rates are typically reported in daily,

weekly or monthly

periods
2.3.2.

LOST TIME AND CREW TRUE UNIT RATES

Activity unit rates may contain the efforts of more

than one crew,
lost

and contain all work-hours including those

As
such,
it

due

to

delays.

is

difficult

to

fix

responsibility when unit rate figures are less productive

than planned.
Unit rates should be calculated for each

"Project Control For Construction", Construction Industry Institute Publication 6-5, (Sep 1987), pp. 6-7. 4,1 Productivity Measurement: An Introduction", Construction Industry Institute Publication 2-3, (Oct
3
, .

1990)

p.

2.

27

separate crew, and lost-time hours excluded from the unit

rate
calculation.
Otherwise,
the

productivity
to

of

an

individual

foreman

will

suffer

due

performance

and

delays beyond his control.

time

By explicitly counting lost-

hours

separate
the

from
of

work-time

hours,

contractors
that

finally

have
to
.

means

collecting
will
of

data

points

directly

methods

that

improve

construction
hours

productivity 5

Measurement

lost-time

will

enable management to identify problems in the system and

procedures

for

administrative

support

of

construction

activities, and set priorities for corrective action.

Crew
actual

"true"

unit

rates,

(calculated by dividing

the

man-hours
,

worked
a

by
true

the

units
of

of

work
and
of

accomplished)

provide

measure
The

crew

construction
actual

method
from

performance.

separation
a

work-time

lost-time
not

allows

contractor
it

to

place

responsibility,
must
to

blame

where
for

belongs.
lost on

Management
the job

accept

responsibility

time

due

"system"

administrative
accept

support

delays.

Similarly,

foremen must
.

responsibility

for

their

crew's true unit rate 6

Louis Edward Alfeld, Construction York: McGraw-Hill Inc., 1988), p. 65.

5
6

Productivity

(New

Ibid.

p.

66.

28

2.4.

COLLECTION OF DATA AND PROBLEM DEFINITION

2.4.1.

COLLECTION OF DATA
of

The amount

time

lost

due

to

delays
(2)

can be measured

through
(3)

(1)

Foremen Delay Surveys,

Work Sampling and

accounting of lost-time on daily time cards.

first
a

While
has

the

two

methods

have

their

merits,

Alfeld 7

developed
This
is

clever method for counting lost-time hours.

accomplished through a simple modification of a

The
an

standard foreman's time card as shown in Figure 2-1.

foreman
reports
the

total

work
on

hours
the

expended
The

on

activity by

each

individual

crew.

foremen

then sums the total payroll hours for each individual and

reports this in the "Total" column.

The next step is to

for

sum the and

total

work hours vertically

this

each activity,
"Total

report

quantity
row.

in

the

Work
the

Hours/Activity Code"

The

foreman then reports

amount of lost-time hours for each activity corresponding

to

the

causes
the

shown

in

the

"Lost

Time

Hours"

column.

Subtract

lost-time
row

hours
to

from
at

the

"Total

Work

Hours/Activity Code"

arrive
This

actual

work-time
time

hours for each activity.

will

modified
time

card
to

undoubtedly

require

more

and

effort

Ibid.

p.

64.

29

complete,

and foremen may object to the added paperwork

burden.

Formen must be convinced that

this

information

will be used to help solve their problems rather than be

held against them.

2.4.2.

PROBLEM DEFINITION

The

modified

time
in

card

provides

for

much

greater

accuracy and detail

to

reporting,
the

and allows management

pinpoint

and

define

major

sources

of

delay

problems.
activities,

System procedures for support of construction

are the main causes of delay problems.

When

properly applied,

lost time reports will help foremen by

focusing top management attention on constraint problems

that prevent his crew from being productive.

True unit rates can be measured for any activity.

If

comparisons are to be made with the project's estimate,

then
the

activity

should

be

consistent

with
of

the

work

breakdown structure or code of accounts

estimate 8
.

the

project

Also,

the units of measure used for reporting

quantities completed should be consistent with the units

used in developing the activity estimate.

reporting process,
identify
and

To

ease

the

these units should be simple,

To

easy to
level
of

accurate.

be

accurate,

the

CII,

Publication 2-3, p.

30

effort

to

complete

unit

of

work

in

place

must

be

constant through the entire duration of the activity.

TIME CARD
Foreman:

ACTIVITY CODE

Crew Number:
Date:

Employee Name

Total

Total Work Hours/

Activity Code
(-)

Lost-Time Hours

10 Rework Design Error 11 Rework Change Order

20 Wait for Materials

21Wait for Information

22 Wait for Tools 23 Wait for Equipment 30 Other
(-)

Work-Time Hours

Figure 2-1 Foremen Time Card With Lost Time

31

2.5.

PROBLEM ANALYSIS AND IDENTIFICATION OF CAUSES

2.5.1.

ANALYSIS OF PROBLEM THROUGH STATISTICAL REPORTS gathered

from
the

Data

foreman's

time

cards

and

quantities completed reports are compiled daily or weekly

to generate statisticl feedback reports.

The generation

and use of effective feedback reports sets the stage for

identification of problem causes and corrective action.

Feedback reports can take many forms, but they should be

easy to interpret,
timely,

accurate and appropriate

for

the level of management intended.

6

Figures 2-2 through 2-

are sample statistical Pareto and Line Graph Charts.

2.5.2.

IDENTIFICATION CAUSES

Lost time is a measure of managements effectiveness.

The Lost Time Pareto Chart shown in Figure 2-2 pinpoints

the

source

of

problems

in

the

project's
At

system
a

and

procedures

for

administrative

support.

glance,

everyone can see that the two or three largest bars shown
in Figure 2-2 account

for the majority of the Lost Time.

This

follows

the

Pareto
in

Principle,

which
of

is

the
that the
.

phenomenon
contribute

whereby,
to
a

any

population
a

factors
few
the
of

common

effect,

relative
of

contributors

account

for

the

bulk

effect 9

Juran, p. 331

32

500

-r

j
--

10CX

450--

90S

400
350
--

BOX

LOST TIME BOURS

--

70X
L

T3OO
1

--

BOX
S

CUMMUIATWE %

LT
--

M250 i
E

50X

T T

+
J
u
100
15
--

40X
30X 20X
10X

IW*

J
E

--

R
S

50 -.a^Mnittaiia,

4- ox

REIORK CHANGE ORDER

WAIT FOR

REIORK
DESIGN

WAIT TOR
INFO

IATTFOR
TOOLS

TATTFOR
EQUIPMENT

MATERIALS

ERROR

Figure 2-2 Weekly Lost Time Pareto Chart (Before Improvement)

500

450

J LOST
J S T 350
T 300
I

TIME HOURS

400

- CUMMUIATIVE X

LT

4
--

100%,

M250 4
E
200 --

-- BOX

L
S

B
15

-- BOX

R
100 --

40X

M
20X

50

OX

REIORK CHANCE ORDER

IAITFOB
MATERIALS

SETORE

fAITrOR

fATT FOR
TOOLS

WATT FOR

DE3GN
ERROR

wro

EQUIPMENT

Figure 2-3 Weekly Lost Time Pareto Chart (After Improvement

33

The value of a Pareto Chart is that it indicates the

"vital
few"

Lost

Time

factors

that

are most

prevalent,
for

and

therefore
.

deserve

concentrated

efforts

improvement 10
in

The Lost Time Pareto Chart is very useful

the

drawing

cooperation

of

all

concerned,

and

establishes a priority for corrective action.

