International Journal of Advances in Science Engineering and Technology, ISSN: 2321-9009 Volume-5, Issue-3, Jul.

-2017
http://iraj.in
EFFECTIVENESS OF IMPLEMENTATION OF LEAN SIX SIGMA
TECHNIQUES IN CONSTRUCTION
1
MOLLY THOMAS, 2L. PORCIA
1
M.E. Construction Engineering & Management, 2Assistant Professor
St. Xavier’s Catholic College of Engineering, Nagercoil, India
E-mail: 1thomasmollynew@gmail.com

Abstract - It has become imperative for construction companies to improve the quality of their work, increase work
effectiveness, reduce waste and costs, and increase profit. The goal of Lean Construction is to build the project while
maximizing value, minimizing waste, and pursuing perfection. Six Sigma concepts seek to improve quality and reduce
variability and error and play a complementary role to lean. This work integrates Lean and Six Sigma with the goal of
improving the construction process. The work is proceeded at first and foremost by reviewing various authors work on the
Lean Construction techniques. Questionnaires are prepared based on the literature study to identify the major causes of
wastes in construction industry. The data collection is carried out among experts in the field. The collected data is ranked
using SPSS and the major factors causing wastes in construction industry are identified. One way ANOVA is done to
determine if the major factors of construction wastes identified varies significantly with the type of organization. Current
Value Stream Mapping for Ready Mix Concrete Manufacturing process identifies the non-value added activities. A fuzzy
inference system is developed with the input functions as the lean and six sigma performance indicators and the output gives
the lean performance rating. Formulation of process improvement measures is undertaken to improve lean performance
rating. A revised value stream mapping is proposed, with the identified wastes (non-value added activities) eradicated or
minimized, to achieve process improvement.

Keywords - lean; six sigma; Pareto; Anova; Ready Mix Concrete; Value Stream Mapping; Fuzzy Inference

I. INTRODUCTION
The Indian construction industry is the pillar of
Indian economy, contributing to roughly 10% of the
GDP. For years, the cost of construction in India has
increased faster than inflation making it more and
more expensive to build. Presently, the construction
industry face various problems as a result of the
uncertainties of the global economic climate;
including labour redundancies, delayed projects and
zero margin contract bids. Applying Lean thinking
has transformed many industries and its
implementation in construction has now started to
show the potential benefits. In construction as in the
case of production, it is seen that quality assignments
shield the system from work flow uncertainty [7].
However ineffective knowledge management and
lean leadership were found to be barriers in its
implementation [23][24]. To counter this, rules for
sustainable lean implementation were formulated
[21]. Lean thinking is to be incorporated in the
company culture [6]. Along with Lean techniques
Six-Sigma has been used for process improvement.
Six-Sigma is a comprehensive method used to help
businesses achieve and sustain a healthy level of
success.
II. DEFINITION OF LEAN
Lean is a strategy with the primary objective of
eliminating waste. Waste is defined as anything that
does not add value. Value added activities are ones
that the customer is willing to pay for, the ones that
help transform the product or service in some way,
and the ones that must be done correctly the first
time. Taiichi Ohno, the father of Toyoto Production
System, identified seven different forms of waste,
which includes transport, waiting, overproduction,
defects, inventory, motion and extra processing [25].
 Transport: Moving things around is waste; the
more things are moved, the more chance there is
for damage to occur.
 Waiting: Waiting in any form is a waste
 Overproduction: Producing more than what the
customer needs is a waste. Overproduction
causes unnecessary inventory costs, materials
consumption and manpower.
 Defect: Any failure to meet the customer
requirements is a waste.
 Inventory: Any inventory is considered a non-
value added commodity, even though it may be
needed. Once inventoried, it is at a risk of
damage, obsolescence and quality issues.
 Motion: Any physical movement by people that
does not add value to the process is a waste.
 Extra processing: Any processing that does not
add value to the product is a waste.
Research shows that waste in construction industry
has been and still is on as high a level [2]. Most of
this waste can be avoided by implementing
inexpensive preventive measures, mostly related to
managerial improvements [5].
Lean Techniques in Construction
Most of the wastes encountered in construction can
be avoided by implementing inexpensive preventive
measures, mostly related to managerial

