WHAT IS VALUE STREAM MAPPING ?

WHAT IS VALUE STREAM MAPPING ?
A Value Stream is all the activities currently required to supply a product or service to the final customer. To create a Value Stream Map we need to map all of the process’s activities – both “value adding” and “non value adding” which together deliver the product or service for the particular Value Stream being mapped to the final customer. Value Stream Mapping is all about understanding the big picture and the inter-relationships between the material and information flows within our business. The end objective of a Value Stream Mapping exercise is to produce a prioritised improvement implementation plan.
WHY USE VALUE STREAM MAPPING ?
To help us to visualise our product flow To help us see waste within our processes To show the relationship between manual and electronic information flow To form the basis for prioritising the implementation of a Lean system (one of the biggest mistakes people make is to improve individual processes without the complete picture of the Value Stream)
LEVELS OF MAPPING
Value Stream Mapping is a versatile tool which can be used at many levels. Companies such as Coca Cola and Tesco are famous for mapping their entire supply chain all the way back to raw material supply. A sound starting point at Green Belt Level is to begin mapping within the walls of our own centre.
VALUE STREAM MAPPING PROCESS
Having selected the product family to be mapped, we create a Current State Map. This is essentially a snapshot of the “as is” situation. Having completed the Current State we then draw a Future State Map using the principles of Lean Enterprise to develop a working model of how the process for our Value Stream could look at a defined point in the future. Sometimes it can be useful to draw a series of futures starting with a “blue sky” vision, and then work backwards towards what is realistic and achievable within the agreed time frames. Having completed and agreed upon the future state, the final step is to complete a gap analysis between the current and future states to develop a prioritised improvement plan. Current State Mapping: Key Steps The key steps for creating a current state map are: Understand the customer requirements Map the core process steps from customer request for the product/ service through to the customer receiving the requested item Capture key process data If appropriate, count work in process at each point where it is stored (this could include electronic work in process) Map the secondary process steps Calculate the Value Stream lead time and cycle time ratio
CREATING THE FUTURE STATE MAP
The purpose of Value Stream Mapping is to highlight sources of waste and eliminate them by implementing a future state value stream that can become a reality within a relatively short space of time. For this to work the Future State Map must turn our vision into reality and create a “working model” which we know can be implemented in practice. The first iteration of the Future State Map usually will take the current process technologies, centre location and product service design as a given, and seek to remove as quickly as possible sources of waste not caused by these features (future iterations of the future state should eventually challenge EVERYTHING!) It is essential that the Future State is drawn with a multifunctional group representing all key parties. The Future State should be drawn to the same level of detail as the current state – i.e. work in progress levels and process data boxes complete and Value Stream Lead time recalculated (it is likely you will require some more focused smaller working sessions to get to this level of detail) Key Questions For The Future State Map In developing the future state map it is useful to structure the session around a number of key questions: What is the timescale we are working to? What is the takt time? (this is the “beat of the customer” – ie how many units per hour do we need to process to meet customer demand) Can we meet Takt time with the current resources? (see appendix 1) How will we meet customer demand? Where can we apply continuous flow? Where continuous flow is not possible how will we control upstream work Where in the process will we schedule work requirements & how will this be done? What other improvements must be achieved to support future state implementation?
SOME CHARACTERISTICS OF A LEAN VALUE STREAM
Future State Mapping is much concerned with the pursuit of perfection and key to this is the creation of flow. Creating flow will automatically lead to waste elimination and reduction of lead-time. It is however interesting to note that on its own waste reduction will not necessarily lead to the creation of flow! As a starting point for Future State Mapping, the Current State Map should be reviewed for warning signs that processes are not flowing. These include: Customers (internal or external) have to wait to receive the product or service they require Customer complaints about not receiving the service or product they required at the time they required it Piles of “inventory” (e-mails, documents, phone messages, etc.) waiting to be processed Too few or too many staff on duty to efficiently deal with peaks and troughs in customer demand Products or services waiting for authorisation/ checking/ additional information Excessive handoffs
	Lean can be summarised into 5 principles:- Specify Value of specific product or service Identify Value Stream for each product or service Make Value Flow without interruption Let the customer pull value from their supplier Pursue Perfection