Turning Productivity Into Dollars


Increasing construction productivity is possible, according to this study. Although conducted at a Danish university, the study results are based on North American data and reveal how poor management at constructon sites has resulted in reduced productivity.

"Since 1972, we've continuously gotten less and less out of every hour of work," accoding to the study's author. "Construction sites have simply become less and less efficient because more time is spent on non-value adding work. Ultimately, this means that we spend more and more working hours on a single construction job. Therefore, our contractors do not earn as much money on construction as they could."

To improve this, the study encourages managers to look at their approaches. "The construction management team have the greatest influence on efficiency, and thereby on how much money is earned. And the way to increase efficiency is to use methods, tools and knowledge that already exist. Lean Construction tools are basically all about eliminating waste. It is therefore crucial that the construction management are trained in Lean Construction and that extra resources are added to both implementation and support throughout the project."

The study concludes with the idea that simply increasing productive work by a few seconds each hour for each worker would result in huge savings. Worth considering!