Value Stream Mapping

Definition
Special type of flow chart that uses symbols
known as "the language of Lean" to depict
and improve the flow of inventory and
information.
 Purpose
Provide optimum value to the customer
through a complete value creation process
with minimum waste in:
– Design (concept to customer)
– Build (order to delivery)
– Sustain (in-use through life cycle to
service)
• Many organizations pursuing “lean”
conversions have realized that
improvement events alone are enough
• Improvement events create localized
improvements, value stream mapping &
analysis strengthens the gains by
providing vision and plans that connect all
improvement activities
• Value stream mapping & analysis is a tool
that allows you to see waste, and plan to
eliminate it
 What Flows Through the
Value Stream?
Products, information, or services flow through a
value stream
– In manufacturing or distribution, materials are what
flow
– In health services, patients are what flow
– In office areas, information is what flows
• In service areas, external customer needs flow through the
value stream
• In administration, internal customer needs flow through the
value stream
• In many cases, the item flowing in service or administration is
a document, an order, or a request
 Purpose of Value Stream
Mapping & Analysis
• Develop a common understanding of the current process
– The relationship of process steps
– A true picture of the process
• Create a baseline to measure improvements against
• Define a vision of the future process
• Establish common leadership objectives
• Identify opportunities for improvement
• Design an implementation plan for improvements

“If you can’t describe what you are doing as a process,

you don’t know what you’re doing.” W. Edwards Deming
 Value of a Value Stream Map
• The Value Stream Map provides visibility
of the entire process
– The process may cross functional boundaries
– Without the map, you may focus on the wrong
areas to try to improve
– Sub-optimization may result
 What Is Value?
• A capability provided to a customer
– of the highest quality,
– at the right time,
– at an appropriate price,
as defined by the customer.

• "Value" is what the customer is buying

 Value Added
• Value is added any time we physically change our
product towards what the customer is buying
• If we are not adding value, we are adding cost or
waste
• Lean Manufacturing drives the systematic elimination
of waste
Value-Added Time : Minutes
Time in Plant : Weeks
ORDER CASH

KEY QUESTION – Are my customers willing to pay for this ????

 Value Added vs. Non-Value
Added
Value added
LEAN = ELIMINATING THE 7 WASTES

5% • Overproduction
• Waiting
• Transportation
• Non-value added
processing
• Excess inventory
• Excess motion
Non-value added
• Defects

Typically 95% of Total Lead Time is Non-

Value Added!!!
 WAITING OVERPRODUCTION
TRANSPORTATION

PROCESSING
7
Wastes DEFECTS

MOTION INVENTORY
12
13
 Lean waste Examples in radiology of a Hospital

Defects Running unnecessary scans; forms not being signed, faxes

sent that are illegible
Overproduction Undertaking multiple scans

Excess inventory Extra supplies

Excess The process for ringing porters in the evening is to ring the
processing Help Desk and then to be routed to the porters; entering
duplicate information; printing paper reports to send in post

Unnecessary Time spent looking for staff; entering duplicate information;

motion looking for parts and forms; interruptions from other staff

Unnecessary Transportation of scan results in post

transportation
Waiting Waiting for referrals/scans; waiting for reports/signatures;
waiting for patients, doctors, porters
Underutilised Helpers in waiting rooms; secretaries waiting for reports
14 to
staff be signed
15
 What Is Value
Stream Analysis?
• Planning tool to optimize results of
eliminating waste
 Apply Five Simple Principles
• Specify value from the standpoint of end
customer
• Identify the value stream for each product family
• Make the product flow
• So the customer can pull
• As you manage toward perfection
 What is the Value that Flows?
• Specify value from the standpoint of the end
customer
• Ask how your current products and processes
disappoint your customer’s value expectation:
price?
quality?
reliable delivery?
rapid response to changing needs?
???
 What Flows?
• "ITEMS" flow through a value stream
– In manufacturing, materials are the items
– In design & development, designs are the items
– In service, external customer needs are the items
– In admin., internal customer needs are the items

