6 7 Value Stream Mapping

Source book: Value-stream Management: eight steps to planning,
mapping and sustaining lean improvements, Tapping, Luyster, Shuker,

2002)
Prepared by Dr. ule Itr Satolu
What is a value-stream?
Manufacturing companies: finished goods
Operations are process elements that add value to the
product.
Non-value adding elements
Value stream consists of everything, including nonvalue adding act.- that makes transformation possible!
Value-Stream
Value-stream similar to a river!
Network of processes and operations through which
material and information flows in time and space.

Communication all along the supply chain:
information flow.
Material transport & conveyance: material flow.
Value-Stream Mapping (VSM)

Map current state of production showing flow of
material and information.

Goal: To gather accurate and real-time data related to
product family or value-stream.
Go to the shopfloor, and collect data. (No past reports
etc.).
VSM
To improve a process, you must first observe and
understand it!
Mapping a process: clean picture of wastes!
While gathering data at each point, ask how do we
know what to do next? Means of communication.
Trace information and material flow!
Capturing this information is the essence of VSM.
VSM Icons
(Tapping, Luyster, Shuker, 2002)

Mapping Current State

VSM is drawn for a part/product family!
It is like taking a picture of current state of the
shopfloor.
The date VSM is drawn written on the map.
Post current state-map on the story board.
Tool for good visual communication and
management!
Visualize entire flow, rather than a single operation

Visualize how currently operations communicate
Sources of wastes
Bottlenecks and WIP
Safety and equipment concerns
Common language for people
See how operation running truly!
Getting Ready
1.
2.
Draw simple sketches of main production

operations on a white board.
Go to the floor. Start from the most downstream
operation (shipping) and collect actual process data
for the key attributes!
Getting Ready
Key Attributes:
Quantity of parts shipped per month and per day
Supplier delivery schedule
Available production time
Cycle time (machine, operators),
Setup time, uptime, OEE.
WIP (between processes)
10
Getting Ready
Key Attributes:
Number of operators at each process,
Number of shifts
Inventory locations and quantities
Time between processes
11
Example
Premiere Manufacturing Company
Processes:
Machining, deburring, crimping, testing, marking,
shipping
Average demand: 10080 units per month=504 per day.

6720 per month #4 hoses=336 per day
3360 per month #6 hoses=168 per day
Shipping month: 20 days
12
Example
Units/container: 24
Containers/day: 21
Supplier info: Company recieves a weekly shipment of
2500 units from its supplier ABC.
13
Example
Process attributes
Shipping
Frequency: daily
Finished goods inventory=2000 units
Marking
Cycle time=50 sec
Changeover=5 min
Available time=27600 seconds
Uptime ratio=Availability=99%
1 operator
14
Example
Process attributes
Marking
WIP=2000 units between testing and marking
Time between marking and shipping: 4 days
Similar data collected for Testing, Crimping,
Deburring, Machining.

15
Example
Flow of information and material
All communications with customer & supplier is
electronic.
Prod. Control recieves monthly forecasts and weekly
orders from customer.
Prod. Control transmits monthly forecasts and weekly
orders to the supplier.
Weekly order release to production supervisor.
16
Example
Flow of information and material
Daily order release to the processes.
All material pushed
FIFO lane between machining and deburring.
17

Draw icons for supplier, customer, production
control (STANDARD icons!).
Draw a data label below the customer icon. Enter
customer req.s.
Enter shipping & receiving data:
1.
2.
3.
Shipping icon below customer icon

Truck icons and delivery frequency
Direction arrows
18

Draw manufacturing processes boxes and label
them: Upstream: left, downstream: right.
4.
Data boxes below each process icon.

Add a notched line (Turkish: entikli izgi) below the
process boxes.
19

Enter process attributes into the data boxes for each
process. Show value-added time (cycle time) below
each data box, on the notched line.
5.
Write shift time, planned breaks, total available

production time into the box, to upper right corner!
20
1 shift/day= 8.5 hours

30 min unpaid lunch
Breaks= 20 min
Net Available Time= 460 min.
Production
Control
Steps 1-5:
MRP
ABC
Cord Inc.
Requirement=
10080 /month
Per day
336 parts (# 4)
168 parts (#6)
504 parts Total
6720 # 4
part
3360 # 6
Weekly
Daily
Shipping
Machining
Crimping
Deburring
Marking
Testing
CT=
45
sec
CT=
sec
CT=
40
sec
CT=
30
sec
CT=
50
sec
C/O=
60
min
C/O=
min
C/O=
min
C/O=
min
C/O=
min
27600 sec
Avail=
27600 sec
Avail=
27600 sec
Avail=
27600 sec
Avail=
Avail=
Uptime=
87
45 sec
Uptime=
U
x
ni
x
t
100
5 sec
Uptime=
U
x
ni
x
t
99
Uptime=
U
x
ni
x
t
Prepared by 40
Dr.sec
ule Itr Satolu
99
30 sec
Uptime=
U
x
ni
x
t
Stats
LT= 34 days
TCT=170 sec
27600 sec
99
xx Unit
50 sec
21
Attributes Defined
Available production time= 460 min= 27600 sec.
Changeover times (C/O) per shift.
Changeover times, not planned downtime (Ex.:3600
sec for machining)

