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Case Studies

Driving Productivity through Innovative Management Systems and Digitisation in MEP Contracting

July 3, 2023 | Operational Excellence

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INTRODUCTION

The Client is a MEP (Mechanical, Electrical & Plumbing) contractor and was awarded works in a major development, including medium rise blocks, mixed use office space and retail units, restaurants and a business hotel. The scope of the Client’s remit covered all MEP aspects, including specialist MEP functions such as Security & Control.

THE CHALLENGE

The company already had a performance reporting system. However, the consistency of data recording, collection and encoding was insufficient to provide the quality management information required to deliver insight to drive productivity improvements. Renoir was invited to assist in the dramatic overhaul of the existing system and develop a performance dashboard to report key metrics.

PROJECT APPROACH

The project was set-up as a ‘build’ initiative to improve productivity and be able to compete in highly competitive MEP market. The project focused on improving site methods and practices to drive productivity improvements. Validated and developed opportunities were then subsequently installed across all currently running projects in the country. A Centre of Excellence team was tasked with monitoring standards and maintaining the improvement momentum.

The team consisted of Renoir consultants and company staff to provide the right balance of experience and enthusiasm needed for a smooth and timely implementation. Renoir trained and coached the team members in its methodologies, including behavioural change techniques, supervisory skills and problem-solving tools. Over a duration of the project, performance management activities on site evolved to become part of a refreshed company culture.

The project was structured into two primary workstreams:

  1. A construction team aimed to co-construct and implement the management system that drives productivity in the construction process construction process.

    The project team reviewed results and progress on a weekly basis as part of the Management Action Team (MAT) meetings, which provided a forum for tactical and progress discussions.

    “Productivity loss and erosion of profit due to inefficient labour haunt the Construction industry. Renoir plays a strategic role in designing and implementing systems that both control labour productivity and sustain the results.”
    General Manager

  2. Implement a structural and structured learning and improvement process:
    • Identification of improvement initiatives;
    • Development & piloting of solutions;
    • Implementation and rollout to all locations, including formal training and site coaching;
    • Documentation;
    • Follow up and monitoring.

    All company personnel together with the Project team members were tasked with identifying improvement initiatives. Progress was reviewed in both Weekly MAT and Steering Committee meetings. 

IMPLEMENTATION

The project laid out an ideal Company Management System which was then used as the benchmark for delivering improvements, using identified system elements, processes, controls and tools along with their frequency of use.

One key process was the planning cycle. Following on from daily flash reports, a dashboard was reviewed weekly within the Management Action Team meeting. The Daily Flash report was also displayed in the management office for continued reference.

Key activities undertaken during implementation were:

  1. Continuous systematic monitoring and coaching by the Project team of Foreman, Supervisors, Site Engineers in the workplace several times each day to ensure performance was on track, with swift corrective action taken when performance was lower than expected;
  2. Development of an Integrated Planning Tool that provides a comprehensive 4 weeks’ look-ahead, and assuring readiness of engineering resources and materials;
  3. Work Front Availability tracking to bridge the gap between the high-level Project plan and 4 Week look ahead and to identify constraints;
  4. Daily planning that improved accountability for supervisors, allowed for workload management with a focus on daily execution;
  5. Daily site tours and opportunity log management which identified areas for improvement or needing attention;
  6. Developing best practices education;
  7. Installing Weekly MAT Meetings to review results and findings at a senior level and to present insights and agree necessary actions. This facilitated the identification of best practice, with training being given to raise the performance levels of individuals;
  8. Management training to understand and use the planning methodologies to improve performance.

KEY RESULTS

Improved integrated planning process and tool to ensure work front availability and resource balancing

Introduced improved methods and practices to support sustained delivery of results

Implemented daily work allocation process to assure that resources are aligned with planned quantities to execute (right-sizing the teams)

Installed Short Interval Control for Site Supervision to steer plan attainment, productive and qualitative execution of the activities

Implemented Weekly Performance Review and Root Cause Analysis for problem solving and success replication

CONCLUSION

The project resulted in the successful implementation of a solid management control system. Performance improvements were achieved as plan stability increased, resources were balanced, short interval controls were improved and systematic translation of opportunities into improvement actions was implemented.

Mastering the implementation and operation of introduced tools and concepts have equiped team members and managers with vital skills transferable to future projects. Central to this digitization project, the integrated processes and management system will continue to yield insights that drive enhanced productivity within the company.

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