Professional Documents
Culture Documents
Mapping
Case Study
TOTAL VALUE STREAM
2
Value Stream
A Value Stream is all the actions (both value added
and non-value added) that occur to a product
beginning with its inception(at design) through to
shipment to the customer.
4
Value
Specify Value from the end customer’s perspective
Define Understand
Define Value
Customer unmet needs
Ask how
Quality, your current
clearly
schedule/ processes
understand
Cycle Time,
who the dissatisfy
target cost
customer is. your
etc.
customers
5
Value Stream
Material Flow
• Movement of things (material/document etc…) on which Value to
be added
Information Flow
• Information about quantity to be produced/ delivered
• Work Scheduling
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Flow
Understand the Flow and Blockage
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Flow
Line-up all the steps that truly create value
so they occur in rapid sequence;
▪ Challenge every step: Why is this necessary?.
▪ Eliminate / Minimize NVA activities.
▪ Process, in direct proportion to demand (need).
▪ Make every process:
⚫ Capable (No Defect)
⚫ Available (No down time)
⚫ Adequate, with capacity (to meet demand- Takt time)
⚫ Efficient (No NVAs)
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Pull: Remove Blockage
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Understanding Value Streams
The set of all specific actions required to bring a
specific product through the three critical management
tasks of any business.
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Understanding Value Streams
Concept to Launch
VALUE STREAM Office Value Stream
Research Engineering Production
Raw Finished
Material Products
Order to Cash
VALUE STREAM
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Understanding Value Streams
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Understanding Value Streams
❑ A Value Stream perspective implies a big picture and
not just individual processes and involves improving
the entire working of the organization
❑ This requires to follow the Value Stream across many
firms and even more facility
❑ This is very complex and to avoid this, we follow Door-
-To-Door Production Flow in the manufacturing plant
consisting of raw material to finish stage activities
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Door-To-Door Production Flow
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Door-To-Door Production Flow
VALUE STREAM
PROCESS
PROCESS PROCESS
Stamping Welding
Assembly
Cell
Raw Finished
Material Product
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Why do Value Stream Mapping?
It provides the means to see the material and information
flows together.
It helps you see more than waste. Mapping helps you
see the sources of waste in your value stream.
It provides a common language for talking about
manufacturing system.
It forms the basis of an implementation plan.
Support the prioritization of continuous improvement
(Kaizen) activities at both the value stream and plant
levels.
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Material and Information Flow
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Types of Flow in Manufacturing
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Value Stream Mapping
Value Stream Mapping (VSM) is a pencil and paper tool that
helps you to see and understand the flow of material and
information as a product makes its way through the value
stream. Customer
Xpcs/ month
Std Pack Qty
Steel Supplier PC & L # Shifts
Level Box
DA1
Daily DA2
DA3
6 x / Day
Layout
Information
PROCESS FLOW
Material
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Lean Journey
Lesser Waste
New
PERFECTION Waste
Less Waste
identified!
New
Waste
Identified
Future State
Action
Plan
Waste
Current State
Action
Original State Plan
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The Process
Map
nt
e me
Customer
Analyz
MRP MSS
X pcs/month
l
Supplier # shifts
Imp
Weekly Build Schedule
Daily Ship
Schedule
e
Tues. & Fri.
# times/day
Layout
and Inv.Time
Proc.Time
? days
? days
? days
? days
? days
? days
? days
TPc/t = ?
Training
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Map the Current State
Map
nt
Analyz
e me
l
Imp
Improve
25
A few Mapping Tips
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Mapping Method
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Using the Mapping Tool
Initial Value Stream Mapping Steps
Product Family
Current-State
Drawing
Future-State
Drawing
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VSM Common Icons
(Shall be discussed in subsequent slides)
Mon
+ Wed
FIFO
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Current State Map
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Step 1: Select a Product Family
What is a Product Family?
⚫ Family: a group of products/ services that use
the same or similar processing steps and
equipment within the selected process
⚫ Product Family Matrix: the tool for analyzing
product flow and identifying product families
Product Families are the most efficient way of
organizing your Value Stream Maps
Inputs Outputs
Our Site
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Creating a Product Family Matrix
◼ List process steps on top Steps
Tests X X X
X X X
X X X
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Product Family Matrix with Post-Its
Process C
Process D
Process B
Process E
Process A
Process F
Product 1 X X X X
Product 2 X X X X
Product 3 X X X X X
Product 4 X X X
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Current State Map
The
Way it
is Today
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Step 2: Form a Team
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Who is responsible for the Value Stream?