Experience

has shown that it is easier to reduce a tall bar by half

than

short

bar

to

zero 11

Figure

2-3

shows

the

potential for reduction of Lost Time if Field Management

takes

concentrated

corrective

action

to

reduce

by

half

the bars for both rework due to change orders and waiting
for

materials.
improves
the

Removing
the

administrative

support

constraints
and
improves

construction
and

activity process,
of

productivity

morale

the

work

force.

Kaoru Ishikawa, Guide to Quality Control (2d ed; York: Asian Productivity Organization, 1982), p. 45. n Ibid.
.

10

New

34

Figure 2-4 is a graphical display of a single crew's

true unit rate productivity during the accomplishment of
a

single activity. easily

With a little training,

manual
line

each foreman their

can

develop

graphs

for

most

significant activities.

Foremen can use the line chart

of Figure 2-4 to pinpoint the occurrence of productivity

fluctuations so that the causes of the fluctuations can

be
identified.
Thus,

good productivity methods

can

be

standardized, and low productivity methods eliminated.

Figure

2-5

is

line

graph

showing

the

Five
Points

Day
for

Moving Average of
this

the

crew's

productivity.

line graph are obtained by averaging the true unit

rate

productivity

of

the

current
days.

day
As

plus true

the

productivity of
rate
data
for

the past
the

four

the

unit
is

next

day

is

obtained,

that

data

added to the existing data,

and the data for the oldest

or least current day is deleted.

Moving averages can be

days)
.

averaged over any time frame

often

(n

The value of n is
(n=5)

selected to cover a work week

from

so
is

that

the

productivity
included 12
.

each

day

of

the

week

always

12

CII Publication 2-3, p. 11

35

TRUE UNIT RATE LINE GRAPH

Figure 2-4 Line Graph Chart of Daily Crew True Unit Rate Productivity

TRUE UNIT RATE LINE GRAPH

TRUE UNIT RATE

5 DAY UNIT RATE MOVING

DECLINING PRODUCTIVITY

TREND
AVERAGE
0.5

o
l

f
8
10 12

H
13
14 15

DAY

Figure 2-5 Line Graph Chart of Five Day Moving Average Productivity

36

TRUE UNIT RATE LINE GRAPH

SOLVED CAUSE OF PROHLQI

IMPROVED PROCESS
-
1

5 DAY UNIT RATE MOVING

AVERAGE

0.5

+
10
11

-t-

-l-

-i-

-f-

-f-

+
17

12

13

14

15

16

IB

19

20

DAY

Figure 2-6 Line Graph Chart of Five Day Moving Average Productivity (After Improvement of Method
Process)

37

Moving average line graphs enable the Foreman to see

the
"trends"
in his

crew's true unit rate productivity.

The value of trend data is that it enables the Foreman to

predict the crew's productivity, and implement corrective

action
Thus,

when

the

trends

show

need

for

improvement.

corrective action measures can be taken before it

By understanding the relationships shown in
of in

is too late.

trends,

the Foreman can analyze the outcomes

in

changes

implemented

activity

methods.

Changes

activity

methods and procedures that produce positive results can

be standardized,

and changes that are ineffective can be

identified, and eliminated.

For example,
an alert foreman who studies Figure 2-5

can easily see from the Five Day Moving Average that his

crew's productivity is progressively declining.

He

can

study the Daily True Unit Rate curve to pinpoint the days

where

productivity

was

poor

and

good,

and

find

the

factors that caused the fluctuation.

the causes of productivity variance,

Once he understands
he can work to alter

crew methods to improve productivity.

Figure 2-6

shows

the potential improvements in crew productivity with the

identification and elimination of productivity variance.

This report will require extra effort by the foreman, but

38

it

does provide the

foremen a basis

from which to make

informed improvements in activity methods.

2.6.

PLANNING SOLUTIONS THROUGH TEAM APPROACH

CONSTRUCTION COMPANY TOM ORGANIZATION

A construction company's TQM Organization will depend

upon

the

TQM

approach
and people
to

selected,

existing

functional
of

organization,

involved.

The purpose

the

organization is

develop,

communicate,
The
to

implement,

and

monitor

TQM
and

efforts.

organization
ensure

provides
company
are
met.

leadership
quality
However,

direction
goals

overall

improvement

and

objectives

the organization should be developed in such a

manner that everyone in the company remains responsible

to measure and

continually improve quality within their

area of responsibility.
Typically,
a

TQM

organization
Committee,

will

consist

of

an

Executive
Committees,
Teams,

Steering

Departmental
Teams,

Steering
Functional

Functional/Project
Task
Teams.

Cross
or

and

Each

committee

team has

chairperson or team leader who is also a member of the

commit tee/ team
that
is

one
Thus,

level

higher

in

the

organizational hierarchy.

committees and teams are

39

interlocking

through

managers

and

supervisors
.

so

that

improvement efforts can be coordinated 13

Membership on a team is a part time job,

chairperson chairperson
of

except the

the

Executive
be

Steering

Committee.

The

should

thoroughly

familiar

with

TQM
The

concepts and posses superior interpersonal skills.

Executive Steering Committee is composed of the companies

top

executive

managers

and

departmental

managers

with

horizontal lines of communication.

are

Departmental managers
for

typically

the

chairpersons

the

Departmental

Steering Committee that is composed of the top managers

of each operating group within the Department.

These so

called

operating
that

groups
the

can

be

specific
is

construction
managing.

projects

company

Functional /Project Teams are composed of the key managers

of operating groups/projects within a department.

Crossto

functional

teams

can

be

established

at

any

level

address unique problems that cross functional boundaries

(i.e.,

involve

different

work

groups/projects

or

departments).

Management at any level can commission a

specific problems or opportunities

task team to address

for improvement.

