Professional Documents
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Lean From CSUN
Lean From CSUN
Management
MSE507
Lean Manufacturing
Chapter 2
The Value Stream
"Whenever there is a product for a customer, there is a
value stream. The Challenge lies in seeing it
PHILIP (PHIL) M. CONDIT
Chairman and Chief Executive office
The Boeing Company
Samuel M. Walton
Wal-Mart Stores, Inc.
Chairman & Chief Executive Officer
Value Streams
Value Stream Maps are powerful visual tools to help see waste
and understand the flow of material and information
Especially powerful for illustrating the wastes of Overproduction,
Idle Material & Transportation
Mapping Process
Product Family
Create a Matrix
P ro d u c t s
FEDCBA
A Product
Family
A Reminder
The point of value stream mapping is not the
maps, but to understand the flow of information
and material and see waste
...and then use that understanding and insight to
improve your process
Engineering
Management
Information Flow
Example
Customer
INVENTORY ICONS
WITH PUSH ARROWS
Material Flow
28 days
15 sec
10
days
60 sec
7
days
150 sec
1.5
days
501 sec
3
days
395sec
Assembly
XYZ
Corporation
Process
Box
Supplier/
Customer
C/T=45 sec.
C/O=30 min.
3 Shifts.
2% Scrap
300 pieces
1 day
Data Box
Inventory
Mon
+ Wed
Shipment
Supermarket
FIFO
Push
Physical
Pull
Finished Goods
to Customer
First-In-First-Out
Manual
Information Flow
Withdrawal
Kanban
Electronic
Information Flow
Production
Kanban
Weekly
Schedule
OXOX
Schedule
Load
Leveling Box
Signal
Kanban
Sequenced-Pull
Ball
Kanban
Post
General Icons
Uptime
Changeover
Operator
Kaizen
Lightning Burst
Buffer or
Safety Stock
Go See
Production
Schedule
BLUE - Process
YELLOW - Inventory (tear in half)
PINK - Master schedule / Production control
GREEN - Supplier & Customer
Step 1
State
StateStreet
Street
Assembly
Assembly
Michigan Steel
Company
18400 pieces/month
-12000- L
- 6400- R
500 ft coils
Tray = 20 pieces
Steps 2 & 3
State
StateStreet
Street
Assembly
Assembly
Michigan Steel
Company
18400 pieces/month
-12000- L
- 6400- R
Tray = 20 pieces
500 ft coils
Stamping
I
Coils
I
1
4600 L
S. Weld
#1
2400 R
5 days
C/T=1 sec
C/O=1 hour
Uptime
=85%
27,600
sec. avail.
S. Weld #2
I
1100 L
1600 L
Assy
#1
850R
600R
C/T=39 sec
C/T=46 sec
C/O=10 m
I
1200 L
Assy
#2
2700 L
1440R
640R
C/T=62 sec
C/T=40 sec
C/O=10 m
C/O = 0
C/O = 0
Uptime =
100%
Uptime =
80%
Uptime =
100%
Uptime =
100%
27,600
sec. avail.
27,600
sec. avail.
27,600
sec. avail.
27,600
sec. avail.
Shipping
Staging
Steps 4 & 5
StateStreet
Street
State
Assembly
Assembly
Michigan Steel
Company
18400 pieces/month
-12000- L
- 6400- R
Tray = 20 pieces
500 ft coils
2 shifts
Tues. &
Thurs.
1x Daily
Stamping
I
Coils
I
1
4600 L
S. Weld
#1
S. Weld #2
1100 L
2400 R
5 days
C/T=1 sec
C/O=1 hour
Uptime
=85%
27,600
sec. avail.
I
1
1600 L
Assy
#1
850R
600R
C/T=39 sec
C/T=46 sec
C/O=10 m
I
1200 L
Assy
#2
I
2700 L
1440R
640R
C/T=62 sec
C/T=40 sec
C/O=10 m
C/O = 0
C/O = 0
Uptime =
100%
Uptime =
80%
Uptime =
100%
Uptime =
100%
27,600
sec. avail.
27,600
sec. avail.
27,600
sec. avail.
27,600
sec. avail.
Shipping
Staging
Step 6
90/60/30 day
forecasts
6 week
forecast
Michigan Steel
Company
Production Control
Daily
Order
Weekly
Fax
500 ft coils
State
StateStreet
Street
Assembly
Assembly
18400 pieces/month
-12000- L
MRP
- 6400- R
Daily Ship
Schedule
Weekly Schedule
Weekly Schedule
Tues. &
Tray = 20 pieces
2 shifts
1x Daily
Thurs.
Stamping
I
Coils
S. Weld #1
I
1
4600 L
I
1
2400 R
5 days
Assy #1
S. Weld #2
1100 L
1600 L
I
1
850R
600R
Assy #2
1200 L
Shipping
2700 L
Staging
1440R
640R
C/T=46 sec
C/O=10 m
Uptime =
80%
C/T=62 sec
C/T=40 sec
C/O=1 hour
Uptime
=85%
C/T=39 sec
C/O=10 m
Uptime =
100%
C/O = 0
Uptime =
100%
C/O = 0
Uptime =
100%
27,600
sec. avail.
