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CITOOLKIT
Value Stream Map
A Visual Approach to Process Optimization
citoolkit.com
Introduction
A high-level visual representation of a business process which helps to
understand the flow of value through the process as perceived by the
customer.
Value Stream Map 2
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Introduction
Used to identify opportunities for reducing waste and improving quality
and performance by making the non-value-added activities easier to
identify, and this is the heart of improving any business process.
Value Stream Map 3
Examining the value stream
helps identifying waste and
non-value-added activities
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Introduction
Involves the value-added and non-value-added work needed to create the
products and services in response to customer needs.
Value Stream Map 4
Provides a graphical representation of the information and material flows.
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Introduction
Considered an improvement tool rather than just a definition of how the
process operates or should operate.
Value Stream Map 5
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Introduction
Considered as a tool for . . .
Value Stream Map 6
Communication
Change
Management
Continuous
Improvement
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Introduction
Considered as a tool for . . .
Value Stream Map 7
Communication
Change
Management
Continuous
Improvement
A team may see an opportunity for maximizing the production rate to match the rate of
customer demand
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Introduction
Considered as a tool for . . .
Value Stream Map 8
Communication
Change
Management
Continuous
Improvement
Useful for drawing a future state map or a blue-sky vision toward achieving the desired
change
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Introduction
Considered as a tool for . . .
Value Stream Map 9
Communication
Change
Management
Continuous
Improvement
Effectively communicates where to focus the continuous improvement and change efforts
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Lean Thinking
Often considered as the first and last thing to do during a Lean project.
It is a dynamic tool and should be updated continually as the process
improved.
Value Stream Map 10
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Applications
Often associated with manufacturing.
Value Stream Map 11
Can also be applied in product development and service environments such as
healthcare, hospitality and logistics.
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Applications
Often used to improve an end-to-end process in a single site.
Value Stream Map 12
Process
Level
Single Site
Multiple Sites
Supply Chain
Start here
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A Process Mapping Technique
Tends to display more information than a typical process map or flowchart.
However, a value stream map does not track all possible paths and
decisions a process can take.
Value Stream Map 13
It should focus only on the high-level flow of value from start to finish.
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A Process Mapping Technique
Preferred over other process mapping techniques . . .
Value Stream Map 14
When you want to improve productivity,
utilization, and load distribution of staff
When you want to know the effectiveness
of your customer service approach
When you want to present the health of
your processes to the top management
When you want to know the various
business systems used by your processes
When you want to find out the Lean
opportunities that exist in your core
processes
When you want to know the various
inventories and delays exist in your
processes
10
20
40
30
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Benefits
Value Stream Map 15
Helps to understand the flow of
value as perceived by the customer
01 Provides the opportunity to
understand what is happening today
02
Gives everyone a chance to see how
their work fits into the big picture
03
Provides the opportunity to discuss
and plan the needed improvements
04
Helps making the process as close
to lean as possible
05
Enables to see the big picture from
beginning to end
06
Helps identify and eliminate waste
within the value stream
07
Helps establishing a future state
vision
08
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Benefits
Enables to see where problems lie within processes . . .
Value Stream Map 16
Problems and
inconsistencies
Delays
Other forms of
waste
Excessive inventory
levels
Non-value-added
activities
Bottlenecks
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Other Benefits
Value Stream Map 17
Help understanding and improving workplace organization
Enable to see how improvements in one area will impact on other areas
Provides a common visual language to understand complex processes
Provides a framework for conversations and problem-solving
Demonstrates the interaction between material flow and information flow
Provides direction for streamlining, transformation and change
Provides important descriptive information for the operation
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Value Stream
A Value Stream is the set of activities required to convert raw materials to
finished products in the hands of the customer.
Value Stream Map 18
CUSTOMERS
SUPPLIERS
The product here may indicate any part, service or the combination of both.
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Value Stream – Other Definitions
Value Stream Map 19
The set of all the specific actions required to bring a specific
product through the three critical business management tasks;
problem solving, information management, and physical
transformation.
Womack and
Jones
“ “
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Value Stream Map (VSM)
A value stream map is the flow layout of the material and information flows.
Value Stream Map 20
Manual and electronic
information flow along with
the material flow
Material flow, where products
flow through the stream
It can help you visualize and understand the material and information flow.
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Material Flow
Includes processing, handling, transport and storage.
Value Stream Map 21
Material flows involve physical product flow from suppliers to consumers, as well as
the returns of products, rework, recycling and disposal.
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Information Flow
Important to the effective control of the material flow.
Value Stream Map 22
Information is important to ensure that
customers and suppliers will provide and
receive information before any physical
product or material is shipped or received.
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Information Flow – Information Types
Value Stream Map 23
Manual – Information that is passed on manually or verbally.
Electronic – Information that is passed on via telephone, fax, email, etc.
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Information Flow
Information flow may include . . .
Value Stream Map 24
Demand forecasts
The transmission of orders
Financial related flows
Schedules, instructions, approvals and reports
Verbal discussions and communication
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Inventory
It is also important to look at the amount of stored raw materials, work in
process (WIP), and finished products.
Value Stream Map 25
RAW
MATERIALS
WORK IN
PROGRESS
FINISHED
GOODS
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Manufacturing Example
VSM created for a specific product family within a manufacturing facility.
Value Stream Map 26
Note how the suppliers are indicated at the top left and the customers are depicted at the top right.
Material
handling
Processing Packaging Shipping
Production
control
Daily schedule
Customer
Supplier
I
FIFO
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Non-Manufacturing Example – Equipment Installation
VSM created for a nonmanufacturing process, namely equipment installation.
Value Stream Map 27
Email request
Customer
service
Customer
Supplier
Notification
Schedule
installation
Forecasting
I Pick up parts
Install
equipment
Functional
test
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Product Selection
Which Product to Select?
Value Stream Map 28
No need to map the flow of every product, but the
production of a single product or single product
family
Consider long lead time and high-volume products
or services
Consider a product which has a high business
impact
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Product Selection
A Product Family Matrix may help!
Value Stream Map 29
PRODUCT PRESS SHAPE BEND PAINT PACKAGE
A X X X X
B X X X X
C X X X
D X X X
Produce a single flow diagram that is suitable for all product families
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Value Stream Mapping Process
Value Stream Map 30
Select the Value Stream
Draw the Current State Map
Develop and Implement Improvements
Draw the Future State Map
1
2
3
4
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Current State Map
Value stream mapping begins by defining the current state as it is today.
This allows to identify waste and areas where improvement can be made.
Value Stream Map 31
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Current State Map
Why having a current state map?
