Lean project management

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Lean project management is the application of lean concepts such as lean construction, lean manufacturing and lean thinking to project management. [1] [2]

Contents

Lean project management has many ideas in common with other lean concepts; however, the main principle of lean project management is delivering more value [3] with less waste in a project context.

Lean Project Management applies the five principles of lean thinking to project management. [4]

"Lean" is a systematic method for the elimination of waste ("Muda") within a manufacturing system. Lean also takes into account waste created through overburden ("Muri") and waste created through unevenness in work loads ("Mura"). Working from the perspective of the client who consumes a product or service, "value" is any action or process that a customer would be willing to pay for.

Lean approach makes obvious what adds value by reducing everything else which does not add value. This management philosophy is derived mostly from the Toyota Production System (TPS) and identified as "lean" only in the 1990s. [5] TPS is renowned for its focus on reduction of the original Toyota seven wastes to improve overall customer value, but there are varying perspectives on how this is best achieved. The steady growth of Toyota, from a small company to the world's largest automaker, [6] has focused attention on how it has achieved this success.

The term "Lean Project Management" has not been picked up by any of the international organizations developing Project Management Standards: The ISO Standard ISO 21502:2020 refers to term "agile", which may be understood as a similar concept, as a delivery approach of products (project scope), [7] and the PMBoK Standard published by the Project Management Institute refers to an "adaptive" type of development lifecycle also called "agile" or "change-driven" with regard to the product development lifecycle of a project (an element of the project lifecycle). [8]

Types

In general, a project can be said to be Lean if it applies the principles of lean thinking. [4] There are, however, different implementations of this idea that don't necessarily apply all of the principles with equal weight.

Two well-known types are "Kanban" and "Last Planner System".

The term Kanban comes from manufacturing but was adapted for software development by David Anderson when he was working at Microsoft in 2005 and inherited an underperforming maintenance team. [9] The success of the approach in that environment, led Anderson to experiment with Kanban in projects, with similarly positive results. As Anderson publicised his findings through talks and his book, [9] software developers began to experiment with Kanban and it is now one of the most widely used methods for managing agile software development projects.

The Last Planner System is used principally in construction and particularly focuses on pull and flow but perhaps more important than those is its emphasis on a collaborative approach in which all trades work together to create a visual representation of the work that needs to be done.

Related Research Articles

<span class="mw-page-title-main">Lean manufacturing</span> Methodology used to improve production

Lean manufacturing is a production method aimed primarily at reducing times within the production system as well as response times from suppliers and to customers. It is closely related to another concept called just-in-time manufacturing. Just-in-time manufacturing tries to match production to demand by only supplying goods which have been ordered and focuses on efficiency, productivity, and reduction of "wastes" for the producer and supplier of goods. Lean manufacturing adopts the just-in-time approach and additionally focuses on reducing cycle, flow, and throughput times by further eliminating activities which do not add any value for the customer. Lean manufacturing also involves people who work outside of the manufacturing process, such as in marketing and customer service.

<span class="mw-page-title-main">Kanban</span> Japanese business method

Kanban is a scheduling system for lean manufacturing. Taiichi Ohno, an industrial engineer at Toyota, developed kanban to improve manufacturing efficiency. The system takes its name from the cards that track production within a factory. Kanban is also known as the Toyota nameplate system in the automotive industry.

The Toyota Production System (TPS) is an integrated socio-technical system, developed by Toyota, that comprises its management philosophy and practices. The TPS is a management system that organizes manufacturing and logistics for the automobile manufacturer, including interaction with suppliers and customers. The system is a major precursor of the more generic "lean manufacturing". Taiichi Ohno and Eiji Toyoda, Japanese industrial engineers, developed the system between 1948 and 1975.

In software development, agile practices include requirements, discovery and solutions improvement through the collaborative effort of self-organizing and cross-functional teams with their customer(s)/end user(s). Popularized in the 2001 Manifesto for Agile Software Development, these values and principles were derived from, and underpin, a broad range of software development frameworks, including Scrum and Kanban.

Lean software development is a translation of lean manufacturing principles and practices to the software development domain. Adapted from the Toyota Production System, it is emerging with the support of a pro-lean subculture within the agile community. Lean offers a solid conceptual framework, values and principles, as well as good practices, derived from experience, that support agile organizations.

<span class="mw-page-title-main">Operations management</span> In business operations, controlling the process of production of goods

Operations management is concerned with designing and controlling the production of goods and services, ensuring that businesses are efficient in using resources to meet customer requirements.

Lean thinking is a management framework made up of a philosophy, practices and principles which aim to help practitioners improve efficiency and the quality of work. Lean thinking encourages whole organisation participation. The goal is to organise human activities to deliver more benefits to society and value to individuals while eliminating waste.