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International Journal of Advances in Science Engineering and Technology, ISSN: 2321-9009
improvements. Different Lean tools like Last Planner
system, Increased visualization, Huddle meetings,
First Run Studies, Five S’s , Fail Safe for Quality,
Kanban system, Value Stream Mapping, Concurrent
Engineering, BIM and quality management tools
were assessed for its suitability of implementation in
construction[10][16] . Lean tool Last Planner System
proved to be effective with the involvement of
management [1][9]. A computer system based on the
concepts of Last Planner was found to provide
valuable data for continuous improvement [12]. Thus
Lean manufacturing tools can be modified for use in
construction projects and successfully implemented
with the help of top management [15]. Also, Lean
construction techniques were found to minimize the
effects of risk factors on time [22]. A requirement
hierarchy for the production system for construction
helps to analyze the shortcomings [13]. Irrespective
of its advantages, implementation of lean
construction is still in its early stages in many
countries. Integrating health and safety with lean
provides more value [14]. Implementing lean design
processes can eliminate waste due to improper design
[3].
III. SIX SIGMA
Six-Sigma was introduced by Motorola and General
Electric (GE) in the 1980s as a new set of
management tools to help both companies. Although
Lean concepts can be used to reduce waste, it does
not eliminate or reduce variability in processes. Six-
Sigma is a statistical measure used to measure the
performance of processes or products against
customer requirements [11]. It is a goal of near
perfection, represented by 3.4 defects per million
opportunities (DPMO). Most defect/ opportunity
measures are translated into the DPMO format, which
indicates how many defects would arise, if there were
1 million opportunities. To calculate sigma for the
processes, the DPMO formula used is DPMO = (No.
of Defects/ No. of Opportunities) X 1,000,000.Based
on the sigma conversion table in Table 1, the
equivalent sigma for the DPMO is tabulated.
Table 1: Simplified Sigma Conversion Table
Yield (percentage of Defects per million
items without Opportunities
defects) (DPMO)
30.9 690,000
69.2 308,000
93.3 66,800
99.4 6210
99.98 320
99.9997 3.4
A. Benefits of Six Sigma
Six-Sigma helps to identify and eliminate source of
variation in the process, sustains success, sets
performance goals for all involved parties, enhances
Effectiveness of Implementation of Lean Six Sigma Techniques in Construction
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value to customers and allows businesses to execute
strategic changes. The Six-Sigma principle is a
managerial tool for productivity and quality
improvement and a systemized tool for quality and
process control [20]. With the aid of the six sigma
principle method, quality variances or defects
involved in construction processes can be controlled
in more practical ways to fit in a desirable range.
Define, Measure, Analyze, Improve and Control
(DMAIC) is a five step Six-Sigma improvement
model [11]. DMAIC is commonly used by Six-Sigma
firms to improve the current capabilities of an
existing process. A continuous improvement program
to be developed to overcome the defects [18]. A
number of tools and methods can be used in each step
of DMAIC model. Some of the different Six- Sigma
tools are Cause and Effect diagram, Pareto Chart and
Process Improvement.
B. Six Sigma in Construction
Although Six-Sigma management has been widely
used in other industries, it is a relatively new quality
improvement method in the construction industry.
Six-Sigma is a quantitative methodology that can
establish definitive improvement goals to reduce
process variability in current construction operations.
Six-Sigma combined with Lean has a great effect on
improving the performance of original processes. Six-
Sigma evaluates the quality of ongoing operation and
quantifies the goals of improvement for targeted
workflow so as to control the critical sources of
variability. It brings about a sequential approach to
achieve good standards both in design and
construction
IV. METHODOLOGY
1. Literature Review
2. Questionnaire Survey regarding wastes
encountered in construction
3. Ranking
4. Pareto Chart
5. Evaluation of a construction Process (for
elimination/ reduction of waste)
6. Current Value Stream Mapping
7. Evaluation using Fuzzy Inference Model
Sigma 8. Analysis
Level 9. Future Value Stream Mapping
1 V. QUESTIONNAIRE SURVEY
2
3 30 possible causes of wastes were identified based on
4 extensive literature review and expert opinion and
5 were classified under 6 categories -Uncontrollable
6 Events, Materials, Labour, Machines, Methods,
Measure.
19 possible causes were chosen for ranking, based on
the independence of the variables.
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International Journal of Advances in Science Engineering and Technology, ISSN: 2321-9009 Volume-5, Issue-3, Jul.-2017
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Questionnaires for ranking these 19 variables were deterioration/ damage
sent and responses from 20 experts in construction 14 Errors by Suppliers
field were received. 15 Damages during transportation
VI. RANKING USING SPSS (STATISTICAL 16 Unexpected injuries on construction site
PACKAGE OF SOCIAL SCIENCES) 17 Unnecessary labour movement
18 Pilferage (Petty theft of stock)
Ranking using SPSS show in Table 2, gives an output 19 Use of new technology
of the factors based on the mean value of the
responses. If the mean value is the same, the factor VII. PARETO CHART
with the lowest standard deviation is ranked first.
Table 2: Ranking As Per Spss
A. Principle Of Pareto Chart
Rank Factors
The Pareto principle based on Vilfredo Pareto’s
1 Design changes while construction work
research is an application of the 80/20 rule. Pareto
is in progress
principle states that for any issue, the greatest impact
2 Delay in passing information to the is made by a few vital causes (20 %) while a lesser
contractor impact is made by the many trivial causes (80%). A
3 Long approval process Pareto Chart arranges attribute data so that the
4 Materials not in compliance with columns are arranged in descending order, with the
specifications highest occurrences first, while using cumulative line
5 Errors by labourers to track the percent of each category, which
6 Designers with less experience in distinguishes the 20% of items that are the major
methods and sequence of construction causes of the problem. In other words, Pareto chart
7 Less co-operation between project focuses on those causes that will have the greatest
members impact, if solved.
8 Bad Weather
9 Errors in Contract Documents B. Pareto Chart based on the questionnaire ranking
10 Ordering Errors (ordering in excess or Pareto chart gives a representation of the feedback
too little) based on the questionnaire results. Each factor was
11 Use of low quality tools / equipment / given points on how it was ranked in the questionnaire
products (Pande, Neuman et.al 2000). Factor rated first was
12 Idle time (of men, equipment ) assigned 12 points, 2nd -6 points and 3rd -3 points. Any
13 Inappropriate storage leading to place after 3rd was given 1 point.