Value Stream Map 32
Focus on understanding the existing flow of one product or service at once
Develops an understanding of how the value stream
operates today
Helps identify the waste elements and improvement
areas
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Current State Map
Consider the Eight Types of Waste.
Value Stream Map 33
Waiting
Defects
Over-production
Unnecessary
Transportation
Excess of
Inventory
Unnecessary
Movements
Over-
process
Unused
Skills
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Future State Map
Once the current state is mapped, and after studying the flow of materials
and information and identifying the waste, it is time to create a future state
map of how the process should be.
Value Stream Map 34
It is the ideal state or
blueprint that you want to
achieve toward
implementing a lean
system
Should be based on Lean
principles such as flow,
pull and perfection to
create a more streamlined
production flow
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Future State Map
What does future mean?
Value Stream Map 35
It is important to define what is meant
by ‘future’ before beginning to
develop the future state.
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Implementation Plan
Between the current and the future states there is a gap.
An implementation plan should be developed and implemented to bridge
the gap and get to the future state.
Value Stream Map 36
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Implementation Plan
Remember that this is a project that needs to be owned, tracked and
monitored throughout its life cycle.
Value Stream Map 37
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Value Stream Map 38
When the future state becomes a reality, it
becomes the new current state.
The process will start all over again, and this is
the essence of continuous improvement.
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Hints
Value Stream Map 39
A current state map without a future-state
vision is a waste.
A future state map without an action plan to
achieve it is a waste.
Avoid focusing on improvement opportunities
with little impact.
Avoid focusing on improvement opportunities
with little impact.
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Value Stream Mapping Symbols
Value stream mapping uses a set of symbols to denote the various details.
The type of symbols that are used usually depends on the industry and the
type of work.
Value Stream Map 40
I
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Value Stream Map 41
C/T =
C/O =
Uptime =
NAT =
I FIFO
S
OXOX
Value Stream Mapping Symbols
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Value Stream Mapping Symbols
Value Stream Map 42
C/T =
C/O =
Uptime =
NAT =
I FIFO
S
OXOX
Other identical symbols are used in a
different way by different companies
You may design your own symbols to
express your details
New symbols should be simple and
easy to design
New symbols should be
understandable by everyone
The list is by no means complete!
Many symbols that are used pretty
much universally
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Value Stream Map 43
Material flow
C/T =
C/O =
Uptime =
NAT =
Data box
Process box Push
Information flow Withdrawal
COATING
Process or
operation box
Covers one area of continuous flow, where materials flow
without being stored, queued or delayed.
Used when a part is intentionally changed in any of its
characteristics, assembled or disassembled, or arranged for
another operation, transportation, inspection, or storage.
Also used to represent a person (or department) doing
work, or when information is given or received.
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Value Stream Map 44
Material flow
C/T =
C/O =
Uptime =
NAT =
Data box
Process box Push
Information flow Withdrawal
C/T = 2.3 seconds
C/O = 52 minutes
Uptime = 85%
NAT = 25,200 seconds
Scrap rate = 3.1%
COATING
Data box
Optionally used to list key information related to processes.
Can be placed under other symbols (e.g., transportation,
inventory or key customers or suppliers) to list key
information.
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Value Stream Map 45
Material flow
C/T =
C/O =
Uptime =
NAT =
Data box
Process box Push
Information flow Withdrawal
Helps later when creating the value stream timeline and the
value stream summary box, and when comparing between
the different workstations or processes.
For example, analyzing which workstation has the maximum
number of operators or has the maximum change-over
time.
Drawing
Prod. Rate = 2450
C/T = 30 sec
C/O = N/A
Uptime = 98%
Rinsing
Prod. Rate = 2400
C/T = 376 sec
C/O = 60 min
Uptime = 94 %
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Value Stream Map 46
Material flow
C/T =
C/O =
Uptime =
NAT =
Data box
Process box Push
Information flow Withdrawal
Cycle times (C/T) Net available working times (NAT)
Changeover times (C/O)
Defect or scrap rates Production rates or EPE
Machine uptime rates
Processing times Number of workers per machine
Setup times
Rework rates Overall equipment effectiveness
Product flow (push or pull)
Batch sizes Number of product variations
Maximum capacities
Information related to processes depend on the needs and may include:
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Value Stream Map 47
Generally used to represent flow of information.
Can be accompanied with text or other icons to indicate the
type of information, the frequency of information
interchange, and the type of media used (telephones,
emails, Intranets, LANs, etc.).
Some lean practitioners simply use the straight arrow for all
types of information flow.
Material flow
C/T =
C/O =
Uptime =
NAT =
Data box Push
Information flow Withdrawal
Process box
Manual
information flow
Electronic
information flow
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Value Stream Map 48
Represents the transfer or movement of materials from one
process to the next.
Also represents the movement of raw materials from
suppliers to the receiving areas (accompanied with the
shipping frequency).
Also represents the movement of finished goods from the
shipping areas to the customers (accompanied with the
shipping frequency).
Material flow
C/T =
C/O =
Uptime =
NAT =
Data box Push
Information flow Withdrawal
Process box
Material flow or
shipping
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Value Stream Map 49
Pushing the materials from one process to the next.
Represents a material flow that is not controlled by a pull
system.
Material flow
C/T =
C/O =
Uptime =
NAT =
Data box Push
Information flow Withdrawal
Process box
A push arrow
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Value Stream Map 50
Used when the material is pulled from the supplying
process to the supplied process.
Material flow
C/T =
C/O =
Uptime =
NAT =
Data box Push
Information flow Withdrawal
Process box
Material
withdrawal or
physical pull
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Value Stream Map 51
External body Transport Worker
I
Inventory
S
Safety stock
FIFO
FIFO sequence
Firm name
(supplier or customer)
Represents an external body to the organization, and mainly
indicates the key suppliers and customers along the value
chain.
Often accompanied with a data box underneath which
covers the characteristics of that supplier or customer.
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Value Stream Map 52
External body Transport Worker
I
Inventory
S
Safety stock
FIFO
FIFO sequence
Information related to customers may include:
Number of customers, demand rate (items/day), packaging
size requirement, actual and required lead times, error
rates, customer shift pattern, product mix, etc.
Usually there is only one customer shown, but you may have
more than one.
300 items/day
87 type A, 120 type B
Pallet = 30 items
3 shifts, 24/7operation
Customer Name
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Value Stream Map 53
External body Transport Worker
I
Inventory
S
Safety stock
FIFO
FIFO sequence
Information related to suppliers may include:
Number of suppliers, demand rate (items/day), packaging
size requirement, actual and required lead times, error
rates, supplier shift pattern, the different types of materials,
etc.
