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Applying Lean Six Sigma in construction. World practice experience

Author

Listed:
  • Ivars LINDE

    (Information Systems Management Institute (ISMA), Riga, Latvia)

  • Dmitry PHILIPPOV

    (Information Systems Management Institute (ISMA), Riga, Latvia
    Institute of Certification Quality Management Systems, Moscow, Russian Federation)

Abstract

Persistent problems faced across the world by managing and construction companies (increasing construction costs, unsatisfactory level of construction materials quality, lack of coordination and consistency between process participants, decreased profitability of principal contractors, subcontractors and suppliers, failure to meet deadlines and budget deficit, inconsistency and fragmentation of processes) can be eliminated. A centralized and integrated approach is needed to identify, prioritize, find and eliminate the origin of problems, help to develop effective solutions and manage consequent activities to get necessary results. Foreign experience analysis has proved that both the required approach, the methodology and the problem-solving tools in the construction industry are available – this is the Lean Six Sigma management methodology, acknowledged as industry leading across the world. Without exaggeration, it seems possible to evaluate the results of Lean Six Sigma methodology practical application as outstanding since they stay ahead of the curve of industry average performance indicators in such developed economies as, for instance, the USA and Great Britain. The Lean Six Sigma methodology is focused on achieving world-class quality by eliminating all types of losses, costs, overhead expenditure and creating value for consumers. To achieve this goal, the Lean Six Sigma deployment affects all construction project participants involved and acting in the common interest - the customer, managing company, principal contractor, subcontractors, product suppliers, equipment suppliers, designers, surveyors.

Suggested Citation

  • Ivars LINDE & Dmitry PHILIPPOV, 2020. "Applying Lean Six Sigma in construction. World practice experience," Access Journal, Access Press Publishing House, vol. 1(2), pages 103-111, September.
  • Handle: RePEc:aip:access:v:1:y:2020:i:2:p:103-111
    DOI: 10.46656/access.2020.1.2(2)
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    References listed on IDEAS

    as
    1. Rodney Stewart & Clinton Spencer, 2006. "Six-sigma as a strategy for process improvement on construction projects: a case study," Construction Management and Economics, Taylor & Francis Journals, vol. 24(4), pages 339-348.
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    Cited by:

    1. Ivars LINDE & Dmitry PHILIPPOV, 2021. "What do your customers think about? To guess or to know?," Access Journal, Access Press Publishing House, vol. 2(1), pages 17-27, January.

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    More about this item

    Keywords

    Lean Six Sigma; construction; integrated supply chain; process cycle time; quality; waste; defects;
    All these keywords.

    JEL classification:

    • M11 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Production Management
    • O21 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Planning Models; Planning Policy
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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