DEPARTMENT OF ARCHITECTURE, DESIGN AND THE BUILT

ENVIRONMENT

Course: MSc. Construction Project Management

Module: Lean Project Production
Assignment No.: 01 – The Relationship between the Last Planner System, Lean
Production and the Lean Philosophy
Date Due: October 2, 2023
Date of Submission: October 1, 2023
Name of Student: Mwape Kalunga Mwansa
Student Number: N1108416

October 2023

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Contents
1.0 Introduction ................................................................................................................................................................. 3

2.0 Objective of the Assignment ..................................................................................................................................... 3

3.0 The Last Planner System, Lean Production and the Lean Philosophy ................................................................ 3

i. The Last Planner System (LPS) ....................................................................................................................... 3

ii. Lean Production ................................................................................................................................................. 5

iii. Lean Philosophy ................................................................................................................................................. 6

3.1 Relationship between the Last Planner System and the theories associated with Lean Production and
the Lean Philosophy ...................................................................................................................................................... 8

3.2 A Critical Review of the Last Planner System of production planning and control against the accepted
theory of Lean Production............................................................................................................................................ 9

3.3 Commonalities and divergencies of the two systems ..................................................................................... 10

4.0 Conclusion ................................................................................................................................................................. 11

5.0 Recommendations .................................................................................................................................................... 12

6.0 References: ............................................................................................................................................................... 15

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Table of Figures
Figure 1.The Last Planner System .................................................................................................................................. 3
Figure 2. An Illustration of LPS of a typical Construction Project .............................................................................. 4
Figure 3. An Illustration of Lean Production - The "4P"Model of the Toyota Way.................................................. 5
Figure 4. The Lean Management Philisophy and the Methods used ......................................................................... 7

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1.0 Introduction
What is Lean Project Production?
Lean Project Production is an approach derived from Lean manufacturing principles and applied to
construction and project management. It focuses on minimizing waste, improving efficiency, and
maximizing value in construction projects. Daniel et. al (2017) indicates that this methodology aims
to streamline processes, reduce delays, enhance collaboration, and optimize resource utilization to
deliver projects on time, within budget, and with the desired quality. Just as in Lean manufacturing,
the main idea is to identify and eliminate activities that do not add value to the project, leading to
improved project outcomes.

2.0 Objective of the Assignment

The objective of this assignment is to demonstrate how the relationship between the Last Planner
System and the theories associated with lean production and the lean philosophy can be
understood. The aim is to critically review the underlying theory of the Last Planner System of
production planning and control against the accepted theory of lean production. This review also
highlights the commonalities as well as divergencies of the two systems.

3.0 The Last Planner System, Lean Production and the Lean Philosophy

i. The Last Planner System (LPS)

The Last Planner System (LPS) is a production planning and control system used in the construction
industry to improve project management and collaboration among project teams. It was developed
by Glenn Ballard and Greg Howell in the 1990s. LPS focuses on improving the reliability of project
schedules and increasing overall project efficiency by involving all stakeholders in the planning and
decision-making process.

Figure 1.The Last Planner System

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Its principal goal aims at reducing the variation between what has been planned and what has been
done as illustrated in the graph below:

Figure 2. An Illustration of LPS of a typical Construction Project

The red line indicates a typical construction project where what is complete each week varies
hugely, resulting in peaks and troughs and usually a reducing trend in productivity requiring the
adjustment of resources.

The green line indicates the role of LPS, which is to bring stability to the delivery processes and
improve them by around 50% to settle on reliably delivering around 80% of what is planned each
week.

Key components of the Last Planner System include:

➢ Collaborative Planning

LPS emphasizes collaborative planning sessions where project teams, including designers,
contractors, and subcontractors, come together to create detailed work plans.

➢ Pull Planning

Work plans are created in a "pull" fashion, meaning downstream tasks are planned based on the
readiness of preceding tasks. This helps reduce delays and waste in the construction process.

