LPS 1
LPS 1
LPS 1
www.emeraldinsight.com/0969-9988.htm
Management
Improving construction practice with
management practice with the LPS
Last Planner System: a case study
Abdullah O. AlSehaimi 51
Administration of Projects and Engineering Affairs, Ministry of Health,
Saudi Arabia, and
Patricia Tzortzopoulos Fazenda and Lauri Koskela
University of Salford, UK
Abstract
Purpose – The purpose of this paper is to evaluate the effectiveness of implementing the Last Planner
System (LPS) to improve construction planning practice and enhance site management in the Saudi
construction industry.
Design/methodology/approach – LPS was implemented in two large state-owned construction
projects through an action research process. The data collection methods included interviews,
observations and a survey questionnaire.
Findings – The findings identify benefits including improved construction planning, enhanced site
management and better communication and coordination between the parties involved. The paper
describes the critical success factors for LPS implementation. The paper also describes barriers to the
realisation the full potential of LPS, including the involvement of many subcontractors and people’s
commitment and attitude to time.
Research limitations/implications – The work reported in this paper is limited to two case
studies.
Practical implications – The study has thus contributed to improving management practice and
may aid the establishment of a basis for the development of further research in the area of lean
construction. The research outcomes can inform practitioners of the opportunity to implement
alternative management methods in construction, and give a good account of the opportunities and
challenges. Beside the direct benefits to managerial practice, the study also contributed to practice by
offering practical recommendation that can assist in the achievement of the full potential of lean and
LPS in Saudi Arabia.
Originality/value – This is the first comprehensive academic study in the Saudi construction sector
concerning the application of lean construction principles and techniques. The study has thus
contributed to practice and developed a basis for the development of further research in the area of
lean construction. It may help construction organisations to establish a new strategy and policies to
improve their managerial practice. The outcomes of the case studies can be used as a reference for
organisations seeking to improve their managerial practice.
Keywords Action research, Construction planning, Last Planner System implementation
Paper type Case study
1. Introduction
While it is accepted that construction management suffers from many practical
problems (Wing et al., 1998; Love et al., 2002), research in this field tends typically to be
descriptive and explanatory, which makes it inappropriate to solve the most persistent Engineering, Construction and
managerial problems (Koskela, 2008). One of the most commonly recurring problems Architectural Management
Vol. 21 No. 1, 2014
in construction is delay. pp. 51-64
r Emerald Group Publishing Limited
AlSehaimi et al. (2013) examined most of the available literature about construction 0969-9988
delay in developing countries including a number of delay studies in the Saudi DOI 10.1108/ECAM-03-2012-0032
ECAM construction industry. Their study found that factors related to poor project
21,1 management are common to most of the delay studies, although they vary in their
importance from one study to another. It was also found that the delay causes cluster
around two issues: management and project environment. Management-related
factors include ineffective planning and control, poor site management, poor
communication between the parties involved and unreliable availability of materials.
52 The authors contended that such factors are controllable and efforts should be directed
towards minimising their impact. In contrast, project environment factors (labour
shortage, problems in material supply and financial difficulties), all of which are
related to the immaturity of the economy, financial institutions and labour market in
a developing country, are external factors that have to be taken as given in any project
(AlSehaimi et al., 2013). This paper argues that the impact of such controllable causes
of delay needs to be minimised to improve performance. That is to say, controlling such
causes of delay can be achieved via improving management practice.
One important improvement initiative, with direct practical impacts, has been the
adoption of lean construction. Since the early 1990s, lean construction has evolved
as a new way to manage construction more efficiently and effectively. Diverse lean
techniques have been adopted in practice, aiming to enhance project management by
eliminating waste, improving planning efficiency and reliability, improving
productivity and maximising value (Ballard et al., 2002).
The best known lean construction technique is the Last Planner System (LPS),
which has been demonstrated as a very useful tool for the management of the
construction process and the continuous monitoring of planning efficiency
(Christoffersen et al., 2001; Ballard and Howell, 2003). LPS has been tested in the field
and refined over the last decade, with many reported benefits in diverse environments
around the world, e.g. Fiallo and Revelo (2002) reports LPS implementation in Equator;
Johansen and Porter (2003) in the UK; Thomassen et al. (2003) in Denmark;
Koskenvesa and Koskela (2005) in Finland; Kim and Yang (2005) and Lim et al. (2006)
in Korea; Alarcon et al. (2008) in Chile; and Junior et al. (1998) and Formoso and
Moura (2009) in Brazil.
The literature, however, shows no evidence of LPS practical applications within
Saudi Arabia. Therefore, this study is concerned with the application of existing
principles (LPS) to a new context with a different working environment, where
commitment and attitude to time make it likely to operate differently. The main aim of
this research is to contribute to the improvement of management performance through
practical endeavours. The LPS was tested to examine the utility of the technique in
improving planning practice, thus enhancing management practice.
