Quality Management: From the Field
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1 Quality Management: From the Field Dave Evert Production Manager Veridian Homes Rich Rodriguez President Dunhill Homes Bill Rectanus VP Homebuilding Operations Thrive Home Builders
2 Dave Evert-Production Manager Quality Control/ Trade Development Scheduling
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5 Evert Family Farm 6/2/16
6 Family
7 Top Secret Perfect Schedule
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18 Biltmore Mansion Ashville, N.C. April 2016
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24 OUR CUSTOMERS Who are they? Home Buyers Fellow Employees and Departments Trade Partners
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41 TRADE PARTNERS How do you get buy in? What do Trade Partners want?
42 Build trust and buy in by example Consistent work Jobsite Readiness Quality work ahead and Behind Trade Pay on time Make sure they feel included
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53 Meeting Agenda VH TEAM MEMBERS: Dave Alberts, Dave Evert, Sara McNulty, and Theresa Wilke FLOOR360 TEAM MEMBERS: Scott Fisher, and Matt Kroening MEETING DATE/TIME: Tuesday, May 10 th at 3:00pm (next meetings 4/12, 4/26, 5/10, 5/24) LOCATION: Veridian Homes TASK RESPONSIBLE PARTY DUE DATE 1. First Time Service Entire Team 5/10/16 2. Tile installer (Dave) Late. Brett needs to follow Dave closely. If another job is late we need to consider removing Dave from our pool of installers. 5/10/16 3. Vendor No Shows Entire Team 5/10/16 STATUS 2015 YTD 87.5% 2016 YTD 87/104=83.7% Jan 30/37 = 81.1% Feb 29/38 = 76.3% March 28/29 = 96.6% Vendor No Shows 2016 Jan 3 no shows Feb 2 no shows March 1 no show April 1 no show 4. Reduce warranty services Floor360 5/10/16 Review Floor360 tracking 5. Review Feedback since 4/12/16 Entire Team 5/10/16 6. OFI s - review OFI chart Entire Team 7. Floor360 report out on processes: 1. Notify Veridian upfront if
54 Action Items/OFI s OF I's It e ms F r om F loor Me e t ing s Date Entered Task / Action Item Responsible Party Due Date Status Completed Date Implementation /Feedback /1/16 3/1/16 3/1/16 3/1/16 Mosaic tile-set standards for installation (tile straight, grout line inconsistencies, chipped tiles) and review manufacturer's expectations for product/installation Training: Set internal standards for each phase of work. Black grout/white tile-not recommended. Inform Design Studio Installation standard for fireplaces: Laminate first, tile second All Floor360 05/24/16 All Veridian 04/12/16 setting expectations. Installers standards to reject. Set expectations with homeowners of how it looks/what they can see Gary change schedules. PB must notify on updates. Need to change schedule template. Move fireplace tile to day after laminate floors. 7 3/15/16 Backsplashes Standards and Expectations Floor360 different styles and tiles - grout line variances (look at showroom) 8 3/15/16 Adding Tile showers to Warranty Handbook All 10 3/15/16 Transition strip installation review with Edge - discuss how we handle warranty. Build Meeting 05/24/16 Review at next finished build meeting on 5/6/ /29/16 Floor squeaks hard surface areas on 2nd floor. What does our warranty state? What expectation should we be setting? Veridian 05/24/ /29/16 Mosaic Tile Fireplace installation standards. Floor360 Scott will notify team when the next fireplace installation occurs.