➢ Weekly Work Planning

Teams meet weekly to review and adjust work plans, addressing any issues or constraints that may
have arisen.

➢ Commitment and Accountability

Team members commit to completing specific tasks within a given timeframe, promoting
accountability for project progress.

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 ➢ Look-Ahead Planning

Teams also create short-term "look-ahead" schedules to ensure that work is properly coordinated,
and materials are available when needed.
➢ Constraint Management
Identifying and addressing constraints that could hinder project progress is a key aspect of LPS.
The Last Planner System aims to improve project predictability, reduce delays, and enhance overall
project outcomes by involving everyone in the construction process in collaborative planning and
problem-solving. It has been widely adopted in the construction industry as a lean construction
methodology.

ii. Lean Production

Lean Production, also known as Lean Manufacturing, is a systematic approach to manufacturing

and production that aims to eliminate waste, optimize efficiency, and improve overall quality. It
originated from the Toyota Production System (TPS).

Figure 3. An Illustration of Lean Production - The "4P"Model of the Toyota Way

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Key principles of Lean Production include:
➢ Eliminating Waste
Lean seeks to identify and eliminate various forms of waste, such as overproduction, excess
inventory, unnecessary transportation, waiting times, defects, and underutilized employee skills.
➢ Continuous Improvement (Kaizen)
It encourages continuous improvement, where employees at all levels are empowered to suggest
and implement small, incremental changes to processes to enhance efficiency and quality.
➢ Pull System
Lean Production often employs a pull system where production is driven by customer demand
rather than pushing products into the market. This reduces overproduction and excess inventory.
➢ Takt Time
Takt time is the rate at which products need to be produced to meet customer demand. Lean aims
to match production to takt time to avoid underproduction or overproduction.
➢ Value Stream Mapping
This technique involves analyzing the entire production process to identify areas of waste and
opportunities for improvement.
➢ Just-in-Time (JIT) Production
JIT aims to minimize inventory by producing goods only as needed, reducing carrying costs and
waste associated with excess inventory.
➢ Respect for People
Lean places strong emphasis on respecting and involving employees in the improvement process,
recognizing their expertise and insights.
➢ Standardization
Standardized work processes are established to ensure consistency, quality, and easier problem
identification.

iii. Lean Philosophy

Lean Philosophy is a management philosophy and methodology that originated from the
manufacturing practices at Toyota, known as the Toyota Production System (TPS). It focuses on
optimizing processes and eliminating waste to improve efficiency, quality, and customer
satisfaction.

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Figure 4. The Lean Management Philisophy and the Methods used

The key principles of Lean Philosophy include:

➢ Value
Identify what adds value from the customer's perspective and eliminate anything that doesn't.

➢ Value Stream
Map out the entire process (value stream) to understand how value is created and flows through an
organization.

➢ Flow
Create a smooth, continuous flow of work or products through the value stream, minimizing
interruptions and delays.
➢ Pull
Produce only what the customer demands, driven by customer demand (pull), rather than pushing
products or services into the market.
➢ Perfection
Strive for continuous improvement by constantly identifying and eliminating waste, defects, and
inefficiencies.

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3.1 Relationship between the Last Planner System and the theories associated with
Lean Production and the Lean Philosophy

The Last Planner System (LPS) is a project management approach primarily used in the
construction industry to improve project planning and execution. It is closely related to the theories
associated with lean production and the lean philosophy. The relationship between LPS and lean
principles:

i. Lean Philosophy Foundation:

LPS is rooted in lean thinking, which emphasizes the elimination of waste, continuous improvement,
and maximizing value for the customer. It aligns with lean principles by seeking to eliminate
inefficiencies and enhance collaboration throughout the construction process.

ii. Waste Reduction

Lean production and LPS both focus on identifying and eliminating various forms of waste, such as
overproduction, waiting, excess inventory, and defects. LPS aims to reduce waste in construction
projects by improving the planning and execution process.