"Quality Management Organizations and techniques", Consturction Industry Institute Source Document 51, (Aug
13
.

1989), p.

31.

40

The

Executive
for

Steering

Committee
action
the

establishes
and

the

priorities
efforts
goals.

major
are
in

corrective
line

improvement
overall

that

with

company's

The Pareto principle discussed in section 2.5.2

enables management at each level to focus attention and efforts on the biggest and most important problems first,
then the next and so on.

PROJECT TEAMS AND TASK TEAMS

Implementation

of

prioritized

corrective

action

and

improvement efforts is carried out through the use of the

PDCA

cycle

at

each

level

within

the

construction

company's organization.

The scope of the implementation

plans become more specific with each descending level in

the

organizational

hierarchy.
is

The

greatest
in

benefit quality
the

of

the

team

approach
that

the

major
from

gains

and

productivity
talent,

result

the

pooling

skills,
.

support, and ideas of a group to solve problems 14

properly

supported

and

trained

team

can

efficiently

tackle complex problems,

and come up with effective and

permanent solutions because the members of the team are

closest to the problems.
Consequently, project teams and

task teams provide the greatest potential for improvement

Peter R. Scholtes, The Team Handbook Joiner Associates Inc., 1988), p. 2-7.

14

(Madison,

WI

41

of

specific

project's

on-site

construction

productivity.
The project team can use Lost Time data collected to

define
The

and

analyzed

problems

in

the
in

project's
Figure
2-2

system.

Lost

Time

Pareto Chart

shown

can

be

used to establish priorities for corrective action.

The

Project Team can then commission a task team to address

specific

system problems

through

the

implementation

of

the PDCA problem solving cycle.

Similarly,

the project

team

should

identify
for

critical
True Unit
The

labor-intensive
Rate productivity

construction activities

measurement

and

analysis.

greatest

return

on

the

investment of time and effort to measure and analyze onsite

activity
and

processes
Chart
the
(1)

through

the

statistical

Line
this

Graph
report

Control
from

techniques

presented
of

in

come

selection

long

duration

activities that are:

cycle
time,
(2)

very repetitive and have a short

by
small
crews,

performed

and

(3)

performed on many projects that the construction company

handles.

Almost without exception,

the most significant

work-hour activities also will be significant

duration activities 15
for
.

schedule-

The proper selection of activities

process

analysis

allows

sufficient

time

for

the

15

CII Publication 2-3, p.

6.

42

statistical
improvement,

techniques
and
allows

to

pinpoint

opportunities
to

for

improvements

be

implemented
team

and refined on

future projects.

Once the project

(productivity)

selects an activity for process

the

analysis,
the

team should commission a

task

team to

address

specific activity.
The job of task teams should be carefully explained,

and their completion time specified 16

teams
is

Membership on task
across

assigned,

and

should

cut

project

organizational lines both horizontally and vertically to

ensure that talents and knowledge required to solve the

specific problem is

present.

Task

teams

can

then

use

existing data and apply the PDCA problem solving process

to

develop
the

and

implement

solutions and

and

improvements

to

both

project's

system

specific

activity

processes.
teams 17
:

The following are the elements of successful

Management support: Project Team provides (1) guidance through clearly defined team mission statement, secures resources and clears a path for task team.

(2)

to
16

Member participation: Establish ground rules encouraged full participation. Trained

B.

Philip

Crosby,

Quality

is

Free

(New York:

Mentor,

1979), p.
17

192.

Scholtes, pp. 2-39 -3-19.

43

facilitator helps to keep the team on track. Team leader, facilitator and members fully understand their roles.

provides Group training: Facilitator (3) instruction in both humanistic (communications, and group behaviors and decision procedures) (data techniques technical problem solving and solution collection, analysis, problem development and implementation)
Team members appointed to team work (4) Teamwork: closely with the problem/process under study. Ideally, each area and level of employees affected by the problem/ improvements should be represented. their knowledge, Members should contribute expertise and participation at all meetings. Every team member can and make should a contribution to the project, and no one member should be allowed to dominate the discussions.

Problem Solving Approach: Team uses a well (5) thought out PDCA improvement plan, along with group decision making, and basic statistical problem solving techniques to: - identify root-causes based on data - plan permanent solutions - implement solutions on small scale - verify results - standardize successes - refine improvement through next PDCA cycle
PLANNING SOLUTIONS

After a task team finds root-causes to problems,

team should then brainstorm alternative solutions.

the

The

alternatives should be evaluated based on feasibility of

implementation.

Feasibility analysis should address the

following questions:
Is the solution easy and maintain?

to

introduce,

implement,

44

What are the possible disadvantages, weaknesses or negative consequences? - Anticipated resistance to solution? - Will organizational culture support solution? Skills, training and education required to implement solution? Resources required (money, people equipment, tools, and materials) to implement training and solution? - How will change effect other processes?
-

The overall best solution should be selected and its

implementation planned.

Success will depend on how well

the task team anticipated the resources needed to carryout

the

changes,

how

much

training
key

and

preparation
lend
is

everyone
support,

receives,

whether
the

leaders

their ready

and whether
.

cultural

environment

for the change 18

18

Scholtes, p. 5-45

3.

CHAPTER

DO
The

successful

implementation of
(1)

planned solution

requires three primary elements:

(2)

management support,
It

worker support,

and

(3)

education and training.

is always best for a task team to carry out a small-scale

or pilot

study of

the proposed

change before making

(check)

it

wide-spread.

Upon verification

that

the

change

produced the desired results,

to

the task team can then act

secure

the

three

primary

elements

required

to

implement the change on a full scale basis.

Effective

documentation

and

communication

of

successes with pilot programs is essential to winning the

support of management and those affected by the change.

Construction

companies

should

have

an

established

procedure for the review, approval, and implementation of

task

team solutions.

The

task

team facilitator

should

assist the task team in developing a presentation to win

project

team

support

for

the

implementation

and

standardization of the solution on a project-wide basis.

Improvements
that

prove to be
be

successful
a

on

projectscale

wide basis

and

can

applied on

company-wide

should then be reviewed by the company Executive Steering

Committee.
45

46

Winning
force

the

support

and

participation
and

of

the

work
Teams

involves

communication

training.
of

implementing

changes

need to be aware

whom will be

affected by the change, what jobs may be changed, and how

people

will

be

trained
to

and

qualified.
This

People
is

are
top

naturally

resistant

changes.

why

management commitment and effective communication of the

fundamental TQM elements described in Chapter One is the
key
step

toward
are

creating
sought

an

environment
welcomed.

where
Quality

improvements

and

improvement has no chance unless the individuals involved

are

ready

to

recognize

that

improvement

is

necessary 1

Task teams must know and understand the ideas, questions,

doubts,

and

fears

of

those

impacted

by

the

change.