Usually there is only one supplier shown, but you may have
more than one.
Supplier Name
5 Shipments/month
3 shifts, 24/7operation
Delivery time:30-55 days
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Value Stream Map 54
External body Transport Worker
I
Inventory
S
Safety stock
FIFO
FIFO sequence
Transport or
Shipment
Represents how raw materials are brought in and how
finished goods are sent out.
Also represents the transport of raw materials, WIP, or
products within the facility by an operator.
Date related to transportation may include:
Distance traveled, transportation time, transportation
frequency, number of product types, etc.
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Value Stream Map 55
External body Transport Worker
I
Inventory
S
Safety stock
FIFO
FIFO sequence
Transportation can be of three types:
1- External (e.g., trucking).
2- Internal (e.g., forklifts).
3- Conveying between processes.
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Value Stream Map 56
External body Transport Worker
I
Inventory
S
Safety stock
FIFO
FIFO sequence
Usually placed in a process box to represents the number of
workers deployed at a particular workstation.
3
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Value Stream Map 57
External body Transport Worker
I
Inventory
S
Safety stock
FIFO
FIFO sequence
I
Inventory
Represents the storage locations for raw materials, work-in-
process (WIP), and finished products throughout the value
stream.
Date related to inventory may include:
Inventory type, amount of inventory, queue or delay time,
number of product types in the inventory, etc.
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Value Stream Map 58
External body Transport Worker
I
Inventory
S
Safety stock
FIFO
FIFO sequence
I
#
You can write a number below the triangle to indicate the
approximate amount of inventory observed, or the
maximum capacity.
You may indicate that the inventory is uncontrolled or has
no fixed upper limit by leaving the triangle without a
number.
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Value Stream Map 59
External body Transport Worker
I
Inventory
S
Safety stock
FIFO
FIFO sequence
Q
Quality inspection
I
Delay
Occurs when a product is examined against pre-defined
quality standards to determine whether defective products
are being produced.
Represents unplanned accumulation of materials or
products without a prior plan. Also represents a delay in the
process, such as waiting for approval.
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Value Stream Map 60
External body Transport Worker
I
Inventory
S
Safety stock
FIFO
FIFO sequence
S
#
Represents a safety stock against problems such as
unplanned breakdowns, to protect the production system
against failure or sudden fluctuations in customer demands.
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Value Stream Map 61
External body Transport Worker
I
Inventory
S
Safety stock
FIFO
FIFO sequence
FIFO
MAX =
FIFO lane
First In First Out lane is used to show where parts are stored
or transferred to the next process in a FIFO sequence
(queue).
You may write either the maximum capacity or the current
capacity above or below the FIFO lane.
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Value Stream Map 62
Work cell Document /
report
Business
system
Go see Kaizen burst Improvement
idea
Work cell
An organized arrangement of resources within a
manufacturing environment aimed to enhance process
efficiency, quality, and cost-effectiveness.
Workers, machines, and materials are put together in one
place to streamline operations and optimized workflow.
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Value Stream Map 63
Work cell Document /
report
Business
system
Go see Kaizen burst Improvement
idea
Document or
report
Represents a document, form or report that is generated
throughout the value stream. More than one report can be
represented through the use of multiple symbols behind
each other.
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Value Stream Map 64
Work cell Document /
report
Business
system
Go see Kaizen burst Improvement
idea
Business System
Represents a centralized system (ERP or MRP).
Note that value stream mapping considers not only the
process, but also the management systems and information
systems that support the process
Note that a production control or scheduling system can
also be represented using a plain box.
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Value Stream Map 65
Work cell Document /
report
Business
system
Go see Kaizen burst Improvement
idea
Visually checking
and gathering of
information
Visually checking material and information flows to ensure
they meet quality standards and quantity requirements.
For example, a supervisor may visually check the material
flow to seek for discrepancies, visually inspect a sample
product as part of his routine job, or visually check the
amount of inventory to decides what to produce next.
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Value Stream Map 66
Work cell Document /
report
Business
system
Go see Kaizen burst Improvement
idea
Kaizen or
lightening burst
Used to indicate issues and problems throughout the value
stream.
Kaizen bursts help launch appropriate kaizen events for
continuous improvement.
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Value Stream Map 67
Work cell Document /
report
Business
system
Go see Kaizen burst Improvement
idea
Improvement
idea
Used to indicate a solution, suggestion, or improvement
idea.
The team can highlight improvement opportunities that are
critical to achieve the future state of the value stream.
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Value Stream Map 68
OXOX
Signal Kanban Supermarket Kanban post Production
Kanban
Withdrawal
Kanban
Load leveling
Signal Kanban
Used when the on-hand inventory levels in the supermarket
between two processes drops to a minimum or the trigger
point.
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Value Stream Map 69
OXOX
Signal Kanban Supermarket Kanban post Production
Kanban
Withdrawal
Kanban
Load leveling
Supermarket
Represents an inventory supermarket or the end point of a
Kanban loop.
For a supermarket to be complete, an information flow
should come out of it and bring a Kanban back to one of the
preceding processes or transports.
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Value Stream Map 70
OXOX
Signal Kanban Supermarket Kanban post Production
Kanban
Withdrawal
Kanban
Load leveling
Kanban post
A location where Kanban signals reside for pickup.
Often used with two-card systems to exchange withdrawal
and production Kanban.
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Value Stream Map 71
OXOX
Signal Kanban Supermarket Kanban post Production
Kanban
Withdrawal
Kanban
Load leveling
Production
Kanban
Used to signal the supplying process to trigger production
and provide a pre-defined number of parts to the next
process.
Usually drawn on top of the information flow going back
from a supermarket to a preceding process or transport.
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Value Stream Map 72
OXOX
Signal Kanban Supermarket Kanban post Production
Kanban
Withdrawal
Kanban
Load leveling
Withdrawal
Kanban
A note card or device that instructs the material handler or
operator to go to the supermarket and withdraw parts
needed at the receiving process.
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Value Stream Map 73
OXOX
Signal Kanban Supermarket Kanban post Production
Kanban
Withdrawal
Kanban
Load leveling
OXOX
Load leveling
Part of the information flow in a Kanban loop. It is a tool to
batch Kanbans in order to level the production volume and
production mix over a period.
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Value Stream Map 74
Value Stream
Summary Box
Total VA
Total NVA
VAR
The results are often summarized at the right of the timeline in a summary box.
Many organizations use the Value-Added Ratio (VAR) metric to measure the performance
of their end-to-end process.
Other metrics can be added to the value stream summary as required.
