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European Journal of Radiology 81 (2012) e47–e52

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European Journal of Radiology


journal homepage: www.elsevier.com/locate/ejrad

Applying value stream mapping techniques to eliminate non-value-added waste


for the procurement of endovascular stents
Ulf K. Teichgräber ∗ , Maximilian de Bucourt
Department of Radiology, Charité University Hospital Berlin, Charitépaltz 1, 10117 Berlin, Germany

a r t i c l e i n f o a b s t r a c t

Article history: Ojectives: To eliminate non-value-adding (NVA) waste for the procurement of endovascular stents in
Received 12 October 2010 interventional radiology services by applying value stream mapping (VSM).
Accepted 17 December 2010 Materials and methods: The Lean manufacturing technique was used to analyze the process of material
and information flow currently required to direct endovascular stents from external suppliers to patients.
Keywords: Based on a decision point analysis for the procurement of stents in the hospital, a present state VSM was
Toyota Production Systems
drawn. After assessment of the current status VSM and progressive elimination of unnecessary NVA
Procurement
waste, a future state VSM was drawn.
Endovascular stents
Value stream mapping
Results: The current state VSM demonstrated that out of 13 processes for the procurement of stents only
2 processes were value-adding. Out of the NVA processes 5 processes were unnecessary NVA activities,
which could be eliminated. The decision point analysis demonstrated that the procurement of stents was
mainly a forecast driven push system. The future state VSM applies a pull inventory control system to
trigger the movement of a unit after withdrawal by using a consignment stock.
Conclusion: VSM is a visualization tool for the supply chain and value stream, based on the Toyota
Production System and greatly assists in successfully implementing a Lean system.
© 2010 Elsevier Ireland Ltd. All rights reserved.

1. Introduction relationships and to identify hidden waste. Table 1 depicts key facts
on VSM.
Early initiatives carried out in industry to establish supply chain
developing programs have shown that it is necessary to map value-
2. Materials and methods
adding processes. By eliminating non-value-adding (NVA) factors
and creating an overall smoother process, products and services
2.1. Area of application and outline of an implementation plan of
become more valuable to the consumer as well as more competitive
the value stream mapping technique
to rivals on a market. These economic approaches are increasingly
applied in numerous medical settings [1–5].
The VSM technique was applied at a university interventional
The car manufacturer Toyota was the first company to use
radiology department to eliminate non-value-adding waste in the
value stream mapping (VSM) techniques to implement Lean con-
process of endovascular stent procurement.
cepts and tools. The purpose of VSM is to minimize waste that
The focus was set to endovascular stents. They account only for
prevents a smooth, continuous flow of products and informa-
a small amount of overall items used (ca. 15%) while accounting
tion throughout a value stream [6]. A value stream displays the
for the majority of value (ca. 80%) processed during the medical
set of activities (and their respective value) involved to create
intervention. There are various stent differences e.g. in size, length,
a product or provide a service. Value stream mapping can be
material and functionality, thus rendering a voluminous and very
defined as a lean manufacturing technique used to analyze the
cost intensive stock keeping for hospitals necessary. Table 2 depicts
flow of materials and information currently required to forward
an outline of the VSM implementation plan pursued.
a product or service to a consumer [7]. Using pencil and paper or
computer assistance, visualization serves as a tool to convey infor-
mation about processes and interactions, to understand complex 2.2. Waste identification

In order to objectify the identification of “waste,” one key con-


cept in the Toyota Production System (TPS) referred to as the
∗ Corresponding author. Tel.: +49 30 450 527144; fax: +49 30 450 557907. “seven wastes” (1. overproduction, 2. unnecessary transportation,
E-mail address: ulf.teichgraeber@charite.de (U.K. Teichgräber). 3. inventory, 4. motion, 5. defects, 6. over-processing, 7. waiting)

0720-048X/$ – see front matter © 2010 Elsevier Ireland Ltd. All rights reserved.
doi:10.1016/j.ejrad.2010.12.045
e48 U.K. Teichgräber, M. de Bucourt / European Journal of Radiology 81 (2012) e47–e52

Table 1 Table 4
Key facts on VSM. Factors considered before finalizing the future state VSM.

