Lean Concepts & Principles - 12 Reliability and commitments (EN)

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00:00Hello and a very warm welcome. You know, if you've ever been part of a project that's

00:04just gone completely off the rails, you know that feeling, that frustration of broken promises

00:09and missed deadlines. In the world of getting things done, few things are as critical or,

00:15let's be honest, as challenging as reliability. Today, we're going to explore why commitments

00:20matter so, so much and how we can actually build systems that honor them. Okay, let's

00:26dive right in. My name is Dr. Mari Muthukay, and on behalf of all of us here at Unified

00:31Consulting Solutions, or UCS, I'm really delighted to guide you through this explainer. You know,

00:37our mission is pretty simple. We take those complex project management challenges and turn them into

00:42clear, actionable solutions that really amplify your team's performance. So, here's our game plan

00:48for today. We're going to start by really looking at what I call the commitment crisis. Then, we'll

00:53explore a huge shift in thinking from a push to a pull mindset. After that, we'll get into the nuts

00:58and bolts of the last planner system, uncover the real-world benefits of reliability, and finally,

01:03we'll wrap it all up with a quick summary and some clear next steps. And by the end of our session,

01:08you're going to walk away with some powerful new insights. You'll understand the deep-seated

01:12reliability problem in most projects. You'll be able to compare the philosophies of push and pull

01:17planning, explain the powerful parts of the last planner system, and, this is the best part,

01:22pinpoint the incredible benefits a reliable system brings to any project.

01:27All right, let's get right to the heart of it. Let's look at the core problem. Traditional

01:31project management, with all its fancy charts and schedules, often struggles with something

01:36really fundamental, a crisis of commitment and reliability. Let's see what the numbers actually

01:41tell us. Have a look at this number, 50 to 60 percent. Any ideas what this might represent in the

01:47world of project management? Well, I can tell you it's not a success rate. Actually, it's quite the

01:51opposite. This number right here is at the very core of the commitment crisis. Yep, that 50 to 60 percent.

01:59That's the typical percent plan complete, or PPC, for projects run the old-fashioned way. Now,

02:06what's so powerful about this is just how starkly it paints the picture. It means in a typical week,

02:12almost half of all the things we plan to do, half of all the promises we made, they just don't get

02:17kept. It's a direct measure of unreliability. And this unreliability, it creates a really chaotic

02:24environment, something Jason Schroeder calls the bungee effect. Just imagine this. A team of

02:28electricians is supposed to wire a room, but whoops, the drywall isn't done. So instead of waiting,

02:34a manager just sends them to another part of the building to do something else, just to keep them

02:37busy. But as the quote says, when we do that, we're actually breaking the plan even more. It's what

02:42happens in a low-planning environment where we mistake being busy for making progress.

02:47So, the big question is, how do we escape this endless cycle? Well, the solution isn't just a

02:53new piece of software. It's a fundamental paradigm shift in how we even think about work. We have to

03:00move away from a push mentality and truly embrace a pull philosophy. Let's really break these two down.

03:06Traditional push planning is top-down. Someone makes a master schedule and tasks get pushed onto

03:13teams based on dates, whether they're ready for it or not. Pull planning completely flips that on its

03:19head. The team's actually doing the work, the real experts. They pull the next task only when they have

03:25the capacity and when the work before it is truly 100% complete. It's collaborative, it's realistic,

03:31and it's driven by what's actually happening on the ground. You see, this whole pull philosophy is

03:36one of the five core principles of lean thinking. It all starts with defining value from the customer's

03:42point of view. Then, we map out the whole process to deliver that value, cutting out all the waste.

03:47We work to create a smooth, uninterrupted flow. We establish that pull system we just talked about.

03:52And finally, we commit to the pursuit of perfection through continuous improvement,

03:56or kaizen, a great Japanese term for making those small, ongoing changes that lead to huge

04:02improvements over time. But you know, underpinning all of this is the most critical principle of all,

04:07respect for people. And this isn't some soft, fuzzy concept. It is the absolute engine of lean.

