Project Lifecycle

Construction project from tender to handover

Construction
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Lead Time

2568.0h

Cycle Time

1320.0h

Wait Time

1248.0h

PCE

50.8%

Stages

8

Bottleneck

Permits & Approvals

Value-Add vs Non-Value-Add

Value-Add (VA)

An activity is value-add if it meets all three criteria:

  • The customer is willing to pay for it
  • It transforms the product or service
  • It is done right the first time

Examples: Assembly, diagnosis, treatment, coding, machining, testing

Non-Value-Add (NVA)

Activities that consume time or resources but don't add value from the customer's perspective:

  • Waiting — queues, approvals, batching delays
  • Transport — moving materials or information
  • Motion — unnecessary movement of people
  • Rework — correcting defects or errors
  • Over-processing — doing more than required

Note: Some NVA is necessary (compliance, safety). Target unnecessary NVA first.

Process Timeline

Value-Add vs Non-Value-Add

Bottleneck Analysis

Stage Efficiency

# Stage Cycle (h) Wait (h) VA Resource Defect % Efficiency
1 Tender & Bid 40.0 168.0 VA Estimator 10.0% 19.2%
2 Contract Award 8.0 336.0 VA Legal 5.0% 2.3%
3 Design & Planning 160.0 40.0 VA Architect 15.0% 80.0%
4 Permits & Approvals 16.0 480.0 NVA Admin 8.0% 3.2%
5 Site Preparation 80.0 24.0 VA Site Team 3.0% 76.9%
6 Construction 960.0 80.0 VA Trade Teams 5.0% 92.3%
7 Inspection & Defects 40.0 80.0 VA Inspector 20.0% 33.3%
8 Handover 16.0 40.0 VA PM 5.0% 28.6%