Fig.1. Pareto Chart

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International Journal of Advances in Science Engineering and Technology, ISSN: 2321-9009
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It can be easily inferred from the Pareto Chart that
majority of impact by construction wastes are caused
by a few factors. These factors include design changes
while construction work is in progress, delay in
passing information to the contractor, long approval
process and errors by labourers. Eliminating or
reducing the occurrence of theses few factors will
contribute to a significant improvement in
performance.
VIII. EVALUATION OF A CONSTRUCTION
PROCESS
A. Objectives Of Evaluation of the Construction
process
The wastes identified in the ranking/Pareto Chart are
focused for possible chances of eradication/
elimination in the process selected for evaluation by
using Value stream mapping. Value stream mapping
works better when there is repetition in the processes
to be mapped. Ready Mix Concrete Batching plant
was selected for Value Stream Mapping as it involves
repetitive activities. The process steps in a ready mix
batching plant, does not vary considerably when
compared to other construction processes.
B. Ready Mix Batching Plant
The fully automated Ready Mix Plant shown in fig.2
has a bucket capacity of 0.75 m3 and it takes 8 cycles
to load a transit mixer of 6 m3 capacity. The Cement
silos provided are of 200T capacity (2 nos X 100T).
Three aggregates storage provided are of 25l each, for
20mm aggregate, 12mm aggregate and sand. Cement
is procured at the rate of 2 loads every 3 days and
aggregates are procured on a daily basis. The process
steps to be mapped has been taken as the setting up of
boom placer, setting up the batching plant and transit
mixer, preparation of ready mix concrete and transport
to the site where the boom placer has been set up and
testing the boom placer before placing concrete. The
site where the concreting is scheduled is 1.25km away
from the batching plant.
Fig.2. Concrete Batching Plant
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C. Value Stream Mapping (VSM)
Lean techniques offer various tools to help to identify
any of the seven types of wastes in process mentioned
above. A commonly used Lean tool is Value Stream
Mapping (VSM), a technique that creates process
flow diagram of materials and information. VSM uses
a systematic approach, covering all activities required
to bring the product or service to completion, and
shows all the steps, highlighting any ineffectiveness
in the value stream. However, compared to
manufacturing, the home building industry poses
some significant peculiarities, making the direct
application of VSM impossible, making adaptations
necessary [8]. It was demonstrated that VSM can
overcome several of the limitations in the current
green and management approaches that deal with
environmental dimension in construction [19].
Specifically, VSM was able to model or map
construction processes, linking together the
production and environmental waste existing in
projects using its simple and flexible framework
In Lean, identifying the value stream and mapping
the value stream shows when the information
necessary to meet the owner’s requirement will be
available and when it will be required. VSM can be
used to explain an entire system. While VSM has the
ability to outline processes and simplify the
identification of waste, it does not have the ability to
help improve a construction process.
D. Key Elements of VSM
The following are the key elements in VSM
 Process steps: VSM depicts each of the process
steps in the value stream, including both value
added and non-value added. The VSM reveals
process statistics, including cycle time, number
of operators, quantity of inventory and number of
pieces
 Inventory: VSM highlights the storage as well
the quantity and movement of inventory within
the process
 Information flow: VSM depicts all supporting
information required by the process, including
schedule, specifications and orders.
 Cycle Time (CT): CT includes the time required
to complete one cycle of the operation, or one
step in the process
 Work in process (WIP): WIP includes the
condition of all products that are neither raw
materials nor final products
 Uptime percentage(UTP): Percentage Of Time in
which contributory work has been done over the