iii. Pull System

Lean production emphasizes a pull system, where work is initiated based on actual demand rather
than pushing work through the system. LPS incorporates similar principles by allowing teams on the
construction site to pull work tasks as they are ready, ensuring a more efficient flow of work.

iv. Continuous Improvement

Both LPS and lean production promote a culture of continuous improvement. LPS encourages
project teams to regularly reflect on their performance, identify bottlenecks or issues, and make
adjustments to enhance future planning and execution.

v. Collaboration and Teamwork

Lean philosophy emphasizes teamwork and collaboration, and LPS follows suit by fostering close
collaboration among all stakeholders in a construction project, including designers, contractors, and
subcontractors. This collaboration helps identify and address potential issues early in the project
lifecycle.

vi. Visual Management

Lean production often uses visual management tools like Kanban boards to track work progress.
LPS utilizes similar visual planning and tracking techniques, such as sticky notes on boards, to make
project status and constraints more visible and transparent.

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3.2 A Critical Review of the Last Planner System of production planning and control
against the accepted theory of Lean Production

The Last Planner System (LPS) and Lean Production are both approaches used in construction and
manufacturing industries to improve efficiency and productivity. A critical of review the underlying
theory of LPS against the accepted theory of lean production is as follows:

Focus on Customer Value

Lean Production: Lean emphasizes delivering maximum value to the customer while eliminating
waste.
LPS: LPS aligns with this principle by focusing on meeting project milestones and customer
expectations.

Waste Reduction
Lean Production: Lean targets the reduction of various forms of waste (e.g., overproduction,
waiting, defects).
LPS: LPS also seeks to minimize waste through efficient planning, reducing waiting times and
rework.

Pull vs. Push

Lean Production: Lean operates on a pull system, where production is based on customer demand.
LPS: LPS applies a pull approach by involving teams in planning and allowing them to pull work as
they are ready.

Continuous Improvement
Lean Production: Lean encourages continuous improvement through tools like Kaizen.
LPS: LPS promotes continuous improvement by learning from past projects and adapting planning
processes.

Respect for People

Lean Production: Lean values the input and involvement of all employees.
LPS: LPS similarly emphasizes collaboration and engagement among project stakeholders.

Variability Management
Lean Production: Lean seeks to manage and reduce variability in processes.
LPS: LPS acknowledges variability in construction projects and attempts to manage it through better
planning and coordination.
Pull Planning
LPS: Pull planning is a central concept in LPS, involving the collaborative scheduling of tasks based
on actual needs and constraints.

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Lean Production: Lean principles can be applied to production scheduling but are not as specific as
LPS in construction planning.

Work-In-Progress Limits
Lean Production: WIP (Work in Progress) limits are often used to control and balance production
flow.
LPS: LPS doesn't explicitly use WIP limits but aims to reduce work in progress through better
planning and coordination.

Batch Size Reduction

Lean Production: Lean encourages smaller batch sizes to reduce inventory and lead times.
LPS: LPS doesn't address batch sizes in the same way but does promote just-in-time planning and
execution.

In summary, the Last Planner System aligns closely with many principles of lean production, with
regards to waste reduction, customer focus, and respect for people. LPS provides a specialized
framework for construction project planning and control, whereas lean production principles are
more broadly applicable across manufacturing and service industries. LPS can be seen as an
adaptation of lean principles to the unique challenges of construction projects, emphasizing
collaborative planning, pull scheduling, and waste reduction. Both approaches share a common goal
of improving efficiency and value delivery.

3.3 Commonalities and divergencies of the two systems

The Last Planner System (LPS) and Lean production share common principles and goals, but they
also have some differences in their approaches to production planning and management.

