A lean-agile model of homebuilders' production systems

Lu, W; Olofsson, T and Stehn, L (2011) A lean-agile model of homebuilders' production systems. Construction Management and Economics, 29(1), pp. 25-35. ISSN 1466433X

Abstract

A lean-agile model of homebuilders' production systems is proposed in this research. Value stream mapping is utilized to clarify the proposed lean-agile model, in which pull and Kanban are used to ensure smooth production upstream of the de-coupling point, while fluctuating market demands in terms of variety of homes and variability of volumes are managed by the agile process downstream of the de-coupling point. The decoupling point is used to provide components to downstream agile process and shield upstream smooth production from market fluctuations. A simulation model is developed to evaluate and validate the effectiveness of the proposed lean-agile model. Simulation experiments show that the lean-agile model prevents the accumulation of high inventory levels and thus provides better customization opportunities for clients compared to even-flow-construction. It also provides a more stable process with shorter cycle times compared to sales-driven production. The proposed lean-agile model offers new possibilities for homebuilders to manage the balance between meeting fluctuating market demands and stabilizing the production system.

Item Type: Article
Uncontrolled Keywords: agile; housing construction; lean; simulation
Index terms: effectiveness, residential construction, variability, inventory, customization, coupling, value stream mapping, simulation experiment, production system, decoupling
Subjects: statistical analysis, systems engineering, manufacturing engineering, construction integration, performance management, inventory management, construction manufacturing, modelling and simulation, business
Topics: Research Practice, Engineering Principles, Business Strategy, Quality Management, Supply Chain Management, Digital Applications
Descriptive scope: 3 PCA

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