04:14It's the core belief that the people on the front lines are the true experts. When we actually engage

04:19their knowledge, create a safe space to talk about problems, and invest in them, that's when we unlock

04:24the system's true potential. Okay, so that's the philosophy. But how do we take these big ideas

04:30and translate them into a reliable system on a real project? Well, the answer is a pretty

04:35revolutionary system for production control known as the last planner system. So here's the crucial

04:40point. The last planner system, or LPS, it's not just another process. It's a system built from the

04:46ground up to solve the exact problem we identified earlier. It's all about creating predictable,

04:51even workflow and making absolutely sure that when a commitment is made, it's a reliable one.

04:56So how does it work? Well, LPS operates through a series of connected conversations.

05:01It starts with high-level poll planning to get the big sequence of work right. Then we have make-ready

05:07planning, which looks ahead to remove anything that could stop the work. So for example, if a team

05:12needs a special type of scaffolding, make-ready planning make sure it's ordered and delivered

05:16before they need it. This all flows into a collaborative weekly work planning session

05:21where people make reliable promises. And finally, it closes the loop with learning and improvement,

05:27where we look back and ask, how can we get even better next week?

05:30And this is really the magic of how LPS builds that reliability. It brings the last planners,

05:36the foremen, the crew leaders, into the planning process itself. It forces the whole team to look

05:41ahead and get rid of roadblocks before they become problems. The entire focus shifts from making

05:46wishful promises about what should be done to making rock-solid promises about what can be done.

05:51And by measuring PPC, it creates a powerful feedback loop for constant learning.

05:57So what happens when you build a system based on reliable commitments? Well, the positive effects

06:02are not just theoretical. They are tangible, they are measurable, and they ripple across every single

06:08part of the project, from cost and schedule to safety, quality, and even team morale.

06:13Let's look at the real-world impact. Let's look at the numbers again. Remember that 50-60%

06:18PPC from traditional projects? Well, projects using Lean and the last planner system consistently

06:24hit a PPC between 75% and 90%. Just imagine the impact of nearly doubling the reliability of your

06:30weekly promises. That is the power of a predictable system. It builds trust, and it smooths out the

06:35workflow for everyone. And you know what? That reliability translates directly to the bottom

06:40line. Study after study shows average cost savings of 8% to 15% on projects using Lean principles.

06:46And these savings, they don't come from cutting corners. They come from genuinely eliminating waste.

06:51I mean, just imagine the cost of not having to pay a team of plumbers to stand around for a week

06:55because their materials didn't arrive. That's the power of a reliable system.

06:59And his powerful quote from the great W. Edwards Deming really brings us full circle.

07:04By building reliable systems, we stop blaming people for systemic failures. We create psychological

07:09safety where people can actually raise their hand and point out problems without any fear.

07:14This demonstrates true respect for people and unlocks a culture of continuous improvement

07:18where the entire team is pulling in the same direction.

07:22We have covered a lot of ground, haven't we?

07:24From diagnosing the huge problem of unreliability to exploring a powerful solution and all its

07:30benefits. So, let's take a moment now to summarize the key takeaways from our session.

07:35Okay, if you remember anything from our time together, let it be this. First, traditional

07:40projects are just plagued by a deep unreliability problem, with PPC rates often way below 60%.

07:47The answer lies in the Lean philosophy's shift from a reactive push to a proactive pull system.

07:54The Last Planner system is the practical engine that makes this happen.

07:58And the result? A reliable system that delivers better outcomes across the board.

08:03So, let's just quickly check back on our objectives from the start.

08:07You can now articulate that core reliability problem, clearly explain the difference between

08:12push and pull planning, walk someone through the essential parts of the Last Planner system,

08:16and identify the many, many benefits that flow from building a reliable project environment.

08:21Thank you so much for your time and attention today. I really appreciate it. You know,

08:27the journey to reliability is a continuous one, and I want to invite you to continue that journey

08:31with us. Please join the Unified Consulting Solutions community on LinkedIn to engage in more

08:36discussions just like this. The link is right there for you in the description.

08:40And for anyone who wants to dive even deeper, the key sources that informed this explainer are listed

08:45right here on this final slide. They provide a real wealth of information to deepen your understanding.

08:52Once again, on behalf of UCS, thank you.

Lean Concepts & Principles - 12 Reliability and commitments (EN)

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