Uptime=Availability= Actual oper. time/Total
Available Time
Uptime for machining= (27600-3600) / 27600 = 87%
22

Show information flow, both electronic and manual,
and their frequency.
6.
Draw communication arrows from customer to

production control,
Draw arrows from prod. control to supplier.
Draw arrow from prod. control to prod. Supervisor
Draw arrows from supervisor to the processes.
23
Step 6:
F/C Monthly

30 min unpaid lunch
Breaks= 20 min
Production
Control
MRP
F/C Monthly
Weekly orders
Weekly orders
Weekly
ABC
Cord Inc.
Production
Supervisor
Requirement=
10080 /month
Per day
336 parts (# 4)
168 parts (#6)
504 parts Total
6720 # 4
part
3360 # 6
Weekly
Daily
Daily
Daily
Daily
Daily
Daily
Shipping
Machining
Crimping
Deburring
Marking
Testing
CT=
45
sec
CT=
sec
CT=
40
sec
CT=
30
sec
CT=
50
sec
C/O=
60
min
C/O=
min
C/O=
min
C/O=
min
C/O=
min
27600 sec
Avail=
27600 sec
Avail=
27600 sec
Avail=
27600 sec
Avail=
Avail=
Uptime=
87
xx Unit
45 sec
Uptime=
U
x
ni
x
t
100
Uptime=
U
x
ni
x
t
99
Uptime=
U
x
ni
x
t
40 sec
Prepared by Dr. ule
Itr Satolu
5 sec
99
30 sec
Uptime=
U
x
ni
x
t
Stats
LT= 34 days
TCT=170 sec
27600 sec
99
xx Unit
50 sec
24

Draw inventory icons at the places where
inventory is stored
7.
between processes, and

between the most upstream process and supplier,
between the most downstream process and shipping.
Calculate days of inventory (WIP) on hand and

write the results on the time line.
Ex: 2000 hoses between testing & marking
2000 hoses / 504 hoses/day=3.96 days or 4 days
25
F/C Monthly

30 min unpaid lunch
Breaks= 20 min
Production
Control
MRP
F/C Monthly
Weekly orders
Weekly orders
Weekly
ABC
Cord Inc.
Production
Supervisor
Requirement=
10080 /month
6720 # 4
part
3360 # 6
Weekly
Daily
Daily
Daily
Daily
Daily
Per day
336 parts (# 4)
168 parts (#6)
504 parts Total
Daily
Shipping
2500
2000
Machining
Crimping
Deburring
3360 #4
1680 #6
CT=
C/O=
Avail=
Uptime=
3500
45
sec
60
min
C/O=
27600 sec
Avail=
87
5 days
CT=
Uptime=
sec
min
C/O=
27600 sec
Avail=
CT=
Uptime=
5 sec
2000
40
sec
min
C/O=
27600 sec
Avail=
99
7 days
10 days
45 sec
2000
100
Marking
Testing
CT=
Uptime=
sec
min
C/O=
27600 sec
Avail=
99
4 days
40 sec
CT=
30
Uptime=
50
sec
min
27600 sec
99
4 days
30 sec
Stats
LT= 34 days
TCT=170 sec
4 days
50 sec
26

Draw in push, pull, FIFO locations.
8.
Production based on a schedule: push!

Others: Combinations of pull or FIFO.
27
Current State Map:

F/C Monthly

30 min unpaid lunch
Breaks= 20 min
Production
Control
MRP
F/C Monthly
Weekly orders
Weekly orders
Weekly
ABC
Cord Inc.
Production
Supervisor
Requirement=
10080 /month
6720 # 4
part
3360 # 6
Weekly
Per day
336 parts (# 4)
168 parts (#6)
504 parts Total
Daily
Daily
Daily
Daily
Daily
Daily
Shipping
2500
Machining
3360 #4
1680 #6
Marking
Testing
3500
2000
2000
CT=
sec
CT=
40
sec
CT=
30
sec
CT=
50
sec
min
C/O=
min
C/O=
min
C/O=
min
C/O=
min
27600 sec
Avail=
27600 sec
Avail=
27600 sec
Avail=
45
sec
C/O=
60
Uptime=
Crimping
Deburring
CT=
Avail=
2000
87
5 days
Uptime=
100
Uptime=
99
7 days
10 days
45 sec
5 sec
Uptime=
99
4 days
40 sec
Avail=
27600 sec
Uptime=
27600 sec
99
4 days
30 sec
Stats
LT= 34 days
TCT=170 sec
4 days
50 sec
28
Points to Remember for Current State