duration of the activity
 Value Added time (VAT): The sum of all value
added times in the value stream.
 Non Value Added time (NVAT): The sum of all
non-value added times in the value stream.
 Change Over time(C/O): Period required to
prepare a device, machine, process, or system for
International Journal of Advances in Science Engineering and Technology, ISSN: 2321-9009
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it to change from producing the last good piece
of the last batch to producing the first good piece
of the new batch
 Set Up Time (STP): The Percentage of setup
time over the duration of the given activity
E. VSM Methodology
 Selecting the product family to map
 Defining the process boundaries
 Defining the process steps
 Mapping Information flows
 Collecting process data
 Calculating time line
 Elaboration of Current State Maps
 Analysis and Diagnosis of Current State
 Elaboration of future state maps
 Recommendations for achieving the future state
G. Current Value Stream Mapping
The objective of current state mapping is to create a
clear picture of the existing process. Mapping the
current state reveals both value and non-value adding
activities of the current process.
Mapping is done from the time instruction is given
for concreting. Instruction is given after
reinforcement has been placed and approved. It
covers the following process steps.
 Set up Concrete Boom placer
 Set up transit mixer to load
 Set up batching plant
 Concrete Mixing
 Sample collection for testing
 Transport concrete to the boom placer for
concreting
 Checking the boom placer for blockages / leaks
H. Evaluation Of Key Performance Indicators
Lean Construction Key Performance Indicators (LC-
KPIs) are expressed in terms of 5 important aspects-
quality, cost, speed, waste and value [17].
The key performance indicators computed for the
ready mix batching plant is shown in Table 3.
Table 3: Lean Constuction Key Performance Indicators
I. Fuzzy Logic Inference System
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Mapping using Fuzzy logic is done for the
computation of lean performance. Fuzzy Inference
System was chosen since it can simulaneously handle
numerical data and linguistic knowledge. It facilitates
the control of a complicated system without
knowledge of its mathematical description. A study
on demand variability in relation to the owners and
type of materials in precast industry using fuzzy logic
demonstrated that applying lean production in precast
fabrication can improve production and reduce wastes
[3].
Fuzzy inference is the process of formulating the
mapping from a given input to an output using fuzzy
logic. The mapping then provides a basis from which
decisions can be made, or patterns discerned. The
process of fuzzy inference involves membership
functions, fuzzy logic operators, and if-then rules.
Fuzzy sets and fuzzy operators are the subjects and
verbs of fuzzy logic. These if-then rule statements are
used to formulate the conditional statements that
comprise fuzzy logic. Two or more rules are required
that can play off one another. The output of each rule
is a fuzzy set. The output fuzzy sets for each rule are
then aggregated into a single output fuzzy set.
There are four steps in the fuzzy approach.
 Define inputs and outputs
 Create membership functions
 Create rules
 Simulate the resulting fuzzy logic system
Membership functions for each of the inputs and the
output is created and the fuzzy rules are formulated.
The fuzzy logic has a11 built in membership
functions including The Fuzzy Logic includes 11
built-in membership functions which include
piecewise linear functions, Gaussian distribution
function and the sigmoid curve. With the set of fuzzy
rules, the fuzzy inference engine establishes
relationship between fuzzy input and fuzzy output.
Simulation of the resulting fuzzy logic system results
in evaluation and visualization of the fuzzy systems
J. Methodology-Fuzzy Logic Inference System
Fuzzy Inference System was developed using
MATLAB.
The 3 inputs defined are the key performance
indicators
 Sigma rating
 Overall Equipment Efficiency (OEE)
 Inventory Turnover.
International Journal of Advances in Science Engineering and Technology, ISSN: 2321-9009 Volume-5, Issue-3, Jul.-2017
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The output gives the Lean Performance.