Value stream mapping # Factor


The VSM technique originates from the Toyota Production System
1. Review the present state VSM
It is renowned for its focus on reduction of the original Toyota ‘seven
2. Calculation of takt time
wastes’ in order to improve overall customer value
3. Identification of bottleneck processes
VSM is a Lean technique that is used to analyze the flow of material
4. Identification of lot size and setup opportunities
and information required to direct a product or service to the customer
5. Identification of potential work cells
6. Identification and definition of signaling systems
triggering just-in-time action
was applied and adapted (Table 3) to the specific clinical setting. 7. Establishing scheduling methods
Each procedural step was reviewed and inspected for possible 8. Calculation of lead and cycle times
occurrence of waste, especially unnecessary NVA waste. 9. Identification of specific process improvement

2.3. Mapping the current state


two processes were genuine value-adding processes:
The current state VSM was created according to the standard of
• The supplier of stents (process no. 1).
value stream mapping using the icons depicted in the glossary of
• The procedure of stent implantation (process no. 9).
items (Fig. 1).

2.4. Mapping the future state Out of the remaining processes, five were identified as unnecessary,
six as necessary NVA activities:
As the future state map is generally subject to change as Unnecessary NVA waste
work progresses, each of the nine factors in Table 4 were consid-
ered with considerable detailing before the future state VSM was • incoming goods department (3),
finalized. • central storage (4),
• inspection (5),
• in-hospital package and transportation (6),
3. Results
• procurement department (13).
3.1. Creation of the current state value stream map
Necessary NVA wastes
The current state VSM was created and graphically organized
(Fig. 1), considering thirteen procedural steps (Table 5). • transportation (2),
• superintendent (chief nurse) (7),
3.2. Assessment of the current state value stream map • local departmental stock keeping (8),
• financial officer (10),
An assessment of the current state VSM (Fig. 1) demonstrated • department head (11),
that out of thirteen processes for the procurement of stents only • controlling (12).

Table 2
Outline of the implementation plan of the VSM technique.

Step Task

1. Identify the procurement of stents as the main product, taking into consideration the relevant product family, necessary supplemental materials and services
2. Create a current state VSM, which depicts the process with current steps, delays, and information flows
3. Assess the current state VSM in order to create flow by eliminating waste, especially unnecessary NVA waste
4. Create a future state VSM with superior flow potential
5. Implement the future state VSM

Table 3
Adaptation of the ‘seven wastes’ to the clinical setting of interventional radiology.

The ‘seven wastes’ according to TPS Exemplary adaptation to the clinical setting

1. Overproduction Not typically applicable in health care environment; a patient may be treated too early or unnecessarily, which also includes
an ethical dilemma. If too many patients are treated and budget is exceeded, there may be no reimbursement. In the given
scenario, stent implementation requires a medical indication and validation. Therefore this type of waste was not considered
applicable
2. Waiting Occurs in multiple situations: delivery of goods, missing material (e.g. stents), occupied operation rooms, scheduling mistake
(e.g. nurse, technician, physician or patient not arriving in time)
3. Transportation In this scenario a stent is demanded, delivered to the hospital from an external supplier, transported in-hospital and then held
in stock, but not jet implanted into a patient’s vessel
4. Inappropriate processing Often referred to as ‘using a sledgehammer to crack a nut.’ Smaller, more flexible but also low-cost automation equipment
should be used whenever possible. Order, delivery or implementation of inaccurate stents as well as excess personnel or
material used for the process are types of inappropriate processing
5. Unnecessary inventory Too many stents on stock (excess inventory). Excess inventory may impede identification of shortfalls such as late deliveries
form suppliers and long setup times
6. Unnecessary motion Excess movement of an operator. This waste is related to ergonomics e.g. long distance walking to obtain supplies or sorting
through an unorganized or malpositioned stock
7. Defects Defective stents resulting in rework represent a tremendous cost, including associated costs of re-inspecting, rescheduling
and capacity loss
U.K. Teichgräber, M. de Bucourt / European Journal of Radiology 81 (2012) e47–e52 e49

Fig. 1. Current state value stream map for the procurement of Stents.