VAR = Total Value Add Time (Processing Time) /
Total Lead Time
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Zone the Map
Value Stream Map 75
Title & date
Information flow
External customers & suppliers
Secondary processes
Material flow
Primary processes
Delays & inventory between processes
Timeline & value stream summary
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Steps for Conducting a Value Stream Mapping Exercise
Value Stream Map 76
Establish the team and include people working in the process
• Explain the purpose for creating the VSM and identify and agree on the product
family and the value stream.
• Discuss with your team how are you going to map the process.
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Steps for Conducting a Value Stream Mapping Exercise
Value Stream Map 77
Physically walk the flow starting from the customer and working backwards and capture all relevant data
• Capture all relevant data and performance information as you walk. Note down
any issues or concerns
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Steps for Conducting a Value Stream Mapping Exercise
Value Stream Map 78
Walk the information flow and collect examples of relevant records, instructions, checklists, etc.
• Always record what you see not what you are told is normally there.
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Steps for Conducting a Value Stream Mapping Exercise
Value Stream Map 79
With your team, use a flipchart or whiteboard to draw the current state
• Start with the title, date and state (current or future).
• Consider zoning the map.
Xxxxx Xxxxx
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Steps for Conducting a Value Stream Mapping Exercise
Value Stream Map 80
Map the material and information flows including processes, inventory, delays and transportation
• Begin with the customer’s requirements and work backwards to the supplier.
• Identify the main processes and complete the data boxes.
• Map the information flow and the secondary processes.
• Add any other information you feel is relevant to the map (current schedule,
amount of inventory, push, pull, FIFO, order dispatching roles etc.).
Xxxxx Xxxxx
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Steps for Conducting a Value Stream Mapping Exercise
Value Stream Map 81
Add the value stream timeline and calculate value stream summary metrics
• Calculate value stream summary metrics such as processing time, lead time and
value-added ratio
Xxxxx Xxxxx
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Steps for Conducting a Value Stream Mapping Exercise
Value Stream Map 82
Look for the non-value-added activities, delays and other form of waste
• Record on the map the different types of waste, delays, observations,
suggestions, ideas, etc.
Xxxxx Xxxxx
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Steps for Conducting a Value Stream Mapping Exercise
Value Stream Map 83
Gather the team again to visualize the ideal state and develop future state map
• Start only when the current state map is understood and agreed.
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Steps for Conducting a Value Stream Mapping Exercise
Look for . . .
Value Stream Map 84
Steps that can
be simplified or
eliminated
Build-ups of
inventory
Stock shortages
Long travel
distances
Bottlenecks
High scrap and
rework rates
Too few or too
many staff in
key areas
Lengthy checking
or approval periods
5S and safety issues
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Steps for Conducting a Value Stream Mapping Exercise
Look for . . .
Value Stream Map 85
Significant variations in cycle
times or demand levels
Long value stream cycle
times
Poor value stream ratios
Different time basis
compared with key
customers
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Steps for Conducting a Value Stream Mapping Exercise
Optimize and organize processes . . .
Value Stream Map 86
Elimination Combination Change sequence
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Steps for Conducting a Value Stream Mapping Exercise
Brainstorm ways to eliminate the waste. Ask questions like?
Value Stream Map 87
Does information arrive on time?
Can any paperwork be eliminated? Is automation possible?
Is information available, reliable and up-to-date?
Are existing systems used in optimum way?
Is information really used in decision making?
Are there any quick wins possible?
Are things done in the right sequence?
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Steps for Conducting a Value Stream Mapping Exercise
Value Stream Map 88
Plan and implement actions to achieve the future state
• Assign responsibilities and identify milestones and recourses.
Xxx
Xxx
Xxx
Xxxx
Xxxx
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Guidelines for Developing the Future State Map
Value Stream Map 89
Develop continuous flow
wherever possible eliminated
Use pull and Kanban systems
where continuous flow is not
possible
Produce to Takt time
Scheduling based on the
pacemaker process
Level the production load on
the pacemaker process (Level
the production volume)
Distribute the production of
different products evenly
(level the production rate)
Optimize the number of
people
Improve uptime Reduce inventory
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Example – Production Line
Value stream map that was created for a specific product in a production line.
Value Stream Map 90
Weekly schedule - daily communication
(320 pallets needed every day) Daily ship
schedule
3, 6 & 12 months
demand forecast
Production control
Weekly order
2240 pallets
Quarterly forecast
Monthly order
100 coils
Cans customer
16 trailers / day
- Each 20 pallets
3 shifts X 8 hrs
Drawing
Prod. Rate = 2450
P/T = 30 sec
C/O = N/A
Uptime = 98%
Wall ironing
Prod. Rate = 2800
P/T = 17 sec
C/O = 30 min
Uptime = 83%
4
Rinsing
Prod. Rate = 2400
P/T = 376 sec
C/O = 60 min
Uptime = 94 %
2
Painting
Prod. Rate = 2200
P/T = 179 sec
C/O = 150 min
Uptime = 80%
4
Shaping
Prod. Rate = 2400
P/T = 45 sec
C/O = 200 min
Uptime = 42%
1
I
I
2
Packaging
2
Prod. Rate = 2450
P/T = 397 sec
C/O = 45 min
Uptime = 81%
FIFO
I
I
I
I
I
Steel company
Coil supplier
5 shipments/month
- Each 20 containers
- Each 2 coils
SMED
5S
Uptime
Spoilage
30 sec
0.1 days
45 sec
17 sec 376 sec 179 sec
0.1 days
0.1 days
75 days 0.4 days 0.2 days
397 seconds
12 days
citoolkit.com
Further Information
Like many other lean tools, developing a value stream map for the sake of
doing the map will not help much.
You should first have a problem that needs to be solved.
Try to be specific and include only what you think
is relevant for your situation.
For example, if inventories are not part of the
problem, it would be a waste to count them.
Value Stream Map 91
citoolkit.com
Further Information
Problems that are not related to the material or information flow are
unlikely to benefit from value stream maps (e.g., administrative areas and
indirect areas and support services).
They often have no structured flow, and Swim lanes are much better
sometimes.
Value Stream Map 92
citoolkit.com
Further Information
There are many software applications and online services that allow the
creation of value stream maps.
For example, you can generate value stream maps in Minitab Workspace.
Value Stream Map 93
© Copyright Citoolkit.com. All Rights Reserved.
