value stream map

Value Streams – Mapping –February 4, 2003

Delphi Manufacturing System (DMS)

Value Stream Mapping

Rev. 05 February 2001 (Version 4.1)


Introduction

Institutionalized at Delphi as our approach to lean manufacturing

Lean manufacturing is the balanced use of people, equipment

and material that gives the lowest life cycle cost.

Delphi’s lean enterprise requires our suppliers’ involvement as

part of the total value chain

Commitment is required from our entire supply chain to enable

us to provide our customers with the higher value they demand

and deserve

Delphi Manufacturing System


Lean Thinking - as summarized by James Womack

• Specify VALUE by Product

• Identify the VALUE STREAM

• Make the Product FLOW

• at the PULL of the Customer

• in Pursuit of PERFECTION“Identifying the entire value stream for each product family is the next step in lean thinking.” - J. Womack & D. Jones, Lean Thinking



According to Womack and Jones, the authors of the book Lean Thinking, management must change their focus

– From:» departments

» functions

» firms

» existing assets and technologies

– To:

» the value stream for specific products



Womack and Jones’ Five-Step Approach was followed by many:1. Find a change agent (how about you?)

2. Find a sensei (a teacher)

3. Seize or create a crisis

But most jumped from Step Three to Step Five5. Pick something and get started

And skipped Step Four4. Map your value streams



Many Have Left Out Flow Kaizen

This leads to isolated improvement efforts that do not lead to a total system improvement

“Random Acts of Goodness”

This leads to isolated improvement efforts that do not lead to a total system improvement

“Random Acts of Goodness”


Why focus on Flow?

Understanding and managing manufacturing from a flow based perspective lends itself to a more comprehensive approach to the identification and elimination of elimination of wastewaste

There is a direct link between flow and cost

New BusinessNew Business Sustainable ProfitsSustainable Profits

New BusinessNew Business Sustainable ProfitsSustainable Profits

DecreasedDecreasedCostCost

DecreasedDecreasedCostCost = =

ImprovedFlow

ImprovedFlow

DecreasedDecreasedCostCost

DecreasedDecreasedCostCost = =

EliminationEliminationof Wasteof Waste

EliminationEliminationof Wasteof Waste

ImprovedFlow

ImprovedFlow = =


Some Lessons Learned

Management must lead the designand introduction of lean value streams.

Techniques System Philosophy Random use of the tools is not enough.

The tools must comprise a system to give customers what they want, when they want it, with minimum waste.

Focus on flow to create a system.

LeanProcessSystems

SmallLots

PullSystems

LevelScheduling

Standard Operation

s

Lead TimeReduction

ErrorProofing

P M

Containerization

QuickSet-up

FlowLayout

Transportation

Reduction of

Variation

ProcessCapability

Employee Involvement

W P O

Value Streams and Mapping


A Value Stream is all the actions (both value added and non-value added) required to bring a product to the customer.

It is:

“Big Picture”, not individual processes

Improving the whole, not just optimizing

the parts

What is a Value Stream?


SITE PLANTraditional Process

Departments

11 22 33 44

SUPPLIERS CUSTOMERS

Materials Molding Trim Assembly Packing Air Ducts

Value Stream Owner

Value Stream Owner

Value Stream Owner

Bottles

Tanks

Resonators

ENTERPRISE

Value Stream Model


1. What are you doing to ensure that your function supports the Value Streams?

2. What are you doing to make your own function Lean?

Questions for Lean Leaders

PresidentPresident

Business Line Teams

FunctionalExcellence

Value Stream Management

Fu

nctio

nal T

eams

Value Stream Organization


RawMaterial

PROCESS

VALUE STREAM

FinishedProduct

PROCESSPROCESS

Stamping Welding AssemblyCell

Raw Material to Finished Product

Research Engineering Production

VALUE STREAM

Concept New Product

Concept to Launch

Product Costing

Ordering Accounting Payables

VALUE STREAM

Product Sale

Order to Cash

Three Types of Value Streams


Enterprise Value Stream

Assembly Plants Distribution Customer

Design Raw Materials Parts ManufacturingRequirements

Value Stream

A Value Stream includes all elements that occur to a given product from inception through delivery to the customer.


