Value Stream Mapping
Value Stream Mapping
1
Value Stream Mapping Definition
• Value Stream Mapping (VSM):
– Special type of flow chart that uses symbols known as "the language of Lean" to depict and improve the flow of inventory and information.
2
Value Stream Mapping Purpose
• Provide optimum value to the customer through a complete value creation process with minimum waste in:
– Design (concept to customer) – Build (order to delivery) – Sustain (in-use through life cycle to service)
3
Why ?
• Many organizations pursuing “lean” conversions have realized that improvement events alone are not enough • Improvement events create localized improvements, value stream mapping & analysis strengthens the gains by providing vision and plans that connect all improvement activities • Value stream mapping & analysis is a tool that allows you to see waste, and plan to eliminate it
4
What Is Value?
• A capability provided to a customer
– of the highest quality, – at the right time, – at an appropriate price,
as defined by the customer.
• "Value" is what the customer is buying
5
What Is Value Stream Analysis?
Planning tool to optimize results of eliminating waste current state VSM future state VSM
+
+
Lean Basics
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6
Value Steam Mapping Steps
Next Future State
Future State
Current State
Original State
7
Apply Five Simple Principles
• Specify value from the standpoint of end customer • Identify the value stream for each product family • Make the product flow • So the customer can pull • As you manage toward perfection VALUE
Perfection
VALUE STREAM
PULL
FLOW
8
What is the Value that Flows?
Specify value from the standpoint of the end customer Ask how your current products and processes disappoint your customer’s value expectation:
• • • • • price? quality? reliable delivery? rapid response to changing needs? ???
9
What Flows?
"ITEMS" flow through a value stream
– In manufacturing, materials
1
Value Stream Mapping Definition
• Value Stream Mapping (VSM):
– Special type of flow chart that uses symbols known as "the language of Lean" to depict and improve the flow of inventory and information.
2
Value Stream Mapping Purpose
• Provide optimum value to the customer through a complete value creation process with minimum waste in:
– Design (concept to customer) – Build (order to delivery) – Sustain (in-use through life cycle to service)
3
Why ?
• Many organizations pursuing “lean” conversions have realized that improvement events alone are not enough • Improvement events create localized improvements, value stream mapping & analysis strengthens the gains by providing vision and plans that connect all improvement activities • Value stream mapping & analysis is a tool that allows you to see waste, and plan to eliminate it
4
What Is Value?
• A capability provided to a customer
– of the highest quality, – at the right time, – at an appropriate price,
as defined by the customer.
• "Value" is what the customer is buying
5
What Is Value Stream Analysis?
Planning tool to optimize results of eliminating waste current state VSM future state VSM
+
+
Lean Basics
=
6
Value Steam Mapping Steps
Next Future State
Future State
Current State
Original State
7
Apply Five Simple Principles
• Specify value from the standpoint of end customer • Identify the value stream for each product family • Make the product flow • So the customer can pull • As you manage toward perfection VALUE
Perfection
VALUE STREAM
PULL
FLOW
8
What is the Value that Flows?
Specify value from the standpoint of the end customer Ask how your current products and processes disappoint your customer’s value expectation:
• • • • • price? quality? reliable delivery? rapid response to changing needs? ???
9
What Flows?
"ITEMS" flow through a value stream
– In manufacturing, materials
References: • New Lean Toolbox : Towards Fast Flexible Flow (2004), Bicheno, John, Picsie Books. • Learning to See (2009), Rother, Mike and Shook, John, Lean Enterprise Institute. • http://www.valuebasedmanagement.net/method s_value_stream_mapping.html. • http://www.bizbodz.com/BusinessImprovement/Lean/Value-Stream-Mapping-Howto-Guide-Part-1.asp. • http://www.strategosinc.com/value-streammapping-3.htm. • http://www.engineering.uiowa.edu/~cam/Docum ents/ValueStreamMapping.ppt. 35