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Data Collection
Data To Collect
Shipping/Receiving Work-in-process
schedules inventory
Pack sizes at each Overtime per week
process
Demand rates by Process cycle times
process (Takt Time)
Number of product
Working hours and breaks variations at each step
Scrap Batch (lot) sizes
Inventory Points
(location & size) Rework Changeover times
How Operations are Changeover
Downtime
scheduled frequencies
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Step 3: Understand Customer Demand
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VSM Icon : Factory Icon
ACME Stamping
Suppliers
Customers
Factory Icon Ext. Job Shops
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VSM Icon: Data Box
Data Box
3 Shifts
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Step 3: Understand Customer Demand
State Street
Assembly
18400pcs/mo
- 12,000 “A”
- 6,400 “B”
Customer
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Step 4: Map the Process Flow
Process
No. of Operators
2
43
Step 4: Map the Process Flow
Assy. Cell
“U-Cell” with
Three Operators
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Step 4: Map the Process Flow
PC&L
Department runs
MRP Software
For Material Planning
MRP
Also used for departments such as Production Control, sales & marketing etc.
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Step 4: Map the Process Flow
46
Step 4: Map the Process Flow
PROCESS 1
18400pcs/mo
- 12,000 “A”
- 6,400 “B”
Tray=20 pcs
1 2 shifts
Manufacturing Process
Staging
1 1 1 1
1
48
Step 4: Map the Process Flow
State Street
Assembly
C/T = 1 sec
C/O = 1 hr 18400pcs/mo
- 12,000 “A”
- 6,400 “B”
Uptime=80% Tray=20 pcs
3 Shifts 2 shifts
Scrap
Staging
1 1 1 1
1
C/T = 1 sec C/T =24 sec C/T =31 sec C/T =52 sec C/T=25 sec
C/O = 1 hr C/O =15 min C/O =10 min C/O = 0 C/O = 0
Uptime=80% Uptime=100 Uptime=85% Uptime=95 Uptime=100
Scrap – 1% Scrap – 2.5% Scrap – 4% Scrap – 3.2% Scrap – 3%
EPE=2 weeks 2 shifts 2 shifts 2 shifts 2 shifts
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Step 5: Map the Material Flow
50
Inventory
330 pieces
1 Day
51
Truck Shipment
Mon + Wed
52
Material that is produced and moved
Movement of production forward before the next process needs
Material by PUSH it; usually based on a schedule.
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Movement of finished
Goods to the customer
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Step 5: Map the Material Flow State Street
Assembly
18400pcs/mo
I - 12,000 “A”
- 6,400 “B”
4200 A
Tray=20 pcs
2 shifts
2300 B
Inventory Triangle showing the
amount of inventory
C/T = 1 sec C/T =24 sec C/T =31 sec C/T =52 sec C/T=25 sec
C/O = 1 hr C/O =15 min C/O =10 min C/O = 0 C/O = 0
Uptime=80% Uptime=100 Uptime=85% Uptime=95 Uptime=100
Scrap – 1% Scrap – 2.5% Scrap – 4% Scrap – 3.2% Scrap – 3%
2 shifts 2 shifts 2 shifts 2 shifts
55
Step 5: Map the Material Flow State Street
Assembly
18400pcs/mo
- 12,000 “A”
- 6,400 “B”
Arrow
I
Sheets
5 days
C/T = 1 sec C/T =24 sec C/T =31 sec C/T =52 sec C/T=25 sec
C/O = 1 hr C/O =15 min C/O =10 min C/O = 0 C/O = 0
Uptime=80% Uptime=100 Uptime=85% Uptime=95 Uptime=100
Scrap – 1% Scrap – 2.5% Scrap – 4% Scrap – 3.2% Scrap – 3%
2 shifts 2 shifts 2 shifts 2 shifts
56
Craig Steels
Company
Step 5: Map the Material Flow State Street
Assembly
18400pcs/mo
- 12,000 “A”
- 6,400 “B”
Tray=20 pcs
Craig Steels 2 shifts