VALUE STREAM

FinishedProduct

RawMaterial

VSM methods are also used to

map business processes

ASSEMBLYLayout

Stamping Process Machining Process Assembly Process

Plant Value Stream

Value Stream

Typically we examine the value stream in a plant - from raw materials to finished goods.


A visual representation of every process

in the material and information flow of a

product’s path from customer to supplier.

What is a Value Stream Map?


Communication tool

Production tool

Business planning tool

A Value Stream Map is a:


Helps you See Flow, Identify Waste, and

develop a Lean Value Stream.




Value Stream Mapping (VSM) is a hands on process that uses icons to create a graphical representation of flow.



• Emphasizes Material

and Information Flow

• Highlights Sources of Waste

Uses

• Link Individual Processes to their Customer(s) by Continuous Flow or Pull

• Each Process Produces only what its Customer needs when they need it

Goals

• Prioritizes Application of DMS Interdependent Elements

Strategy



It helps you to visualize more than just the single-process level. You can see the flow.

It helps you see more than waste. Mapping helps you to see the sources of waste in your value stream.

It provides a common language for talking about a process.

It makes decisions about the flow apparent, so you may discuss them.

It ties together lean concepts and techniques which helps avoid random application.

It shows the linkage between information and material flow.

It becomes a blueprint for implementation.

Why Value Stream Map?


Implementation without a plan will lead to disaster

A Value Stream Map is a simple visual tool that helps you see the flow, find the waste and develop an improved process.

Eyes for Waste . . . . . . Eyes for Flow

Why do it?

Clinic Supplies

Syringes

X RayFilm

Regional SupplyManager

Clinic Manager

ClinicPerformance

SupplyForecast

FrequentDelivery

VP Performance

ClinicPerformance

Admitting Blood Draw X Ray Doctor Review

Billing

Stage for Blood

Log Time In

Record Value

Draw Blood

Record Value

Take X Ray

Review X Ray

Review Blood

Compile data frompatient records

Log Time OutPull patients toLevel Schedule

FIFO

Retake if Error Retake if Error

Verify Results Verify Results

Off-lineOperation

FIFO FIFO

Provide arrival windows forpatients to minimize waiting

(process time) (process time) (process time) (review time)(minimal wait) (minimal wait) (minimal wait)

TPCT: 18 MinutesConsiderably reducedthrough improved flow

LEGEND: Electronic Physical Flow Feedback

2 Min2.5 Min 2.5 Min 2 Min

3 Min 3 Min3 Min

C/T 2 Minutes

C/T 2.5 MinutesC/T 2.5 MinutesC/T 3 Minutes

96% Improvement in TPCT


Understand how the worksite currently operates

Design a lean flow

Plan how to get there

Identify Value Stream

Current StateDrawing

Action Plan

Future-StateDrawing

Value Stream Mapping Process

Identify improvement opportunities

Identify and resolve gaps

Specific process / product family


Map the Current State

Analyze the Current State and

Design the Future State

Create an Implementation

Plan and execute it !

Admitting

I

IIn

Hallway


Blood Draw X Ray Doctor Review Billing

Send to Waiting A

Log Time In

Record Value

Draw Blood

Record Value

Take X Ray

Review X Ray

Review Blood

Log Time Out

Record Values

Retest if Needed

Clinic Supplies

Syringes

X RayFilm


Clinic Manager

ClinicPerformance

SupplyRequirements

IIn

Hallway

IIn

Hallway

Low MachineReliability

RetestsRandomArrivals

DeliveryWeekly

VP Performance

ClinicPerformance

Re Tests

Waiting Rm B

Capacity 4 Patients

Fill Room Next

Waiting RmA

Capacity 4 Patients

Fill Room First

Stop if “A” is Full

I

PeopleWaiting

Direct from A only if B empty

X Ray Blood Draw

Record Value

Take X Ray

Record Value

Draw Blood

Dual PathOverflow to B I

InHallway

(avg. wait in “A”)(Transfer A to B)

(avg. wait in “B”)(process time) (process time)

(avg. wait)(process time)

(avg. wait)(review time)

(avg. wait)(process time)

TPCT: 423 MinutesUnknown due to extremevariability of data

C/T 10 Minutes

C/T 12 Minutes

C/T 12 Minutes C/T 13 Minutes

C/T 13 Minutes

NOFIFO !

