Brown Bag University:
Value Stream Mapping
Brown Bag University:
                 Value Stream Mapping
•       Introductions
•       Defining a Value Stream
    –   ...
Facilitators




Mike Pircer                      Dan Walker
MAP Business Solutions, Inc.     River’s End Consulting
(248)...
Value Stream Mapping
What is Value Stream Mapping?
•   PENCIL AND PAPER!!!
•   Door to Door
•   Prioritize Improvement Pla...
Value Stream Mapping
Benefits of Value Stream
   Mapping.
•   Creates a vision of the
    future.
•   Enables broad partic...
Defining a Value Stream
What is a Value Stream?
•     A value stream is the set of all the actions (value-
      added and...
Defining a Value Stream
Group Your Products into Product Families whenever possible.

                               Proce...
Defining a Value Stream
Group Your Products into Product Families whenever possible.
Service Example: Insurance Claims

  ...
Defining a Value Stream
Selecting a Product/Product Family for Analysis
• Depends on your business situation.

•    Some c...
Current-State Value Stream Mapping
Current-
 Creating the Current-State VSM
 •       Form the team.
 •       Educate (if n...
Defining a Value Stream
Value Stream Waste Walk
•       Begin with the customer and work backwards.
•       As you walk th...
8 Types of Waste



             Motion              Over Producing
Defects




                Underutilized People    Wa...
Current-State Value Stream Mapping
Current-
 What data does the team need?
 •   C/T – Cycle Time
 •   C/O – Changeover (Se...
Drawing the Map
Drawing the Map
Drawing the Map
Drawing the Map
Drawing the Map
Current-State Value Stream Mapping
Current-
          A few VSM Icon Definitions
Questions and Answers



Mike Pircer                      Dan Walker
MAP Business Solutions, Inc.     River’s End Consulti...
Brown Bag Webinar Series
Friday, June 26 (11:30am – 12:15pm)
VSM – How To Create a Current State Map

Friday, July 10 (11:...
Recommended References
Books                                        Websites
•   Learning to See, Mike Rother and John    ...
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Vsm Voc Brownbag Webinar 06262009 [Compatibi

  1. 1. Brown Bag University: Value Stream Mapping
  2. 2. Brown Bag University: Value Stream Mapping • Introductions • Defining a Value Stream – What is a Value Stream? – Difference between value add and non-value add – Determining product families. – Selecting a product family for analysis • Creating a Value Stream Map – Walk The Line – 8 Types of Waste – Types of Data to Collect – Steps in Drawing a Current State VSM • Questions and Answers • Brown Bag Series
  3. 3. Facilitators Mike Pircer Dan Walker MAP Business Solutions, Inc. River’s End Consulting (248) 379-8344 (248) 770-2554 www.mapbizsolutions.com www.riversendconsulting.com www.linkedin.com/in/mikepircer www.linkedin.com/in/tentmakerenterprise
  4. 4. Value Stream Mapping What is Value Stream Mapping? • PENCIL AND PAPER!!! • Door to Door • Prioritize Improvement Plans
  5. 5. Value Stream Mapping Benefits of Value Stream Mapping. • Creates a vision of the future. • Enables broad participation. • Reduces the risk of creating “islands of excellence”. • Helps to break down communication barriers. • Provides an implementation road map.
  6. 6. Defining a Value Stream What is a Value Stream? • A value stream is the set of all the actions (value- added and non-value added) required to bring a product or service to the customer. Value-added or non-value added? Three tests: 1. It changes the shape or form. 2. The customer cares about it. 3. It needs to be done right the first time.
  7. 7. Defining a Value Stream Group Your Products into Product Families whenever possible. Process Step Product/Service 1 2 3 4 5 6,7,8... A X X X X B X X X C X X X X D X X X E, F, G...
  8. 8. Defining a Value Stream Group Your Products into Product Families whenever possible. Service Example: Insurance Claims Process Step Document Supervisor Manager Document VP Check to Product/Service #1 Approval Approval #2 Approval customer Claims under $500 X X X Claims from $500 - $1000 X X X Claims from $1000 - $2,500 X X X X Claims from $2,500 - $5,000 X X X X Claims from $5,000 - $10,000 X X X X X X
  9. 9. Defining a Value Stream Selecting a Product/Product Family for Analysis • Depends on your business situation. • Some criteria to consider: – Highest Product/Service Volume in $$. – Highest Product/Service Volume in Units. – Products/Services with the Highest Defect Rates or Rework. – Products/Services with the Highest Customer Return Rate. – Products/Services that Visit the Most Processes.
  10. 10. Current-State Value Stream Mapping Current- Creating the Current-State VSM • Form the team. • Educate (if necessary). • Brainstorm an initial map through: – Team consensus – “Value Stream Waste Walk” • Formalize scope and preliminary objectives. • Draft a rough-cut map. • Gather necessary data and info. • Create the final current-state value stream map.
  11. 11. Defining a Value Stream Value Stream Waste Walk • Begin with the customer and work backwards. • As you walk through, consider: – How customer orders are processed. – How work on the shop floor or offices is triggered. – How orders are transmitted upstream. – How materials are supplied. – How products/services get from the last step in the process to the customer. – Identify waste within value stream.
  12. 12. 8 Types of Waste Motion Over Producing Defects Underutilized People Waiting Inventory Over- Processing Transportation
  13. 13. Current-State Value Stream Mapping Current- What data does the team need? • C/T – Cycle Time • C/O – Changeover (Setup) Time • Uptime - % machine is available • Number of people, by type or classification • Operating or working time available • Average days supply in inventory between operations (WIP) • Queue time between operations • Scrap rate • Absenteeism • Top three reasons for unplanned downtime • Top three defect causes • Source of schedule information for each operation
  14. 14. Drawing the Map
  15. 15. Drawing the Map
  16. 16. Drawing the Map
  17. 17. Drawing the Map
  18. 18. Drawing the Map
  19. 19. Current-State Value Stream Mapping Current- A few VSM Icon Definitions
  20. 20. Questions and Answers Mike Pircer Dan Walker MAP Business Solutions, Inc. River’s End Consulting (248) 379-8344 (248) 770-2554 www.mapbizsolutions.com www.riversendconsulting.com www.linkedin.com/in/mikepircer www.linkedin.com/in/tentmakerenterprise
  21. 21. Brown Bag Webinar Series Friday, June 26 (11:30am – 12:15pm) VSM – How To Create a Current State Map Friday, July 10 (11:30am – 12:15pm) VOC – How To Set Up a Proper VOC Project Friday, July 24 (11:30am – 12:15pm) VOC/VSM – Group discussion
  22. 22. Recommended References Books Websites • Learning to See, Mike Rother and John • The Lean Enterprise Institute (eVSM Shook software can be purchased from this site) • Value Stream Management for the Lean www.lean.org Office, Don Tapping and Tom Shuker Training: • Voices into Choices, Gary Burchill and • cpd.engin.umich.edu: University of Christina Hepner Brodie Michigan Lean Certification Program. • Synchronous Management, • www.villanovau.com: Villanova Mokshagundam Srikanth and Michael University Lean Six Sigma Umble Certification Program • Throughput Accounting, Thomas Corbett

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