The paper is organised as follows. First, a literature synthesis on LPS is presented,
including a brief discussion of its prior applications around the world. Second, the
action research method adopted is discussed and the research carried out is described.
Following, the strategy of implementing LPS in two large state-owned projects is
examined and key research findings are presented and compared to the corresponding
outcomes of previous similar LPS studies. Finally, discussion is carried out and
conclusions are offered.
3. Research method
Recently, it has been argued that research approaches such as design science research
(or constructive research) and action research offer alternative methods to improve the
level of performance in practice (van Aken, 2005; Järvinen, 2007; Voordijk, 2009;
AlSehaimi et al., 2013). It is believed that organisations should benefit from advances in
knowledge, rather than just being subjects of research. To make academic research
ECAM relevant, researchers should try out their theories with practitioners in real situations
21,1 and real organisations (Avison et al., 1999).
Action research allows the parties involved to review the existing process (problem
domain), identify the problem, to introduce changes to improve the situation,
to evaluate their effects and to reflect on the process and the outcome, as well as to
generate new knowledge (Baskerville, 1999; Naoum, 2001). What differentiates action
54 research from traditional research approaches is that the researcher plays an active
role in the case under study, working collaboratively with other participants (Naoum,
2001; Herr and Anderson, 2005).
Action research was adopted in this study, to respond to the practical concerns of
people and to provide solutions to existing practical problems ( Järvinen, 2007) and to
enable the data collection and reflection process to focus on aspects that cannot easily
be captured by other, more descriptive research approaches (Eden and Huxham, 1996).
4. LPS implementation
4.1 Existing planning practices
In the first phase of the implementation (shown in Figure 1), interviews and
non-participant observation were conducted to examine the current planning practice.
Findings suggest that planning was mostly based on a master plan presented on a bar
chart issued at the beginning of the construction phase. Construction commenced with
a meeting of the main parties involved in the project execution, whose purposes was to
establish acceptable ground rules and to ensure that contractors understood all the
job requirements.
A systematic review of project planning was found to be rare or non-existent.
Regarding project evaluation, most interviewees said that they did not tend to refer to
past job records, as these were either non-existent or inadequate. The interviews also
revealed an absence of detailed short-term planning and improvement meetings to
discuss project progress. As for planning techniques, most of the interviewees stated
that their firms used the critical path method.
After the interviews, the application of LPS was discussed in detail and examples
from previous studies were considered. As part of these discussions, the weaknesses of
the current planning practices were observed and thought was given to how the LPS
could enhance practice. This also included training on LPS implementation.
Percentage of time
Duration elapsed when the LPS Main contractor
Project Contract (months) was implemented Subcontractors classification
here the implementation started from weekly planning, and progressed then
towards upstream stages. However, few studies implemented LPS from short-term
planning upwards including Koskenvesa and Koskela (2005) and Bortolazza and
Formoso (2006).
The strategy was agreed upon after intensive discussion between project teams and
the researcher. In both project, strategy of LPS implementation started with the short-
term planning. Figure 1 shows the LPS implementation strategy adopted in both
cases, followed by a description of the phases. In the first phase, a workshop on lean
and training on the use of LPS were provided to highlight the benefits of LPS. After
this, there was a two-week observation period to monitor the current practices, to
interview the participants and to make notes.
In the second phase, it was agreed that PPC and reasons for incomplete
assignments would be recorded weekly for five weeks. The focus was on short-term
planning and make ready, while little attention was directed to lookahead planning.
Two weekly meetings were held with the involvement of all project parties (contractor’s
team, client representatives, consultant engineers). Starting with short-term planning
aimed to gradually introduce the other elements of LPS (look ahead planning, phase
planning and stabilise production planning at the ground level. Invoking specific
requirements such as definition, soundness, sequence, size and learning (Ballard and
Howell, 1994) was introduced to achieve quality assignments. Furthermore, reasons for
incomplete tasks were identified, analysed and acted upon, together with the PPC
calculation in the weekly meetings. Constraints were documented according to
indications given by the project team and constraints analysis was performed jointly Management
by all project members. Data, i.e. PPC and reasons for incomplete assignments, were practice with
collected during the summer, which is a very hot season in Saudi Arabia; in the year
of the study, the temperature reached 521C. Furthermore, data collection coincided LPS
with the month of Ramadan, when Muslims fast during daylight hours. Taken
together, these factors significantly affected labour productivity and, hence assignment
completion. 57
The third phase was the longest, lasting for eleven weeks in each project, during
which two further components of the LPS were introduced: lookahead planning and
phase planning. Phase planning allowed activities to be pulled through by reverse
team planning and for resources to be optimised in the long term. In the first project,
there were two lookahead windows, one covering four weeks and the other six weeks,
whereas in the second case, only the four-week lookahead window was feasible.