Analysis begins with part of a total value stream,

• That part of the value stream has customers too
Simbol VSM
Simbol VSM
Simbol VSM
 VSM
Suppliers Production Control Customer

Requirements Requirements

No of shifts No of shifts

Parts/box Parts/box

Other info Other info

Machine 1 Machine 2 Machine 2

I I I

takt time takt time takt time

No. of shifts No. of shifts No. of shifts

Parts/Box Parts/Box Parts/Box

Change-over Change-over .5 Day Change-over Production

3 Days 1 Day lead= 4.5
Days
.5 Min 1.2 Min 2.2 Min
Process time=
3.9 Min
 Langkah 1:
Memahami dan
Membuat VSM Saat
Ini
 Langkah-langkah
1. Pilih product family
2. Bentuk tim pembuat VSM
3. Pahami permintaan pelanggan
4. Petakan aliran proses
5. Petakan aliran material
6. Petakan aliran informasi
7. Hitung waktu siklus produksi keseluruhan
8. Buat rincian kegiatan off-line
Product Family
 Bentuk Tim

• Tim sebaiknya cross functional

• Anggota tim memahami Industrial
Sensei Engineering
produk yang akan dibuat VSM
• Anggota tim memahami Manufacturing
Product
Engineering
Cross Functional
bagaimana membuat VSM Team

• Tetapkan siapa yang Maintenance

PC & L

menjadi champion (bagian

Leadership
kritis untuk memudahkan
analisis dan implementasinya)
Elements of Value Stream Maps
30 Days MRP Monthly Orders 880
Supplier Customer
Supplier Loop Customer Loop
Takt Time = 440 min/44
= 10 min/unit
Bi-Monthly Information

Manufacturing Loop
Op 1 Op 2 Op 3 Op 4 Op 5 Op 6
45 Days 1 Day 2 Days 2 Days 1 Day 5 Days 1 Day
S/U = 0.08 hr S/U = 0.08 hr S/U = 0 S/U = 0.08 hr S/U = 1.95 hr
S/U = 1 hr
CT = 0.9 min CT = 0.9 min CT = 1.2 min
CT = 1.6 min CT = 60 min CT = 40.3 min

45 1 2 2 1 5 1

1.6 0.9 0.9 60 1.2 40.3

Total = 57 Days
Lead Time Data Bar Total = 1 Hr. 44.9 Min.
Manufacturing Loop Questions
 What are the changeover times?
 What are the quantity of machines per process?
 Count all work in process (WIP)
 Look for evidence of quality problems
 Look for processing waste
 Is there great distances between processes?
 Is the product flexible or made to order?
 Is there obvious batch processing?
Customer Loop Questions
 Who and where are your customers?
 What are the product lines or families? G.M.
AT&T
 Future marketing plans? Review growth
 potential.
 What is the total yearly order requirement? Quantity by product
family or product type
 What is the high, low and mean ordering pattern? Monthly or
quarterly high & low for several periods
 How often do we deliver to our customer?
 What takt time do we supply to?
Production Control Questions
 Where in the production chain
do we trigger production?
 How much work do we release
at one time?
 How long does it take to go from
customer order to production order?
 How do we physically schedule production?
 How do we react to customer emergencies?
Supplier Loop Questions
 #1 question, how do you tell suppliers
what to ship, make, etc.?
 When and how often do they get purchase
orders from Customers?
 When and how do we change the purchase order?
 When and how often do suppliers ship product and how?
Is it level? (Truck, train, etc.)
 Do we have standard pack quantities?
 Are suppliers aware of our inventory quantities?
 Are we sure of suppliers inventory? How?
 Do we have a supplier training program?
 Information Flow Questions
• How are the manufacturing and procurement orders
distributed?
– Who gets them
– How frequently
– What is the process of generating them
• How are the shop order schedules generated and
revised? Are there “shortage meetings”? What parts
of the manufacturing loop are scheduled by MRP?
Make sure to document the informal (hot lists) as well
as formal (MRP) information channels.
 Current State Lead Time Data Bar
Lead
Time
Total
Cycle Time DOH Inventory
(CT)

