7th North American International Conference on Industrial Engineering and Operations Management

An Application of Critical Chain and Lean Project Management to Improve Project Efficiency: A Case Study of Construction Project in Indonesia

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Track: Project Management
Abstract

Abstract

Lean construction is an innovative approach to managing construction projects that reduces waste and enhances performance. Several studies have reported the benefits of implementing lean construction in the construction industry, specifically in Asia. It is useful to avoid project delays affected by the complexity of issues associated with simultaneously planning, organizing, coordinating, and controlling several activities. Project delay is one of the effects of inefficient “waste” management in the project. This study presents lean construction approaches combined with critical chain project management (CCPM) to improve construction project efficiency. This study is implemented as a case study in a company’s construction project in Indonesia. The study used a mixed quantitative and qualitative approach to analyze the results generated by each tool described in CCPM and the lean construction approach. Lean construction techniques are used to identify project waste. In addition, the CCPM method is used to address potential inefficiencies that may arise during project activities. Results indicate that lean construction techniques can assist the decision-maker in effectively identifying project waste. Implementing CCPM to address the inefficiency of project activities can reduce the project duration from 541 to 295 days, or approximately 45.5% compared to the original plan. Additionally, it contributes to reducing the total cost of IDR 8,277,300,000 to IDR 5,826,500,000, or approximately 29.6% of potential cost savings.

Keywords 

Critical Chain Project Management, Lean Construction, Critical Waste, and Project Scheduling.

Published in: 7th North American International Conference on Industrial Engineering and Operations Management, Orlando, USA

Publisher: IEOM Society International
Date of Conference: June 11-14, 2022

ISBN: 978-1-7923-9158-3
ISSN/E-ISSN: 2169-8767