A possible explanation is that the involvement of many subcontractors made it difficult
to produce six-week lookahead plans. Lookahead planning was extracted from the
master plan zone by zone, then coordinated in the Last Planner (weekly) sheets. All
planning levels were linked. During the all-day phase planning sessions, sticky notes
were used to show the names, durations, prerequisites and locations of individual
tasks on the project map. Each session was dedicated to a certain type of activity
(i.e. finishing, mechanical), aiming to provide goals in each phase and then work
backwards from the target completion date to achieve the proposed milestones.
In practice, phase planning generates a detailed plan covering the respective project
phase, thus allowing better visualisation of the flow of work, which assists all parties
to negotiate deadlines for the planned work.
In the fourth phase, a survey questionnaire was administered to evaluate the LPS
implementation. The key objective was to allow participants to self-report the benefits
achieved, CSFs and barriers to LPS implementation in the project. The questionnaire
contained ten questions, but only the questions related to the achieved benefits, CSFs
and barriers for LPS implementation are covered here. Questions were formulated
using a five-point Likert scale that requested participants to indicate their degree of
agreement or disagreement with a series of statements. The respondents were given
sufficient time to read the questionnaire, think about it and ask any questions they
wished. Most participants answered in group sessions in the presence of the first
author, who explained the questions, provided any clarification necessary and asked
the participants to choose the answers they believed to be the most appropriate. The
key findings obtained through the questionnaire are discussed in more detail below.
5. Research findings
5.1 Weekly PPC
PPC is a measure of the proportion of promises made that are delivered on time. It is
calculated as the number of activities that are completed as planned divided by the
total number of planned activities, presented as a percentage. At the time when the LPS
implementation started, most of the work carried out consisted of structural activities.
However, architectural activities started after week five and later after week 11,
mechanical and electrical activities started. Generally, there was a gradual increase in
weekly PPC over the implementation period, as shown in Figure 2, which indicates
improvement in the planning practices. In the first project, PPC increased from 69 per cent
in the first week to 86 per cent in the last week, peaking at 100 per cent in the first
week after the introduction of lookahead planning and then stabilising at 86 per cent for
ECAM PPC Values over the entire implementation Period
100%
21,1
90%
80%
70%
60%
58 50%
40%
30%
20%
10%
0%
.0 08
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.1 08
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09
Figure 2.
06 .20
13 .20
20 .20
27 .20
04 .20
12 .20
18 .20
25 .20
01 .20
08 .20
15 .20
22 .20
29 .20
13 .20
20 .20
27 .20
03 .20
20
Weekly PPC values over
1.
8
2
.0
the last two weeks of the project. In the second project, PPC rose from 56 per cent in
the first week to 82 per cent in the last week, reaching a peak of 84 per cent and
stabilising above 80 per cent for the last five weeks. In this project, PPC stabilised for
many possible reasons; for example, a long time was spent in the preparation
of the lookahead plans particularly during third phase, while learning from failure and
mistakes experienced in the previous phase helped to improve this one. Additionally,
the project team enhanced its professional practice and underwent continuous
assessment to achieve this advanced result. Collectively, the gradual improvement in
PPC over the period of the LPS implementation indicates that planning reliability
improved over this period.
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during the whole implementation period. Prerequisite work was the main reason for Management
incomplete assignments in the first project. This is perhaps due to the nature of the practice with
stage that the project had reached, where most activities were dependent on structural
assignments being completed. In the second project, labour supply was the main LPS
reason for incomplete assignments. It was clear that the project was always struggling
to keep pace with the weekly and lookahead plans, because the available workforce
was insufficient to meet the needs. The underlying cause was in the persistently 59
high demand for skilled labour at a time when the country was passing through an
unprecedented construction boom.
The second main reason for incomplete assignments in both projects was the
restricted availability of materials, which occurred due to several factors. First,
the approval procedure required by the client was time-consuming and caused delays
in orders thus material delivery to the site. Second, suppliers did not always deliver the
materials on time. Sometimes the wrong materials were delivered, mostly because
the supplier was confused by the use of different block types and sizes.
In both projects, the third reason was related to approvals. The client’s approval
system was subject to bureaucracy and the overuse of paper-based communication,
causing significant delays in decision making and in agreeing the purchase of
materials. There was also an issue with requests being submitted too late for decisions
to be made in time for the scheduled start of particular activities.