Mapping
Understand where you are now and decide where you
want to go.
Focus on the most accurate information.
Gather actual info- not standard data.
Draw in pencil or on a white board: you will make
several changes.
29
Lean Metrics
Identify the metrics that will help you achieve your
goals.
Inventory turns
Days of inventory on hand

WIP
Uptime
Lead time
On-time delivery
Total cycle time
Defective parts per million (PPM)
30
Lean Metrics
Determine the current values (baseline) for the
identified metrics.
Metric
Total value stream WIP
Baseline
17040 units
Total product cycle time

Total value stream lead
time
On-time delivery
Defective PPM-external
Uptime (=availability)
170 seconds
34 days
88 %
45
84 %
31
Lean Metrics
Total value-stream lead time=34 days
But total value-added time=170 seconds.
Huge oppurtunity for improvement.
Percent of On-time delivery is 88% due to
Uptime issues in machining process
Shifting production schedules
32
Lean Metrics- Example

Uptime = Availability=Actual operating time
Available production time

Actual operating time losses:
Changeover time, quality problems, late delivery from
upstream, breakdowns, quality problems.
Improvement tech.: Setup time reduction (quick
changeover techniques).
Track both internal & external defect rates.
33
Discussion to Identify Wastes

10 days of inventory between machining and
deburring- Why?
High changeover times- What is its impact on WIP?
34
Mapping the Future State

Preparation:
Draw the customer, supplier, production control
icons.
Add shipping data.
35

Stage-1: Focus on Demand
What is the demand? What is the takt time?
Can you meet takt time with current capabilities?
Need buffer stock, safety stock? How much?
Finished goods supermarket?
Other improvement tools?
36

1. Determine the takt-time and pitch for high
volume products.
Takt-time = Available production time Required
production quantity of the part family
Takt time= 27600 sec / 504 hoses
Takt time= 55 sec per hose
Pitch= Takt time * Pack-out Quantity
Pitch= 55 sec * 24 units/container
Pitch= 1320 sec= 22 min
37

2. Determine if you can meet demand with current
capabilities.
Cycle time of line= 50 sec (longest cycle time)

Capacity= 27600 sec 50 sec/part= 552 parts
552 units*0.84=464 units (where uptime of the
line=0.84)
464 < 504 units/day.
Actual capacity is less than required capacity.
38

3. Determine if you need buffer and safety
inventories.
Buffer: when customer ordering pattern varies.

Safety: when internal constraints or inefficiencies
disrupt flow.
Buffer & safety inventories are a hedge against
uncertainty.
39

4. Determine if you need a finished goods
supermarket
If you are 100% confident in the production system

(flow), directly ship from the last process. Otherwise, a
supermarket needed.
Maintain certain level of inventory by pull system!
40

5. Determine which improvement techniques to
implement!
Quick changeover techniques (QCO):For

machining.
Autonomous maintenance (to increase uptime)
5S for workplace organization and
standardization.
41

Stage-2: Focus on Flow
Continuous flow:
Produce only those units needed
When they needed
In exact amounts
1.
Perform line balancing: For evenly

distributing work elements within a value
stream to meet takt time!
42
# of operators= 170 sec / 55 sec (takt time)= 3.09 operators

# of operators= 150 sec / 55 sec (takt time)= 2.7 operators
* Improve tooling
maintenance and
eliminate the need for
deburring.
Target
* Distribute work of other

3 operations between the
operators.
* Reduce C/O times in
machining to 15 min.
* Achieve C/O time to <1

min in other operations.
43

2. Plan for Work cells
Achieving a balanced
line depends on
applying principles of
cell design.
Workers and
machines for C,T,M
grouped into a cell.
Workers can
cooperate.
44

3. Determine how to control upstream production:
At points where continuous flow is not achievable,
determine how to control flow of prod.
Put supermarkets. Ex.: one between suppliermachining and the other machining-the cell.
Use a kanban system.
Use FIFO lanes.
Use computer assisted scheduling.
45

4. Determine which improvement methods to
use
5S, TPM, autonomous maintenance and QCO

in manufacturing cell. Why?
Standardized work, QCO, 5S at crimpingtesting-marking cell.
46

