Page 16 - IEC Insights Sept-Oct19

FEATURE

Signs of waste are Each one is a clue, and by pursuing them a contractor can find issues further
easy to spot on most up the supply chain that significantly impact their efficiency on site.
jobsites — a pallet with When a Florida-based electrical contractor decided to target an unusually high number
broken light fixtures, of returns on one project, they soon realized they had discovered a symptom of a
bigger problem with their procurement process. By making practical improvements
parts left over after in how they ordered and stored materials, they saw a 65 percent monthly reduction
install or an electrician in returns, while spending 90 percent less time on procurement per week.
waiting on a late truck. What would it take to see improvements like these on your own jobsite?

STEP 1 STEP 3

Recognize you need to improve Choose a path

On a typical jobsite, an electrician spends up to 40 percent of their time managing Traditional businesses approach
materials, according to research by MCA. Meanwhile, 61 percent of owners report improvement in many ways — a Six
projects behind schedule, and 41 percent report projects completed over budget. Sigma strategy focuses on reducing
defective outputs, while Lean cuts out
80 percent of firms struggle to fill craft labor positions, while skilled workers are unnecessary process steps, leaving
spending almost half their time on the clock unpacking boxes and looking for parts. only those that directly add value.

An agile contractor can make significant reductions in the time workers Both the national contractor and
spend handling materials, instead of installing them. To make a lasting Graybar use Continuous Improvement
change in process, however, it’s important to involve the whole team. (CI), which encourages all members of
a company to “plan, do, check, and act”
with a specific focus and an ongoing
timeframe. Gains in efficiency come
STEP 2 from the accumulated impact of single
process improvements, sourced from
employees’ everyday frustrations.
Focus on culture Quintin Henry, Graybar’s Director
When contractors try to make a major organizational change, they report that of Quality and Service, started
1
they fail 70 percent of the time, and successes can take six years. To find out with the company in 1987 and
why, the same survey asked them to rank the top factors in their successes. now leads the CI team that has
saved Graybar an estimated $120
Designating “change agents” within day-to-day operations was most important. million over the last decade.
Senior leadership commitment landed in the middle, and explaining the
benefits to individuals ranked the lowest. To build organic engagement with “You’re really looking at incremental
a new initiative, rely on popular field leaders to share the message. improvement over time, and every
once in a while you’ll have a significant
One major national contractor has used this strategy to unite their team around breakthrough that may be that
a common vision of progress, putting their Preconstruction Manager in charge of major ‘aha’ moment. But going in,
an internal team focused on ways to improve processes across the company. you have to realize that it’s almost
They hold quarterly feedback sessions with foremen and apprentices, and the always baby steps,” Quintin said.
Preconstruction Manager is often stopped in the hallway or pulled aside on a
jobsite by an employee with a new idea.

“By pushing the bar internally, and continually striving to get better every day, you
really develop a strong, competitive advantage against your competition,” he said.

14 Insights Magazine | September/October 2019 | www.ieci.org