1. Commonalities
i. Focus on Eliminating Waste
Both LPS and Lean production aim to reduce waste in the construction or manufacturing process.
This includes minimizing delays, inventory, overproduction, and defects.

ii. Continuous Improvement

They both emphasize the importance of continuous improvement through iterative feedback loops.
LPS uses the "Plan-Do-Check-Act" cycle, while Lean relies on the PDCA (Plan-Do-Check-Act) cycle.

iii. Collaborative Approach

LPS and Lean promote collaboration among different teams and stakeholders involved in the
process. They encourage open communication and shared responsibility for project success.

iv. Visual Management

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Both systems often use visual tools and techniques, such as Kanban boards or production boards,
to make work progress and problems visible to all team members.

2. Divergences

i. Industry Focus
LPS is associated with the construction industry, while Lean production originated in manufacturing.
While the principles can be adapted, there are industry-specific nuances in their application.

ii. Pull vs. Push

Lean production typically follows a "pull" system, where production is initiated based on customer
demand. In contrast, LPS may involve more "push" planning due to the unique challenges of
construction projects, which have fixed start and end dates.

iii. Planning Levels

LPS places significant emphasis on detailed short-term planning and scheduling, often involving
daily and weekly work plans. Lean production, while also emphasizing planning, tends to focus on
longer-term production scheduling.

iv. Tools and Terminology

LPS has its own set of tools and terminology specific to construction, such as the "Last Planner,"
which refers to the person responsible for the weekly work plan. Lean production has its own set of
tools like Value Stream Mapping, 5S, and Just-in-Time production.

4.0 Conclusion
The relationship between the Last Planner System (LPS), Lean Production, and the Lean Philosophy
in Project and Construction Management is closely intertwined. Some key conclusions about this
relationship are as follows:
i. Alignment with Lean Philosophy
LPS is a project management approach that aligns with the principles of Lean Philosophy. Both
emphasize the elimination of waste, continuous improvement, and maximizing value for the
customer. LPS aims to reduce variability in construction projects, which is in line with Lean's focus
on eliminating variability to achieve efficiency.
ii. Waste Reduction
Lean Production and the Lean Philosophy advocate for the reduction of all forms of waste. LPS
helps in identifying and eliminating waste in construction projects, such as overproduction, excess
inventory, and waiting times, by involving project stakeholders in planning and decision-making.
iii. Pull vs. Push Planning

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Lean Production promotes a pull-based production system, where work is initiated based on actual
demand. LPS follows a similar approach by using "pull planning," where tasks are scheduled based
on real-time project conditions and the availability of resources.
iv. Collaboration and Communication
Both Lean and LPS emphasize the importance of collaboration and effective communication among
project team members. LPS, through its collaborative planning sessions, fosters better
communication and coordination among stakeholders, which is essential in Lean construction.
v. Continuous Improvement
Lean principles encourage continuous improvement. LPS supports this by a regular review and
adjustment of plans based on performance data, fostering a culture of learning and adaptation in
construction projects.
vi. Customer Value
Lean Philosophy strongly emphasises on delivering value to the customer. LPS helps ensure that
project activities are aligned with customer expectations and priorities.
vii. Reduction of Variability
Both Lean and LPS aim at minimizing variability in processes. LPS achieves this by involving the Last
Planner (usually the foreman or supervisor) in daily coordination and planning, which helps identify
and mitigate sources of variability.
In conclusion, the Last Planner System is a valuable tool in construction and project management
that is closely aligned with the Lean Philosophy and Lean Production principles. By integrating LPS
into project and construction management practices, organizations can achieve greater efficiency,
reduce waste, enhance collaboration, and ultimately deliver higher value to customers.