55 Service order tracking by vendor May-16 Tile Floor360 Issue Tile Not caused by Floor360 Wood & Laminate Floor360 Issue Wood & Laminate Not caused by Floor360 Vinyl Floor360 Issue Vinyl Not caused by Floor360 Carpet Floor360 Issue Carpet Not caused by Floor360 Framer Assist 1 Laminate Repair 2 4 Vinyl Repair 3 Grout repair 1 Transition strips 1 1 No Show Floor360 No Show Customer Monthly Total Floor360 Issues Monthly Total Non Floor360 Issues Totals Floor 360 Issues Totals Non Floor360 Issues Completed punchlist are highligthed in Yellow Punchlist Date Due 6123 The Vilas at Secret Places 5/2/ Secret Places 5/3/ Grandview Commons 5/4/ Smith's Crossing 5/5/2016
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60 Veridian Homes Controlling Calendar for Excavation June Mon Tue Wed Thur Fri Mon Tue Wed Thur Fri Mon Tue Wed Thur Fri /15 9/16 9/19 9/20 9/21 9/22 9/23 9/26 9/27 9/28 9/29 9/30 10/3 10/4 Excavation 832 GVCN BK 99 SH RL 28 BP RD 114 HWC PB 184 SP HCF 40 SSE DA2 869 GVC EN 289 CP CB 818 GVCN TS 155 MC CN 445 SC BK 136 CP RL 444 SC RS 147 MC FM 78 CG HCF 8 QHT RD 179 TM EN 108 CP PB 418 SC RS 189 JR TS 712 GVC BK 187 JR CB 854 GVCN HCF 9 QHT RD 174 GVC EN 98 SH RL 13 QHT PB 131 TM FM Foundation Wall 831 GVCN 51 CG 832 GVCN 28 BP 184 SP 869 GVC 818 GVCN 445 SC 444 SC 78 CG 179 TM 418 SC 712 GVC 854 GVCN 128 TM 99 SH 114 HWC 40 SSE 289 CP 155 MC 136 CP 136 CP 8 QHT 108 CP 189 JR 187 JR 9 QHT Backfill 80 SH 452 SC 84 CG 773 GVCN 40 SP 831 GVCN 51 CG 832 GVCN 28 BP 184 SP 869 GVC 818 GVCN 445 SC 444 SC 18 SSE 731 GVC 160 CP 774 GVCN 188 CP 128 TM 99 SH 114 HWC 40 SSE 289 CP 155 MC 136 CP 147 MC /5 10/6 10/7 10/10 10/11 10/12 10/13 10/14 10/17 10/18 10/19 10/20 10/21 10/24 Excavation 448 SC RS 24 SSE DA2 68 TM BK 291 CP CB 136 MC HCF 157 JR TS 775 GVCN JJ 776 GVCN JJ 151 BP RL 820 GVCN EN 165 CP PB 190 BP RD 451 SC CN 150 MC FM 644 GVC BK 11 CP CB 161 JR TS 856 GVCN HCF 215 TM EN 120 HWC RL 79 CG RS Foundation Wall 174 GVC 13 QHT 448 SC 68 TM 136 MC 775 GVCN 151 BP 165 CP 451 SC 644 GVC 161 JR 215 TM 98 SH 131 TM 24 SSE 291 CP 157 JR 776 GVCN 820 GVCN 190 BP 150 MC 11 CP 856 GVCN 120 HWC GD 5/27/16 Backfill 78 CG 179 TM 418 SC 712 GVC 854 GVCN 174 GVC 13 QHT 448 SC 68 TM 136 MC 775 GVCN 151 BP 165 CP 451 SC 8 QHT 108 CP 189 JR 187 JR 9 QHT 98 SH 131 TM 24 SSE 291 CP 157 JR 776 GVCN 820 GVCN 190 BP 150 MC
61 Standard Daily Schedule
62 Standard Daily Schedule
63 Standard Daily Schedule
64 Standard Daily Schedule
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75 Quality Management Snapshot Bill Rectanus, VP of Operations
76 Thrive Home Builders
77 Why the Alliance?
78 The Issue
79 3 rd Party Quality Assurance
80 The Path Forward
81 Insurance Requirements
82 The Program
83 The Cost
84 The Future
85 Contact Info Bill Rectanus Vice President Operations, Thrive Home Builders
86 Case Study: PAF Distribution % Savings Failure Appraisal Prevention 20 0 Cost Before Quality Management Cost After Quality Management Pheng, L.S & Ke-Wei, P (1996) A Framework for Implementing TQM in Construction, The TQM Magazine, Vol 8 No 5, pp 39-46
87 Case Study: The Real Opportunity Year 1 Year 4 Hms $ %TQS %Sales Hms $ %TQS %Sales Volume Sales 120M 63M ASP 240K 280K TQS 1,660K K 0.89 P+A 248K K 35 F 1,420K K 65 ASP: Average Sales Price TQS: Total Quality Spend P: Prevention A: Assessment F: Failure 36% TQS as % of Sales What is this in real $s?
88 Case Study: The Real Opportunity Year 1 Adjusted Year 4 Hms $ %TQS %Sales Hms $ %TQS %Sales Volume Sales 63M 63M ASP 240K 280K TQS 873K K 0.89 P+A 130K K 35 F 743K K K savings in TQS: ASP: Average Sales Price TQS: Total Quality Spend P: Prevention A: Assessment F: Failure 64K invested in P+A 378K reduction in F $5.90 return for every $1 invested
89 Is it worth it?
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