Benchmarking Time and Cost of Current Industry Practices
The homebuilding industry operates on the premise of limited time and cost data. HRI is currently working on several studies which utilize data mining techniques to establish a benchmark for the production time of a typical single-family home (cycle time). Researchers then create models to quantify the financial benefits of reduction in cycle time.
For example, in one study we are comparing the cycle time and the number of man hours it takes to build model homes versus the cycle time and number of man hours it takes to build tract homes, for which the cycle time can be up to two or three times as long. The study aims to identify downtime and waste during the production home construction process, ultimately reducing construction cycle time for tract homes.
In another study, production and backlog data for the publicly traded home building companies have been gathered. This data, together with future projections from these same companies, is being analyzed to develop a predictive model to forecast Work in Progress (WIP) as production, backlog, and construction cycle time change.
Implementation of Lean Thinking Concepts
The completion of a specific subdivision requires many coordination efforts between independent contractors, which inevitably reduce the efficiency of homebuilding processes. Under current production management strategies, residential trade contractor workflow is extremely variable. One of our projects investigates the implications of even flow production control techniques that reduce the workflow variability in an effort to gain greater efficiency in the residential construction market.
Application of Supply Chain Management Principles to Develop Strategic Purchasing Decisions
In this project, we are doing research that would enable implementation of supply chain management in the construction industry. The objective of this is to align the goals of all those involved in order to arrive at a competitive and efficient supply network. This research uses simulation software as an analytical tool to evaluate the costs and profits of material and labor supply chains between the homebuilder and the framing subcontractor in residential construction supply chain management. For example, simulation results demonstrate that current lumber pricing strategies result in higher risk for the homebuilder.
Using Information Technology to Improve Coordination Between Tightly Coupled Trade Contractors
Cutting-edge computer technology is being utilized to measure performance changes and costs in the construction portion of the homebuilding business, leading to realistic measurements of how technology impacts the construction of new homes. This study identifies pervasive computing paradigms, methodologies, design tools and technologies that provide critical information to various stakeholders in the homebuilding process and measures key performance metrics. One of the interesting projects in this area involves the use of technology to increase building code compliance ratios.
HRI continues to add new research projects designed to improve specific areas of residential construction. Many of our projects are currently headed up by graduate students in the Del E Webb School of Construction.