Medical Device and Pharmaceutical: Value Stream Mapping: The Map of Your Journey To Becoming "Lean"

Autumn 2004
a publication from BSM
Medical Device and Pharmaceutical

Value Stream Mapping:
The Map of your Journey to Becoming “Lean”
Introduction which needs to be understood as a whole.

It would be hard to find a medical device or The MIT team correctly observed that the western
pharmaceutical manufacturing site in Ireland which is approach had developed little beyond the “Mass
not currently running some kind of “Lean” initiative. Production” model used by Henry Ford. They wanted
Terms like Value Stream Map, Takt time, Level Loading, to underline the fact that the Japanese approach was
5S, Mistake Proofing, OEE and SMED are in common fundamentally different and so they named it “Lean”,
usage. Previous BSM newsletters have explored many and they underlined the many ways in which it is the
of these terms/techniques. This edition focuses on the antithesis of “Mass” production. The Lean philosophy
core Lean technique of Value Stream Mapping by is well summarised by the simple phrase “If you flow
addressing the following: it faster, you will do it better and it will cost you less”.
What is a Value Stream? When the term “Lean” is used today in Irish
What is Lean Manufacturing? manufacturing facilities, it generally refers to a set of
What is a Value Stream Map? techniques which, used in the appropriate manner,
How can Value Stream Maps be used – Case Study can work in unison to optimise flow in the
Benefits of Value Stream Mapping manufacturing value stream. Unfortunately, many
organisations approach Lean as though they were
What is a Value Stream? preparing for yet another regurgitation exam in which
A Value Stream is any set of operations which, in all questions must be answered to get maximum marks.
combination, deliver value for a customer. In a As a result, they learn the wrong mix of techniques
manufacturing business unit the most familiar value and implement them in an inappropriate localised
stream is the one which transforms raw materials into manner, often delivering 5% improvements in plant
finished goods. Such a value stream often involves performance where 50% was possible (but hey, don’t
activities on two or three continents. The same could the visitors just love those Powerpoint presentations!).
be said of the value stream which generates product Ironically, this reflects a natural tendency towards
concepts and brings them through a series of “gates” Analytical rather than Systems thinking. Used properly,
to product launch. Value Stream Mapping can help to avoid this pitfall.
What is Lean Manufacturing? What is a Value Stream Map?

In the early 1990’s, a team in the Massachusetts Institute When starting a journey you need to know where
of Technology studied the global automotive you’re starting from, where you want to go to, and
manufacturing sector. They found that Japanese how you’re going to get there. Process Mapping is a
companies generally practised what had been preached familiar technique which answers these questions. The
30 years before in the “Toyota Production System” steps in Process Mapping are as follows:
and focused on optimising flow through the whole
manufacturing value stream. However, U.S. and 1. Map the current state
European companies generally focused on optimising 2. Identify improvement opportunities
the productivity of individual operations within the 3. Define the ideal future state
value stream. This is an example of the difference 4. Plan implementation of the future state
between “Systems” thinking and “Analytical” thinking. 5. Implement
The latter breaks a process into “micro” processes, 6. Future state becomes current state – start
each of which can be understood on its own. The again!
former sees a process as part of a bigger “system”
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FOCUS A P U B L I C A T I O N F R O M B S M Autumn 2004
A Value Stream Map is a type of process map which

focuses very much on the time factor and places as
much emphasis on the flow of information as on that
of material. It uses simple standard icons to show the
following:
At the top: The flow of information that

supports and directs both the flow of materials
and the transformation of raw materials into
finished goods.
In the middle: The flow of materials, from
receipt from suppliers to delivery to customers.
At the bottom: quantitative data on how
material is transformed.
The following are simple guidelines for creating a Value

Stream Map:
Always begin at the Customer and work

upstream.
Walk the flow of the value stream, never
assume anything.
Map the flow as you see it, not the way it
ought to be.
Collect data as you walk along the flow.
Don’t get caught up in the details, keep the
map simple.
How can Value Stream Maps be used – Case Study

These steps have been used in the Case Study Company,
as shown in Figure 1 - Current State Value Stream Map.
Standard Value Stream Mapping icons are shown above
the Current State Map.
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Once the Current State Map has been completed, the The improvements are as follows:
next step is to identify opportunities and create the
Future State Map of a “Lean” Value Stream. This is • Continuous one piece flow:
done by answering the following eight specific Combine 1) the Crimp and Milling Machine
questions, which are based on the principles of Lean processes and 2) the Assembly, Blister Pack,
thinking: Print Labels and Box Pack processes together.
• Layout redesign – Cellular layouts.
• What is the bottleneck or constraining • Reduction in changeover times and batch
process, based on Takt Time? sizes – SMED.
• Given the Customer Lead Time requirement • Elimination of downtime causes to improve
is it possible to ship direct with minimum availability – OEE.
queues or is a supermarket of finished goods • Queue control of inventory levels between
needed? processes – Supermarkets.
• Where can one piece flow be introduced? • Elimination of Push flow – introduction of
• Given product variety, where can we Pull system with Kanban signaling.
introduce supermarkets and where must we • Select the Clean Line as the Pacemaker.
control queue sizes? • Load leveling – Heijunka Box.
• At what single point in the production chain • Release production instructions every hour
(the “Pacemaker process”) will you schedule at the Clean Line to create level
production? This process should be as near production pace.
the customer as possible. • Reduction in Raw Material levels - daily
• How will you level the production mix at deliveries from suppliers.
the pacemaker process?
• What increment of work will you consistently Implementation of these changes will deliver a lead
release to the pacemaker process? time reduction of 75%, from 19.8 days to 5 days.
• What process improvements will be The Value Stream Map will change to that shown in
necessary for the value stream to flow as Figure 3.
the future state map shows?
The process improvements selected for the Value

Stream in our Case Study Company, are shown in
Figure 2.
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Benefits of Value Stream Mapping

The benefits of creating a Value Stream Map include:
• It helps you visualise more than just the single-
process level in production – you can see the BSM is a leading management and technology
flow. consulting company working in the Medical Device
• It creates a clear picture of the and Pharmaceutical sectors. We help clients achieve
components of manufacturing lead-time. significant improvement by implementing sustainable
• Mapping helps you see the source of waste process, people and information systems solutions.
in your value stream.
If you are interested in re-engineering the Value
• It facilitates the description and discussion of
Streams in your organisation please contact:
alternative approaches to material flow.
• It improves your chances of choosing the right Maurice Hannon
initiatives to optimize flow through your value Director
stream.
• It forms the basis of an implementation plan. E: [email protected]
By helping you design how the whole door- T: + 353 91 746900
to-door flow should operate, value stream F: + 353 91 746959
maps become a blueprint for lean
implementation.
• It shows the linkage between the information
and material flow.
• It is an excellent tool for communicating future
plans.
• It creates a common language and
understanding among employees through the
use of standard value stream mapping icons.
BSM, Parkmore Business Park West, Galway, Ireland T: 091 746900, F: 091 746959, E: [email protected], W: www.bsm.ie
BSM, 3015 Lake Drive, City West Campus, Dublin 24, Ireland. T: 01 4038466, F: 01 4661002

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Autumn 2004

a publication from BSM

Medical Device and Pharmaceutical

Introduction which needs to be understood as a whole.

What is Lean Manufacturing? What is a Value Stream Map?

A Value Stream Map is a type of process map which

At the top: The flow of information that

The following are simple guidelines for creating a Value

Always begin at the Customer and work

How can Value Stream Maps be used – Case Study

The process improvements selected for the Value

Benefits of Value Stream Mapping

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