5.0 Recommendations
i. Understand the Lean Philosophy
There is need to comprehend the core principles of Lean Philosophy, which emphasizes waste
reduction, continuous improvement, and customer value. Lean thinking provides the foundation for
both Lean Production and the Last Planner System.
ii. Implement Lean Production
Lean Production focuses on eliminating waste and improving efficiency. Apply Lean Production
principles to processes to optimize resource utilization and streamline operations on projects.
iii. Integrate the Last Planner System
LPS is a project management approach that aligns with Lean principles. It enhances collaboration,
transparency, and accountability among project stakeholders. Integrate LPS into the project
management practices to improve scheduling, reduce delays, and increase productivity.
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 iv. Respect for People
Lean Philosophy emphasizes the importance of respecting people's contributions and involving them
in problem-solving. When implementing the Last Planner System, ensure that teams are actively
engaged and empowered to make decisions that affect their work.
v. Kaizen (Continuous Improvement)
There is need to embrace the concept of Kaizen from Lean Philosophy in the processes. Regular
reflection and improvement within project teams using LPS should be encouraged. Identify
bottlenecks and issues, and work together to find solutions.
vi. Visual Management
Visual management techniques from Lean should be incorporated into the Last Planner System.
Visual boards, charts, or digital tools must be used to display project progress, dependencies, and
upcoming tasks. This enhances transparency and facilitates efficient decision-making.
vii. Pull vs. Push Planning
Align LPS scheduling practices with this concept, ensuring that work is pulled based on actual
readiness and capacity.
viii.Standard Work
Implement standardized work procedures as part of Lean Production to ensure consistency and
quality. In the context of LPS, establish standard planning and communication processes to improve
predictability and reliability in project delivery.
ix. Continuous Learning
Promote a culture of continuous learning and adaptation. Lean Philosophy encourages organizations
to learn from mistakes and successes. Use feedback and data from LPS and Lean Production to
continually refine processes.
x. Leadership Involvement
Engage leadership in the adoption of Lean principles and the Last Planner System. Leaders should
spearhead these approaches and provide the necessary support, resources, and training for
successful implementation.
xi. Measure and Benchmark
Use key performance indicators (KPIs) to measure the impact of Lean practices and LPS on
projects. Benchmark against industry standards and seek opportunities for further improvement.
xii. Training and Education
Invest in training and educating project teams on Lean principles and the Last Planner System.

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Combining the principles of Lean Philosophy, Lean Production, and the Last Planner System can
create a holistic approach to project management and operations that drives efficiency, reduces
waste, and fosters continuous improvement.

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6.0 References:

1. Ballard, G. and Howell, G.A. (2003). An update on Last Planner. [Online] Available via
https://www.researchgate.net/publication/254576025_AN_UPDATE_ON_LAST_PLANNER1.
[Accessed 12 September 2023].

2. Formoso, C.T. and Camile B. Moura, B.C. (2009). Evaluation of the Impact of the Last
Planner System on the Performance of Construction Projects: [Online] Available
via https://www.citeseerx.ist.psu.edu/document?repid=rep1&type=pdf&doi=bea8cad561a54
50606192ae382809a3e508d7d99. [Accessed 18 September 2023].

3. Ballard, G. and Tommelein, I.D. (2021). 2020 Current Process Benchmark for the Last
Planner System of Project Planning and Control. [Online] Available via
https://www.p2sl.berkeley.edu. [Accessed 20 September 2023].

4. Daniel, I.E., & Pasquire, C. & Dickens, G., & Ballard, G.B., (2017). The relationship between
the last planner® system and collaborative planning practice in UK construction. [Online].
Available via https://www.emerald.co/insight/content/doi/10.1108/ECAM-07-2015-
0109/full/html. [Accessed 20 September 2023].

5. Jeffrey, K.L., (2004). The Toyota Way: 14 Management Principles from the World's Greatest
Manufacturer. [Online]. Available via
https://www.accessengineeringlibrary.com/content/book/9780071392310.[Accessed 5
September 2023].

6. Ballard G., (2008). The Lean Project Delivery System: An Update. [Online]. Available via
https://www.lean-construction-gcs.storage.googleapis.com/wp-
content/uploads/2022/08/0816100. [Accessed 22 September 2023].

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