Value Stream Mapping (3)

8/11/2019 Value Stream Mapping (3)

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Process Modeling: Value Stream MappingFor School of Pharmacy 2014-15 atch


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!ean Manufacturing !ean manufacturing" lean enterprise" or lean production" often

simply" #!ean#" is a production practice that considers thee$penditure of resources for any goal other than the creation of %aluefor the end customer to &e 'asteful" and thus a target for elimination(

)or*ing from the perspecti%e of the customer 'ho consumes aproduct or ser%ice" #%alue# is de+ned as any action or process that acustomer 'ould &e 'illing to pay for(

,ssentially" lean is centred on preser%ing %alue 'ith less 'or* ( !eanmanufacturing is a management philosophy deri%ed mostly from the

oyota Production System . PS/ PS is reno'ned for its focus on reduction of the original oyota se%en

'astes to impro%e o%erall customer %alue !ean is the set of #tools# that assist in the identi+cation and steady

elimination of 'aste s 'aste is eliminated uality impro%es 'hile production time and

cost are reduced( non e$hausti%e list of such tools 'ould include: Value Stream

Mapping" an&an Pull Systems


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!ean and VSM 3oncept ne of the *ey steps in !ean and PS is the identi+cation of 'hich steps

add %alue and 'hich do not(

y classifying all the process acti%ities into these t'o categories it is then

possi&le to start actions for impro%ing the former and eliminating the latter(

i%ide the acti%ities into 2 categories: Value dding

)aste

nce %alue-adding 'or* .actual 'or*/ has &een separated from 'aste then

'aste can &e su&di%ided into &elo' mentioned 2 categories: non-%alue adding .needs to &e done( For e$ample recruiting a 63 super%isor/

pure 'aste(

he clear identi+cation of 7non-%alue adding 'or*7" as distinct from 'aste or

'or*" is critical to identifying the assumptions and &eliefs &ehind the

current 'or* process and to challenging them in due course(


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)astes he concept of %alue stream mapping in%ol%es eliminating

'astes( !et us understand 'hat types of 'astes are in%ol%ed: he follo'ing are the 8 types of 'astes identi+ed &y oyota

Production System . PS/:1( muda"

2( mura"8( Muri

Muda: hese 'astes are further classi+ed into 9 types sho'n inthe slides later( )e shall &e understanding this in detail(

Mura: meaning #une%enness irregularity lac* of uniformitynon-uniformity ine uality; Muri: meaning #unreasona&leness impossi&le &eyond one7s

po'er too di


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he 9 most common forms of 'aste he 9 most common forms of 'aste can &e remem&ered using the mnemonic# =M) #

: ransportation =: =n%entory M: Motion ): )ait : %er-processing : %er-production

: efect

1. Transportation,ach time a product is mo%ed it stands the ris* of &eing damaged" lost"delayed" etc( as 'ell as &eing a cost for no added %alue( ransportation doesnot ma*e any transformation to the product that the consumer is 'illing to

pay for(

2. Inventory=n%entory" &e it in the form of ra' materials" 'or*-in-progress .)=P/" or+nished goods" represents a capital outlay that has not yet produced anincome either &y the producer or for the consumer( ny of these three itemsnot &eing acti%ely processed to add %alue is 'aste(


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he 9 most common forms of 'aste

3. Motion

=n contrast to transportation" 'hich refers to damage toproducts and transaction costs associated 'ith mo%ing them"motion refers to the damage that the production process in>ictson the entity that creates the product" either o%er time .'earand tear for e uipment and repetiti%e strain in?uries for 'or*ers/or during discrete e%ents .accidents that damage e uipmentand@or in?ure 'or*ers/(

4. Waiting)hene%er goods are not in transport or &eing processed" theyare 'aiting( =n traditional processes" a large part of an indi%idualproduct7s life is spent 'aiting to &e 'or*ed on(

