A lean‐agile model of homebuilders’ production systems

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 de‐coupling 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.

Keywords:

• Agile
• housing construction
• lean
• simulation

Acknowledgements

The authors wish to acknowledge Anders Segerstedt, Per‐Erik Eriksson and five anonymous referees for their valuable comments on the research work. This work was performed at the competence centre of Lean Wood Engineering and the EU regional funded project Byggsynk, the support from which are gratefully acknowledged. The authors acknowledge technology licentiates Erik Söderholm, Gustav Jansson and Martin Lennartsson at LTU for their skillful help in the case study.