Stage-3: Focus on Leveling
1. Decide on paced withdrawal or a Heijunka System,
and Design or refine Kanban system.
2. Determine route of the material handler (runner).
Map all material and information flow.
3. Determine which improvement methods to use.
47

It is necessary to create a Kanban system.
24 units per cont.
Containers reusable
Pitch=22 min.=55 sec X 24 units= 1320 sec
48

Withdrawal Kanban tells runner how many units to be
pulled from finished goods supermarket.
Prod. Kanban tells the cell how many units should be
replenished.
Signal Kanbans between machining and the cell tell
the machining oper. How many units pulled from the
supermarket.
49

Signal Kanbans at the upstream of machining tell
supplier how much raw material pulled.
In the Heijunka box,withdrawal Kanbans are put and
are visually controlled.
50
Future State Map

F/C Monthly

30 min unpaid lunch
Breaks= 20 min
Net Available Time= 460
min.
Production
Control
Weekly orders
F/C Monthly
Pitch=22
Weekly orders
VW
ABC
Cord Inc.
Runner
Takt=55 sec.
504 units/day
24 units/
container
W
Weekly
Daily
Pitch=22 min.
S
P
Shipping
VW
5S
Machining
5S
CT=
45 sec
C/O=
30 min
C/O=
< 1 min
Avail= 27600 sec
Avail=
27600 sec
CT=
QCO
105 sec
Uptime= 100 %
Takt=
5 days
55 sec
1 day
2 days
45 sec
Heijunka & a
runner.
Std. Work
93
U-shaped cell
& std. Work
Cell
TPM
Uptime=
QCO
5S
Crimping/Testing/
Marking
Buffer and
safety stock in
shipping area.
Stats
LT= 8 days
TCT=150 sec
105 sec
51
Heijunka Box
52
(Tapping, Luyster, Shuker, 2002)

53

6 7 Value Stream Mapping

Enviado por

Dados do documento

Descrição original:

Direitos autorais

Formatos disponíveis

Compartilhar este documento

Compartilhar ou incorporar documento

Opções de compartilhamento

Você considera este documento útil?

Este conteúdo é inapropriado?

Direitos autorais:

Formatos disponíveis

6 7 Value Stream Mapping

Enviado por

Direitos autorais:

Formatos disponíveis

Source book: Value-stream Management: eight steps to planning,

mapping and sustaining lean improvements, Tapping, Luyster, Shuker,

Prepared by Dr. ule Itr Satolu

Prepared by Dr. ule Itr Satolu

material and information flows in time and space.

Prepared by Dr. ule Itr Satolu

Value-Stream Mapping (VSM)

material and information.

Prepared by Dr. ule Itr Satolu

Prepared by Dr. ule Itr Satolu

(Tapping, Luyster, Shuker, 2002)

Mapping Current State

Prepared by Dr. ule Itr Satolu

Mapping Current State

Visualize entire flow, rather than a single operation

Prepared by Dr. ule Itr Satolu

Draw simple sketches of main production

Prepared by Dr. ule Itr Satolu

Prepared by Dr. ule Itr Satolu

Prepared by Dr. ule Itr Satolu

Average demand: 10080 units per month=504 per day.

Prepared by Dr. ule Itr Satolu

2500 units from its supplier ABC.

Prepared by Dr. ule Itr Satolu

Similar data collected for Testing, Crimping,

Prepared by Dr. ule Itr Satolu

Prepared by Dr. ule Itr Satolu

Prepared by Dr. ule Itr Satolu

Mapping Current State

Shipping icon below customer icon

Prepared by Dr. ule Itr Satolu

Mapping Current State

Data boxes below each process icon.

Prepared by Dr. ule Itr Satolu

Mapping Current State

Write shift time, planned breaks, total available

Prepared by Dr. ule Itr Satolu

1 shift/day= 8.5 hours

sec for machining)

Prepared by Dr. ule Itr Satolu

Mapping Current State

Draw communication arrows from customer to

Prepared by Dr. ule Itr Satolu

1 shift/day= 8.5 hours

Mapping Current State

between processes, and

Calculate days of inventory (WIP) on hand and

1 shift/day= 8.5 hours

Prepared by Dr. ule Itr Satolu

Mapping Current State

Production based on a schedule: push!

Prepared by Dr. ule Itr Satolu

Current State Map:

1 shift/day= 8.5 hours

Prepared by Dr. ule Itr Satolu

Points to Remember for Current State

Prepared by Dr. ule Itr Satolu

Days of inventory on hand

Prepared by Dr. ule Itr Satolu

Total product cycle time

Prepared by Dr. ule Itr Satolu

Prepared by Dr. ule Itr Satolu

Lean Metrics- Example