CITOOLKIT
Made with by
The Continuous Improvement Toolkit
www.citoolkit.com

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Value Stream Map: A Visual Approach to Process Optimization

  • 1. CITOOLKIT Value Stream Map A Visual Approach to Process Optimization
  • 2. citoolkit.com Introduction A high-level visual representation of a business process which helps to understand the flow of value through the process as perceived by the customer. Value Stream Map 2
  • 3. citoolkit.com Introduction Used to identify opportunities for reducing waste and improving quality and performance by making the non-value-added activities easier to identify, and this is the heart of improving any business process. Value Stream Map 3 Examining the value stream helps identifying waste and non-value-added activities
  • 4. citoolkit.com Introduction Involves the value-added and non-value-added work needed to create the products and services in response to customer needs. Value Stream Map 4 Provides a graphical representation of the information and material flows.
  • 5. citoolkit.com Introduction Considered an improvement tool rather than just a definition of how the process operates or should operate. Value Stream Map 5
  • 6. citoolkit.com Introduction Considered as a tool for . . . Value Stream Map 6 Communication Change Management Continuous Improvement
  • 7. citoolkit.com Introduction Considered as a tool for . . . Value Stream Map 7 Communication Change Management Continuous Improvement A team may see an opportunity for maximizing the production rate to match the rate of customer demand
  • 8. citoolkit.com Introduction Considered as a tool for . . . Value Stream Map 8 Communication Change Management Continuous Improvement Useful for drawing a future state map or a blue-sky vision toward achieving the desired change
  • 9. citoolkit.com Introduction Considered as a tool for . . . Value Stream Map 9 Communication Change Management Continuous Improvement Effectively communicates where to focus the continuous improvement and change efforts
  • 10. citoolkit.com Lean Thinking Often considered as the first and last thing to do during a Lean project. It is a dynamic tool and should be updated continually as the process improved. Value Stream Map 10
  • 11. citoolkit.com Applications Often associated with manufacturing. Value Stream Map 11 Can also be applied in product development and service environments such as healthcare, hospitality and logistics.
  • 12. citoolkit.com Applications Often used to improve an end-to-end process in a single site. Value Stream Map 12 Process Level Single Site Multiple Sites Supply Chain Start here
  • 13. citoolkit.com A Process Mapping Technique Tends to display more information than a typical process map or flowchart. However, a value stream map does not track all possible paths and decisions a process can take. Value Stream Map 13 It should focus only on the high-level flow of value from start to finish.
  • 14. citoolkit.com A Process Mapping Technique Preferred over other process mapping techniques . . . Value Stream Map 14 When you want to improve productivity, utilization, and load distribution of staff When you want to know the effectiveness of your customer service approach When you want to present the health of your processes to the top management When you want to know the various business systems used by your processes When you want to find out the Lean opportunities that exist in your core processes When you want to know the various inventories and delays exist in your processes 10 20 40 30
  • 15. citoolkit.com Benefits Value Stream Map 15 Helps to understand the flow of value as perceived by the customer 01 Provides the opportunity to understand what is happening today 02 Gives everyone a chance to see how their work fits into the big picture 03 Provides the opportunity to discuss and plan the needed improvements 04 Helps making the process as close to lean as possible 05 Enables to see the big picture from beginning to end 06 Helps identify and eliminate waste within the value stream 07 Helps establishing a future state vision 08
  • 16. citoolkit.com Benefits Enables to see where problems lie within processes . . . Value Stream Map 16 Problems and inconsistencies Delays Other forms of waste Excessive inventory levels Non-value-added activities Bottlenecks
  • 17. citoolkit.com Other Benefits Value Stream Map 17 Help understanding and improving workplace organization Enable to see how improvements in one area will impact on other areas Provides a common visual language to understand complex processes Provides a framework for conversations and problem-solving Demonstrates the interaction between material flow and information flow Provides direction for streamlining, transformation and change Provides important descriptive information for the operation
  • 18. citoolkit.com Value Stream A Value Stream is the set of activities required to convert raw materials to finished products in the hands of the customer. Value Stream Map 18 CUSTOMERS SUPPLIERS The product here may indicate any part, service or the combination of both.
  • 19. citoolkit.com Value Stream – Other Definitions Value Stream Map 19 The set of all the specific actions required to bring a specific product through the three critical business management tasks; problem solving, information management, and physical transformation. Womack and Jones “ “
  • 20. citoolkit.com Value Stream Map (VSM) A value stream map is the flow layout of the material and information flows. Value Stream Map 20 Manual and electronic information flow along with the material flow Material flow, where products flow through the stream It can help you visualize and understand the material and information flow.
  • 21. citoolkit.com Material Flow Includes processing, handling, transport and storage. Value Stream Map 21 Material flows involve physical product flow from suppliers to consumers, as well as the returns of products, rework, recycling and disposal.
  • 22. citoolkit.com Information Flow Important to the effective control of the material flow. Value Stream Map 22 Information is important to ensure that customers and suppliers will provide and receive information before any physical product or material is shipped or received.
  • 23. citoolkit.com Information Flow – Information Types Value Stream Map 23 Manual – Information that is passed on manually or verbally. Electronic – Information that is passed on via telephone, fax, email, etc.
  • 24. citoolkit.com Information Flow Information flow may include . . . Value Stream Map 24 Demand forecasts The transmission of orders Financial related flows Schedules, instructions, approvals and reports Verbal discussions and communication
  • 25. citoolkit.com Inventory It is also important to look at the amount of stored raw materials, work in process (WIP), and finished products. Value Stream Map 25 RAW MATERIALS WORK IN PROGRESS FINISHED GOODS
  • 26. citoolkit.com Manufacturing Example VSM created for a specific product family within a manufacturing facility. Value Stream Map 26 Note how the suppliers are indicated at the top left and the customers are depicted at the top right. Material handling Processing Packaging Shipping Production control Daily schedule Customer Supplier I FIFO
  • 27. citoolkit.com Non-Manufacturing Example – Equipment Installation VSM created for a nonmanufacturing process, namely equipment installation. Value Stream Map 27 Email request Customer service Customer Supplier Notification Schedule installation Forecasting I Pick up parts Install equipment Functional test
  • 28. citoolkit.com Product Selection Which Product to Select? Value Stream Map 28 No need to map the flow of every product, but the production of a single product or single product family Consider long lead time and high-volume products or services Consider a product which has a high business impact
  • 29. citoolkit.com Product Selection A Product Family Matrix may help! Value Stream Map 29 PRODUCT PRESS SHAPE BEND PAINT PACKAGE A X X X X B X X X X C X X X D X X X Produce a single flow diagram that is suitable for all product families
  • 30. citoolkit.com Value Stream Mapping Process Value Stream Map 30 Select the Value Stream Draw the Current State Map Develop and Implement Improvements Draw the Future State Map 1 2 3 4
  • 31. citoolkit.com Current State Map Value stream mapping begins by defining the current state as it is today. This allows to identify waste and areas where improvement can be made. Value Stream Map 31
  • 32. citoolkit.com Current State Map Why having a current state map? Value Stream Map 32 Focus on understanding the existing flow of one product or service at once Develops an understanding of how the value stream operates today Helps identify the waste elements and improvement areas
  • 33. citoolkit.com Current State Map Consider the Eight Types of Waste. Value Stream Map 33 Waiting Defects Over-production Unnecessary Transportation Excess of Inventory Unnecessary Movements Over- process Unused Skills
  • 34. citoolkit.com Future State Map Once the current state is mapped, and after studying the flow of materials and information and identifying the waste, it is time to create a future state map of how the process should be. Value Stream Map 34 It is the ideal state or blueprint that you want to achieve toward implementing a lean system Should be based on Lean principles such as flow, pull and perfection to create a more streamlined production flow
  • 35. citoolkit.com Future State Map What does future mean? Value Stream Map 35 It is important to define what is meant by ‘future’ before beginning to develop the future state.