8 Days 4 Days

4 Hrs 12 Days

(1 Hr.) 4 Hrs

VA Time (yes/no)
CT Total
Mapping
Icons

COMPUTER WIP
 Pahami Permintaan Pelanggan

• Lihat rencana produksi setiap part Customer

• Bagaimana produksi dikendalikan Demand/month:

Part A =
(mingguan? Bulanan ? Yang lain ?) Part B =
Part C =

• Lihat catatan historis produksi selama # of shifts =

ini (variasi harian; variasi bulanan, dll)

• Lihat catatan penjualan produk
 Pemetaan Aliran Proses
• Lihat proses-proses dari awal sampai akhir
untuk membuat produk: Customer

Demand/month:
Part A =
Part B =
Part C =
# of shifts =

Stamping Welding Assembly Shipping

Takt = Takt = Takt = Inventory

C.T. = C.T. = C.T. = Part A =
D.T. = D.T. = 20% D.T. = Part B =
FTQ = FTQ = FTQ = 90% Part C =
C/O Time = 4 hrs. C/O Time = C/O Time = # of shifts =
Lot Size = Lot Size = Lot Size =
# of Shifts # of Shifts # of Shifts
WIP = WIP = WIP =

Changeover
Downtime FTQ
 Pemetaan Aliran Material
• Petakan material yang mengalir antar proses Customer

Supplier
Demand/month:
Part A =
Part B =
Part C =
# of shifts =

2 x/ 2 x/
week day

Shipping
Stamping Welding Assembly

I I I I
1,200 pcs 1,500 pcs 800 pcs 500 pcs
Takt = Takt = Takt = Inventory
C.T. = C.T. = C.T. = Part A =
D.T. = D.T. = 20% D.T. = Part B =
FTQ = FTQ = FTQ = 90% Part C =
C/O Time = 4 hrs. C/O Time = C/O Time = # of shifts =
Lot Size = Lot Size = Lot Size =
# of Shifts # of Shifts # of Shifts
WIP = WIP = WIP =

Changeover Downtime FTQ

 Pemetaan Aliran Informasi
PC & L
6 week rolling forecast
Weekly Order
6 week rolling forecast Weekly Order

Supplier Daily Ship Schedule

Weekly Build Schedule

2 x/
week 2 x/
day

Stamping Welding Assembly Shipping

I I I I
1,200 pcs 1,500 pcs 800 pcs 500 pcs
Takt = Takt = Takt = Inventory
C.T. = C.T. = C.T. = Part A = 750 pcs
D.T. = D.T. = 20% D.T. = Part B = 600 pcs
FTQ = FTQ = FTQ = 90% Part C = 1650 pcs
C/O Time = 4 hrs. C/O Time = C/O Time = # of shifts =
Lot Size = Lot Size = Lot Size =
# of Shifts # of Shifts # of Shifts
WIP = 25 pcs. WIP = 60 pcs. WIP = 550 pcs.

Changeover Downtime FTQ

Perhitungan Waktu Siklus Produksi Keseluruhan
PC & L
6 week rolling forecast
Weekly Order
6 week rolling forecast
Weekly Order Customer
Daily Ship Schedule
Supplier
Demand/month:
Part A = 705 pcs.
Weekly Build Schedule
Part B = 600 pcs.
Part C = 1650 pcs.
# of shifts =

2 x/ 2 x/
week day

Stamping Welding Assembly Shipping

I I I
800 pcs I
1,200 pcs 1,500 pcs 500 pcs
Takt = Takt = Takt = Inventory
C.T. = C.T. = C.T. = Part A = 750 pcs
D.T. = D.T. = 20% D.T. = Part B = 600 pcs
FTQ = FTQ = FTQ = 90% Part C = 1650 pcs
C/O Time = 4 hrs. C/O Time = C/O Time = # of shifts =
Lot Size = Lot Size = Lot Size =
# of Shifts # of Shifts # of Shifts
WIP = 25 pcs. WIP = 60 pcs. WIP = 550 pcs.