Lost Patients

C/T 5 Minutes

C/T 18 Minutes

10 Min 5 Min 12 Min 13 Min120 Min 40 Min 60 Min 50 Min 90 Min

5 Min 18 Min

7+ Hours

FTQ 50% FTQ 50%

FTQ 50% FTQ 50%

Clinic Supplies

Syringes

X RayFilm


Clinic Manager

ClinicPerformance

SupplyForecast

FrequentDelivery

VP Performance

ClinicPerformance

Admitting Blood Draw X Ray Doctor Review

Billing

Stage for Blood

Log Time In

Record Value

Draw Blood

Record Value

Take X Ray

Review X Ray

Review Blood

Compile data frompatient records

Log Time OutPull patients toLevel Schedule

FIFO

Retake if Error Retake if Error

Verify Results Verify Results

Off-lineOperation

FIFO FIFO

Provide arrival windows forpatients to minimize waiting

(process time) (process time) (process time) (review time)(minimal wait) (minimal wait) (minimal wait)

TPCT: 18 MinutesConsiderably reducedthrough improved flow


2 Min2.5 Min 2.5 Min 2 Min

3 Min 3 Min3 Min

C/T 2 Minutes

C/T 2.5 MinutesC/T 2.5 MinutesC/T 3 Minutes

96% Improvement in TPCT

Action Item Responsible

Improve X Ray Equipment Reliability Sherry Wilson (Med-Tech)

Improve Blood Draw Process Vlad

Technician Training - Verify Test Results Dr. Choi

Implement Use of Patient Record as Data Log Joe Packer (Billing)

Modify Waiting Areas for New Patient Flow Jeremy Monroe (Orderly)

Develop Daily Material Pull with Suppliers Amy Dawes (Regional PCL)

Develop Level Schedule for Patient Arrival Ed Case (Admitting)

- - - 2001 - - - - - - 2002 - - -Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Value Stream Mapping Process


The Steps

Step 1:

Step 2:

Step 3:

Step 4:

Step 5:

Step 6:

Step 7:

Step 8:

VSM Current State

Select a product family

Form a team

Understand customer demand

Map the process flow

Map the material flow

Map the information flow

Calculate Total Product cycle time

Detail off-line activities (optional)


Form a Team

Cross Functional Team

Manufacturing

FinancialPurchasing

Leadership

ProductionControl

EngineeringSensei

This step is critical to insure successful implementation

VSM Current State

Select a cross-functional team– Select team members

familiar with the process– Make sure the team is

trained to use VSM

Designate a Champion(typically a line manager)


Sources for customer data– Plan for Every Part (PFEP)– Industrial Engineering budgeted volumes– Production Control forecasts

» Analyze variation (daily, weekly, monthly…)

– Production history» Analyze variation (daily, weekly,

monthly…)– Sales information databases

» Product changes, new business opportunities

Understand customer demand VSM Current State

CUSTOMER

Volume I nfo:20,000 pcs/month

Std. pack = 300pcs2 shif ts

Takt = 54s

CUSTOMER

Volume I nfo:20,000 pcs/month

Std. pack = 300pcs2 shif ts

Takt = 54s


Tailor the data box for your plants needs.

The data box should be open ended to allow for additional attributes.

Data Box

Data Box

Current State


– Don’t spend excess time to determine if uptime is 82% or 82.8%.

– Do spend time to identify specific areas where uptime impacts the flow of the value stream. Is uptime 80% or 65%?

Data Collection

A Value Stream Map provides a high level picture so absolute precision is not required.

– It is necessary, however, that the information at least be directionally correct.

For Example:


Attribute Data to Collect

How Operations are scheduled

Shipping/Receiving schedules

Pack sizes at eachprocess

Demand rates by process (Takt Time)

Working hours and breaks

Inventory Points (location & size)

Work-in-process inventory

Overtime per week

Process cycle time

Number of product variations at each step

Batch (lot) sizes

Changeover time Changeover

frequency

Scrap

Rework

Downtime

Data Collection


Identify Opportunities for Improvement

?

Data Collection


Include all output from a process so you can identify

bottlenecks.

