Chapter 27 — Key Takeaways

A one-page reference card. Self-contained: if you come back to this page in three years having forgotten the chapter, everything you need to run the system is here.


Key Takeaways

  • 🚪 The threshold concept: the schedule tells you what should happen; the constraint log tells you what can. A CPM network assumes that when a predecessor finishes, its successor is ready to go. On a real job that assumption is false more often than it is true. Work is only ready when every constraint on it has been removed — and making work ready is a separate discipline from scheduling it.
  • This is not an attack on CPM. The critical path method is excellent at four things: proving the work fits in the time, calculating the longest path, analyzing delay after the fact, and communicating with an owner and a lender. It is poor at exactly one thing — telling a foreman whether this work is ready for this crew on Tuesday. Different questions, different tools, and you need both on the wall.
  • The system in four words: SHOULD → CAN → WILL → DID. Master schedule and pull plan say what should happen. The look-ahead screen says what can. The weekly work plan says what will. PPC and reason codes say what did — and feed it back to the top.
  • The "last planner" is the person who makes the final assignment before work is executed — the trade foreman who tells a crew where to be at 6:30 tomorrow. Everyone above them plans; only the last planner commits.
  • Variability, not slowness, is what destroys construction productivity. Five trades in a chain, each 90% reliable, produce an on-time fifth handoff about 59% of the time (0.9⁵). At Northgate's measured 54% per trade it is 4.6% (0.54⁵). To get a 90% reliable chain of five you would need 97.9% per trade, which is unattainable — so either raise reliability a great deal or shorten the chain.
  • Every trade protects itself, and the buffers stack. Longer quoted durations, a second job kept warm, a deliberate late start, hidden float nobody declares. Each response is locally intelligent and globally catastrophic, and nobody in it is behaving badly.
  • Trades will trade their hidden float for reliability. They will not trade it for pressure. Renny Kovach's curtain-wall duration went from 26 work days to 21 in a pull-planning session — not because anyone pushed, but because he was guaranteed a continuous elevation with nobody else on it. A GC who demands the five days gets a foreman who says 26 and means 30.
  • Half the disagreements on a job site are not about sequence. They are about what "done" means, discovered three weeks after everyone assumed they agreed. Twenty minutes writing the definition of "dried-in" was the most valuable twenty minutes of the Northgate pull-planning session.
  • PPC is binary. Ninety percent of a handoff is zero handoffs. The score does not measure production — the cost report and earned value already do that. It measures whether the next trade can rely on the plan, and reliability is binary from the receiver's point of view.
  • The reason codes matter more than the score. PPC is the thermometer; the reasons are the diagnosis. A team that collects the score without the reasons has bought a thermometer and no medicine.
  • Track commitments made, not just PPC. The denominator is under the team's control, and the cheapest way to raise the number is to promise less. 90% on nine commitments is much worse than 72% on forty. 100% is a warning sign, not a triumph — it means the team is planning below its capacity.
  • On Northgate, 55% of the misses were caused by the general contractor, not by a subcontractor: prerequisite work, material, and information. That is the usual finding, and it is why the score has to be safe to report. The moment a GC uses PPC as a stick, it loses access to the data showing the GC is the problem.
  • A project that adopts the Last Planner System without giving someone protected time to remove constraints has adopted a meeting, not a system. Northgate's six-week look-ahead carried 35 to 60 open constraints at any moment, each needing a phone call, an escalation, a booked inspection, a confirmed delivery, or somebody physically walking a floor to verify that a prerequisite was actually finished rather than reported finished. That is not something a PM does "as well as" running a $47.5 million job.
  • Screening protects the credibility of the plan, and credibility is the asset the whole system runs on. Put unready work in a plan and you get a demobilized crew, a displaced crew stacked into somebody else's area, and — worst — a foreman who has learned the plan is fiction. A short plan that is true beats a long plan that is aspirational, every week.
  • A screen without a workable backlog just idles people. Keep a reserve of pre-screened, fully ready work somewhere else in the building for the crews the screen displaces.
  • Six weeks is a default, not a law. The right horizon is the longest lead time among your typical constraints. If your dominant constraint is a fabricated item with an eight-week lead, a six-week look-ahead finds the problem two weeks after it became unfixable.
  • A weekly work plan is a contemporaneous record, and it cuts both ways in a claim. A subcontractor reluctant to write down a commitment is being appropriately cautious about creating evidence against themselves, not obstructive. And a planning artifact is never contractual notice — a logged constraint is not notice of delay, and a missed commitment is not a written claim. Run both systems.
  • Variability produces firefighting, and firefighting is the condition in which people get hurt. Unready work forces improvisation: the scaffold modified at night by a trade that did not erect it, the crew working in a congested area it was displaced into, the stale inspection tag nobody wanted to stop for. The most underrated safety intervention in this book is a constraint log that runs six weeks ahead and is actually worked.