  • 36. citoolkit.com Implementation Plan Between the current and the future states there is a gap. An implementation plan should be developed and implemented to bridge the gap and get to the future state. Value Stream Map 36
  • 37. citoolkit.com Implementation Plan Remember that this is a project that needs to be owned, tracked and monitored throughout its life cycle. Value Stream Map 37
  • 38. citoolkit.com Value Stream Map 38 When the future state becomes a reality, it becomes the new current state. The process will start all over again, and this is the essence of continuous improvement.
  • 39. citoolkit.com Hints Value Stream Map 39 A current state map without a future-state vision is a waste. A future state map without an action plan to achieve it is a waste. Avoid focusing on improvement opportunities with little impact. Avoid focusing on improvement opportunities with little impact.
  • 40. citoolkit.com Value Stream Mapping Symbols Value stream mapping uses a set of symbols to denote the various details. The type of symbols that are used usually depends on the industry and the type of work. Value Stream Map 40 I
  • 41. citoolkit.com Value Stream Map 41 C/T = C/O = Uptime = NAT = I FIFO S OXOX Value Stream Mapping Symbols
  • 42. citoolkit.com Value Stream Mapping Symbols Value Stream Map 42 C/T = C/O = Uptime = NAT = I FIFO S OXOX Other identical symbols are used in a different way by different companies You may design your own symbols to express your details New symbols should be simple and easy to design New symbols should be understandable by everyone The list is by no means complete! Many symbols that are used pretty much universally
  • 43. citoolkit.com Value Stream Map 43 Material flow C/T = C/O = Uptime = NAT = Data box Process box Push Information flow Withdrawal COATING Process or operation box Covers one area of continuous flow, where materials flow without being stored, queued or delayed. Used when a part is intentionally changed in any of its characteristics, assembled or disassembled, or arranged for another operation, transportation, inspection, or storage. Also used to represent a person (or department) doing work, or when information is given or received.
  • 44. citoolkit.com Value Stream Map 44 Material flow C/T = C/O = Uptime = NAT = Data box Process box Push Information flow Withdrawal C/T = 2.3 seconds C/O = 52 minutes Uptime = 85% NAT = 25,200 seconds Scrap rate = 3.1% COATING Data box Optionally used to list key information related to processes. Can be placed under other symbols (e.g., transportation, inventory or key customers or suppliers) to list key information.
  • 45. citoolkit.com Value Stream Map 45 Material flow C/T = C/O = Uptime = NAT = Data box Process box Push Information flow Withdrawal Helps later when creating the value stream timeline and the value stream summary box, and when comparing between the different workstations or processes. For example, analyzing which workstation has the maximum number of operators or has the maximum change-over time. Drawing Prod. Rate = 2450 C/T = 30 sec C/O = N/A Uptime = 98% Rinsing Prod. Rate = 2400 C/T = 376 sec C/O = 60 min Uptime = 94 %
  • 46. citoolkit.com Value Stream Map 46 Material flow C/T = C/O = Uptime = NAT = Data box Process box Push Information flow Withdrawal Cycle times (C/T) Net available working times (NAT) Changeover times (C/O) Defect or scrap rates Production rates or EPE Machine uptime rates Processing times Number of workers per machine Setup times Rework rates Overall equipment effectiveness Product flow (push or pull) Batch sizes Number of product variations Maximum capacities Information related to processes depend on the needs and may include:
  • 47. citoolkit.com Value Stream Map 47 Generally used to represent flow of information. Can be accompanied with text or other icons to indicate the type of information, the frequency of information interchange, and the type of media used (telephones, emails, Intranets, LANs, etc.). Some lean practitioners simply use the straight arrow for all types of information flow. Material flow C/T = C/O = Uptime = NAT = Data box Push Information flow Withdrawal Process box Manual information flow Electronic information flow
  • 48. citoolkit.com Value Stream Map 48 Represents the transfer or movement of materials from one process to the next. Also represents the movement of raw materials from suppliers to the receiving areas (accompanied with the shipping frequency). Also represents the movement of finished goods from the shipping areas to the customers (accompanied with the shipping frequency). Material flow C/T = C/O = Uptime = NAT = Data box Push Information flow Withdrawal Process box Material flow or shipping
  • 49. citoolkit.com Value Stream Map 49 Pushing the materials from one process to the next. Represents a material flow that is not controlled by a pull system. Material flow C/T = C/O = Uptime = NAT = Data box Push Information flow Withdrawal Process box A push arrow
  • 50. citoolkit.com Value Stream Map 50 Used when the material is pulled from the supplying process to the supplied process. Material flow C/T = C/O = Uptime = NAT = Data box Push Information flow Withdrawal Process box Material withdrawal or physical pull
  • 51. citoolkit.com Value Stream Map 51 External body Transport Worker I Inventory S Safety stock FIFO FIFO sequence Firm name (supplier or customer) Represents an external body to the organization, and mainly indicates the key suppliers and customers along the value chain. Often accompanied with a data box underneath which covers the characteristics of that supplier or customer.
