System CIP

VSE SYSTEM APPROACH
2018-06-21
VSE System Approach
VSE SYSTEM APPROACH
▶ The VSE System Approach is a systematic procedure that aims to improve existing value streams in a
comprehensive, targeted and sustainable way.
▶ It serves as a guide and gives us a framework for ensuring we take a structured approach to the
continuous improvement process.
▶ The VSE System Approach contains three levels:

1. System CIP
2. Point CIP
3. Daily Management
Internal | SG/VSE-MX | 2018-06-21

2 © SEG Automotive México Manufacturing S.A. de C.V. 2018. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.
VSE System Approach
VSE SYSTEM APPROACH
This process is supported by an assigned system of indicators known as the KPI tree. These indicators are used to describe the target
situation and the current situation on each level and to clearly highlight any deviations
Key Performance Indicators
VSE SYSTEM APPROACH
▶ There are three types of indicators:

1. Value Stream Key Performance Indicator Results (VS KPR)
These translate the requirements value stream into indicators without a direct link to the improvement
topics. They are the highest level of indicators in a value stream.
2. Monitoring Key Performance Indicators (Monitoring KPI)

These are necessary to run and monitor the system. They are defined for value stream sections, but
cannot be determined directly at the process.
3. Improvement Key Performance Indicators (Improvement KPI)

These can be measured directly at the process and provide insight into the causes. Improvements are
directly reflected in the Improvement KPI. Improvement KPI are required as they are influencing factors for
the Monitoring KPI.
Key Performance Indicators
VSE SYSTEM APPROACH

System CIP
VSE SYSTEM APPROACH
▶ In the context of System CIP, we derive the focus topics to be worked on for a value stream, define the
required target conditions as well as the respective projects to achieve these target conditions.
1. Recording and Understanding the Business Requirements
2. Analysis of the Current Situation
3. Identification of Focus Points
4. Definition of Target Conditions
5. Definition of the Target Value Stream
6. Execution of System CIP Projects

System CIP
VSE SYSTEM APPROACH
1. •BSC •Ideal State

Business •Strategy of the 2. Current •VSM 3. Focus •Current
plant Condition Vs
Requirem Condition •KPI Tree topics Business
ents •Vision Requirements
•Business plan
System CIP ends

6. with the
•New Standard + 5. Target
4. Target •VSD Execution implementation
Monitoring KPI Value and validation of
Conditions of System
+ Stability Stream the target
Criteria CIP
condition

A3
VSE SYSTEM APPROACH

Point CIP
VSE SYSTEM APPROACH
▶ The aim of Point CIP is to achieve stable and

sustainable standards, i.e. the intervention 1.
Standard
limits defined for the monitoring KPI must
not be exceeded within a defined period of
time. 5. Problem
2. Process
Cofirmatio
▶ To achieve this stability, we must find out Solving
n
why the intervention limits have been
exceeded.
▶ The following five elements provide a
structured approach to stabilize standards 4.
3 Quick
Structured
by ensuring that problems are solved COmmunic
Reaction
System
permanently and their causes are ation
eliminated.

Daily Management
VSE SYSTEM APPROACH
▶ At this point, the Monitoring KPI from the defined target condition are determined on an ongoing basis.
▶ The target of Daily Management is the identification of deviations in the Monitoring KPI. If the
monitoring KPI violate the stability criteria, a decision must be taken – as part of Structured
Communication – as to the relevance of these deviations and how they can be dealt with.
▶ A return to System CIP is also possible in order to check whether this is a focus topic for the considered
system and whether it should be addressed in the next System CIP cycle.

System CIP, Point CIP, Daily Management
VSE SYSTEM APPROACH

Connection between System CIP, Point CIP and Daily Management
SYSTEM CIP
System CIP Point CIP Daily Management

Internal and External
References 1. Standard
VSM 5. Problem 2. Process

Solving Cofirmation
Transfer to Process Owner
*Current Condition Stabilization
VSD New Standard 4. Structured 3 Quick

Communicatio Reaction
n System
• Clear defined and
understood standard
*Target Condition
• Ensure Standard
sustainability
Handshake
Project Leader 🡪 Team Leader
System CIP Overview
SYSTEM CIP OVERVIEW
• Value Stream
Map and Value
Stream Design
per Level
• A3 per Project
based on
business
requirements


System CIP

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VSE SYSTEM APPROACH

▶ The VSE System Approach contains three levels:

Internal | SG/VSE-MX | 2018-06-21

▶ There are three types of indicators:

2. Monitoring Key Performance Indicators (Monitoring KPI)

3. Improvement Key Performance Indicators (Improvement KPI)

Internal | SG/VSE-MX | 2018-06-21

2. Analysis of the Current Situation

3. Identification of Focus Points

4. Definition of Target Conditions

5. Definition of the Target Value Stream

6. Execution of System CIP Projects

Internal | SG/VSE-MX | 2018-06-21

1. •BSC •Ideal State

System CIP ends

Internal | SG/VSE-MX | 2018-06-21

Internal | SG/VSE-MX | 2018-06-21

▶ The aim of Point CIP is to achieve stable and

Internal | SG/VSE-MX | 2018-06-21

Internal | SG/VSE-MX | 2018-06-21

Internal | SG/VSE-MX | 2018-06-21

System CIP Point CIP Daily Management

VSM 5. Problem 2. Process

*Current Condition Stabilization

VSD New Standard 4. Structured 3 Quick

Internal | SG/VSE-MX | 2018-06-21

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