The Five Levels

Four nested levels of planning, plus a scoreboard. Levels 2 and 4 are the meeting. Levels 3 and 5 are the system — and they are the two that get skipped, because they are boring and require somebody's actual time.

Level Horizon Who owns it Artifact Question it answers
1 · Master schedule — SHOULD Whole job, updated monthly Scheduler CPM network, milestones Does the work fit in the time, and where is the longest path?
2 · Phase / pull plan — SHOULD 6–12 weeks, rebuilt each phase The trade foremen The wall; handoff commitments What sequence do the people doing the work actually want?
3 · Look-ahead + make-ready — CAN 6 weeks, rolling, updated weekly A named make-ready owner The constraint log What is genuinely ready, and what has to be fixed by whom, by when?
4 · Weekly work plan — WILL One week, made Monday Each foreman Public commitments What will be complete by Friday?
5 · Measurement — DID Weekly, trended, scored Friday Everyone PPC + reason-code Pareto What broke, and which category was it?

The Eight Constraint Categories

Learn these as a list you can recite, because you will run through them dozens of times a week. They are also, deliberately, the same taxonomy you use to code a miss — so every failure tells you which part of your screen leaked.

# Category The question you ask Usual owner
1 Design information Is every RFI affecting this work answered, and is the answer usable? Is the current drawing revision in the field? Project engineer → architect/engineer
2 Submittals and approvals Is it approved, and is the approved version what is actually being installed? Project engineer → architect
3 Material on site Is it physically here, is it the right thing, is it undamaged, and is it where the crew can reach it? Subcontractor / procurement
4 Labor available Does this trade have the crew — this week, on this job, not promised to another one? Subcontractor foreman
5 Equipment available Lift, crane, hoist, pump, welder, generator — reserved for this crew for these days? Superintendent
6 Prerequisite work complete Is the work physically finished in this specific area — not the activity, the area? Superintendent
7 Permits and inspections Is the permit issued? Is the inspection scheduled with the required notice, and are its prerequisites satisfied? Project engineer → AHJ
8 Space and access Is the area available, reachable, lit, and not occupied by three other crews? Superintendent

The rule

An activity does not enter the weekly work plan until every constraint on it has been removed.

Not "is likely to be removed." Not "the architect said probably Thursday." Removed. The RFI is answered and in the field. The material is on the floor. The inspection is scheduled with a confirmation number.


The Measurement

PPC = commitments completed ÷ commitments made. Northgate's baseline: 101 ÷ 187 = 54%.

Three rules govern it, and all three matter.

  1. Binary. No partial credit, ever. "We got 90% of it" scores zero.
  2. The last planner scores their own commitment, and the score is not a performance review. The foreman says done or not done; nobody argues. Treat it as a disciplinary instrument and foremen will commit to less and less until the number means nothing.
  3. Track commitments made alongside PPC, or the ratio will be gamed — usually without anybody intending to.

On benchmarks, honestly: practitioners commonly report first measurements in the 40s to 60s and sustained programs in the high 70s to high 80s, but PPC is not measured consistently enough across projects, companies, or trades to compare one job's number to another's. The only PPC number that means anything is your own, trended over time. Treat any specific published figure with suspicion, including anyone who quotes one at you in a sales meeting.

Then the part that creates improvement: every miss gets a reason in the foreman's own words on the spot Friday morning → every reason gets one of the eight categories (plus weather, plus a genuine "other") → categories are counted and trended, not just listed → the top two or three get a countermeasure with a name and a date, not a discussion.