  • 52. citoolkit.com Value Stream Map 52 External body Transport Worker I Inventory S Safety stock FIFO FIFO sequence Information related to customers may include: Number of customers, demand rate (items/day), packaging size requirement, actual and required lead times, error rates, customer shift pattern, product mix, etc. Usually there is only one customer shown, but you may have more than one. 300 items/day 87 type A, 120 type B Pallet = 30 items 3 shifts, 24/7operation Customer Name
  • 53. citoolkit.com Value Stream Map 53 External body Transport Worker I Inventory S Safety stock FIFO FIFO sequence Information related to suppliers may include: Number of suppliers, demand rate (items/day), packaging size requirement, actual and required lead times, error rates, supplier shift pattern, the different types of materials, etc. Usually there is only one supplier shown, but you may have more than one. Supplier Name 5 Shipments/month 3 shifts, 24/7operation Delivery time:30-55 days
  • 54. citoolkit.com Value Stream Map 54 External body Transport Worker I Inventory S Safety stock FIFO FIFO sequence Transport or Shipment Represents how raw materials are brought in and how finished goods are sent out. Also represents the transport of raw materials, WIP, or products within the facility by an operator. Date related to transportation may include: Distance traveled, transportation time, transportation frequency, number of product types, etc.
  • 55. citoolkit.com Value Stream Map 55 External body Transport Worker I Inventory S Safety stock FIFO FIFO sequence Transportation can be of three types: 1- External (e.g., trucking). 2- Internal (e.g., forklifts). 3- Conveying between processes.
  • 56. citoolkit.com Value Stream Map 56 External body Transport Worker I Inventory S Safety stock FIFO FIFO sequence Usually placed in a process box to represents the number of workers deployed at a particular workstation. 3
  • 57. citoolkit.com Value Stream Map 57 External body Transport Worker I Inventory S Safety stock FIFO FIFO sequence I Inventory Represents the storage locations for raw materials, work-in- process (WIP), and finished products throughout the value stream. Date related to inventory may include: Inventory type, amount of inventory, queue or delay time, number of product types in the inventory, etc.
  • 58. citoolkit.com Value Stream Map 58 External body Transport Worker I Inventory S Safety stock FIFO FIFO sequence I # You can write a number below the triangle to indicate the approximate amount of inventory observed, or the maximum capacity. You may indicate that the inventory is uncontrolled or has no fixed upper limit by leaving the triangle without a number.
  • 59. citoolkit.com Value Stream Map 59 External body Transport Worker I Inventory S Safety stock FIFO FIFO sequence Q Quality inspection I Delay Occurs when a product is examined against pre-defined quality standards to determine whether defective products are being produced. Represents unplanned accumulation of materials or products without a prior plan. Also represents a delay in the process, such as waiting for approval.
  • 60. citoolkit.com Value Stream Map 60 External body Transport Worker I Inventory S Safety stock FIFO FIFO sequence S # Represents a safety stock against problems such as unplanned breakdowns, to protect the production system against failure or sudden fluctuations in customer demands.
  • 61. citoolkit.com Value Stream Map 61 External body Transport Worker I Inventory S Safety stock FIFO FIFO sequence FIFO MAX = FIFO lane First In First Out lane is used to show where parts are stored or transferred to the next process in a FIFO sequence (queue). You may write either the maximum capacity or the current capacity above or below the FIFO lane.
  • 62. citoolkit.com Value Stream Map 62 Work cell Document / report Business system Go see Kaizen burst Improvement idea Work cell An organized arrangement of resources within a manufacturing environment aimed to enhance process efficiency, quality, and cost-effectiveness. Workers, machines, and materials are put together in one place to streamline operations and optimized workflow.
  • 63. citoolkit.com Value Stream Map 63 Work cell Document / report Business system Go see Kaizen burst Improvement idea Document or report Represents a document, form or report that is generated throughout the value stream. More than one report can be represented through the use of multiple symbols behind each other.
  • 64. citoolkit.com Value Stream Map 64 Work cell Document / report Business system Go see Kaizen burst Improvement idea Business System Represents a centralized system (ERP or MRP). Note that value stream mapping considers not only the process, but also the management systems and information systems that support the process Note that a production control or scheduling system can also be represented using a plain box.
  • 65. citoolkit.com Value Stream Map 65 Work cell Document / report Business system Go see Kaizen burst Improvement idea Visually checking and gathering of information Visually checking material and information flows to ensure they meet quality standards and quantity requirements. For example, a supervisor may visually check the material flow to seek for discrepancies, visually inspect a sample product as part of his routine job, or visually check the amount of inventory to decides what to produce next.
  • 66. citoolkit.com Value Stream Map 66 Work cell Document / report Business system Go see Kaizen burst Improvement idea Kaizen or lightening burst Used to indicate issues and problems throughout the value stream. Kaizen bursts help launch appropriate kaizen events for continuous improvement.
  • 67. citoolkit.com Value Stream Map 67 Work cell Document / report Business system Go see Kaizen burst Improvement idea Improvement idea Used to indicate a solution, suggestion, or improvement idea. The team can highlight improvement opportunities that are critical to achieve the future state of the value stream.
  • 68. citoolkit.com Value Stream Map 68 OXOX Signal Kanban Supermarket Kanban post Production Kanban Withdrawal Kanban Load leveling Signal Kanban Used when the on-hand inventory levels in the supermarket between two processes drops to a minimum or the trigger point.
  • 69. citoolkit.com Value Stream Map 69 OXOX Signal Kanban Supermarket Kanban post Production Kanban Withdrawal Kanban Load leveling Supermarket Represents an inventory supermarket or the end point of a Kanban loop. For a supermarket to be complete, an information flow should come out of it and bring a Kanban back to one of the preceding processes or transports.
  • 70. citoolkit.com Value Stream Map 70 OXOX Signal Kanban Supermarket Kanban post Production Kanban Withdrawal Kanban Load leveling Kanban post A location where Kanban signals reside for pickup. Often used with two-card systems to exchange withdrawal and production Kanban.
  • 71. citoolkit.com Value Stream Map 71 OXOX Signal Kanban Supermarket Kanban post Production Kanban Withdrawal Kanban Load leveling Production Kanban Used to signal the supplying process to trigger production and provide a pre-defined number of parts to the next process. Usually drawn on top of the information flow going back from a supermarket to a preceding process or transport.
  • 72. citoolkit.com Value Stream Map 72 OXOX Signal Kanban Supermarket Kanban post Production Kanban Withdrawal Kanban Load leveling Withdrawal Kanban A note card or device that instructs the material handler or operator to go to the supermarket and withdraw parts needed at the receiving process.
  • 73. citoolkit.com Value Stream Map 73 OXOX Signal Kanban Supermarket Kanban post Production Kanban Withdrawal Kanban Load leveling OXOX Load leveling Part of the information flow in a Kanban loop. It is a tool to batch Kanbans in order to level the production volume and production mix over a period.
