Value Stream

Mapping
A Tool to Move
Forward With
Presented by Bob Forder
 'Life isn't
about how
to survive
the storm,
but how to
dance in
the rain'2
Why a Value Stream Map?

If you don’t know where you are at – How do

you know how to get to where you want to be.

ASK YOURSELF THESE THREE QUESTIONS

1. Where am I today?
2. Where do I want to be Tomorrow?
3. How Do I get There?
 What is a “Value Stream”

The steps involved in creating an OUTPUT for

an Internal or an External Customer

•Creating a report for your Boss

•Creating a Purchase Order
•Creating an Invoice to send to a Customer
•Installing a new PC for a User
•Making a Mould for the Foundry to Pour
•Machining a Part
•Assembling Sub Components into Finished Goods
for Sale
 Typical Data Requirements
Customer Data: Manufacturing Data:
Who The Number of processes in the Value Stream
Customer requirements per year The Name of each process in the Value Stream
Piece Size Number of Operators per process per shift
Shipping method (Truck, Train, Plane etc…) Number of Machines per process
Frequency of shipments Machine Down time (OEE)
Supplier Data: Number of shifts
Who Machine time per cycle
What they supply Total Cycle Time
Shipping Method (Truck, Train, Plane etc…) Pieces per cycle
Frequency of Shipments Load / Unload time (operator)
Location Pieces per day
Piece size Time per setup up
Pallet size Number of set ups per day
How orders are placed (Electronic, fax, phone etc…) Total Setup time

Production Data: Scrap per day per process

How do you schedule the processes (MRP, MRPII, ERP, Spreadsheets, etc…) Amount of Inventory before each process.

Number of shifts per day

Hours per shift
Number of breaks per shift
Duration of each break
Total available time to produce
Takt Time (Time required by customer to produce each part)

How do you communicate schedule to processes (production schedule, dispatch list, backlog
report etc…)
MAPPING ICONS

Kanban Kanban
Supermarket
Path Post

Signal Kanban
arriving MAX 50 PCS
Kanban First-In
in batches FIFO First-Out
Flow
Withdrawal
Kanban Pull

Production Process
Leveling Kaizen
Kanban
Mapping Icons

7
 Current-
State MAPPING ICONS
Drawing

Outside Source Pr. Control

or Customer
Electronic
ABC Mfg. MRP Information Flow

Truck
Shipment Manual
Tue & Flint Assy.
Fri
Information
Flow

Stamping Assembly
4/day
I I
I
Inventory
(incl. count & time) 2 Shifts 2 Shifts
Cycle Time Cycle Time Manufacturing
C/O Time C/O Time
Process (or a
Material Department)
Movement
via PUSH
Data Box
 CURRENT-STATE DRAWING
Product
Family
Understand how the business enterprise
Current- currently operates
State
Drawing

* Look at Material and Information Flows

Future-State
* Draw using standardized icons
Drawing * Start with the “door to door” flow
* Walk the flow & get actuals
• no standard times
Work Plan and
• draw by hand
Implementation
 ICON DEFINITIONS
MATERIAL INFORMATION
FLOW ICONS FLOW ICONS

P ress Used to depict a process, not for individual Shows information flow achieved through manual
M anual Info Flo w
process steps but for a general process. Usually movement of paper schedules or orders.
placed anywhere the flow stops.
M anufacturing
P ro cess Shows electronic information flow by computers.
Electro nic Info Flo w EDI or E-Mail are examples.
Heat Treat
Used for a process that is shared for many Weekly Schedule The schedule box is used to show the use of
different products. An example would be schedules in the information flow.
Schedule
M anufacturing Heat Treat.
P ro cess Shared
Represents a leveling tool that mixes models.
Lo ad Leveling (Heijunka box or similar tool)
Used to represent either a Customer or a Supplier
XYZ
Co rp.
A kanban card authorizing removal of parts or
Withdrawal Kanban
Outside So urces material from store.