Keeping employees informed, and listening to their inputs

is key to gaining their support and participation.

Upon

successfully

gaining

the

support

and

participation for the change, the people who are going to

be

affected by the new standards must

must

be
on

educated.
a

superior

educate

his

subordinate

one-to-one

basis through the actual work.

Once the subordinate is

educated in this manner,

the supervisor should delegate

Phi lip B. Crosby, 1979), p. 81.

Quality

is

Free

(New

York:

Mentor,

47

authority to him and let him have the freedom to do his

job.

In

this

way,

management

creates

situation

in

which everyone is well-trained,

not be supervised excessively 2
If
.

can be trusted,

and need

everything

is

done

according

to

the

methods

explained above,
However,
of

implementation should pose no problem.

the team implementing the solution must be aware

changing

conditions,

and

verify

(check)

that

the

solution continues to produce the desired results.

Kaoru Ishikawa, (Englewood Cliffs,

What
N. J.
:

is

Total Quality Prentice-Hall Inc.,

Control?
1985),

p.

65.

4.

CHAPTER

CHECK
4.1.

PURPOSE

All too often,

Field Management implements plans and process

changes

to to

the

construction
that

without
results

adequately-

checking
achieved.
in

verify

the

desired

are

being

Before one can check to verify that a change

or

procedures
the

methods

produced

the

desired

quality

features,

required objectives,
In

goals,

and standards

must all be clearly understood.

the the

case of

on-site

construction activity productivity,

desired quality

feature is to achieve the planned production rate within

the

planned quality,
a

cost,

and

schedule.
the

This

Chapter
-"what

presents

technique

for

answering

question

and how should Field Management

check existing activity

processes?"

Checking

to

verify

that

planned

and

implemented

process is meeting desired goals requires collection and

analysis of process oriented data.
Two,

As

shown in Chapter

True Unit Rates and Lost Time provide feedback data

the

on

performance

of

construction
that

activity

processes.
of

What we must understand is

the performance

any

48

49

process
As

is

affected by an unlimited number of

a

causes 1

seen in Figure 2-4,

single crew's True Unite Rate

In other

productivity will be dispersed from day to day.

words,

there will always be variability in the activity

productivity due to causes affecting the process.

This

variability
distribution.

can

be

expressed

by

statistical

When we check therefore, we must be guided

distribution.
is

by the idea of
for

The most

convenient
control

tool

the

check purpose

the
.

three sigma

chart

invented by Dr. W. A. Shewhart 2

A
detect

control
the

chart

sends
of
a

statistical
special

signals,
of

which
process

existence

cause

variation,
to

or tell us that the observed variation is due

of

the

fault

the

system 3
are

The

system
out

in

which
(1)

construction

activities
styles,
support,
(3)

carried
and

includes:

management

policies,
(2)

procedures

for

administrative

people

(experience,
(4)

skills,

and motivation),
considerations,

Safety
(5)

considerations
and

weather

and

customer

public

relations.

Special Causes are those that are outside the system,

1

and

Kaoru Ishikawa, (Englewood Cliffs,

What
N.J.:

is

Total Quality Prentice-Hall Inc.,

Control?
1985),

p.

204. 2 Ibid.
3

W. Edwards Deming, Out of the Crisis (Massachusetts Institute of Technology Center for Advanced Engineering Study, Cambridge, Mass, 1986), p. 310.

50

can

be

attributed
machine,

to

specific
a

group
local

of

workers,

specific

or

to

specific

condition.

Causes of variation that are the fault of the system are

called common causes.

cause
of

Discovery and control of a special

activity

productivity

variation

is

the

responsibility of
of

the Foremen,
of

and continuous
the

reduction

common causes

variation is

responsibility of

the superintendent.

A stable process is one with no indication of special

causes
control 4
of
.

variation,

and

is

said

to

be

in

statistical
that
is

construction

activity

process

in

statistical control can produce a predictable quantity of

work

in

place
In

at

predictable

quality,

cost,

and
the

schedule.

other words,

management

can

confirm

capability of the activity process.

control
also

A process that is in improvement

provides

basis

for

through

continuous reduction of variation.

Control
charts

commonly
(

used
-

in

manufacturing

processes are the Mean-Range

the moving Mean-Range (
-

R)

control charts and

The moving

R)

control charts.
by

control
in

chart

is

used

many

organizations
such
as,

involved

continuous

batch
aluminum,

processes;

manufacturing of steel,
4

paints

and chemicals.

Deming, p. 321

51

Detailed construction activities that are broken down and

measured
linear

by

single
pipe,

construction
cubic yards

product;
of

such

as,

feet

of

or

concrete placed
At

and finished, may be thought of as batch processes.

the

end

of

each

day,

the

units

(single

construction

product)

of work in place can be measured for a detailed

activity,

and
The

the

True

Unit
this

Rate

in

hours/unit
a

calculated.

remainder of
-

chapter describes

method of using moving

R control charts to check the

productivity performance of detailed on-site construction

activities
4.2. MOVING MEAN-RANGE CONTROL CHARTS

4.2.1.

CHART CONSTRUCTION
its position

Two measures of a process are critical:

(mean)

and its variability

in

(range)
a

5
.

The control
the

chart

shown
rate

Figure

4-1

provides

graph of
()

true
(R)

unit

productivity

moving

mean

and

range

with

control limit lines.

any

The mean portion of the chart shows

the

changes

in

mean

value

of

the

activity

productivity,

while the range portion shows any changes

Range is

in the dispersion of the activity productivity.

a

practical measure of process variation 6

Mal Owen, SPC and Continuous Improvement IFS Publications, 1989), p. 103.

(Bedford,

UK:

52

Process Control Chart (Moving Mean/Range)

Activity

Dates

Forman

Description Mean 2

UCL;

lcl:
/<

UCL

-fo

f
>?
i

f<-

5 2<i
O)

CO CD

^
1

"3

X
l
1

\v

C
CO

^ Zq

c >

v^

en
i

\
"* %

Vy

' '

V
^

^ "^
2rt

>

E^>n
X q
CD CO

UCL

*- f-7

UC<_
CD

J
-fc-

rr

? =-= - =>r
,

'

c > o
Day
X
1

"^
<

-f
^

S
8

<
i

r*

a
/
17 18
19

CO

cc
i

-=fc<?

