Creating Processes

Value Stream Mapping Tool Introduction

Definition - All of the actions

(both value added and non-value added)
currently required to bring a product through
the main flows essential to every product:
(1) the production flow from raw material into
the arms of the customer
(2) the design flow from concept to launch
Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 1
 Value Stream Mapping
• Means working on the big picture
• Molecules into the arms of the customer
• We will look inside the plant, not the entire value
stream
• Engineers should be able to pen and paper the
present and ‘future state’
• Carefully draw a visual representation of every
piece of the information and material flow
• Then ask how should it flow? 2
Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999.
 Value Stream Mapping

We need to practice this.

Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 3
 Why Value Stream Mapping is
an Essential Tool
• Helps you visualize more than just the
single process level i.e. assembly, welding,
etc.
• It helps you see more than waste. .
• Mapping helps you see the sources of waste
in your value stream.
• It provides a common language for talking
about manufacturing processes.
Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 4
 Why Value Stream Mapping is
an Essential Tool
• It makes decisions about the flow apparent, so
you can discuss them. Otherwise many details
and decisions on your shop floor happen by
default.
• It ties together lean concepts and techniques,
which helps you avoid "cherry-picking”

Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 5
 Why Value Stream Mapping is
an Essential Tool
• It forms the basis of an implementation plan-
By helping you design how the whole door-to-
door flow should operate
(a missing piece in many lean efforts)
value stream maps become a blueprint for lean
implementation.
Imagine trying to build a house without a
blueprint!
Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 6
 Why Value Stream Mapping is
an Essential Tool
• It shows the linkage between the
information flow and material flow. No
other tool does this.
• It is much more useful than quantitative
tools and layout diagrams that produce a
tally of non value added steps, lead time,
distance traveled, the amount of inventory
etc.
Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 7
 Why Value Stream Mapping is
an Essential Tool
• Value stream mapping is a qualitative tool
by which you describe in detail how you
facility should operate in order to create
flow.

Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 8
 Why Value Stream Mapping is
an Essential Tool
• Numbers are good for creating a sense of
urgency or as before/after measures.
• Value stream mapping is good for
describing what you are actually going to do
to affect those numbers.

Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 9
 Material and Information Flows
• Material and information are two sides of
the same coin
• You must map them both.
• Question how can we flow information so
that one process will make only what the
next process needs when it needs it?

Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 10
 Selecting a Product Family
• Focus on one to start
• Identify your product families from the
customer end of the value stream
• A family is a group of products that pass
through similar processing steps and over
common equipment in your downstream
processes

Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 11
 A Product Family
Assembly Steps & Equipment
1 2 3 4 5 6 7 8
PRODUCTS A X X X X X
B X X X X X A Product
C X X X X X Family
D X X X X X
E X X X X
F X X X X X
G X X X X X

Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 12
 The Value Stream manager
• Takes you across organizational boundaries
• Since companies are organized into
departments and functions, no one takes
responsibility for the value stream
perspective
• This person should have the power to help
change happen

Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 13
 Job Description of
Value Stream Manager
• Reports lean implementation progress to the top
person on site
• A line, not staff, person with the capability to
make change happen across functional and
departmental boundaries
• Leads the creation of the current state and future
state value stream maps and the implementation
plan for getting from the present to the future
Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 14
 Job Description of
Value Stream Manager
• Monitors all aspects of implementation
• Walks and checks the flow of the value
stream daily or weekly
• Makes implementation a top priority
• Maintains and periodically updates the
implementation plan
• Insists on being a hands-on person driven
by results
Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 15
 Do Not Make This Mistake
• Splitting up the mapping of tasks among
area managers and then hoping to stitch it
together later.
• Don’t map the organization, map the flow
of products through your organization

Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 16
 Two Kinds of Kaizen
senior
mgmt. FLOW KAIZEN
(Value Stream
Improvement)

PROCESS KAIZEN
(Elimination of Waste)
front
lines focus
Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 17
 Using The Mapping Tool
• It can be a
– Communication tool
– Business planning tool
– Change management tool

Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 18
 Initial Value Stream Steps
• Product family
• Current state drawing
• Future state drawing
• Work plan and implementation

Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 19
 Drawing the Current State Map
• Always collect current state information
while walking along the actual pathways of
material and information flows yourself
• Begin with a quick walk along the entire
door-to-door stream
• Begin at shipping and work upstream

Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 20
 Drawing the Current State Map
• Bring your stop watch and do not rely on
standard times that you do not personally
obtain
• Map the whole value stream yourself
• Use a pencil

Source: Learning to See, by Mike Rother and John Shook , The Lean Enterprise Institute, 1999. 21