C/T= 25
sec
C/O= 40 The data box is used to put information about A kanban card authorizing production based
2 Shifts a process, customer etc. It should contain on use in a downstream process.
P ro ductio n Kanban
Takt= 1s pertinent data. What goes in it is up to you,
Data B o x use it flexibly but get the core numbers.
Represents a kanban symbol used to authorize
This is used to symbolize stationary inventory in production. Multiple cards are not used and
a typical batch operation. It could be Raw, Work in Signal Kanban the signal can be made in many different ways.
Invento ry B o x
process or finished inventory.
A collection point for kanban cards to be placed.
2X per
Shows material shipment by truck. Include the
Week frequency or any other important info. inside
Kanban P o st

Truck Shipment
Represents a leveling and sequencing tool
to control the sequence of production.
Use to show material pushed by a schedule. Sequenced P ull B all

P USH A rro w

Use to show finished goods material to a customer Scheduling achieved by physically looking
Finished Go o ds or supplied material from a supplier. to see what a downstream process needs.
to Custo mer
Go See P ro ductio n Not controlled by kanban or calculation.
Scheduling
F I F O Shows material sequenced first-in-first out where
First-In-First-Out the sequence was initiated upstream based on pull. GENERAL
Sequence Flo w ICONS
Symbol illustrates a supermarket where material Used on Future State maps to show where
quantities are calculated based on demand and Kaizen activity is needed to execute the
lead time. The material movement is controlled Kaizen Lightening B urst future plan.
Supermarket
using signals or kanban.
Represents safety stock in place to cover
Describes removal of material from an upstream for inconsistencies, quality etc.
P hysical P ull
process by a downstream process based on need.
B uffer o r
Safety Sto ck
Shows material shipment by forklift. Include the
frequency or any other important info. inside Symbol used to represent a person in the
process (operator).
Operato r
M o ve by
Fo rklift

Shows material shipment by boat. Include the Q Use to highlight Quality issues and
frequency or any other important info. inside Quality problems.

B o at Shipment
P ro blem

10
LET’S MAKE A VALUE STREAM MAP

You are the

Acme Stamping
Company
 “Acme Stamping” Data Set
 Acme Stamping Company produces several components for vehicle
assembly plants. This case concerns one product family: a steel instrument-
panel bracket subassembly in two types: one each for left-hand and right-
hand drive versions of the same automobile model. These components are
sent to the State Street Vehicle Assembly Plant (the customer).

 Customer Requirements:
 18,400 pieces per month
 12,000 per month of type “LH”
 6,400 per month of type “RH”
 Customer plant operates on two shifts
 Palletized returnable tray packaging with 20 brackets in a tray and up to 10
trays on a pallet. The customer orders in multiples of trays.
 One daily shipment to the assembly plant by truck

 Work Time:
 20 days in a month
 Two shift operation in all production departments
 Eight hours every shift, with overtime if necessary
 Two 10-minute breaks during each shift
 Manual processes stop during breaks
 Unpaid lunch
 TAKT TIME

Synchronizes Pace of Production

to Match Pace of Sales
Rate for producing a product, and its
components, based on sales rate.

Your Operating Time per Shift

Customer Requirement per Shift

27,600 sec
460 pieces
= 60 sec 60 sec.
60 sec.

60 sec.
 Takt Time = 60 Seconds
18,400 parts/month / 20 days/month = 920 parts per day
920 Parts per day / 2 Shifts = 460 Parts per shift
2 shifts per day / 2 = 1
8 hours per shift = 8
* 60 Minutes per hour = 480 minutes
* 60 Seconds per minute = 28800 seconds
- 2 10 minute breaks = 2 * 10 * 60 = 1200 seconds
28,800 - 1200 = 27,600 seconds available to make parts
27,600 Available Seconds / 460 Parts per Shift Required
Equals
60 seconds per part or a Takt Time (TT) of 60Sec.
 Production Processes:
 Acme’s process for this product family involves stamping a metal part
followed by welding and subsequent assembly. The components are then
staged and shipped to the vehicle assembly plant on a daily basis.
 Switching between type “LH” (left hand drive) and type “RH” (right hand
drive) brackets requires a 1-hour changeover in stamping, and 10-minute
fixture change in the welding processes.
 Steel coils are supplied by Michigan Steel Company. Deliveries are made
to Acme on Tuesdays and Thursdays.