  • 74. citoolkit.com Value Stream Map 74 Value Stream Summary Box Total VA Total NVA VAR The results are often summarized at the right of the timeline in a summary box. Many organizations use the Value-Added Ratio (VAR) metric to measure the performance of their end-to-end process. Other metrics can be added to the value stream summary as required. VAR = Total Value Add Time (Processing Time) / Total Lead Time
  • 75. citoolkit.com Zone the Map Value Stream Map 75 Title & date Information flow External customers & suppliers Secondary processes Material flow Primary processes Delays & inventory between processes Timeline & value stream summary
  • 76. citoolkit.com Steps for Conducting a Value Stream Mapping Exercise Value Stream Map 76 Establish the team and include people working in the process • Explain the purpose for creating the VSM and identify and agree on the product family and the value stream. • Discuss with your team how are you going to map the process.
  • 77. citoolkit.com Steps for Conducting a Value Stream Mapping Exercise Value Stream Map 77 Physically walk the flow starting from the customer and working backwards and capture all relevant data • Capture all relevant data and performance information as you walk. Note down any issues or concerns
  • 78. citoolkit.com Steps for Conducting a Value Stream Mapping Exercise Value Stream Map 78 Walk the information flow and collect examples of relevant records, instructions, checklists, etc. • Always record what you see not what you are told is normally there.
  • 79. citoolkit.com Steps for Conducting a Value Stream Mapping Exercise Value Stream Map 79 With your team, use a flipchart or whiteboard to draw the current state • Start with the title, date and state (current or future). • Consider zoning the map. Xxxxx Xxxxx
  • 80. citoolkit.com Steps for Conducting a Value Stream Mapping Exercise Value Stream Map 80 Map the material and information flows including processes, inventory, delays and transportation • Begin with the customer’s requirements and work backwards to the supplier. • Identify the main processes and complete the data boxes. • Map the information flow and the secondary processes. • Add any other information you feel is relevant to the map (current schedule, amount of inventory, push, pull, FIFO, order dispatching roles etc.). Xxxxx Xxxxx
  • 81. citoolkit.com Steps for Conducting a Value Stream Mapping Exercise Value Stream Map 81 Add the value stream timeline and calculate value stream summary metrics • Calculate value stream summary metrics such as processing time, lead time and value-added ratio Xxxxx Xxxxx
  • 82. citoolkit.com Steps for Conducting a Value Stream Mapping Exercise Value Stream Map 82 Look for the non-value-added activities, delays and other form of waste • Record on the map the different types of waste, delays, observations, suggestions, ideas, etc. Xxxxx Xxxxx
  • 83. citoolkit.com Steps for Conducting a Value Stream Mapping Exercise Value Stream Map 83 Gather the team again to visualize the ideal state and develop future state map • Start only when the current state map is understood and agreed.
  • 84. citoolkit.com Steps for Conducting a Value Stream Mapping Exercise Look for . . . Value Stream Map 84 Steps that can be simplified or eliminated Build-ups of inventory Stock shortages Long travel distances Bottlenecks High scrap and rework rates Too few or too many staff in key areas Lengthy checking or approval periods 5S and safety issues
  • 85. citoolkit.com Steps for Conducting a Value Stream Mapping Exercise Look for . . . Value Stream Map 85 Significant variations in cycle times or demand levels Long value stream cycle times Poor value stream ratios Different time basis compared with key customers
  • 86. citoolkit.com Steps for Conducting a Value Stream Mapping Exercise Optimize and organize processes . . . Value Stream Map 86 Elimination Combination Change sequence
  • 87. citoolkit.com Steps for Conducting a Value Stream Mapping Exercise Brainstorm ways to eliminate the waste. Ask questions like? Value Stream Map 87 Does information arrive on time? Can any paperwork be eliminated? Is automation possible? Is information available, reliable and up-to-date? Are existing systems used in optimum way? Is information really used in decision making? Are there any quick wins possible? Are things done in the right sequence?
  • 88. citoolkit.com Steps for Conducting a Value Stream Mapping Exercise Value Stream Map 88 Plan and implement actions to achieve the future state • Assign responsibilities and identify milestones and recourses. Xxx Xxx Xxx Xxxx Xxxx
  • 89. citoolkit.com Guidelines for Developing the Future State Map Value Stream Map 89 Develop continuous flow wherever possible eliminated Use pull and Kanban systems where continuous flow is not possible Produce to Takt time Scheduling based on the pacemaker process Level the production load on the pacemaker process (Level the production volume) Distribute the production of different products evenly (level the production rate) Optimize the number of people Improve uptime Reduce inventory
  • 90. citoolkit.com Example – Production Line Value stream map that was created for a specific product in a production line. Value Stream Map 90 Weekly schedule - daily communication (320 pallets needed every day) Daily ship schedule 3, 6 & 12 months demand forecast Production control Weekly order 2240 pallets Quarterly forecast Monthly order 100 coils Cans customer 16 trailers / day - Each 20 pallets 3 shifts X 8 hrs Drawing Prod. Rate = 2450 P/T = 30 sec C/O = N/A Uptime = 98% Wall ironing Prod. Rate = 2800 P/T = 17 sec C/O = 30 min Uptime = 83% 4 Rinsing Prod. Rate = 2400 P/T = 376 sec C/O = 60 min Uptime = 94 % 2 Painting Prod. Rate = 2200 P/T = 179 sec C/O = 150 min Uptime = 80% 4 Shaping Prod. Rate = 2400 P/T = 45 sec C/O = 200 min Uptime = 42% 1 I I 2 Packaging 2 Prod. Rate = 2450 P/T = 397 sec C/O = 45 min Uptime = 81% FIFO I I I I I Steel company Coil supplier 5 shipments/month - Each 20 containers - Each 2 coils SMED 5S Uptime Spoilage 30 sec 0.1 days 45 sec 17 sec 376 sec 179 sec 0.1 days 0.1 days 75 days 0.4 days 0.2 days 397 seconds 12 days
  • 91. citoolkit.com Further Information Like many other lean tools, developing a value stream map for the sake of doing the map will not help much. You should first have a problem that needs to be solved. Try to be specific and include only what you think is relevant for your situation. For example, if inventories are not part of the problem, it would be a waste to count them. Value Stream Map 91
  • 92. citoolkit.com Further Information Problems that are not related to the material or information flow are unlikely to benefit from value stream maps (e.g., administrative areas and indirect areas and support services). They often have no structured flow, and Swim lanes are much better sometimes. Value Stream Map 92
  • 93. citoolkit.com Further Information There are many software applications and online services that allow the creation of value stream maps. For example, you can generate value stream maps in Minitab Workspace. Value Stream Map 93
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