\ r^*

>

4
3

10

11

12

13

16

20

21

Day
X
X

25

n Z&

5 5 32

^ 2g 35

3&
3^

4.0 4/13 1 A D

7
R

2?
I

3.0 3.0 2 .) 3-1 5.3

36 4.0
/.3

3
1

<\

3o 26 25 28 2S 2
I

z<p i-3

o^ oq

0.1 0.7 1.3

%<\

0^

l<f

l&

A5

20 IX

R
Notes

Notes

Figure 4-1 True Unit Rate Moving Mean-Range Control Chart

Ibid., p. 70

53

The
of data,

Limit

lines

indicate

the

statistical

dispersion

and show if special causes

(abnormal situation)

exist 7

There are three kinds of Limit Lines:

(UCL)
,

the Upper
,

Control Limit
Lower
Control

the Central Line

(LCL)
.

(~

or ^)

and the
for

Limit
of

The
limits

guidelines
are

the

construction
properties
Figure
curve,
4-2.
of

control

based
curve
the the

on

the
in

the

normal

distribution
the

shown

The

wider
the
(s

base

of

distribution
larger
the

the

larger

variability,
)

and

standard deviation

or o

/j\
I

/
>l
5 ; 5
1

&

6SJ6K

9S4TS
99 73%

Figure 4-2 Normal Distribution Curve

Kaoru Ishikawa, Guide to Quality Control (2d ed; York: Asian Productivity Organization, 1982), p. 62.
7
.

New

54

For

any

normal

distribution,
fall
a)

99.73%

of

the

readings /measurements
(s,

with

standard deviations

also

called
(~)
.

sigma

measured

outward

from

the

central line 8
4-2 so

By rotating the normal curve of Figure

that

the

lines

of

symmetry

are horizontal,

the

control limits showing three standard deviations and the

central line are established. Control charts require three stages:

(2)

(1)

Measurement

control through process analysis to eliminate special

causes,

and

(3)

improvement

once

the

process

is

in

control.

The measurement
data
to

stage makes use of

True Unit

Rate

productivity
The

develop
is

the

moving
of

graphs.

control

stage

the

basis

the

CHECK

phase of the PDCA cycle.

statistical
control,

Once the activity process is in

the

capability

of

the

implemented

process can be confirmed and verified.

The improvement

stage is the basis of the ACT phase of the PDCA cycle.

Continuous improvement means gradually reducing the base

of

the True Unit Rate distribution curve over time when

the

curve
for

is

symmetrically on the planned productivity

activity
process
(i.e.,

rate

the

productivity

in

proper position)

0wen, p.

106

55

The True Unit Rate Moving

in Figure 4-1
is

R control

chart shown
(1)

composed of four primary sections:

(2)

administrative block,
(3)

moving True Unit Rate graph,

and
the
to

moving

graph,

(4)

data

block.

The

administrative
about
the

block

is

used

document

information
used
for
to

activity,

the

crew and
data

the methods

future

reference.
the

The

block

section

is

used
and

document

daily

True

Unit
R.

Rate

dada,

the

calculated moving and moving

In

carrying

out

the

initial

process
at

analysis

study

for the check phase of the PDCA cycle,

least 20 data

samples are required.

The measurement,

calculation and

plotting of the moving True Unit Rate follows the same

process as the Moving Average Productivity graphs
in Chapter Two.

shown

As with Moving Average

graphs,

Moving
(n

Mean
days)
.

graphs

can

be

calculated
of

over

any

time

frame
size.

The value

is

called the

sample

A and

larger sample size smooths out the form of the plot,

makes it easier to see the effect of any genuine changes

in

the

activity process.
5

In

this

example,

the

sample

size of
x
~

days was chosen.

Moving mean is obtained as:

Xx
n

56

The

calculated

five

day
=

moving

mean

for

day

is

(2.5+2.9+2.6+3.5+2.9) /5

2.9
of

hours/unit.
the
is

For

each
is

successive
dropped,

day,

the

first
in

previous
added.

group
The

and

the next

sequence
for

true
is

unit

rate

moving

mean

the

next

five

days

(2.9+2.6+3.5+2.9+3.2) /5 =3.0. Hours/unit, and so on.

The

moving true unit rate means are then plotted.

The moving range also is determined based on groups
of
five.

Range

x
of

(Largest)

(Smallest)

for

the

sample

size

(group)
5

five

days.
=

The

True Unit

Rate

Range for day

next day is

is
-

(3.5 - 2.5)

1.0.

The Range for the The moving

(3.5

2.6)

0.9,

and so on.

Range values are then plotted.

4.2.2.

CONTROL LIMITS

The central line for the moving graph is called the

grand mean

(~)

The grand mean is obtained as:

~t~

where k

is

the

number

of

samples.

Therefore:

~
The

52.9
=
2.6

3.30 hours/unit.

central
= "

obtained by:
18.7

line R
T~
1
-

for

the

moving

range

graph

is

Therefore:

"

16

17

57

The

UCL

and

LCL

lines

are

calculated

through

the

relationship involving A2
such that
is
a
3

and ^.
(a)

This relationship is
of

standard deviations
that

&2r'

where A2
size
n9
.

constant

depends

on

the

sample

Therefore:

UCL x
LCL x

= =

x x
-

+
-

A 2r A 2r

UCL R = D 4r
LCLr=

D37T;

where D3 and D4 are also constants based

Values for A2,
03,

on the sample size n.

and D4 can be

found in any statistics book, and are also shown in Table

4-1 10
.

For sample sizes less than

7,

D3

does not apply;

therefore, there is no LCL.

n
2
3

A2
1.880
1.023 0.729
0.577 0.483

D4

D3
_

3.267 2.575 2.282

4
5 6

2.115

2.004
1.924 4-1 Table

0.419

0.076

Standard Statistic Constants

10

Owen, p. 111. Ishikawa, Guide to Quality Control

p.

68

58

The
size of

calculation of
5

UCL

and

LCL

lines

for

sample

and the data shown in Figure 4-1 is then:

=

UCLLCL-

3.3 + 0.577x1.17 3.3

-

=3.98 hours/unit

0.577x1.17 =2.62 hours/unit

=

UCL R = 2.115 x 1.17

2.47

These
charts.
4.2.3.

control

limits

are

then

drawn

on

the

respective

CONTROL CHART INTERPRETATION

example process
analysis
is

The

shown

in

Figure

4-1

shows

that

the activity process

of

unstable due to the

points
a

existence
control
when:

special
.

causes

(i.e.,

outside

the

limits) all

process
of

is

in

controlled

state
lie

(1)

the points

the
(2)

control

chart will

within the control limits, and

point groupings do not

assume a particular form (nonrandomness) even though they

are within
the

control

limits 11

The

four most

common

patterns of non- randomness are runs,

and hugging of control line.

trends, periodicity,
is

A "run"

when seven or

more points line up consecutively on one side only of the

central line.