5. Over-processing%er-processing occurs any time more 'or* is done on a piece

than is re uired &y the customer( his also includes usingcomponents that are more precise" comple$" higher uality or


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he 9 most common forms of 'aste

6. Over-production

%erproduction occurs 'hen more product is produced than isre uired at that time &y your customers( ne common practicethat leads to this muda is the production of large &atches" asoften consumer needs change o%er the long times large &atchesre uire( %erproduction is considered the 'orst muda &ecauseit hides and@or generates all the others ( %erproduction leads toe$cess in%entory" 'hich then re uires the e$penditure ofresources on storage space and preser%ation" acti%ities that donot &ene+t the customer(

7. Defects)hene%er defects occur" e$tra costs are incurred re'or*ing thepart" rescheduling production" etc( his results in la&or costs"more time in the #)or*-in-progress#( efects in practice cansometimes dou&le the cost of one single product( his shouldnot &e passed on to the consumer and should &e ta*en as aloss(


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he 9 most common forms of 'aste ne' Ath form of 'aste has &een identi+ed as Bon-used

,mployee alent

. !on-used #$p%oyee ta%entrganiCations employ their staD for speci+c s*ills that they may

ha%e( hese employees ha%e other s*ills too" it is 'asteful to

not ta*e ad%antage of these s*ills as 'ell( #=t is only &ycapitaliCing on employees7 creati%ity that organiCations caneliminate the other se%en 'astes and continuously impro%etheir performance


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)hat =s Valuee+nition of Value:

Value is a capa&ility pro%ided to a customer of the highest uality" at the right time" at an appropriate price"

#%alue# is de+ned as any action or process that a customer

'ould &e 'illing to pay for(

Value as de+ned &y the customer(

#Value# is 'hat the customer is &uyingE


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)hat =s Value Stream %alue stream is all the actions" &oth %alue added and non %alue

added" currently re uired to complete a product or ser%ice from&eginning to end(

hese include actions to process information from the customer and

actions to transform the product on its 'ay to the customer(

e+nes %alue from the customer s perspecti%e

Value streams %ary in scope: reach &eyond the enterprise to single

process siCe

)hat is a Value Stream MapG

tool to represent %isually 'hat is going on in the %alue stream(


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)hat Flo's hrough the Value StreamGProducts" information" or ser%ices >o' through a %alue stream

=n manufacturing or distri&ution" materials are 'hat >o'

=n health ser%ices" patients are 'hat >o'

=n oo' through the

%alue stream

=n administration" internal customer needs >o' through the

%alue stream

=n many cases" the item >o'ing in ser%ice or administration is a

document" an order" or a re uest


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)hat =s Value Stream nalysisG

Planning tool to optimiCe results of eliminating 'aste


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Value Stream Mapping .VSM/ Special type of >o' chart that uses sym&ols *no'n as #the

language of !ean# to depict and impro%e the >o' of in%entoryand information(

e+nition:

%isual representation of the material and information >o's a

product ta*es from sales order to +nished product(

=t is a tool that distinguishes &et'een %alue add and non %alue

add acti%ities

First" you create a current state diagram that sho's ho' your

process currently 'or*s( Be$t" 'hen you identify the pro&lem

areas" you create a future state diagram that helps you


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Value Steam Mapping Steps


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'(#)TIO!

PULL FLOW

VALUE

STREAM

VALUE

*ean +uiding&rincip%es


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!ean Huiding Principles his a&o%e picture depicts a pictorial %ie' of the process to achie%e a

!ean ,nterprise( Bote that the process repeats itself - !ean is a ne%erending process

,a%ue =dentify %alue - s*: =s this something for 'hich the customer 'ould &e

'illing to payG or oes the acti%ity change the form" +t" or function ofthe product or ser%iceG