Action Items — What to Do on Your Job This Week

  1. Measure before you change anything. Six weeks, fourteen foremen, commitments made Monday and scored Friday, binary, reasons recorded. Change nothing during the baseline — if you start fixing things you will never know what the baseline was.
  2. Count your constraints, right now. Ask whoever you think owns make-ready: how many constraints did you close last week? If nobody can answer, you have a meeting, not a system. This one question is the whole diagnostic.
  3. Assign make-ready hours with a name and a source. Twelve to twenty hours a week from a specific person, taken from a specific other duty you reassign or drop. If you cannot name what you are taking it from, you have not done this step.
  4. Re-cut your look-ahead by area, not by activity. "Interior rough-in Level 3" becomes nine zone-level lines. You can verify a room; you cannot verify an activity. Prerequisite-work misses fall immediately.
  5. Back-calculate material need-by dates to the room, and put the vendor's name and phone number in the constraint log. Most material misses are things sitting in a warehouse forty minutes away that nobody asked for.
  6. Put a general-contractor row on the board and score yourself first, before you ask anyone else for a commitment. Publish your own PPC even when — especially when — it is below the job average.
  7. Say out loud, in the first meeting, that no recorded miss will be used against anyone. Then spend the next eighteen months proving it. There is no shortcut.
  8. Build a workable backlog before you screen for the first time, so the crews the screen displaces have pre-screened ready work to go to.
  9. Put the participation requirement in the subcontract, not in a meeting — attendance by a person with authority over the crew, participation in pull planning, look-ahead information. Price it during buyout and make sure the subcontractor knows it was priced. By month four, a request is a suggestion.
  10. Run one pull-planning session on the next phase. Three to four hours, a blank wall, the foremen who will actually do the work, a facilitator with no authority to overrule anybody, and one rule above all the others: every note says what that trade needs from the trade before it.

Common Mistakes — and the Fix

Mistake What it costs The fix
Running Levels 1, 2, and 4 and skipping 3 and 5 This is exactly what Kestrel did, and PPC was 54% Levels 3 and 5 are the system. The screen and the scoreboard, or you have a wall of curling sticky notes
Nobody has protected time for constraint removal 35–60 open constraints and no one working them Name the person and the hours per week, and take something else off their desk
Sending the PM instead of the foreman to a pull plan The plan that comes out is a guess The people who will do the work, or do not hold the session
The general superintendent facilitates You get the general superintendent's plan with sticky notes on it A facilitator with no authority to overrule anyone — a field engineer is ideal
Negotiating a foreman's duration down A number nobody will defend, and undefended durations get ignored Ask "what would have to be true for it to be shorter?" and then guarantee that condition
Never defining the milestone Six trades holding six different meanings of "dried-in," discovered at the handoff Write the definition in the first hour, in a paragraph, until three trades could not disagree
Admitting one "probably ready" activity A demobilized crew, a stacked area, and a foreman who now knows the plan is decorative The screen is absolute. Removed means removed
Screening without a backlog You idle the people you just protected Pre-screened ready work somewhere else in the building, maintained weekly
Allowing partial credit on PPC The score starts measuring effort, which everyone already believes about themselves Binary. Ninety percent of a handoff is zero handoffs
Watching PPC without watching commitment count A team that learns to promise less while the headline number climbs Publish both numbers on the same chart, always
Celebrating 100% PPC The team is planning below its capacity Ask why the plan is not fuller
Collecting the score without the reason codes A thermometer and no medicine Reason in the foreman's words → one of eight categories → counted and trended → countermeasure with a name and a date
Using PPC as a stick on subcontractors The data dies, permanently, and it was going to show the GC was 55% of the problem A recorded miss must be safe to declare. One waved printout in a negotiation and that job's data is worthless forever
Demanding commitments while making none Foremen notice within about three weeks The GC's own commitments on the same board, in the same column, taking the same score
Expecting subs to surrender float for enthusiasm They are right to refuse — their buffer is a priced asset and how they survive their other four jobs Go first, guarantee a condition, and keep doing it long enough to be believed
A six-week horizon when your constraints have eight-week leads You find the problem two weeks after it became unfixable Let your reason codes set the horizon
Treating a constraint log as notice The claim dies on a notice provision Log it and give contractual notice. Two systems, both running
Forcing takt onto irregular space A schedule that is beautiful and wrong Takt needs a repeating unit. Northgate's Level 1 — two-story lobby, café, imaging, surgery — has no rhythm in it
Rounding takt time up One late zone stops the whole train and propagates backward Round down, always. 3.46 WD becomes 3 WD, and the leftover becomes end-of-run buffer
Assuming the system survives a personnel change The superintendent who believed in it gets promoted in month nine Every change of a key person is a re-implementation. Plan for it, and hand over the habits, not the forms