A continued rise or fall in a series of

is

seven or more points

considered a

"trend."

If

the

points show the same pattern of change; such as, rise and
fall over equal periods of time,

"periodicity" is said to
74

n Ishikawa, Guide to Quality Control

p.

59

exits.

When points on the control chart stick close to

line or to
of out

the

central

the

control

limit
line."

lines,

it

is is

called

"hugging
if
3

the
of
7

control
or
4

There
10

abnormality

out

of

points

lie

within zones drawn as follows:

(1)

Zone

next

to

the

central

line

when

line

is

drawn between both the central line and the UCL,

central line and the LCL.
(2)

and the

Zone next to the UCL or LCL, when a line is drawn

line and

at

two-thirds the distance between the central

the UCL or LCL.

Control

charts

enable
is

management
fault
of

to

determine worker
special
or

if

process
fault
of

variability
the

the

the
of

the

system.

The

presence

causes

through any of the methods described above should alert

the

Foreman

that

specific

activity

methods,

workers,

tools or equipment may be the cause of the variance.

The
to
a

distance between the UCL and LCL limits

the

corresponds
and
is

base

of

the

normal

distribution

curve,

measure of the amount of variance due to common causes

that can be attributed to the system (i.e., management).

Control charts can identify the existence of special

causes,

but they do not tell us the source of the cause.

it is

Therefore,

vital

that

the

Foreman

directly

60

responsible for the operation investigate the abnormality

quickly before the trail grows cold 12
Unit Rate
two
.

The Moving True

4-1

R control

chart

in Figure

shows

that

points

are

abnormal
The

because

they

lie
(
)

outside

the
4.0

control
for

limits.
13

low productivity

value of
days

day

is

the mean

True Unit
)

Rate

for

9-13,
2

while the high productivity value (

of 2.4 on day

is

the mean True Unit Rate for days 16-20.

Therefore,
of

when

the

Foreman

searches

for

the

cause

the

abnormal

variance,

he must

look at potential

special
five

causes that day

period.

affected
Special

productivity
causes
that

during

the

lead to

low productivity causes

that

should be
to

eliminated,

while

special

lead

high

productivity should be standardized.

Continued
identification
and

removal

of

special

causes will eventually result in an activity process that

is

in statistical
is

control.
control,

However,

simply because the

activity

in

does

not

assure

that

the

resulting central line is in proper position (i.e., at or

above
the

planned

unit
(~) is

rate

productivity)

If

the

process grand mean

below the desired productivity,

the Foreman and Field Management should work together to

12

Deming, p. 319

61

implement

changes to the activity methods.

(1)

Improvement

in activity methods can be achieved by:

of
(3)

elimination
and
this

operation
reduction
to

steps,
in

(2)

combination of
Take
changes

operations,

operations.
that

care
do

during
not

adjustment

ensure

the

send the

process out of control.

5.

CHAPTER

ACT
1.

STEPS TO ON-SITE PRODUCTIVITY IMPROVEMENT

5.1.1.

INTRODUCTION
Act

The

process
(1)

of

the

PDCA

cycle

involves

four

distinct steps:
of

methods improvement through reduction

(2)

inefficient

operations,

corrective
process

action

to
(3)

eliminate

special
of

causes

of

variation,

standardization

solutions

to

prevent
and

recurrence
(4)

of

problems and achieve process control,

improvement of the process.
The

continuous
are

first

three steps
in

executed by the team studying the process

presented.
the

the

order

Upon successful completion of each activity,

the

team applies another rotation of

PDCA cycle

to

constantly reach new heights in productivity improvement.

As will be presented in the latter part of this chapter,

continuous

improvement
requires

of

on-site

construction activity
efforts
of

processes

the

combined

everyone

associated with the project.

of

The successful application

these

four

steps

will

achieve

both

immediate

and

permanent productivity improvements.

62

63

5.1.2.

REDUCTION OF INEFFICIENT OPERATIONS

first
the
of

The
take
is

step

that
of

the

activity

task

team

should
The
or
In

reduction
this

inefficient
is

operations.
combine,

objective
reduce other

step
steps

to

eliminate,

unnecessary
words,

in

the
not

activity
harder.

process.

work
methods

smarter

Traditional
such
as,

productivity

improvement

techniques;
flow diagrams,

5-minute rating,

process charts,

and crew

balance charts should be used to help identify steps that

are
this

obviously
report
to

inefficient.

It

is

beyond

the

scope
in

of

present

these

four

techniques

their

entirety;

however,

this topic is thoroughly presented in

in

"Productivity
Parker
and

Improvement
.

Construction"
these

by

Oglesby,
can

Howell 1

Each

of

techniques

be

applied quickly to help the team define,

improve the current process.
to get

communicate and

The team must take care not The

goal
to
is

stuck

on

this

step.

to

use

traditional

improvement

technique

make

immediate

improvements in the process by simply reducing the most

obvious
sources
of

waste

and
the

constraints.

The

team

should
combine,

then

implement

improvements
,

(eliminate,

or reduce operation steps)

and then measure the

Clarkson H. Oglesby, Henry W. Parker, and Gregory A. Howell, Productivity Improvement in Construction (New York: McGraw-Hill Inc., 1989), pp. 171-239.
1
,

64

results to verify the success of the solution.

has

The team

now reduced waste,

defined
can be

improved productivity,
the

and most

importantly,

improved

process.

Further
process
is

refinements

made

when

the

activity

under a process analysis study.

5.1.3.

CORRECTIVE ACTION
apply
of

We

corrective

action
at

to

eliminate
source

special
of

causes

process

variation

the

the

problems.
an

Chapter Four presented a method of analyzing

process through

activity

Moving
the
a

Mean/Range

Control
special
the

Charts
causes.

to measure

and detect
of

occurrence of
cause,

Upon
for

detection
analyzing

special

team
apply

responsible

the

process must

again

the PDCA cycle and plan a solution.

The team should then

implement the solution on a small scale,

results.

and verify the

Continual identification and removal of special

causes of variation will

eventually produce an activity

(i.e.,

process that is in a state of statistical control

no

special

causes

exist).

Once
as

corrective

action
is

solutions
taken
to

have

been

checked

successful,
of

action

prevent

recurrence

the

problems

by

standardizing the improvement on an activity-wide basis.

65

5.1.4.

STANDARDIZATION
the standardization of

As mentioned in Chapter Three,

a

change on a wide-spread basis requires the support of

and training and education.

both management and workers,

Solutions
that

improve

the

productivity of

an

activity-

process should be standardized for all crews working on

that activity.

