https://doi.org/10.24928/2018/0491

Combined Application of Earned Value Management and Last Planner System in Construction Projects

Mark Novinsky¹, Claus Nesensohn², Nadia Ihwas³ & Shervin Haghsheno⁴

¹M.Sc. Student. Karlsruhe Institute of Technology (KIT), Institute of Technology and Management in Construction, Gotthard-Franz-Str. 3 (Am Fasanengarten), Geb. 50.31, D-76131 Karlsruhe, Germany. Phone +49 (0)17634151483, [email protected]
²Founder & CEO. Refine Projects AG, Schelmenwasenstraße 34, D-70567 Stuttgart, Germany. Phone +49 (0) 179 978 9624, [email protected].
³Research Fellow. Karlsruhe Institute of Technology (KIT), Institute of Technology and Management in Construction, Gotthard-Franz-Str. 3 (Am Fasanengarten), Geb. 50.31, D-76131 Karlsruhe, Germany. Phone +49 (0) 721 608 45476, [email protected]
⁴Professor. Karlsruhe Institute of Technology (KIT), Institute of Technology and Management in Construction, Gotthard-Franz-Str. 3 (Am Fasanengarten), Geb. 50.31, D-76131 Karlsruhe, Germany. Phone +49 (0)721 608 42646, [email protected].

Abstract

The application of the Last Planner System (LPS)in the construction industry is increasing more and more. Reviews in the literature report that by applying LPS project performance is improving. However practical experience shows that there is some lack of structure in daily work. Further more researchers are still looking for feasible process measurement. This paper aims to contribute to the described challenge by developing a concept for the combined application of the two following methods. One is Earned Value Management (EVM), a project control method that combines data regarding scope, schedule, and resources to assess project performance and progress. The other one is LPS, a Lean Construction method for production planning and control. In LPS project workflow is developed and controlled collaboratively within a team. Through the combined application of these two methods based on the structure and a transparent production plan the project’s workflow can be measured by objective metrics like Percent Plan Complete (PPC), Schedule Variance (SV) and Cost Variance (CV) to highlight the need for potentially necessary corrective action.

Keywords

Lean construction, last planner system, earned value management, process measurement, work structuring.

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Reference

Novinsky, M. , Nesensohn, C. , Ihwas, N. & Haghsheno, S. 2018. Combined Application of Earned Value Management and Last Planner System in Construction Projects, 26th Annual Conference of the International Group for Lean Construction , 775-785. doi.org/10.24928/2018/0491

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