Muda is a Japanese word meaning "futility", "uselessness", or "wastefulness", and is a key concept in lean process thinking such as in the Toyota Production System (TPS), denoting one of three types of deviation from optimal allocation of resources. The other types are known by the Japanese terms mura ("unevenness") and muri ("overload"). Waste in this context refers to the wasting of time or resources rather than wasteful by-products and should not be confused with Waste reduction.

Agile management is the application of the principles of Agile software development and Lean Management to various management processes, particularly product development. Following the appearance of The Manifesto for Agile Software Development in 2001, Agile techniques started to spread into other areas of activity. The term Agile originates from Agile manufacturing - which in the early 1990s had developed from flexible manufacturing systems and lean manufacturing/production.

<span class="mw-page-title-main">Scrum (software development)</span> Management framework

Scrum is an agile team collaboration framework commonly used in software development and other industries.

<span class="mw-page-title-main">Value-stream mapping</span> Lean-management method for analyzing the current state and designing a future state

Value-stream mapping, also known as material- and information-flow mapping, is a lean-management method for analyzing the current state and designing a future state for the series of events that take a product or service from the beginning of the specific process until it reaches the customer. A value stream map is a visual tool that displays all critical steps in a specific process and easily quantifies the time and volume taken at each stage. Value stream maps show the flow of both materials and information as they progress through the process.

Lean IT is the extension of lean manufacturing and lean services principles to the development and management of information technology (IT) products and services. Its central concern, applied in the context of IT, is the elimination of waste, where waste is work that adds no value to a product or service.

Extreme project management (XPM) refers to a method of managing very complex and very uncertain projects.

Lean enterprise is a practice focused on value creation for the end customer with minimal waste and processes. The term has historically been associated with lean manufacturing and Six Sigma due to lean principles being popularized by Toyota in the automobile manufacturing industry and subsequently the electronics and internet software industries.

<span class="mw-page-title-main">Kanban (development)</span> Software development methodology

Kanban is a lean method to manage and improve work across human systems. This approach aims to manage work by balancing demands with available capacity, and by improving the handling of system-level bottlenecks.

<span class="mw-page-title-main">Kanban board</span> Main tool used to implement the kanban project management methodology

A kanban board is one of the tools that can be used to implement kanban to manage work at a personal or organizational level.

<span class="mw-page-title-main">Cumulative flow diagram</span>

A cumulative flow diagram is a tool used in queuing theory. It is an area graph that depicts the quantity of work in a given state, showing arrivals, time in queue, quantity in queue, and departure.

Design for lean manufacturing is a process for applying lean concepts to the design phase of a system, such as a complex product or process. The term describes methods of design in lean manufacturing companies as part of the study of Japanese industry by the Massachusetts Institute of Technology. At the time of the study, the Japanese automakers were outperforming the American counterparts in speed, resources used in design, and design quality. Conventional mass-production design focuses primarily on product functions and manufacturing costs; however, design for lean manufacturing systematically widens the design equation to include all factors that will determine a product's success across its entire value stream and life-cycle. One goal is to reduce waste and maximize value, and other goals include improving the quality of the design and the reducing the time to achieve the final solution. The method has been used in architecture, healthcare, product development, processes design, information technology systems, and even to create lean business models. It relies on the definition and optimization of values coupled with the prevention of wastes before they enter the system. Design for lean manufacturing is system design.

Disciplined agile delivery (DAD) is the software development portion of the Disciplined Agile Toolkit. DAD enables teams to make simplified process decisions around incremental and iterative solution delivery. DAD builds on the many practices espoused by advocates of agile software development, including scrum, agile modeling, lean software development, and others.

eXtreme Manufacturing (XM) is an iterative and incremental framework for manufacturing improvement and new product development that was inspired by the software development methodology Scrum and the systematic waste-elimination (lean) production scheduling system Kanban(かんばん ).

References

  1. Eric Gabriel, "The lean approach to project management." International Journal of Project Management 15.4 (1997): 205-209.
  2. Lloyd, Gary (March 2014). "Lean Thinking Uncovered" - Project Manager Today.
  3. Lloyd, Gary. (October 2013). "Lean Project Management – It’s all about value" – PM World Journal.
  4. 1 2 Lloyd, Gary.(May 2015). "Lean Projects" article in "Digital Leaders", a collection of articles published by The British Computer Society
  5. Holweg, Matthias (2007). "The genealogy of lean production". Journal of Operations Management. 25 (2): 420–437. doi:10.1016/j.jom.2006.04.001.
  6. Bailey, David (24 January 2008). "Automotive News calls Toyota world No 1 car maker". Reuters.com. Reuters. Retrieved 19 April 2008.
  7. "ISO 21502:2020". ISO. Retrieved 10 July 2022.
  8. "PMBOK® Guide". PMBOK® Guide. 2020. Retrieved 10 July 2022.
  9. 1 2 Anderson, David. (2010) "Kanban: Successful Evolutionary Change for Your Technology Business."