Because of the fast pace of construction

activities,
as possible.

this action step should be taken as quickly

To reap the full potential of improvements,

successful

activity
and

procedures
for

should
use
on

be

sufficiently
projects.

documented

publicized

future

Crews tasked with completing an activity similar to one

previously studied and documented should be encouraged to

implement
the

most

improved

activity

process,
.

and

be

challenged to develop further refinements 2

The use of
if

previously documented activity procedures works best

the

construction
3

company

has

an

effective
for

pre-planning

program

to

outline the procedures

on-site activity

operations.

Peter R. Scholtes, The Team Handbook Joiner Associates Inc., 1988), p. 5-57. 3 0glesby, p. 119.
2

(Madison,

WI

66

5.2.

CONTINUOUS IMPROVEMENT

5.2.1.

INTRODUCTION
an

Once

activity
central

process
line

is

in

control

and

the

productivity

in

proper

position
,

(productivity equal to original estimate or better)

the

improvement
Project

process
task on
First,

can

be

pushed
and

effectively 4

The

team,

teams,

workers

should

then
two

concentrate
functions.

continuous

improvement

through

to maintain and incrementally

improve

current methods and procedures through standardization of

improvements,
and

reduction
to

of

sources

of

common

cause

variation.

Second,

support

and encourage
to

innovative

methods

improvement
advances

efforts
in

achieve
and

major

technological
processes.

engineering

construction

Figure 5-1 shows how the responsibilities for

these two continuous improvement functions are perceived

in Japan 5
.

W. Edwards Deming, Out of the Crisis (Massachusetts Institute of Technology Center for Advanced Engineering Study, Cambridge, Mass, 1986), p 321. 5 Masaaki Imai, KAIZEN The Kev to Japan's Competitive Success (New York: Random House Business Division,
,

1986), p.

5.

67

INNOVATION

TOP MANAGEMENT
MIDDLE MANAGEMENT

^^

INCREMENTAL IMPROVEMENT

^^

W^ [s*^
MAINTENANCE

SUPERVISORS

^s^

WORKERS

|P^

Figure 5-1 Job Functions for Continuous Improvement

UCL UCL

Nominal

LCL

LCL

Figure 5-2 Effect of Incremental Improvement on Productivity

68

5.2.2.

MAINTENANCE AND INCREMENTAL IMPROVEMENT

refers
to

Maintenance

activities

directed
managerial

toward and

maintaining

current
.

technological,

operating standards 6
those

Incremental improvement refers to

activities

directed

toward

improving
of
(1)

current cause

standards
variation.
of

through reduction of

sources

common

The key to maintenance is:

documentation
(2)

the

current

best

standard operating procedures,

(3)

training on these procedures, and

review and revision

of standards upon adoption of further improvements.

Incremental improvement occurs when the project team

looks up stream at the system and procedures of on-site

construction
eliminates

activity
the

processes,
of

and

identifies

and
to to
of

root-causes
job.

variation
charts
can

common
be

everybody
conduct
a

on

the

Control

used

process

control

analysis.

The

purpose

process control is to detect any abnormality in a process

once the process has been standardized 7
.

Through

the the

control

chart, to

we

use

information
reduce
effects
the
on

provided

by

process
the

constantly
line 8
.

variability
6

about

central

The

Imai, p.

6.
.

Ishikawa, Guide to Quality Control (2d ed; York: Asian Productivity Organization, 1982), p. 65. 8 Mal Owen, SPC and Continuous Improvement (Bedford, IFS Publications, 1989), p. 99.
7
.

Kaoru

New
UK:

69

construction activity processes due to the reduction in

common
cause
can

variation
be
in

(administrative

support

constraints)
charts,
as

tracked
Figure

through

process

control

shown

5-2.

More often than not,

root-causes of common cause problems can be linked to the

management of the construction inputs at the beginning of

the on-site construction activity process
3).

(see Figure

1-

Removal of common causes due to the system is

of

the

responsibility

management.

Again,

the

Lost

Time

Pareto Charts shown in Chapter Two can effectively focus

management's
present
the

attention
greatest

to

the

"vital
for

few"

factors

that

potential

improvement.

Other

traditional methods of gathering and analyzing data; such

as,

Formen Delay Surveys and work sampling 9 also may be

to

used

fine

causes

of

constraint

problems.

Although

these techniques may provide faster data, the accuracy of

Lost Time Data is difficult exceed.

task

team

should

be
to

commissioned
each

to

develop

and

implement
support

improvements
that

project team

administrative
identifies
as
a

process

the

project

priority area for improvement.

do

The individual worker can

nothing

about

common

causes
he

due can

to

administrative
contribute
to

support
9

processes;

however,

often

0glesby, pp. 156-180

70

improvements
suggestions.

in

the

way

his

work

is

done

through
must
cut

As

such,

task
lines

team membership both

across

organizational

horizontally

and

vertically.

Incremental

improvements
of

that

improve

project's
will

system

and

procedures

administrative

support

result in less lost time,

fewer errors and constraints,

and

increased productivity.

These

solutions

should be

tested and standardized on a project-wide basis.

Upon
of

verification

of

the

successful

standardization
the project

the

solution on a project-wide basis,

team and

company's Executive Steering Committee should determined

if

the

improvement
Solutions
then be

can
that

be

applied

on

company-wide

basis.

have
and

company-wide

applicability
as

should

tested

standardized

company

procedures.
5.2.3.

INNOVATIVE METHODS IMPROVEMENT

involves
a
a

Innovation
status
quo
as

drastic
a
.

improvement
investment
in

in in

the

result

of

large
As

new
5-1,

technology and/or equipment 10

top

shown

Figure

and

middle

management

must

assume

leadership

in

bringing about an innovative breakthrough.

industry
10 Imai,

Construction
goals

top

management

must

establish

clear-cut

p.

71

and guidelines

for

research and development

that

deals

with the issues that will enable the industry to better

serve
consumer
groups
for

and

provide

competitive

edge.
in

Presently,

support

research and development

industry
support
is

the
in

United
contrast

States'
to

construction
the

minimal

amount

of

that

Japanese
in-house

engineering and construction firms dedicate to

research efforts 11
.

The potential effect of innovation on

construction activity processes is shown in Figure 5-3.

A3 CO

UCL

>~

o
o
c

il
in t_
1

UCL

o
LCL

v^/^V^-

/v ^y\

LCL Af ter Innovative Improvement

Time
Figure 5-3 Effect of Innovation on Productivity

techniques" and Organizations Management Quality Consturction Industry Institute Source Document 51, (Aug
lln
,

1989), pp.

64-68.

6.