,a%ue strea$ Value stream - etermine the set of all actions re uired to &ring a

product@ser%ice into the hands of the customer -- order to deli%ery"cradle to gra%e" design concept to launch(

ctions fall into 8 categories(1( Value-acti%ity: he acti%ity does pro%ide %alue to the customer2( Bon-%alue added acti%ity that cannot &e a%oided due to uncontrolla&le

constraints( For e$ample" the +nal test of our product might not &ere uired &y the customer" &ut since 'e ha%en t fully error proofed ourprocesses" the +nal test is still necessary to catch defects(

8( Bon-%alue added acti%ity that can &e eliminated


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!ean Huiding Principles Studies ha%e sho'n:

Production typically has a&out 5-10I of total processing time that adds %alue

usiness Processes typically ha%e a&out 0(1 to 0(5I %alue added time

(%o

is the progressi%e achie%ement of tas*s along the %alue stream 'ith

minimal ueues" no stoppages" scrap" or &ac*>o's&u%%

Bo one upstream should produce a product or ser%ice until the

do'nstream customer as*s for it( Material or information in only

presented 'hen needed and re uested( Pull should start 'ith the demandfrom the customer(

&erfection

Stri%e for perfection" not ?ust to get ahead of your current competition(


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)hat is the Value that Flo'sG Specify %alue from the standpoint of the end customer

s* ho' your current products and processes disappoint yourcustomer s %alue e$pectation:

priceG

ualityG

relia&le deli%eryG

rapid response to changing needsG

GGG


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/ 0i$p%e # a$p%e

Pic* Jp Paper )al* to Stapler Staple Paper

)al* to es* Put o'n Paper

ime: 1 sec(istance: 0

ime: 5 sec(istance: 20 ft(

ime: 5 sec(istance: 20 ft(



otal ime: 14 sec( otal ist: 40 ft(Value dded ime: 4 sec(Value dded ist: 0

Value dded ime: 2AI

=nfo: )here to place staple=nfo: !ocation of stapler

,$cess ra%el

3ustomer Beed:Stapled pages


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Steps in%ol%ed in %alue stream mapping

0tep 1 - 0e%ect your sponsor and set e pectations

appoint someone 'ho is responsi&le to ma*e decisions"ar&itrate solutions" and plan the pro?ect(

he sponsor usually selects the processes that 'ill &e mapped

and 'ill usually ha%e a +rm grasp of 'hat achie%ement is &eing

targeted(

0tep 2 - 0e%ect your tea$

Kou should ensure that each area or sta*eholder of the process

is represented e(g( Sales" Purchasing" )arehouse etc(


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Steps in%ol%ed in %alue stream mappingcontdL((0tep 3 -0e%ect process to e $apped

Value Stream Mapping is suita&le for most &usinesses and can &e used in

Manufacturing" !ogistics" Supply 3hain and some Ser%ice orientated

rganiCations(

0tep 4 - )o%%ect data and produce current state $ap process times" in%entory or materials information" customer .or demand/

re uirements(

the future state maps 'ill &e de%eloped using information captured here so

it s imperati%e you ha%e a correct understanding of the &usiness(

0tep 5 - )riti ue )urrent state

challenge the current thin*ing" encourage your team to ma*e suggestions"

loo* for areas of 'aste(


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Steps in%ol%ed in %alue stream mappingcontdL((0tep 6 - Map (uture 0tate

compile a future state map &ased on the current state map andthe criti ues

0tep 7 - )reate /ction &%an and dep%oy

ta*ing the Future State map consider an action plan that could

&e implemented to change the current process to the future

state(

0tep - Measure ene ts

chec* to ensure that the &ene+ts e$pected ha%e &een o&tained

re%ie' each change made and analyCe &ene+ts


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Some Mapping ips l'ays collect current-state information 'hile 'al*ing the actual

path'ays of material and information >o's yourself egin 'ith a uic* 'al* along the entire door-to-door %alue

stream

egin at the shipping end and 'or* upstream

ring your stop'atch and do not rely on standard times or

information that you do not personally o&tain

Map the 'hole %alue stream yourself

l'ays dra' &y hand in pencil


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Thank You

Value Stream Mapping (3)

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