September 12, 2018 @ 5:00 pm – 7:00 pm
Coact Design Works
801 T St
Sacramento, CA 95811


LCI Northern California  Community of Practice (Sacramento Region)


Owner Benefits of a Lean Value Definition Approach to Pre-Design Planning

At the moment an Owner makes a decision to consider building a project, both the choices and the risks are open-ended. Everything is yet to be decided, but every decision constrains the plan. In a typical disjointed siloed planning phase approach, the best opportunities to optimize the project are lost before it ever gets past the initial go/no go decision.  Although this “Value Definition Phase” is the time where the benefits of a collaborative Lean approach can be most beneficial, a reliable method for doing it has been elusive.  A value definition, done right, should provide the delivery team (architect/contractor) a coordinated reliable project definition, with collaborative stakeholder input, predictable risks identified and mitigated, onerous contract terms made unnecessary, requirements and budget aligned, and (perhaps most valuable) an owner team skilled in Lean practice and prepared to be a better partner. A more enlightened value definition provides the Owner with the best possible opportunity for optimization of function, cost, time, aesthetics, and total cost of ownership over the entire life of the facility.

This session will propose a model for a “Value Definition” approach, adapting Lean practice to optimize the project plan. Our purpose is to facilitate a conversation with owners, architects and contractors to collect input and feedback for an upcoming research paper.  The goal is to invent a better value definition for design and construction, created by a collaborative team, making good, fully informed decisions in the right order at the right time, with a shared understanding of project cost, risks and mitigations.  The skills to be effective in their collaborative roles during the design and construction process

The program’s purpose to provide an overview of the early project planning phase which produces a project’s value definition and to stimulate thinking among the attendees for improvement. The program will explore the idea to expand the use last planner during early planning to greatly improve our ability to adjust and apply lean methodology to this phase. We will refer to this as the Value Definition Phase. The methodology proposes taking advantage of the extraordinary value of Lean during project conception.

The program will include content from Bill’s extensive experience with complex capital projects and his continued research in the search for improvement with insight into current practices from a Sutter Health Critical Care Expansion Project represented by Chris Burun (Sutter Health PM) and Denis Stroup (HGA Sr PM).

Owners have been resistant to change during the value definition planning phase as a result of the vagueness of the project definition, a preconceived notion of risk and cost before making their initial go-no go decision. Introducing Lean during the Value Definition Phase has the potential for radically improving value, function, design and construction outcomes and particularly long term operating cost over the entire life of the facilities. New research indicates that by introducing an adaptation of a lean-based operating system built around Last Planner®, rolling risk mitigation and target value methodology it will enable the use of other lean tools and open up the best opportunities for true project optimization.


Pat Derickson – Coact Designworks – President of Coact Designworks in Sacramento, is a member of the core planning team for the Lean Construction Institute Northern California Community of Practice. Pat will serve as the facilitator for the program.

Bill Proctor – Lean Project Delivery Planning consultant – Bill was an early adapter of Lean Project Management and Integrated Project Delivery methodology for large projects being developed under complex circumstances. He served as the Project Director for the $6 billion California Prison Receivership program and the Project Manager on the $3 billion University of California Berkeley Lawrence Berkeley Lab Second Campus Master plan.

Chris Burun – Sutter Health – Chris is Sutter Health’s Project Manager on their $180 million Sutter Health’s Roseville Critical Care Expansion project. The project included a validation phase to define benchmark of success. This phase utilized early engagement and co-location of the owner/design/construction team.

Denis J Stroup – HGA –  Denis is Associate Vice President for HGA Architects and is serving Sutter Health’s Roseville Critical Care Expansion Project as their Senior Project Manager. He is working in collaboration with Chris Burun to deliver the project.

Light refreshments and beverages provided

 Street Parking is available.

Registration Rates:

Member: $55.00
Non-Member: $75.00
Owner: Free
Student: Free