Decision Framework

Screening one activity — run these eight, in this order, every time

  1. DESIGN INFO      Every RFI answered, answer usable, current revision in the field?
  2. SUBMITTALS       Approved — and is the approved version what's being installed?
  3. MATERIAL         Here, right, undamaged, and reachable by the crew?
  4. LABOR            This crew, this week, this job — not promised elsewhere?
  5. EQUIPMENT        Reserved for these people on these days?
  6. PREREQUISITE     Physically complete in THIS AREA. Walk it. Don't take a report.
  7. PERMITS/INSPECT  Permit issued; inspection booked with notice and prerequisites met?
  8. SPACE/ACCESS     Available, reachable, lit, and not full of somebody else's crew?

         ANY ONE OPEN  ──►  activity is REMOVED from the weekly work plan.
                            Log the constraint: what · which category · WHO (a person) ·
                            need-by date back-calculated from the start · status.
                            Then send that crew to the workable backlog.

Is this a real commitment, or a topic?

Test If no
Made by a named person who controls the crew — not a company, not a PM relaying it? It is a topic
A specific, finishable deliverable — "top track complete, all 47 partitions," not "work in Zone B"? It cannot be scored
A date, which is this Friday? It will lose to everything urgent
Made out loud, in front of the trades who depend on it? It is an administrative item, and people do not keep those

Diagnosing a Last Planner program you inherited

Symptom Almost certainly
PPC rising while commitment count falls The metric is being gamed, usually unintentionally. Look at the denominator first
PPC high and the job is behind Commitments have shrunk to things that were already safe. Case Study 2 exactly
Constraint log printed and dated weeks ago Nobody is doing make-ready. Ask how many constraints closed last week
Reason codes recorded but never counted Thermometer, no medicine. Build the Pareto and take the top two
Same reason code at the top for three months Nobody assigned a countermeasure with a name and a date
Foremen committing to less every week Somebody used a miss against somebody. The data is already damaged
Beautiful sticky-note wall from January, still up in June Adoption as ritual — the most common failure by a wide margin

The four conditions — all four, or it decays inside six months

# Condition The test
1 Somebody has real, protected time to remove constraints Can you name the person and the hours per week? A job title with no hours means the condition is false
2 The GC makes and keeps its own commitments, publicly, on the same board Is the GC's own PPC published alongside the trades'?
3 A miss is safe to declare Has anyone been punished — in a meeting, a negotiation, or a claim — for a recorded miss? If yes, the data is already worthless
4 The commercial terms let the benefit be shared, or the GC knowingly accepts it is investing Who paid, who gained, and does everybody know?

Numbers worth carrying

Fact Number
Five trades at 90% reliability, in a chain 0.9⁵ = 59% on time at the fifth handoff
Five trades at Northgate's measured 54% 0.54⁵ = 4.6% — once in about twenty-two weeks
Per-trade reliability needed for a 90% chain of five 97.9% — unattainable, so shorten the chain
Northgate baseline PPC 101 ÷ 187 = 54%
Share of misses caused by the GC's own systems 55% (prerequisite work 21 + material 14 + information 12, of 86)
Takt time Available time ÷ (zones + wagons − 1) — and round down
Northgate takt worked 45 WD ÷ (9 + 5 − 1) = 3.46 → 3 WD, 13 takts, 39 WD, 6 WD buffer
Slip rate measured, before → after ~1.0 CD/week → ~0.3 CD/week
Value of the 18 CD avoided $92,700 (GC burn at $5,150/CD) to $191,700 (with LDs at $10,650/CD), against $75,184 of system cost

The honest reading of that last line: on extended general conditions alone this roughly pays for itself and not much more. The real return sits in the tail — it is insurance against the day the slip crosses the contract date and liquidated damages switch on. Sell it that way and you will be believed. And note who actually gained the most: every avoided crew-idle event is a subcontractor's labor productivity, and the subcontractors paid nothing toward the $75,184. That imbalance is the central commercial problem of lean construction, and pretending it does not exist is how a program loses its credibility in month five.

The sentence to carry out of Part V

The schedule tells you what should happen; the constraint log tells you what can — and making work ready is a separate discipline from scheduling it.