Fig.3. Input/ Output functions of FIS

IX. RESULTS AND DISCUSSION

A. Current Value Stream Mapping

Fig.4. illustrates the conventional approach followed in current process in the current Value Stream Mapping.

Fig.4. Current Value Stream Mapping

B. Analysis of Current State the current state of the process and the analysis of
Current Value Stream Mapping is checked to current VSM are as follows
validate the factors contributing to waste based on  Large Inventories
ranking and Pareto Chart. The major drawbacks of
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International Journal of Advances in Science Engineering and Technology, ISSN: 2321-9009 Volume-5, Issue-3, Jul.-2017
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Materials are procured such that there is excess Table 4: KPIs of Concrte Batching Plant
stock at every point. Excess inventory is LC-KPIs Current Target***
considered a waste because of the storage costs Sigma rating* 2.51 3
involved and chances of deterioration, Overall 0.673 0.8
obsolescence and change in demand. Just in time Equipment
philosophy of material procurement is not Efficiency
followed. The factor contributing to waste, (OEE)
ordering errors, plays a considerable part Inventory 6.64 7.3
 Low Value Added Percentage Turnover
Current VSM mapping shows a non-value added Lean 0.598** 0.698
time of 89537s compared to value added time of Performance
840s. Non-necessary non-value added time, has *From cube test reports
to be identified and eliminated. Designers with **output from fuzzy inference model
less experience as to the sequencing of ***targets fixed after future value stream mapping
construction activities and idle time contribute to D. Fuzzy Inference Model Output
this waste. Fig 5 and fig.6 shows the surface view output of the
 Planning and Controlling Issues fuzzy inference model
It is found that the boom placer is setup before
actually the approvals are in place. The factors
contributing to waste include delay in passing
information and lack of co-ordination between
project members.
It was observed that once the boom placer is
setup, the instruction for batching concrete was
given. These jobs can be done simultaneously,
thereby reducing the NVAT
 Quality Issues
Once the boom placer and batching plant is
scheduled for operation, quality and approval
issues delay the process considerably, which is
not reflected in the VSM. Delay in passing
Fig.5. Surface view with OEE and Sigma Rating
information, Materials not in compliance with
specifications, Errors by Labourers and Long
approval Process are the major causes.
 Equipment Unavailability
Delay in passing information, Errors by
labourers, bad weather, and low quality
equipment usage play a part. The scheduled work
is delayed due to the delays in the preceding
work.
 Equipment Down Time
Quality of equipment contributes to the waste.
Periodic maintenance should be mandatory for
improved equipment availability and
performance. Companies can substantially
reduce the risk of equipment failure by
combining regular, properly conducted Fig.6. Surface view with Inventory Turnover and OEE
equipment inspections with a maintenance
program that includes preventative and predictive For sigma rating is 2.51, OEE 0.673 and Inventory
maintenance in addition to reactive maintenance. Turnover 6.64, the corresponding defuzzified output
value for lean performance is 0.598 as shown in fig.7
C. Lean Construction Key Performance Indicators
Of Concrete Batching Plant