Support functions such as inventory control and transportation only 1.92% was used for value-adding processes. Only 15.4% of the
may be considered necessary but by definition do not convert mate- human resources involved in the procurement process were per-
rial into a customer product. In this scenario the stent implantation forming value-adding activities.
is the product and the customer is the patient or the referring physi-
cian.
3.4. Current state decision point analysis

3.3. Current state process activity mapping A decision point analysis assisted in determining the transition
point in the supply chain where demand-pull gives way to forecast-
In the process activity mapping of the procurement of stents driven push. It demonstrated that the procurement of stents in the
(Table 6) out of 13 work steps only three were operational. All other conventional inventory control and scheduling manner was mainly
activities involved either inspection (n = 6), or stock keeping (n = 2) a forecast driven push system (Fig. 2). A pull character was only
or transportation (n = 2); furthermore, a total of n = 4 processes were existent for the final operative process of stent withdrawal from
administrative. Regarding the time spent for procurement of stents, the departmental storage.

Table 5
Procedural steps of the current state VSM.

Step Process/organizational unit/institution Comment

1. Supplier Manufacturer and distributor for endovascular stents


2. Transportation to the hospital Usually the supplier guarantees delivery of stents within 24 h after order receipt
3. Incoming goods department Receiving stents form supplier. First inspection (control of order specifications)
4. Central storage In-hospital warehouse
5. Inspection Inspection of stents before leaving the storage focusing on defective packaging, destruction of
sterile packaging, control of product ID and expiration dates
6. Within hospital package Packaging and transportation in-hospital. The central storage is serving three university hospital
locations in town. Therefore transportation distance can account up to 12 km
7. Superintendent Accepts delivery of stents, organizes departmental storage, receives information from the
angiography room on current stent usage, provides information for the financial officer and orders
stents at the procurement department
8. Departmental storage Local supermarket for stents
9. Procedure (stent implantation) The room where the stent placement is performed. A stand-by nurse retrieves the stent from the
departmental storage upon physicians order
10. Department financial officer Adherence of the departmental budget, communication with controlling department
11. Clinical department head Responsible for clinical concerns and management of the department
12. Controlling department Interacts by ruling, supervising, regulating, managing, restraining, etc.
13. Procurement department Negotiates with vendors for the lowest costs and incentives, analyzes market price and product
mix, checks for competitiveness of the “stent market”s, reports to the controlling department
e50 U.K. Teichgräber, M. de Bucourt / European Journal of Radiology 81 (2012) e47–e52

Table 6
Process activity mapping of the procurement of stents.

Step Flow typea Distance (m) Time (Hrs) Manpower Comments

1. Supplier O 24 1 Reservoir
2. Transportation to Hospital T –b 2 2
3. Incoming goods I 0.1 4
4. Central Storage S 100 0.1 4 Reservoir
5. Inspection I 0.1 2
6. Package T 8000 2 1
7. Superintendent I 0.5 2 Both operator and administrator
8. Department Storage S 30 Dedicated Reservoir
9. Procedure O 1 3
10. Financial officer I 0.1 1 Administrator
11. Department Head I 0.01 1 Administrator
12. Controlling I 0.01 2 Administrator
13. Procurement O 48 3 Administrator
Total 8130 77.92 26
Value-adding (%) 1.92% 15.4%
Operators 1.5 4
a
O = Operation, T = Transportation, I = Inspection, S = Store, D = Delay.
b
Transport distance to the hospital is depending on the supplier; disregarded in the analysis.

Fig. 2. Decision point analysis for the procurement of stents.

3.5. Future state value stream mapping 4. Discussion

Creation of the future state VSM disclosed a progressive elimi- One important factor in gaining control over an organization
nation of waste by using a consignment stock, which is completely is to know and profoundly understand its basic processes. Faulty
operated by the supplier. The future state VSM applies a pull inven- systems and processes, which may also induce medical errors, are
tory control system (in contrast to the previous system depicted in certainly one of the reasons for rising health care costs [8–10].
Fig. 2) to trigger the movement of a unit after withdrawal, which in Industrial engineering practices and economic work organization
Toyota Production System terminology is referred to as ‘Kanban’1 improvement techniques are increasingly applied in medical set-
(Fig. 3). tings in general [11] as well as in Radiology [12]. Especially the
Toyota Production System is frequently applied in optimizing
workflow in medical institutions [13–19]. This includes VSM tech-
niques in Radiology [20] as well as in daily trauma care [21], nursing
[22], emergency departments [23] or practices [24]. Computer
1
Japanese: “kan” ( ) means visual, and “ban” ( ) means card or assisted control mechanisms such as radio frequency identifica-
board; inventory control that historically uses cards to signal the need for an item. tion device (RFID) technology [25] have been proven helpful in
However, other devices such as plastic markers (Kanban squares) or balls (often
golf balls) or an empty part-transport trolley are also commonly used to trigger the
industry, especially in logistics and transportation, and are increas-
movement, production, or supply of the unit. ingly implemented in the healthcare sector as well. Also, electronic
U.K. Teichgräber, M. de Bucourt / European Journal of Radiology 81 (2012) e47–e52 e51

