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Value Integration Process drives success at Herrero Builders

LAA-Blog---1.4.2-Herrero-VIP

Value Integration Process drives success at Herrero Builders

Since 2005, Herrero Builders, a construction company from San Francisco, changed its corporate philosophy, adopting lean methodologies to foster their business operations model. In the process, the company created the Value Integration Process, an approach that permits engagement with all the relevant stakeholders to identify, monitor and address their expectations along the entire product life cycle. This lean methodology has provided a competitive advantage for Herrero Builders, which has positioned in the market as one of the 25 largest builder companies in the San Francisco greater Bay Area.

Interface, the world’s largest manufacturer and marketer of modular carpets has its headquarters in LaGrange, Georgia, USA.

The company’s modular carpet systems, marketed under the established global brands Interface and FLOR, utilizes carpet tiles cut in precise, dimensionally stable squares or rectangles to produce a floorcovering that combines the appearance and texture of traditional soft floorcovering with the advantages of a modular carpet system.

In their Lean Journey, Herrero Builders developed the Value Integration Process (VIP™), a process to maximize the success of the projects the company works on. As stated in Herrero Builders´ website the advantage of the process lies on its “ability to make [the stakeholders] hidden values visible” to align and address them during the entire project life cycle.

The Value Integration Process is grounded in three pillars:

  • Project Management Plan: Crafting a plan that enables the right thinking and empower the right people
  • Collective Value Discovery™: Herrero Builders holds a workshop with the project stakeholders (such as architects, engineers, contractors, builders, owners, and others) where they discuss their visions and expectations of the project. The workshop is typically a day long, but can vary depending on the complexity of the project, number of stakeholders, etc. In the workshop, each participant explains their needs and values to the others after writing them down on post-it notes. Finally, the post-its are grouped into categories of values that later become indicators to guide the team throughout the project. New categories are created as new values emerge, and existing categories are complimented by the values from various stakeholders.

Herrero Builders - Figure 6.3

  • Continuous Improvement: is a method, also referred to as Kaizen, which identifies improvement opportunities and eliminates wastes within a process, product or a service. In Herrero Builders, this practice is conducted to understand how closely they are following the value system, what measures need to be developed to drive the company to success.

The aforementioned three pillars, together with the lean philosophy management, have enabled the organisation to provide a better service and, consequently, to gain market share.

Book 2017 - Mockup 01 (small-900px)

Herrero Builders’ Best Practices are presented and described on more than 18 pages in the Lean Product Development Best Practices book. Herrero Builders’ chapter is only one out of the 10 chapters presenting the real-world application of lean product development in multinational companies.

The hard copy of the book with the 10 cases is available for only 74.99 EUR.

BUY THE BOOK

Herrero Builders’ Lean Product Development case is available digitally free of charge to our members.

GO TO LIBRARY

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ABOUT THE AUTHOR(S)

MYRNA FLORES
Lean Analytics Association

Dr. Flores has over 20 years of experience collaborating as internal or external consultant in different manufacturing and services organizations, leading several initiatives related to Lean Thinking, Business Process improvement, Six Sigma, Supply Chain, Change Management, Open Innovation, Digital Transformation and Human Centered Service Design; providing also training and coaching.

She is co-founder and president of the Lean Analytics Association (LAA) and visiting scholar at the College of Management of the Ecole Polytechnique Fédérale de Lausanne (EPFL) in Switzerland.

She carried out her Post-doc at EPFL collaborating at the Lean Product and Process (LeanPPD) FP7 European project from 2009 to 2013. She completed her PhD in 2006 at the Politecnico di Milano studying Open Innovation Models to enable Industry-University collaboration for innovation. She obtained her Master’s Degree in Manufacturing Systems in 1999 and a Bachelor’s Degree in Mechanical Engineering from Monterrey Tec (ITESM) in 1996.

PAULO NAPOLITANO
Herrero Builders

Paulo Napolitano has over 30 years of construction experience as a General Contractor. He has been applying Lean Principles in projects and organizations since 1999. He combines research in innovative areas with practical experience to improve team performance, organization performance, and develop a culture of innovation. His main focus is on Product Development and Product Execution.

He also has been working with General Contractors, Architects, Consultants, and Subcontractors in South America, Europe, and North America. Project sizes that he has worked and he is still working today: from 5 million to 1.2 billion dollars.

JAVIER RICARDO AMAYA SILVA
Lean Analytics Association

Javier is a project leader at the Lean Analytics Association. Before joining the LAA, Javier worked as a consultant in Hazardous Energy Control programs and Electro-mechanical risks assessment for various Colombian manufacturing companies for over 2 years. He also nurtures his entrepreneurial spirit since 2013 as the director of a start-up company operating in the interception of the agricultural and technology sector.

Javier completed his Master’s degree in Engineering and Management of Manufacturing Systems at Cranfield University where he was involved in a resarch of how Lean Thinking and Industry 4.0 technologies can transform the logistics operations of a world leading curier service provider. He graduated with honours from Universidad Industrial de Santander with a degree in Mechanical Engineering.

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Myrna Flores
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