Production System Loading–Cycle Time Relationship in Residential Construction

Abstract

Production home building possesses characteristics similar to manufacturing processes, such as the construction of more or less similar houses repeatedly and a growing demand for mass customization of homes. As a result of these similarities, larger homebuilders often attempt to view their production system as an assembly line process. However, the management tools generally utilized by these home builders are those used in other sectors of the construction industry, such as critical path method scheduling, cost estimating, and earned value analysis. These management tools do not provide an explanation or control/prediction tools for many undesirable situations that arise during home building, such as increasing cycle time which slows delivery of product to consumers and increases project capital costs, and increasing amounts of work in process that increases capital investment and thereby decreases company financial performance. In order to bring better management tools to the residential construction in...