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Updated: January 16th, 2009 01:51 PM GMT-05:00

Efficient Concrete Business Management - Clean, Organized and Profitable

By Brad Humphrey

One of the hardest lessons for many contractors to learn is the cost of inefficiency. Inefficient crews tend to accept unclean and unsafe work sites, thus promoting a crew mindset that is disorganized and crisis oriented. This combination of inefficiencies is the perfect scenario for the contractor's perfect storm: chaos and fewer profits!

The Japanese are given credit for introducing an efficiency and profitability system many years ago to American manufacturers. Its purpose was to drive cleaner, more organized and efficient production. American industry quickly adapted what it calls "5S" and improved upon its spirit of intent. This program quickly became part of the productivity DNA for many companies, and they quickly seized the opportunity to clean up their organizations and realize greater profits in the doing!

My first introduction to this system was in a Honda automotive plant. Being blown away personally by the results of the 5S process I soon looked for opportunities to share this with the construction industry. Just in the past five to 10 years, a growing number of construction companies have taken a renewed interest in becoming better organized, working safer and providing a more efficient way of accomplishing more profitable results. No matter what you call 5S, its components and processes are needed more today than at any other time.

5S represents a strategy to develop and maintain a working environment that is clean and organized. Such an environment guarantees a better and safer working environment for workers and a more organized system for tools and equipment. On top of these benefits, 5S enables contractors to realize greater profitability as fewer tools are lost and replaced, less equipment downtime is experienced, and more crews are focusing on the right efforts the first time.

Now, let's explore the "S" components of 5S and how they impact your construction company.

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