Cost Reduction Concept and Increase Profits to the Construction Business with Lean Construction Management

Abstract

This paper presents the concept of lean construction management, the problems that affect costs in the construction business, and the application of lean construction principles to reduce costs in construction. It focuses on managing key resources in the organization such as material, time, and labor by planning and scheduling, inventory management, adjustment of the procurement system, focusing on people and communication, encouraging participation, and improving the flow of resources and information. To reduce waste in the construction process, increase operational efficiency, and increase the competitiveness of the organization.