Don’t Stop at Production Planning

Last Planner Shouldn’t Stop at Production Planning

Many of us in construction have seen the benefits of Last Planner System® (LPS) in driving collaboration around production plans. We've mastered the art of getting trades on the same page to ensure work gets done efficiently. But what's the next step?

We know what work needs to be done, now we have to focus on procurement. In essence, LPS solved a supply chain problem: understanding demand signals from the job site. Now that we have a grasp on those signals, we can start to approach procurement and logistics more intelligently.

The Problem with Traditional Procurement Logs

Too often, procurement logs are static spreadsheets with need-by dates generated from the master schedule, quickly forgotten and used later to point fingers when we procure the wrong stuff at the wrong time and in the wrong condition.

This approach fails to address the dynamic nature of construction. It doesn't account for the myriad of activities that have to happen before a material or piece of equipment is actually ready to be installed. For instance, steel delivery can't coincide with the day the foundation is ready. You have to account for the time to mobilize, receive, and ‘shake out’.

Making the work visual greatly helps the team understand sequences of work so material can be procured in accordance with the production plan.

Visualizing Production Plans Better Informs Last Planners and Construction Supply Chain Managers

Integrating Production Planning and Procurement

To truly match production planning and procurement, we need to consider these lead times and create a system that reflects the reality of the job site. The trouble is that the production plan and the procurement log exist on two separate data tables.

Linking these without an automated connection requires someone to sit down at a split screen, looking at the production plan and the procurement log to validate the dates.

Hundreds of thousands of square feet of roof Insulation board delivered far too early. The trade contractor loaded the job up front, taking up valuable laydown space.

Thousands of square feet of roof decking delivered far too early.

The Way Forward

To me, this is a problem that can be solved with a little bit of setup if you’re not already using a purpose-built platform like SiteSense, LeadTime, or PLOT.

Using an off-the-shelf tool with an API connection like Looker Studio, AirTable or SmartSheet can help tie the schedule to your procurement log and help build a dynamic procurement strategy.

After all, your supply chain gets a vote.

Reach out to understand how Industrialized Construction Partners can help.

#construction #procurement #supplychain #lastplanner #projectmanagement