Company
C/T = 1 sec C/T =24 sec C/T =31 sec C/T =52 sec C/T=25 sec
C/O = 1 hr C/O =15 min C/O =10 min C/O = 0 C/O = 0
Uptime=80% Uptime=100 Uptime=85% Uptime=95 Uptime=100
Scrap – 1% Scrap – 2.5% Scrap – 4% Scrap – 3.2% Scrap – 3%
2 shifts 2 shifts 2 shifts 2 shifts
57
Craig Steels
Company
Step 5: Map the Material Flow
State Street
Assembly
50 sheet stack
18400pcs/mo
- 12,000 “A”
- 6,400 “B”
50 sheet stack
Mon + Tray=20 pcs
Wed 2 shifts
I
Sheets
5 days
C/T = 1 sec C/T =24 sec C/T =31 sec C/T =52 sec C/T=25 sec
C/O = 1 hr C/O =15 min C/O =10 min C/O = 0 C/O = 0
Uptime=80% Uptime=100 Uptime=85% Uptime=95 Uptime=100
Scrap – 1% Scrap – 2.5% Scrap – 4% Scrap – 3.2% Scrap – 3%
2 shifts 2 shifts 2 shifts 2 shifts
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Step 6: Map the Information Flow
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Production Control
Craig Steels
Company MRP State Street
Assembly
50 sheet stack
18400pcs/mo
- 12,000 “A”
- 6,400 “B”
Prod Ctrl Tray=20 pcs
Mon +
Wed 2 shifts
MRP
1 X daily
I
Step 6: Map the Information Flow
sheets
5 days
PROCESS 1 PROCESS 2 PROCESS 3 PROCESS 4 PROCESS 5 SHIPPING
I I I I I Staging
4200 A 1 1050 A 1 1400 A 1 1000 A 1 2400 A
1
2300 B 550 B 850 B 625 B 1100 B
C/T = 1 sec C/T =24 sec C/T =31 sec C/T =52 sec C/T=25 sec
C/O = 1 hr C/O =15 min C/O =10 min C/O = 0 C/O = 0
Uptime=80% Uptime=100 Uptime=85% Uptime=95 Uptime=100
Scrap – 1% Scrap – 2.5% Scrap – 4% Scrap – 3.2% Scrap – 3%
2 shifts 2 shifts 2 shifts 2 shifts
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Production Control 30 day
Forecast
Craig Steels Weekly State Street
Company Fax MRP Daily Assembly
Order
50 sheet stack
30 day 18400pcs/mo
Forecast - 12,000 “A”
- 6,400 “B”
Tray=20 pcs
Mon + Daily 2 shifts
Wed
Order
Weekly
Fax
1 X daily
I
Step 6: Map the Information Flow
sheets
5 days
PROCESS 1 PROCESS 2 PROCESS 3 PROCESS 4 PROCESS 5 SHIPPING
I I I I I Staging
4200 A 1 1050 A 1 1400 A 1 1000 A 1 2400 A
1
2300 B 550 B 850 B 625 B 1100 B
C/T = 1 sec C/T =24 sec C/T =31 sec C/T =52 sec C/T=25 sec
C/O = 1 hr C/O =15 min C/O =10 min C/O = 0 C/O = 0
Uptime=80% Uptime=100 Uptime=85% Uptime=95 Uptime=100
Scrap – 1% Scrap – 2.5% Scrap – 4% Scrap – 3.2% Scrap – 3%
2 shifts 2 shifts 2 shifts 2 shifts
61
Production Control 30 day
Forecast
Craig Steels Weekly State Street
Company Fax MRP Daily Assembly
Order
50 sheet stack
18400pcs/mo
- 12,000 “A”
- 6,400 “B”
Twice a week scheduling
Tray=20 pcs
Mon + 2 shifts
Wed
Daily ship
schedule
1 X daily
I
Step 6: Map the Information Flow
sheets
5 days
PROCESS 1 PROCESS 2 PROCESS 3 PROCESS 4 PROCESS 5 SHIPPING
I I I I I Staging
4200 A 1 1050 A 1 1400 A 1 1000 A 1 2400 A
1
2300 B 550 B 850 B 625 B 1100 B
C/T = 1 sec C/T =24 sec C/T =31 sec C/T =52 sec C/T=25 sec
C/O = 1 hr C/O =15 min C/O =10 min C/O = 0 C/O = 0
Uptime=80% Uptime=100 Uptime=85% Uptime=95 Uptime=100
Scrap – 1% Scrap – 2.5% Scrap – 4% Scrap – 3.5% Scrap – 3%
2 shifts 2 shifts 2 shifts 2 shifts
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Step 7: Calculate Total Product Cycle Time
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Cycle Time and Value Added Time
Cycle Time (C/T)
Cycle Time (C/T)
Time it takes an operator to go
through all of their work
elements before repeating
them.
VA Time
Value Added Time (VA)
Time of those work elements that
actually transform the product in a
way that the customer is willing to
pay for.