27,600
sec. avail.
27,600
sec. avail.
27,600
sec. avail.
C/T=1 sec
27,600
sec. avail.
Step 7
90/60/30 day
forecasts
Production Control
6 week
forecast
Michigan Steel
Company
Daily
Order
Weekly
Fax
500 ft coils
State
StateStreet
Street
Assembly
Assembly
18400 pieces/month
-12000- L
MRP
MRP
- 6400- R
Weekly
WeeklySchedule
Schedule
Tues. &
Tray = 20 pieces
Daily Ship
Schedule
2 shifts
1x Daily
Thurs.
Stamping
I
Coils
S. Weld #1
I
1
4600 L
C/T=1 sec
I
1
2400 R
5 days
Assy #1
S. Weld #2
1100 L
1600 L
C/O=1 hour
Uptime
=85%
C/T=39 sec
C/O=10 m
Uptime =
100%
27,600
sec. avail.
27,600
sec. avail.
I
1
850R
600R
Assy #2
1200 L
I
1
1440R
640R
C/T=46 sec
C/T=62 sec
C/T=40 sec
C/O=10 m
Uptime =
80%
C/O = 0
Uptime =
100%
C/O = 0
Uptime =
100%
27,600
sec. avail.
27,600
sec. avail.
27,600
sec. avail.
2700 L
Shipping
Staging
Step 7
90/60/30 day
forecasts
3-15-2002
Production Control
6 week
forecast
Michigan Steel
Company
Daily
Order
Weekly
Fax
500 ft coils
State Street
Assembly
18400 pieces/month
-12000- L
MRP
MRP
- 6400- R
Weekly
WeeklySchedule
Schedule
Tues. &
Tray = 20 pieces
Daily Ship
Schedule
2 shifts
1x Daily
Thurs.
Stamping
S. Weld #1
I
1
Coils
4600 L
C/T=1 sec
5 days
27,600
sec. avail.
1 sec
1100 L
7.6
days
1600 L
27,600
sec. avail.
39 sec
1.8
days
Assy #2
I
1
850R
600R
C/T=39 sec
C/O=10 m
Uptime =
100%
C/O=1 hour
Uptime
=85%
2400 R
5 days
Assy #1
S. Weld #2
1200 L
I
1
C/T=62 sec
C/T=40 sec
C/O=10 m
Uptime =
80%
C/O = 0
Uptime =
100%
C/O = 0
Uptime =
100%
46 sec
2.7
days
27,600
sec. avail.
62 sec
2
days
2700 L
Staging
1440R
640R
C/T=46 sec
27,600
sec. avail.
Shipping
27,600
sec. avail.
40 sec
4.5
days
The Office
Office functions support many shop floor value streams purchasing, payroll
The rate of customer demand is often hard to see
Inventory can be forms, paperwork, in-baskets, out-baskets,
voicemail, email
Cycles of activity often are random - little standard work
Confusion about who the customer is and what is value
The Office
HOWEVER, THE
OBJECTIVE IS TO
ELIMINATE WASTE!
Waiting
Inbox
1 Day
1/2 Day at
meeting
1 Day
State Street
Assembly
Supplier
Poor workplace
Duplication:
Organization
Many Signatures
State Street
Assembly
Customer
Re-enter Data:
Legacy System
Incomplete Data
Michigan Steel
Customer
Company
EmailO
rder
Engineering
database
Central
database
Phone
Clarification
State Street
Assembly
Customer
Phone
Clarification
Email
Quote
Design
Log file
Phone
Clarification
Email /
voicemail
I
4 Estimates Meeting
.5 hours 3 hours
.5 hr
Inbox
Waiting
1 Day .5 Day
3 hr
10 min
Inbox
Review
1 Day
1/2 Day
Purchasing 7 files
1 Day
quote
1 Sales Rep
.5 Day 1 Day
4 hrs
3 files
1 Day
Inbox
Manf.
Eng.
1 Eng.
3 hrs
Email
-Clarification
Outbox Waiting Inbox
w
4 files Clarify
1 Day 1 Day
Quote
Prep
I
2 files
1 Day 1 sales Rep
60 min
Total 10 Days
20 min
Mapping Tips
Use roll of butcher paper so you can use a wall and see the
whole VSM
Use string or ribbon to show material & information flows
Decide whether to count all parts or sample
Mapping Tips
Best to map production lines between
Tuesday and Thursday
Use someone from the line or process to walk you through it
first, post-it note process, come back and get
Real Data and Times
If you plan on using the times to balance your process then do
not take shortcuts - you will be way off
(Embarrass yourself!!)
Mapping Steps
Gather customer information
Get with the process owners and talk / draw - through the
Mapping Tips
Homework Assignment
Questions:
1. Use slide 30 as a template and construct a value stream of
your choice (product or service)
2. Explain the advantages and possible disadvantages of
using Value Stream Maps to improve the business
Questions? Comments?