CHAPTER

CONCLUSION AND RECOMMENDATIONS

Total

Quality

Management
to

methods
meet
in

can

enable

the

construction
through methods
technical

industry

better

Owner's

needs

continually

improvements
the

performance.

TQM
and

provide

both

humanistic
to

philosophies

procedures

required
The

achieve

continuous
first

performance
toward

improvement.

essential
is

steps
'

performance

improvement

top

management

commitment and communication of the need for improvement,

and

management's

understanding

that

the

majority

of

problems within an organization are due to the system in

which work is done.

is
a

TQM is not a program.

that

Rather,
in

TQM
the

cultural

change

encourages

everyone

organization to work together to identify and permanently

remove

system
waste,

problems; errors

thereby,

improve
and

quality,

decrease

and

cost,

improve

the

productivity of each process.

By placing
at

emphasis
in

on better

customer
process
.

satisfaction
the

each

step
in

the

construction
can
for

parties
the

involved

construction
procedures
activities

continually
construction.

improve

methods

and

On-site

construction

are
72

distinct

processes

with

73

defined
inputs,

procedures
and

for

the

management

of

construction
methods
that
for

with
the

defined
inputs

construction
a

transforming
contract

into

facility

meets

requirements.

The
a

Deming/Shewhart
systematic

Plan-Dofor

Check-Act

Cycle

provides

method

achieving and sustaining process improvements.

The

essential

first

step

in

the

PDCA

Cycle

is

the

measurement and analysis of process performance data as a

basis
Lost
for

identifying
and

areas

for

improvement.

Project
the
of

Time

Crew

True

Unit
to

Rate

data

enables
causes

project

team and task

teams

identify

the

problems impacting the construction process.

Separating
lost-time
hours

from

work-time

hours,

allows top management and field supervisors

to pinpoint

and address problems in both the system of administrative

support

procedures

and

construction

methods.

Management's acceptance of responsibility for lost time,

and the
field supervisor's

acceptance of

responsibility

for crew true unit rates allows the project organization to

focus

attention on improvements based on

firm data.

Implementation of the PDCA cycle using Lost Time and True

Unit Rate data provides an effective method of method for

discovering causes of problems and implementing solutions

at all levels within the construction organization.

74

6.2.

RECOMMENDATIONS

Based on
following

findings

from this
are

literature
for

review,

the

recommendations

offered

consideration

by the construction industry:

1.

Significant performance improvement can be achieved

by focusing attention on the process of

construction with the aim of better meeting the

customer's needs.
2.

TQM requires the support of all parties involved in

the construction process.

3.

The TQM approach must meet the specific needs of

the company.

4.

Training at each level within the organization is

essential to the success of improvement efforts.

Training efforts should address both the humanistic

and technical aspects of TQM.

A TQM consultant

with at least a master's degree in statistics

should conduct training on statistical process
control techniques.
5.

TQM implementation efforts should begin on a pilot

scale, and successes should be publicized to

gain full acceptance and understanding of the

potential benefits of a TQM approach.

BIBLIOGRAPHY

Construction Alfeld, Louis Edward, York: McGraw-Hill Inc., 1988.

Crosby, 1979.

Productivity

New

Philip

B.

Quality

is

Free

New York:

Mentor,

Massachusetts Deming, W. Edwards, Out of the Crisis Institute of Technology Center for Advanced Engineering Study, Cambridge, Mass, 1986.
.

Masaaki, KAIZEN The Kev to Japan's Competitive Success New York: Random House Business Division, 1986.
Imai,
.

Ishikawa, Kaoru, Guide to Quality Control York: Asian Productivity Organization, 1982.

2d

ed;

New

Control? What is Total Quality Ishikawa, Kaoru, Englewood Cliffs, N. J. Prentice-Hall Inc., 1985.
:

Juran on Plannnina for Quality Juran, Joeseph M. York: The Free Press, 1988.
, ,

New

and Howell, Oglesby, Clarkson H. Parker, Henry W. Gregory A. Productivity Improvement in Construction New York: McGraw-Hill, Inc., 1989.
,
,
,

Owen, Mai, SPC and Continuous IFS Publications, 1989.

Improvement

Bedford,

UK:

The Team Scholtes, Peter R. Joiner Associates Inc., 1988.

,

Handbook

Madison,

WI

Walton, Mary, The Deming Management Method Putnam Publishing Group, 1986.

New York: The

"Productivity Measurement: An Introduction", Construction Industry Institute Publication 2-3, Oct 1990.
,

"Project Control For Construction", Construction Industry Institute Publication 6-5, Sep 1987.
,

"Input Variables Impacting Constrution Industry Institute

Design Effectiveness", Publication 8-2, Jul 1987

75

76

"Cost of Quality Deviations in Design and Construction" Consturction Industry Institute Publication 10-1, Jan
.

1989.

"Measuring the Costs of Quality in Construction", Construction Industry Publication 10-2, May 1989.

Design and Institute

.

"Quality Management techniques", Organizations and Consturction Industry Institute Source Document 51, Aug
.

1989.

VITA
Lieutenant
Texas,

David

B.

Cortinas

was

born
I

in

Mathis,

on 11 April,

1963,

the son of Gilbert Laude"

and Dilia

Cortinas.
1985

He graduated from Texas A &

a

University in

with a In Bachelors of Science Degree in Civil Engineering. November 1985, he earned a direct appointment as an Ensign, Civil Engineer Corps, United States Navy by Candidate graduating with distinction from Officers
under
"Summa

Cum

distinction

School,

Newport,

Rhode
Naval

Island.
School,

Upon
Civil

graduating
Engineer
THREE.

distinction
Officers,

from
Naval

with Corps
He

Port
to

Hueneme,

California,

Lieutenant

Cortinas

reported
Operations
Officer,
Edzell,

Construction
Engineering

Battalion
Officer,

served as the Assistant Alfa Company Commander, Assistant

Embarkation and Of f icer-in-Charge of a twenty man detail to

Officer,

Scotland. the

Lieutenant
San
to
13

Cortinas'
of

next

assignment

was

as

Of f icer-in-Charge

Construction
California,
1990.

Battalion
during
the

Unit
1991,

FOUR ZERO FIVE,

Diego,

period 11 July 1988

Texas.

December
the

In

January,

he entered the Graduate School of The University of

He
is

married

to

former

Annette

Dorothy

Colbert.

Permanent Address:
2 07

Sabine

Portland, Texas

78734

This Report was typed by the author.

^9'S-??o

Thesis C75574
c
1

Cortinas On-site construction productivity improvement through Total Quality Management

Thesis C75574
Ct
\

Cortinas On-site construction productivity improvement through Total Quality Management