64
Total Product Lead Time
Lead Time
Lead Time (L/T) The
time it takes one piece to move all the
way through a process or a value
stream, from start to finish.
or
65
Production Control 30 day
Forecast
Craig Steels
Weekly State Street
Company Fax MRP Daily Assembly
Order
50 sheet stack
18400pcs/mo
- 12,000 “A”
- 6,400 “B”
Twice a Week Scheduling
Tray=20 pcs
Mon + 2 shifts
Wed
Daily ship
schedule
1 X daily
I
sheets
5 days
PROCESS 1 PROCESS 2 PROCESS 3 PROCESS 4 PROCESS 5 SHIPPING
I I I I I Staging
4200 A 1 1050 A 1 1400 A 1 1000 A 1 2400 A
1
2300 B 550 B 850 B 625 B 1100 B
C/T = 1 sec C/T =24 sec C/T =31 sec C/T =52 sec C/T=25 sec
C/O = 1 hr C/O =15 min C/O =10 min C/O = 0 C/O = 0
Uptime=80% Uptime=100 Uptime=85% Uptime=95% Uptime=100
Scrap – 1% Scrap – 2.5% Scrap – 4% Scrap – 3.5% Scrap – 3%
2 shifts 2 shifts 2 shifts 2 shifts
Production Lead
5 days Time = 26 days
8.8 days 2.2 days 3 days 2.2 day 4.8 days
1 second 24 seconds 31 seconds 52 seconds 25 seconds
Processing Time
66sec
= 133
Step 7: Calculate Total Product Cycle Time
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Eliminating MUDA
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Eliminating MUDA & Guidelines for
Improvement
⚫ Reducing Overproduction
⚫ This is the fundamental problem of mass production and
each process operate as an isolated island
⚫ Producing and pushing products forward against schedule
received from PPC
⚫ Defects remain hidden in the access inventory until the
down stream process finally uses the parts and discovers
the problem
⚫ A result of overproduction is that while the value added time
for producing one part is very short, the total time that the
product spends going through the plant is very long (Long
Lead Time)
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Overproduction
Input Output
I
Inventory
To Make
Input = Output
Stop Overproduction
By Linking Input to Output
70
Overproduction
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Eliminating MUDA & Guidelines for
Improvement
⚫ Produce to your Takt Time
⚫ Takt Time is how often you should produce one part or
product to meet customer requirements (based on sale)
⚫ Synchronize your pace of production with takt time specially
at pacemaker process.
⚫ This requires
⚫ Elimination of causes of downtime
⚫ Provide past response to problem
⚫ Eliminate changeover in down stream processes
72
Eliminating MUDA & Guidelines for
Improvement
⚫ Develop Continuous Flow wherever possible
⚫ Continuous flow refers to producing one piece at a time with
each item passed immediately from one process step to
next without any inventory buildup. This is the most efficient
way to produce. When introducing continuous flow in the
Future State Map combine two or more boxes into one
73
Eliminating MUDA & Guidelines for
Improvement
Develop Continuous Flow
74
Eliminating MUDA & Guidelines for
Improvement
⚫ Use Supermarket to Control Production
⚫ Wherever required
75
Additional Mapping Icons
Kanban Kanban
Supermarket
Path Post
Signal Kanban
Kanban arriving First-In
in batches First-Out
Flow
Withdrawal
Physical
Kanban
Pull
Production Process
Leveling Kaizen
Kanban
76
Eliminating MUDA & Guidelines for
Improvement
⚫ Send the Customer Schedule to only one Production
Process
⚫ By using Supermarket Pull System, the production schedule
will have to be provided only at one point in door-to-door
operation because controlling production at one point sets
the pace for all the upstream processes.
⚫ This point is pacemaker process.
⚫ Materials transferred from the pacemaker process down
stream to finish goods needs to occur as flow (no
supermarket or pulls down stream of pacemaker process)
77
Future State Map
Map
nt
Analyz
e me
l
Imp
e
Improve
78
Design Future State
Purpose
Define how the plant will operate in the future
Serve as the blueprint for implementation
79
Future State Map
A simple way to
approach the Future
State Map is to begin by
modifying the Current
State Map.
80
Key Questions for the Future State
81
The Future State Questions
Tak t Time = 4 6 0 mi n s p er s h i ft
4 6 o rd ers p er s h i ft = 1 0 mins
82
Drawing The Future State Map
83
Drawing The Future State Map
The bottleneck process is the operation with the longest cycle time.
84
ABC Gamma current cycle times
Takt Time
55 sec.
44s
Machining 40s. 30s.
10s.
5s.
Honning
Package
Inspect
Deburr
85
3. Identify Lot Sizing / Setup Opportunities
86
3. Identify Lot Sizing / Setup Opportunities
87
4. Identify Potential Workcells
• cycle times for clean/deburr, inspection and packaging are quite short
in comparison.
• It appears that three operators can run the cell. This is not a precise
calculation. It only considers present cycle times and ignores setup.
88
5. Establish Scheduling Methods
89
6. Calculate Lead and Cycle Time
90
Drawing The Future State Map
91
Drawing The Future State Map
FVSM
CVSM
92