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Lean Methods & Tools - 16 Last Planner System® overview and purpose (EN)
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00:00
Hello and welcome. You know, what if I told you that on most construction projects,
00:05
more than half the time, and half the money, is just wasted? It sounds incredible, doesn't it?
00:10
Well, today, we're going to explore a powerful system designed to fix exactly that problem.
00:15
It's called the Last Planner System. Welcome to this explainer from Unified Consulting Solutions,
00:21
where our goal is always to simplify complexity and amplify performance.
00:25
So, here's a quick look at our roadmap today. We'll start by understanding the big problem,
00:31
then explore a totally new way of thinking. We'll get into what the Last Planner System is,
00:35
see how it actually works, learn how to measure success, and finally, talk about how you can
00:40
start your own lean journey. And by the time we're done here, my promise to you is that you will have
00:46
a really clear picture of this system, not just what it is, but why it is so effective at creating
00:51
predictable, successful projects. So, let's begin. All right, first things first. Why do we even need
00:58
to talk about this? Why is a change so urgently needed? Well, the numbers, they tell a pretty
01:05
shocking story about the state of traditional construction. Just try to wrap your head around
01:10
this number for a moment. 57%. That's the amount of time on a typical project that is spent on activities
01:17
that add absolutely zero value to the final building. More than half of every single day
01:23
is just lost. It's waiting. It's rework. It's just pure waste. And all of that wasted time? Well,
01:31
it leads directly to this. Up to 70% of all projects go over budget or over schedule or both. Think about
01:38
that. 7 out of 10 projects are failing to meet their basic commitments. This isn't just a small
01:44
problem. It's a massive systemic issue. So, you have to ask, where does all this waste come from?
01:51
Honestly, it's built right into the old way of doing things. The traditional approach is what we
01:57
call a push system. It's like saying, here's the plan. Now go do your work, whether the next person
02:02
is ready for it or not. It creates chaos. Lean flips that entirely. It focuses on creating a smooth,
02:09
predictable flow, like a river, not a series of disconnected puddles. Now, to fix a problem this
02:15
big, you can't just slap on a new tool or a new piece of software. You need a fundamentally different
02:21
way of thinking. You need a new philosophy of production itself. And this quote from a true
02:27
pioneer, Lori Koskala, really hits the nail on the head. For decades, we've looked at construction
02:32
as just a list of tasks to be completed. But Koskala argued, that's the wrong way to see it.
02:39
Construction is a system of flows, flow of information, materials, and people. And failing
02:45
to see that, he says, is the root cause of everything. So Koskala gave us a new way to look at production
02:51
through three lenses. Think of it as TFV. T is for transformation. This is the physical work,
02:58
like pouring concrete. It's the what we do. And it's what traditional construction focuses on
03:02
exclusively. But lean adds F, for flow. This is about making sure the work happens smoothly,
03:08
without stops and starts. It's the how. And finally, V is for value. This is making sure
03:14
what we are building is exactly what the customer actually wants and will pay for. That's the why.
03:20
Okay, so that's the philosophy. It sounds great, right? But how do you take this big idea and actually
03:25
make it work on a busy, complex construction site? Well, that is where the last planner system comes in.
03:31
If you remember one thing about the last planner system, remember this. Its entire goal is to create
03:38
a predictable and reliable workflow. And it does this by doing something radical. It takes the
03:43
planning power away from the back office and gives it to the people who are actually doing the work.
03:49
So who are these last planners? Well, they are the real experts. They're your trade foreman,
03:55
your crew leaders, your site supervisors. They are the last person in the chain to plan the work
04:00
before it's done. They know what's really possible on the ground, and the system is built around their
04:05
expertise. And this brings us back to that key shift from push to pull. Remember, a push system forces
04:12
work down the line according to a schedule. A pull system is different. Work is only released when the next
04:19
team in line signals that they are ready for it. It creates a controlled, coordinated flow instead of
04:24
chaos. And all of this is built on two simple but incredibly powerful beliefs. The first is respect
04:31
for people, actually trusting the knowledge and expertise of the people on the frontline. And the
04:36
second is continuous improvement, or Kaizen, the commitment to constantly ask, how can we do this
04:41
better next week? All right, let's get into the nuts and bolts. How does this system actually operate
04:48
day to day? It's not one single thing. It's really a series of five connected conversations, each one
04:55
building on the last to create that reliability we've been talking about. It all flows together.
05:01
You start big with master and phase planning, working backward from key dates. Then you zoom in with a
05:08
look ahead plan, scanning the future for problems. From that, you create a weekly work plan based on
05:14
reliable promises. You check in with daily huddles to stay coordinated. And finally, you close the loop
05:20
by learning and improving for the next week. It's a complete cycle. Now this right here, the make ready
05:26
process, this is the engine that drives the whole system. This is where the magic happens. Instead of just
05:31
hoping everything is ready for a task, the team proactively hunts down and removes every single
05:36
roadblock, what we call constraints, before the work is even scheduled. This ensures that when a
05:41
promise is made, it can be kept. So you have this system in place, but how do you know if it's actually
05:46
working? How do you drive improvement? Well, a core idea in Lean is that you can't manage what you
05:51
don't measure. And LPS has a beautifully simple way to do just that. It's called percent plan complete
05:57
or PPC. And it asks a very simple question. Of all the tasks we promised to do this week,
06:03
what percentage did we actually complete? It's crucial to understand this is not a measure of
06:08
how hard people are working. It's a measure of how reliable our planning is. It's the project's
06:13
weekly report card. And the results this drives are just dramatic. On traditional projects, the PPC is
06:20
often around 54%. That's basically a coin toss. You have a 50-50 chance of getting your weekly plan
06:25
done. But teams using LPS consistently achieve 85% or even higher. Imagine going from a coin toss to
06:31
near certainty every single week. That's the difference. And that reliability isn't just a
06:37
number on a chart. It creates this amazing positive ripple effect. Your schedule becomes predictable.
06:42
Productivity goes up. Quality improves because people aren't rushing. The site is safer. And maybe most
06:48
importantly, trust between teams goes way up. And stress levels for everyone go way, way down.
06:55
Okay, we have covered a lot of ground here, from the big problems in construction all the way to the
07:00
nuts and bolts of the last planner system. So let's just take a moment to pull it all together and review
07:05
the most important points. So if you take anything away today, let it be this. The old way of building
07:11
is full of waste. The last planner system creates reliability by using collaborative,
07:16
commitment-based planning. It's a complete five-step system that uses PPC to get better
07:21
every week. And the end result? Projects that are safer, faster, higher quality, and just better
07:26
for everyone involved. And with that, we have achieved what we set out to do today. You now have
07:32
a solid understanding of the last planner system. You know the problems it solves, the philosophy behind
07:37
it, the process it follows, and the incredible benefits it can bring to any project. Thank you so
07:43
much for joining me for this explainer. If you're ready to start simplifying complexity and amplifying
07:48
performance on your own projects, please connect with us at Unified Consulting Solutions. And to
07:54
continue the conversation, join the UCS community on LinkedIn. You'll find the link right in the
07:58
description below. This has been a presentation by Dr. Mary Matu Kay. Of course, everything we've
08:04
discussed today stands on the shoulders of giants, the leaders and pioneers in the lean construction
08:09
community. For anyone who wants to take a deeper dive, we highly encourage you to explore these
08:14
foundational resources. Thank you once again for your time.
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