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International Journal of Advances in Science Engineering and Technology, ISSN: 2321-9009 Volume-5, Issue-3, Jul.-2017
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Fig.7..part of defuzzified output of the Ready Mix Plant

E. Future Value Stream Mapping

Future value stream mapping is to be done to improve
the key performance indicators by reducing the
wastes identified.

Fig.8. Future Value Stream Mapping

F. Recommendations for achieving the future state
 Modification in the information flows and the
sequencing of work is undertaken. The
initialization of equipment, batching of concrete
and transport to site to be undertaken while the
setting up of boom placer is ongoing, so that the
transit mixers are ready with concrete at the site
once the boom placer is setup.

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 Improved target key performance indicators
fixed which is achievable by eliminating the
wastes identified.
 Instead of ongoing cement procurement at a rate
of 2 loads every 3 days, an alternate arrangement
is proposed with cement coming in every 2 days,
alternating between 1 and 2 loads. This reduces
the inventory level and the NVAT
 Requests for boom placer to be done only after
all the approvals are in place. Thus equipment
availability to be increased resulting in increase
in OEE
 Routine maintenance to be made mandatory to
avoid breakdown, increasing performance
 Total Quality management to be enforced so that
a target of 93% quality and a sigma rate of 3 is
achieved.
 OEE target of 0.80 to be achieved by reducing
the down time, increasing the availability and
performance.
 Target inventory turnover is fixed at 7.3 with an
increase in 10 %.
 Defuzzified output from the fuzzy inference
model using the revised key performance
indicators in the future value stream map gives
an improved lean performance rating of 0.698
It is seen that non-value added time of the future
value stream mapping has undergone a considerable
reduction of 33% (from 89537s to 59947s)
Fig.8 depicts the future value stream mapping, whose
validation is beyond the scope of this project
CONCLUSION
The factors contributing to wastes in construction
identified by ranking was validated by the value
stream mapping. Construction, being a complex
process involving numerous interlinked tasks
performed by various contractors, the implementation
of lean planning tool VSM posed some challenges.
Construction processes being unpredictable, there are
high variations in task durations and data collection is
challenging. A construction process can be
represented as a whole by using VSM but it requires
considerable adaptation efforts to integrate it to
construction processes. However, it was found that
VSM can overcome several limitations of the current
practices for elimination or reduction of waste in
construction. Six-Sigma techniques give a systematic
framework to identify the impact of defects, their root
causes and ways to reduce them. Fuzzy inference
model gives an effective method of evaluating the
lean performance based on the key performance
indicators. Variations in the Key performance
Indicators can be easily analyzed to compute lean
performance with the Fuzzy Inference Model.
Compared to the current state, the future state shows
considerable improvement in overall performance
and Value added percentage. Proposed changes in the
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future VSM are beyond the scope of the project,
hence the impact of the changes could not be
ascertained.
ACKNOWLEDGMENT
Sincere thanks to the Civil Engineering Department
for their unfailing support. We are grateful to the
authorities of the Ready Mix Plant for granting access
and assistance, without which the work would not
have been possible
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Effectiveness of Implementation of Lean Six Sigma Techniques in Construction

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