C/ T = 2s

Takt = 5s

2 Shif ts

C/ O = 4 hours

5% Downtime

2 Presses

WI P = 5,000 pcs

STAMPI NG

Map the Process FlowVSM Current State

Collect data from the production floor

1 Shift

Overtime = 4hr/d

C/T = 2s

Takt = 5s

2 Shifts

C/O = 4 hours

5% Downtime

2 Presses

WIP = 5,000 pcs

WIP = 1,500 pcs

Takt = 8s

4 Operators

C/T = 7s

2% Scrap/Rework

20% Downtime

7 Operators

Takt = 12s

C/T = 11s

WIP = 600 pcs

10% Downtime/Scrap/ReworkC/O = 25 min

FINISHED GOODSWELDING ASSEMBLYSTAMPING

UPTIME

CHANGEOVERSCRAP

Layout

CUSTOMER

Volume Info:20,000 pcs/monthStd. pack = 300

pcs2 shiftsTakt = 54s


Include all output from a process so you can identify

bottlenecks.

C/ T = 2s

Takt = 5s

2 Shif ts

C/ O = 4 hours

5% Downtime

2 Presses

WI P = 5,000 pcs

STAMPI NG

Map the Process FlowVSM Current State

Collect data from the production floor

1 Shift

Overtime = 4hr/d

C/T = 2s

Takt = 5s

2 Shifts

C/O = 4 hours

5% Downtime

2 Presses

WIP = 5,000 pcs

WIP = 1,500 pcs

Takt = 8s

4 Operators

C/T = 7s

2% Scrap/Rework

20% Downtime

7 Operators

Takt = 12s

C/T = 11s

WIP = 600 pcs

10% Downtime/Scrap/ReworkC/O = 25 min


UPTIME

CHANGEOVERSCRAP

Layout

CUSTOMER

Volume Info:20,000 pcs/monthStd. pack = 300

pcs2 shiftsTakt = 54s


Include suppliers of key

components.

Map the Material FlowVSM Current State

Use icons to show push or pull

1 Shift

Overtime = 4hr/d

C/T = 2s

Takt = 5s

2 Shifts

C/O = 4 hours

5% Downtime

2 Presses

WIP = 5,000 pcs

WIP = 1,500 pcs

Takt = 8s

4 Operators

C/T = 7s

2% Scrap/Rework

20% Downtime

7 Operators

Takt = 12s

C/T = 11s

WIP = 600 pcs

10% Downtime/

Scrap/Rework

C/O = 25 min


Steel Supplier

I

Steel

4 days

I

10,000 pcs

10 days

I

2,000 pcs

2 days

I

1,200 pcs

1.2 days

Mon &

Wed

1 timedaily

UPTIME

CHANGEOVERSCRAP

Layout

CUSTOMER

Volume Info:20,000 pcs/month

Std. pack = 300

pcs2 shifts

Takt = 54s


Include suppliers of key

components.

