VALUE STREAM MAPPING

LEAN MANUFACTURING
ASSIGNMENT 1

S. BANERJEE
M/BFT/11/20
NIFT MUMBAI

INTRODUCTION
Value stream mapping is a lean manufacturing technique used to
document, analyze and improve the flow of information or materials
required to produce a product or service for a customer.
It analyzes the current state and helps in designing a future state for the
series of events that take a product or service from its beginning through
to the customer.
Also known as "material and information flow mapping". It can be
applied to nearly any value chain.

WHAT IS A VS MAP?
Special type of flow chart that uses symbols known as "the
language of Lean" to depict and improve the flow of inventory and
information.
Its purpose is to provide optimum value to the customer through a
complete value creation process with minimum waste.

WHERE DID VSM ORIGINATE?

In Monden's 1993 "Toyota Production
System" book, there is a diagram on
p. 59 about the circulation of supplier
kanbans with symbols that resemble the
VSM's.
According to John Shook (Author of
Learning to See) VSM, or Materials and
Information flow diagrams were created
by Toyota's OMCD (Operations
Management Consulting Division)

WHAT IS VALUE?
A capability provided to a customer, for a product or service, such as:
Of better quality (than existing products/services)
At the right time,

At an appropriate price,
Of a specific quantity.
Etc, as defined by the customer.
"Value" is basically what the customer is choosing the product/service for.
VA activities are those that add to the final perceived value of the product, while
NVA activities are those that do not add to it.

TAKT TIME
Takt time, derived from the German word Taktzeit, translated best
as meter.

It is the theoretical maximum unit production

time to meet the customer demand rate.
Industrial manufacturing lines must have production cycle times at
least as short as the takt time so that production can be matched to
customer demand.

STEPS TO MAKE A VSM

Planning. Identify the target product family or service.
Draw a current state value stream map, which shows the current
steps, delays, and information flows required to deliver the target
product or service
Assess the current state value stream map in terms of lean
manufacturing.

Draw a future state value stream map.

Work toward the future state condition.

VSM SYMBOLS
These are the symbols used to
make a VSM

THE CURRENT STATE

The current state is a map that plots the flow of materials from vendor to
customer, or the flow of information when talking about services.
In order to draw it, the VSM manager, or the one making the VSM should
first map each process that goes into making a product. The use of flow
charts is recommended.
Then, he should break those into value added or non value added
activities.

Then, he is required to make a team of professionals, who specialize in

each of those processes, to quantify them well.
The current state is supposed to be chaotic and sometimes wasteful. But
drawing it should be an honest and careful task.

FUTURE STATE MAP

The future step map is basically the ideal flow of materials or
information inside an organization.
It is critical to note that the future state isn't necessarily a goal to be
completely achieved as it is ideal, and above human errors and lag
factors.
The future state is only a guide for the company to follow and trim
their processes by, thereby reducing waste and lead time.
Basically,
Current state + Lean tools = Future state

7 TOOLS OF VSM
There are seven well define value stream mapping tools, namely:
Process Activity Mapping
Supply chain responsiveness matrix
Product Variety Funnel
Quality filter mapping
Forrester effect mapping
Decision point analysis
Overall Structure Maps

MIDF and VSM a brief history

According to John Shook, Materials and Information flow diagrams were
created by Toyota's OMCD group. They were introduced to the U.S. by
TSSC and ultimately made their way to the Lean Enterprise Institute.
Jim Womack and Dan Jones introduced the concept of "value stream"
and in Lean Thinking told readers to map them. While the book had an
example and descriptions, the process wasnt laid out.
At that time, Mike Rother had just become very interested in Toyota's
M&I flow mapping so John introduced him to Jim and Dan. He said Dan
was especially interested in M&I mapping too.

According to Gary Stewart a 23-years Toyota veteran:

"The VSM process was known internally simply as "process
mapping" - (or occasionally later as MIFD - but that was more
specific to OMCD ) - it is only one of a suite of tools that should be
used together to understand the process from high level to great
detail. I think today the term VSM and the use by consultants of the
term VSM is much more a response to creating a branding
difference in both Marketing and Consulting. In Marketing "process
mapping" does not sound very sexy - nor could you different
yourself from every other consultant. But with Value Stream
Mapping - you have a major brand differentiator.

 Here is what Art Smalley wrote about VSM in his 2005 article:
The reason there are no value stream maps in most Toyota plants
is very simple in hindsight. It was a tool developed primarily as an
analytical aid to look at material and information flow problems in
certain processes. In fact, the actual name of the tool at Toyota is
material and information flow analysis - not value stream
mapping.

 Shook, co-author with Mike Rother of the Learning to See workbook on

value-stream mapping, responds in order to clarify what mapping is
and is not. Here is his response:

this is all less important than the main point of VSM, which relates to
the reason we recommend VSM be done by hand. The point is not that
the absolute optimum product flow is best calculated by hand. Of
course not! But, do the central problems of American manufacturing
revolve around the fact that we have inadequate queuing algorithms? Is
what we need now yet another, bigger and better, software package?
The value in creating the drawings by hand is that it forces the drawer to
go look, observe, and to try to really see what is going on at the value
stream not just individual process level.

REFERENCES
http://www.lean.org/library
Learning to See, 2009 by Shook and Rother.
http://www4.hcmut.edu.vn/
Study and Implementation of Lean Manufacturing in a Garment
Manufacturing Company: Bangladesh Perspective, IPE, REUT.
http://michelbaudin.com/2013/10/25/where-do-value-streammaps-come-from/
http://www.valuebasedmanagement.net
http://www.lean.org/

THANK YOU