The fourth most common reason for incomplete assignments in the first project
was a change of priorities, which mostly affected architectural activities, as they were
not always sequence dependent. However, in some cases there was a need to change
priority because of factors including the redistribution of labour between zones,
confusion in sharing resources and the availability of professionals such as builders
and carpenters. In the second project, the fourth reason for assignments incomplete
was prerequisite work, which again applied mostly to structural and architectural
activities.
The fifth reason for incomplete assignments in the first project was labour.
However, in the case of the second project, the fifth reason was late or incomplete
information. The sixth factor in the first project was equipment problems, which
occurred with the same frequency in the second project.
6. Discussion
In this study, incremental implementation helped to gradually stabilise the elements of
LPS, to minimise resistance to change and to provide an opportunity to evaluate each
phase and gather lessons learned. Additionally, starting by the short-term planning
ECAM enabled bringing all the involved parties together. Moreover, it was noticed that
21,1 participants’ confidence in the tool was strengthened by this gradual implementation.
Short-term planning facilitated the introduction of lookahead planning and other LPS
elements. After the first phase, which was focused on weekly planning, the majority of
the site team believed that the LPS added value by structuring planning. Additionally,
it enhanced the communication and collaboration between parties involved and
62 helping the participants to be more disciplined. Further, participants revealed that LPS
is more elaborated and informative and providing more and easy control for the
successful execution of the project.
The results show a broad similarity between the two projects in the identity of the
factors causing assignments to be incomplete. There was a tendency for PPC to increase
gradually over the period of LPS implementation in the two cases. It is apparent from
Table II that many advantages were gained including improvement in planning and
control practices and enhancement in site management. Other benefits incorporate enable
site supervisors to plan their workload, facilitating accurate prediction of resources and
reducing uncertainty. By calculating PPC, analysing the reasons for incomplete
assignments and conducting a constraints analysis, while the preparation of lookahead
plans, continuous assessment and learning from failures and mistakes all helped to
improve performance. Additionally, the action research process, involving collaboration
between researchers and the organisations studied, allowed the researcher to influence
practice directly (researcher input). At the start of LPS implementation, the researcher
worked as a facilitator of the process. However, three months after the start, the project
teams were able to drive the process forward without the researcher input.
The results of the questionnaire survey demonstrate that the implementation of LPS
was perceived as successful at both case projects. Collectively, responses to the four
questions concerning the effectiveness of LPS in improving management practice indicate
that LPS has positive impact on improving management practice. LPS enabled the
achievement of process stability and resource reliability, as well as the reduction of
uncertainty in relation to the execution of production activities. Such stability has also
been achieved in case study projects presented in previous research efforts, and it has
been stated as an essential initial step towards improvement. LPS has proved to be a very
proactive approach in reorganising the planning process, assisting in collaborative
planning and providing forward information for control. Further, it helped through the
visualisation of prediction of resources. The most important CSFs recognised by
participants and mostly agreed upon include top management support, commitment to
promises and involvement of all stakeholders. Participants’ views of the potential barriers
to LPS implementation indicate the following factors; involvement of many
subcontractors, lengthy approval process by client and commitment and attitude to time.
7. Conclusion
This study contributes to existing construction research in the form of action research
and its integrative implementation, which partially overcame some of the delay
problems in construction projects. Through collaboration between the researchers and
the organisations studied, improvements were achieved in terms of quality of work
practice, enhancement of managerial practice, knowledge expansion and learning.
At the case studies carried out, LPS proved to be a proactive approach to
reorganising the planning process, assisting in collaborative planning and providing
forward information for control. Additionally, LPS enabled site teams to be more
organised, effective and productive, which resulted in significant improvement. LPS
can facilitate a new, more effective way of performing production planning. In the case Management
studies, it improved teamwork and enhanced continuous improvement. practice with
This is the first comprehensive academic study in the Saudi construction sector
concerning the application of lean construction techniques. Besides utilising LPS in its LPS
future projects, the leadership of one of the firms studied has taken an active interest
in introducing lean practices stating “Implementing LPS should be viewed as an initial
step towards building more competitive lean enterprise”. The study has thus 63
contributed to improving management practice and may aid the establishment of
a basis for the development of further research in the area of lean construction.
The research outcomes can inform practitioners of the opportunity to implement
alternative management methods in construction, and give a good account of the
opportunities and challenges. Beside the direct benefits to managerial practice, the study
also contributed to practice by offering practical recommendation that can assist in the
achievement of the full potential of lean and LPS in Saudi Arabia. These include the need
for full support, interaction and commitment from top management and reducing the
reliance on subcontractors. In addition, reconsideration of the bureaucratic style of
management is needed and the adoption of ICT for making communication faster and
more efficient is required. The outcomes of the case studies can be used as a reference for
organisations seeking to improve their managerial practice.
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Corresponding author
Dr Abdullah AlSehaimi can be contacted at: alsuhaimi76@yahoo.com