Where Lean Construction and Value Management Meet

The lean construction (LC) community’s key vision and goal is to provide value, yet they are increasingly challenged with understanding and dealing with the concept of value, with reports that value is one of the weakest points. Regardless of the previous studies and contributions already made on the concept of value in LC, the absence of a consistent understanding of value has resulted in misperceptions and indistinct boundaries with other construction value-related disciplines. Without a consistent understanding of value, the full potential of applying value-established concepts will not occur. Thus, the study of different concepts in construction will open new opportunities to deliver value in the future. Literature reviewed only revealed a small number of interdisciplinary comparisons of Lean manufacturing and LC with value management (VM)/value engineering (VE) on value. Secondary data was used to present an in-depth comparison of the principal points of the current practice and theories of LC and VM, which are seen as ways to improve the delivery of value to clients and building users. The study revealed a range of similarities at a high level, which could easily point to an early conclusion that LC and VM are interchangeable, leading to the same goal of value delivery and shared misapplication of cost reduction techniques. However, a more detailed examination indicates significant differences in the philosophy and scope in different areas, including project timing, practitioner duties, and areas of practice which could complement each other. Also the study identified that LC is a broader philosophy which covers more aspects than VM, it is evident that LC has advanced over the years towards discussions on the concept of value. The current work in LC on value relies less on other construction value-related disciplines such as VM, VE and partnering. Furthermore, LC literature still views value as a confusing concept associated with different interpretations, forming the basisof its understanding. The study established that value plays a central role in both LC and VM. Their combination could offer great synergy regarding the concept of value.

[1]  P. Hines,et al.  Learning to evolve: A review of contemporary lean thinking , 2004 .

[2]  Søren Munch Lindhard,et al.  Value and Waste in Lean Construction , 2016 .

[3]  Pekka Huovila,et al.  The House of the Rising Value , 2000 .

[4]  Jack Steven Goulding,et al.  Innovative Value Management: Assessment of Lean Construction Techniques Implementation , 2011 .

[5]  Stephen Emmitt,et al.  The Value Universe: Defining a Value Based Approach to Lean Construction , 2005 .

[6]  Lauri Koskela,et al.  An exploration towards a production theory and its application to construction , 2000 .

[7]  Daniel Roos,et al.  The machine that changed the world : the story of lean production , 1991 .

[8]  James P. Womack,et al.  Lean Thinking: Banish Waste and Create Wealth in Your Corporation , 1996 .

[9]  Gregory A. Howell,et al.  The Two Great Wastes in Organizations , 2004 .

[10]  Søren Wandahl,et al.  Value-based Management in the Supply Chain of Construction Projects , 2003 .

[11]  Stephen Emmitt,et al.  The client as a complex system , 2005 .

[12]  Christine Pasquire,et al.  VALUE IN CONSTRUCTION FROM A LEAN THINKING PERSPECTIVE : CURRENT STATE AND FUTURE DEVELOPMENT , 2009 .

[13]  John Kelly,et al.  Value Management In Design And Construction : The Economic Management Of Projects , 2017 .

[14]  Christine Pasquire,et al.  Exploring Value Concept Through the IGLC Community: Nineteen Years of Experience , 2012 .

[15]  Dan A. Seni.  THE TECHNOLOGICAL THEORY OF VALUE: Towards a Framework for Value Management , 2007 .

[16]  Glenn Ballard,et al.  What Kind of Production Is Construction , 1998 .

[17]  Alphonse J. Dell'Isola,et al.  Value engineering : practical applications --for design, construction, maintenance & operations , 1997 .

[18]  Sven Bertelsen,et al.  CONSTRUCTION BEYOND LEAN: A NEW UNDERSTANDING OF CONSTRUCTION MANAGEMENT , 2004 .

[19]  Paul Reiser,et al.  MAXIMIZING VALUE & MINIMIZING WASTE: VALUE ENGINEERING & LEAN CONSTRUCTION , 2004 .

[20]  Stephen Emmitt,et al.  Implementing Value Through Lean Design Management , 2004 .

[21]  James A. Brimson,et al.  Driving value using activity-based budgeting , 2008 .

[22]  Christine Pasquire,et al.  SOCIAL HOUSING IN CHILE: OPPORTUNITIES TO APPLY VALUE CONCEPT IN EARLY STAGE OF PROJECTS , 2008 .

[23]  Søren Wandahl,et al.  Practitioners’ perception of value in construction , 2015 .

[24]  Sven Bertelsen,et al.  Lean Construction: Where Are We and How To Proceed? , 2004, Lean Construction Journal.

[25]  Jardar Lohne,et al.  NINE TENETS ON THE NATURE OF VALUE , 2015 .

[26]  Christine Pasquire,et al.  Value theory in lean construction , 2011 .

[27]  William C. McElligott,et al.  Value Management in Construction , 1995 .

[28]  Ola Lædre,et al.  Lean Design Versus Traditional Design Approach , 2015 .

[29]  Christian T Lindfors,et al.  Value Chain Management in Construction: Controlling the Housebuilding Process , 2000 .