Changeover Downtime FTQ

.4 days .5 days .27 days .17 days

TPc/t = 2.5 days
.008 days .02 days .18 days 1.0 days
 Membuat Rincian Kegiatan Off-
Line
• Gunakan simbol general untuk merinci kegiatan off-line
• Catat rincian ini pada lembar lain sebagai penjelasan rinci

Press Room

Fork Truck

Die Bench
Die Room Die Room
Receiving Shipping
(Remove from
Schedule
I I Board)

Dies Dies
12 shifts 2 shifts

Schedule Board
(Forecast)
Langkah 2: Analisis
VSM
 Langkah-langkah
1. Kumpulkan data
2. Hitung Takt Time
3. Identifikasi alternatif perbaikan
 Pengumpulan Data
Jadwal penerimaan dan
pengiriman
Jumlah permintaan Scrap
Jam kerja Rework
Downtime per minggu

Tempat inventory
terakumulasi
Besar WIP Waktu proses
Ukuran lot produksi Waktu set up
Cara penjadwalan
Jam lembur
dll
Gunakan data box !
 Menghitung Takt Time
• Ingat kembali perhitungan takt time !
– Takt time: laju produksi untuk memenuhi kebutuhan
pelanggan
– Takt time: sinkronisasi antara laju permintaan dengan laju
produksi
Your Operating Time per Shift
Customer Requirement per Shift

27,000 sec = 59 sec

59 sec.
460 pieces
59 sec.

59 sec.
 Menghitung Takt Time
1. Tentukan jumlah kebutuhan pelanggan yang terkait
dengan proses yang dianalisis
2. Tentukan runtime yang tersedia:
- Scheduled Runtime = (Effective Minutes) - (Planned Downtime)
- Effective Minutes = (minutes per shift) - (approved breaks)
- Planned Downtime is the amount of time an operation is down
for scheduled reasons

3. Hitung Tak time:

Scheduled Runtime
Takt Time =
Total Customer Requirements
Langkah 3: Membuat
VSM Masa Depan
 Langkah-langkah
1. Validasi permintaan pelanggan
2. Gambarkan aliran proses masa depan
3. Gambarkan aliran material masa depan
4. Buat aliran informasi masa depan
5. Hitung waktu siklus produksi keseluruhan
6. Rinci aktivitas-aktivitas off-line
7. Buat rencana implementasi
 Original Condition Future Condition
Inj: 2 MSS MSS
I Molding

Change I
Over

2
Sender
Ass’y
2 I 2 Level
I Fuel Pump No Flow 2
I Inj: Sender ABABA. . .
Ass’y Ass’y
Molding
Attendance Labels Staging
by Truck

10 Tank 4 Ass’y
Stamping I Ass’y Plants 10
Tank 4 Ass’y
Stamping Ass’y card Plants
No Flow
by
Change
Over 12 card
Uptime
7
(Pitch = 14 Units)

Cycle-Time Driven. Batches. Perform to TAKT & Pitch. Zone Maintenance & Fast Response

Produce to Order

Load Leveling and Pull

METRICS Activity
1999 2000
1ST 2ND 3RD 4TH 1ST 2ND 3RD 4TH
Item Current Target
Establish TAKT & Flow in Tank Ass'y
Total product cycle time
Stamping Changeover Reduction
Parts / Person Hour Reduce Stamping Buffer
Delivery Performance Move Ass'y to Plant 10
Establish TAKT & Flow in Sender Ass'y
Inventory (days)
Pull To Sender Ass'y
Overtime
Uptime Training
 Esensi VSM Masa Depan
• Merupakan gambaran bagaimana proses
yang lebih baik akan dijalankan di masa
depan
• Menjadi cetak biru untuk implementasi
• Tanpa pemahaman ini maka perbaikan
proses menuju proses produksi yang
mengalir tidak akan pernah terjadi