Fig. 3. Future state value stream map for the procurement of stents.

medical record usage increasingly assists in organizing efficient and In general, the removal of unnecessary NVA waste is best done
smooth processes [26]. using a continuous improvement approach (“change for the better”
– “Kaizen”), whereas the removal of necessary NVA waste requires
4.1. Waste reduction a more revolutionary strategy wherein the application of business
process re-engineering may be more appropriate.
The elimination of waste is the main goal of VSM. Waste is often
not apparent. The term activity is often confused with value-added 4.2. VSM
work. For example, support functions such as inventory control
may generally not be considered wasteful. However, inventory con- While a VSM communicates valuable information, the most
trol does not convert materials into customer’s products. In the important benefit comes from its creation. During the mapping
given context it does not implant the stent into the patients’ vessels. process insights grow, paradigms shift and consensus builds. Not
According to VSM inventory control itself is not value-adding, fur- only does mapping lead to better processes, but also leads to a
thermore invisible to the patient, and therefore waste. Taking the consensus that enables and enhances implementation. VSM can
customer’s perspective is key to identifying waste. It is important to relentlessly disclose how a current process actually works and per-
distinguish value-adding and non-value-adding wastes from useful forms. This knowledge can be used to develop economically more
efforts. There are many activities, which create confusion or debate efficient future VSM.
about their value-adding status: among others for example inspec-
tion, transportation, and administrative and support activities: 4.3. Limitations – waste removal inside value streams and
hospitals
• Inspection never adds real value. It would be unnecessary if the
processes were executed correctly in the first place. It is also very Especially in a hospital environment the value stream focus
questionable if patients as customers would pay for it. If there is a should cover the complete set of intra- and intercompany processes
willingness to pay for a certain waste, it may be considered value- of a service, including conception of requirement, product supply
adding for operational purposes. Otherwise inspection should be and the patient’s receipt of services. A holistic approach may bet-
considered a NVA process in TPS terminology. ter tackle the variety of complex, multifaceted problems plaguing
• Transportation of patients and supplies within a hospital is an current healthcare systems [27]. There is a need to extend waste
example of NVA waste in TPS terminology. It is necessary for removal of a certain process inside one or few institutions to a
patients because treatments have to take place in specialized complete supply chain. However, in a hospital environment one
operating rooms or angio-suites. However, it may be possible to at may encounter difficulties doing this. These include lack of visibil-
least partially reduce such waste with an improved spatial design ity along the value stream and lack of the tools appropriate to create
or centralization for certain services. But in-house transporta- this visibility.
tion of supplies (stents) from central storage to the angio-suite is The waste terminology has been drawn from a manufacturing
unnecessary NVA waste as the supplier could straightforwardly environment. Therefore it is important not only to translate the
deliver the stent to the angiography suite. terminology but also to adopt it to a hospital environment.
• Interestingly administrative services are considered NAV waste Two recent studies assessing the success validity of implemen-
in TPS terminology because they do not interact directly with the tation strategies like Six Sigma and Lean management tools in
product. This includes scheduling of patients, human resource health care industry state that there do exist gaps in the Six Sigma
managements and accounting. While these activities may be and Lean health care quality improvement literature; they also
necessary for a variety of internal and external reasons, they attested only weak evidence for actually measureable health care
still remain invisible to the patient and are therefore considered quality improvement [28,29]. However, top-down ‘TPS-like’ sys-
waste. tems may be more effective in health care organizations, compared
e52 U.K. Teichgräber, M. de Bucourt / European Journal of Radiology 81 (2012) e47–e52

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