Map the Material FlowVSM Current State

Use icons to show push or pull

1 Shift

Overtime = 4hr/d

C/T = 2s

Takt = 5s

2 Shifts

C/O = 4 hours

5% Downtime

2 Presses

WIP = 5,000 pcs

WIP = 1,500 pcs

Takt = 8s

4 Operators

C/T = 7s

2% Scrap/Rework

20% Downtime

7 Operators

Takt = 12s

C/T = 11s

WIP = 600 pcs

10% Downtime/

Scrap/Rework

C/O = 25 min


Steel Supplier

I

Steel

4 days

I

10,000 pcs

10 days

I

2,000 pcs

2 days

I

1,200 pcs

1.2 days

Mon &

Wed

1 timedaily

UPTIME

CHANGEOVERSCRAP

Layout

CUSTOMER


Std. pack = 300

pcs2 shifts

Takt = 54s


There are many information sources FIND THEM

Map the Information FlowVSM Current State

1 Shift

Overtime = 4hr/d

C/T = 2s

Takt = 5s

2 Shifts

C/O = 4 hours

5% Downtime

2 Presses

WIP = 5,000 pcs

WIP = 1,500 pcs

Takt = 8s

4 Operators

C/T = 7s

2% Scrap/Rework

20% Downtime

7 Operators

Takt = 12s

C/T = 11s

WIP = 600 pcs

10% Downtime/

Scrap/Rework

C/O = 25 min


Steel Supplier

PC&L

MRP

MSS

I

Steel

4 days

I

10,000 pcs

10 days

I

2,000 pcs

2 days

I

1,200 pcs

1.2 days

Mon &

Wed

1 timedaily

6 WeekRolling

Forecast

WeeklyOrder

WeeklyOrder

6 WeekRolling

ForecastWeekly Build

ScheduleDaily ShipSchedule

UPTIME

CHANGEOVERSCRAP

Layout

CUSTOMER


Std. pack = 300

pcs2 shifts

Takt = 54s


There are many information sources FIND THEM

Map the Information FlowVSM Current State

1 Shift

Overtime = 4hr/d

C/T = 2s

Takt = 5s

2 Shifts

C/O = 4 hours

5% Downtime

2 Presses

WIP = 5,000 pcs

WIP = 1,500 pcs

Takt = 8s

4 Operators

C/T = 7s

2% Scrap/Rework

20% Downtime

7 Operators

Takt = 12s

C/T = 11s

WIP = 600 pcs

10% Downtime/

Scrap/Rework

C/O = 25 min


Steel Supplier

PC&L

MRP

MSS

I

Steel

4 days

I

10,000 pcs

10 days

I

2,000 pcs

2 days

I

1,200 pcs

1.2 days

Mon &

Wed

1 timedaily

6 WeekRolling

Forecast

WeeklyOrder

WeeklyOrder

6 WeekRolling


ScheduleDaily ShipSchedule

UPTIME

CHANGEOVERSCRAP

Layout

CUSTOMER


Std. pack = 300

pcs2 shifts

Takt = 54s


Upper line is Production Lead Time measured in days or hours

– Production Lead Time = Inventory Quantity Daily Customer Requirement

Lower line is Process Time measured in minutes or seconds

Add Production Lead Time and significant Process Times to estimate Total Product Cycle Time

– Total time for one part to make its way from raw material as received to finished product shipped to customer

– Total time dock to dock

Add Process Times to determine the Value-Added Time

Total Product Cycle Time Metrics



Calculate Total Product cycle timeVSM Current State

Figure IG-2-F: Total Product Cycle Time

1 Shift

Overtime = 4hr/d

C/T = 2s

Takt = 5s

2 Shifts

C/O = 4 hours

5% Downtime

2 Presses

WIP = 5,000 pcs

WIP = 1,500 pcs

Takt = 8s

4 Operators

C/T = 7s

2% Scrap/Rework

20% Downtime

7 Operators

Takt = 12s

C/T = 11s

WIP = 600 pcs

10% Downtime/Scrap/Rework

C/O = 25 min


Steel Supplier

PC&L

MRP

MSS

I

Steel4 days

I

10,000 pcs10 days

I

2,000 pcs2 days

I

1,200 pcs1.2 days

Mon &

Wed

1 time

daily

6 Week

Rolling

Forecast

Weekly

Order

WeeklyOrder

6 Week

Rolling


Schedule

Daily Ship

Schedule

UPTIME

CHANGEOVERSCRAP

Layout

4 days

5 days

10 days

1.5 days

2 days

.6 days

1.2 days

TPc/t = 24.3 daysProcessing Time

Inventory Time

CUSTOMER


Std. pack = 300pcs2 shifts

Takt = 54s


Detail Off-line Activities (optional)VSM Current State

C/ T = 4s

Takt = 5s

3 Shif ts

C/ O = 15 min

5% Downtime

4 presses

WI P = 240 pcs

DI E BENCH

I

Dies

12 Shif ts

I

Dies

2 Shif ts

DI E RECEI VI NG DI E SHI PPI NG

1 operator

1 Shif t

C/ T = 10 min

12 operators

3 Shif ts

C/ T = 40 hrs

1 operators

1 Shif t

C/ T = 40 min

Fork Truck1 time perday

Die Checklist &Yellow Tag Status

Daily Priorities(verbal communication)

STAMPI NG

Fork Truck(movementon demand)

Useful when a critical process or activity impacts the value stream.

– Examples: die change; trades response.


What is Takt Time?Takt Time is the Cycle Rate at which

production should run to meet customer demand

Scheduled Run Time

Customer Requirements

27,000 sec460 pieces= 59 seconds

59 sec.

59 sec.

59 sec.

Data Collection

The idea is to synchronize the pace of production with the

customer.


