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Step 1: Assess current state

An almost universal response by those who undertake the Lean journey is, “We found out we weren’t nearly as good as we thought we were.” I have heard this from some of the best builders in America. You have to know your strengths and weaknesses. How else can you determine the appropriate entry point, your capacity for learning, and your ability to implement? This takes genuine leadership from senior management to remove the fear that goes with honest self-examination.

The differences we see in builders’ readiness for Lean are enormous, and there are many factors. One key consideration is the builder’s relationship with their suppliers and trade contractors. Some are so strong that the possibility of failure is virtually eliminated. Other relationships are so poor that remedial work is required before even considering Lean process and methods.

There are other factors such as the management team’s openness to new ideas and the state of their basic operational systems, but a major dose of “eyes wide open” honesty is an essential launch point.

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