Value stream mapping in project management
a case study
Procuring materials for constructions projects is a high-risk activity that can easily cause project failure--schedule delays, cost over-runs--if this process is not expertly managed and controlled. This paper examines how one global construction company--which specializes in building offshore oil rigs--uses value stream mapping (VSM) to analyze and manage its procurement of construction materials. In doing so, it overviews the literature on project material management, noting the various approaches researchers have developed and advocated; it describes a procurement model based on four methods: the integrated definition (IDEF) methodology, stream analysis approach (SAA), activity-based costing (ABC), and discrete event simulation (DES).