Operator Balancing to Takt Time

Data Collection

TIMEin seconds

TAKT TIME

Step 1

Step 2

Step 3

Step 4

Step 5

Step 6

Step 7

Step 8

Step 9

Step 10

Step 11

Step 12

Step 13

Step 14

Step 15

Step 16

Step 17

OP 1 OP 2 OP 3 OP 4

Operators C/TBalanced

Not Balanced


Value Stream maps are drawn using icons to represent the material,information and process flows of the value stream


– There are many defined icons (see appendix)– Icons specific to your operation may be added as long as

they are visually descriptive and understood by the entire operation

Appen

dix

Mapping Icons

10 days

1 sec

7.6 days

38 sec

1.8 days

45 sec

2.6 days

61 sec

2 days

39 sec

4.5daysProduction Lead Time = 28.5 days

Processing Time = 184 seconds

Weldon Inc.Current StateMay 24, 2000



Value Stream Mapping is a language

that must be practiced


Mapping Tips Always collect current state information while walking along the pathway of material and information flows yourself.

Begin with a quick overview to identify main processes; then go back and gather data.

Begin at the customer and work backwards.

Do not rely on information and timing you do not personally obtain.

Map the whole value stream yourself.

Always draw by hand, in pencil



Scrap

Manufacturing Process

Kaizen Lightning

Burst

OutsideSource/

Customer

Data Box

Inventory

I

o o oTruck

Shipment

FinishedGoods to Customer

Push Arrow

Supermarket

Buffer orSafety Stock

Manual Information Flow

ElectronicInformation Flow

Production Kanban

Withdrawal Kanban

Signal Kanban

Kanban Post

Required ToolsValue Stream Mapping


Required ToolsValue Stream Mapping

Can be done without delay. As you draw you will think of further information you need.

Can do it yourself, which is key to understanding the material and information flows.

You focus on understanding the flows not the computer. The point of value stream mapping is not the map, but understanding the flow of material and information.

Having to manually fine-tune your drawings will improve your mapping ability.

Always draw by hand, in pencil!


HANDOUT



Activity: Acme Stamping


Acme Stamping Activity

Acme Stamping produces components for vehicle assembly plants. This case study concerns one product family: a stamped-steel steering bracket. This product is made in two versions: one for left-side drive cars and one for right-side drive. These components are sent to the State Street Vehicle Assembly Plant (the customer).


Task

Draw the current state Value Stream Map for Acme Stamping including Metrics

Approximate Total Time:

20 min.


18,400 pcs/mo-12,000 “LH”- 6,400 “RH”Tray = 20 pieces2 shifts

State Street

Steering Brackets Current State June 6, 2000

Stamping

200 Ton

S. Weld #1 S. Weld #2 Assembly #1 Assembly #2 Shipping

Staging


C/T = 1 secondC/O = 1 hourUptime = 85%2 shifts27,000 sec. avail.

C/T = 38 secondsC/O = 10 minutesUptime = 100% 2 shifts27,000 sec.avail.

C/T = 45 secondsC/O = 10 minutesUptime =80% 2 shifts27,000 sec. avail.

C/T = 61 secondsC/O - 0Uptime = 100% 2 shifts27,000 sec. avail.

C/T = 39 secondsC/0 = 0Uptime = 100% 2 shifts27,000 sec. avail.

State Street


Stamping

200 Ton

S. Weld #1 S. Weld #2 Assembly #1 Assembly #2 Shipping

Staging







Michigan Steel .State Street


Stamping

200 Ton

Coils10 days

4600 LH2400RH

S. Weld #1 S. Weld #2

1100 LH600 RH

1600 LH850 RH

Assembly #1

1200 LH640 RH

Assembly #2

2700 LH1440 RH

Shipping

Staging







I I I I I

I


Tues &Thurs

1 x Daily


Production Control

MRP

6-week Forecast

Weekly Fax

Stamping

200 Ton

Coils10 days

4600 LH2400RH

S. Weld #1 S. Weld #2

1100 LH600 RH

1600 LH850 RH

Assembly #1

1200 LH640 RH

Assembly #2 Shipping

Staging

30/60/90 day Forecast

DailyOrder







Weekly Schedule

Daily Shipschedule

10 days

1 second

7.6 days

38 seconds

1.8 days

45 seconds

2.6 days

61 seconds

2 days

39 seconds

4.5 days

I I I I

2700 LH1440 RH

I

I


Tues &Thurs

1 x Daily

Production Lead Time = 28.5 Days Value-added Time = 184 seconds



Waste is anything that does not directly add value to the final product or contribute to the products transformation.

Waste only adds time and cost, no value. Waste is the reason that product flow stops and is the cause for non competitiveness.

Over-Production

MaterialMovement

Processing

Waiting

Inventory

Correction

Motion

OFWASTE

TYPES

There are seven basic types of waste known as

C O M M W I PC O M M W I P



Waste is any element that adds no value to the final product Waste is non value added (only adds cost and time) Waste is a symptom of problems in a value stream

The 7 Wastes

– Correction

– Overproduction

– Movement of Material

– Motion

– Waiting

– Inventory

– Processing Contributors to Waste

– Unevenness

– Overburden

– Current Process Methods Ways to Eliminate Waste

– Simplify

– Combine

– Eliminate

Standardization & Waste

Solution: Find and address the causes of waste !


Other Common Waste

Searching or waiting for informationor material

Miscommunication

Lack of Consistent Standards

Persistent misconception– Stubbornness

Lack of training

Waste


...by entering the never ending cycle of the 5 KAIZEN STEPS to become a lean, agile enterprise.

5. Kaizen-Layout

4. Kaizen-Equipment

3. Kaizen-Flow & Process

2. Standardization

1. OBSERVATION

…through the identification and elimination of:

Waste - Fluctuation - Unreasonable Practices

Underlying concept: Implement the best possible, lean combination of the 3M’s:

…focusing on the 3S’s (SSStip):

Methodology


Kaizen

On-goingobservationsto identifywaste andcontinuousimprovementopportunities.

Problem solvingand standardization

Observe

Poor work distribution Employees not engaged Unorganized and/or dirty

work areas Mistakes and Errors Long Delays Multiple Approval Levels High inventories

Standardize

Interdependent Elements Flow Manufacturing

System Design Employee Environment &

Involvement Workplace Organization Quality Operational Availability Material Movement

Observation

Our observations will help to pinpoint which DMS Interdependent Element can provide guidance for the standardization step.


Problem Solving

Develop “eyes for waste”

Hiding problems will

undermine the system

“No Problem” IS

Problem

Problem Solving is a key ingredient of a successful company’s culture and must:

– Become part of every employee’s daily routine.– Focus on root causes.– Be supported by continuous follow-up.

Opportunities for Improvement



Standardized work– Documented (common) process– Delegation of authority

Workplace organization– Visual controls

Information databases

Cross-functional teams


Standardized Work InstructionsOpportunities for Improvement

Especially needed for training of new-hires and transferred employees

Allows the organization to retain knowledge and best practices

Includes check sheetsand guidelines

SPECIAL ADVERTISEMENT FOR THE DMS EMPLOYEE ENVIRONMENT AND INVOLVEMENT MANUAL

What is Standardized Work?

Standardized Work are the proper methods and procedures required to perform a job task. Operators are trained to follow these methods and management audits the process and provides re-training when necessary.

Operator Certification ensures that operators have the knowledge, skills and abilities to perform these tasks.


Workplace Organization - Visual Controls


Strict workplace organization– Especially for common areas

Where in the heck is the hammer?

Tool Storage


Workplace Organization - Visual ControlsOpportunities for Improvement

Strict workplace organization– Especially for common areas

Tool Storage

Here’s the hammer?


Similar to a supermarket for parts - data can be kept up to date and pulled when needed

– Open capacity for products and processes– Cost of capacity

Sales andMarketing

Operations

Refresh and verify data CustomerQuote

Supermarkets & DatabasesOpportunities for Improvement

FIFO


Simple, Visual Brainstorming Process Link Process, Material and Information Flows Provide a Blueprint for Implementation

– Can be used to create a single (common) process

Provide a Common Language– Easy to share between regions, divisions, countries

SummaryValue Stream Mapping


AND...

Waste

Summary

Provide the means to see information, material, and process flows.

Support prioritization of continuous improvement activity.

Provide the basis for improving Total Product cycle time.

Course Objectives

Documents

value stream map