 Acme Production Control Department:

 Receives State Street’s 90/60/30 day forecasts and enters them into MRP
 Acme issues a 6-week forecast to Michigan Steel Co. via MRP
 Secures coil steel by weekly faxed order release to Michigan Steel co.
 Receives daily firm order from State Street
 Generates MRP based weekly departmental requirements based upon
customer orders, WIP inventory levels, F/G inventory levels, and anticipated
scrap and downtime
 Issues weekly build schedules to Stamping, Welding, and Assembly
processes
 Issues daily shipping schedule to Shipping Department
 Takt Time = 60

So… We always start with the

Customer and a “Bart Head”

What do we know about the

Customer?
Takt Time = 60
 Process Information:
 All processes occur in the following order and each
piece goes through all processes.
 1. Stamping
 (The press makes parts for many Acme products and
is called a shared resource)
 Automated 200 ton press with coil (automatic material
feed)
 Cycle time: 1 second (60 pieces per minute)
 Changeover time: 1 hour (good piece to good piece)
 Machine reliability: 85%
 Observed Inventory
 5 days of coils before stamping
 4,600 pieces of type “LH” finished stampings
 2,400 pieces of type “RH” finished stampings
 2. Spot-Weld Workstation #1
 (Dedicated to this product family)
 Manual process with one operator
 Cycle time: 39 seconds
 Changeover time: 10 minutes (fixture change)
 Reliability: 100%
 Observed Inventory:
 1,100 pieces of type “LH”
 600 pieces of type “RH”
 3. Spot Weld Workstation #2
 (Dedicated to this product family)
 Manual process with one operator
 Cycle time: 46 seconds
 Changeover time: 10 minutes (fixture change)
 Reliability: 80%
 Observed Inventory:
 1,600 pieces of type “LH”
 850 pieces of type “RH”
 4. Assembly Workstation #1
 (Dedicated to this product family)
 Manual process with one operator
 Cycle time: 62 seconds
 Changeover time: none
 Reliability: 100%
 Observed Inventory:
 1,200 pieces of type “LH”
 640 pieces of type “RH”.
 5. Assembly Workstation #2
 (Dedicated to this product family)
 Manual process with one operator
 Cycle time: 40 seconds
 Changeover time: none
 Reliability: 100%
 Observed Finished Goods Inventory in Warehouse:
 2,700 pieces of type “LH”
 1,440 pieces of type “RH”
 6. Shipping Department
 Removes parts from finished goods warehouse and
stages them for truck shipment to the customer
 Takt Time = 60

So… Let’s Start Building the Process starting

with the first process

The Triangle with the “I” is for your observed

Inventory before each process

The Box is to Identify a process

24
 Takt Time = 60

So… What do we know about the Process and

what do we want to know?

25
Takt Time = 60

26
Takt Time = 60

27
Takt Time = 60

28
Takt Time = 60

29
Takt Time = 60

30
Takt Time = 60

31
Takt Time32= 60
Takt Time = 60

33
 CURRENT STATE 20 days / mo
2 shifts – 8hrs
(2) 10 min breaks / shift

ACME
weekly fax 90/60/30 day f’cst
MICH. PC&L STATE
STEEL 6 wk. f’cst MRP daily order STREET
18400 pcs/mo
STEEL
•12000 LH
COILS
Daily Ship •6400 RH
Schedule 2 SHIFTS

WEEKLY SCHEDULE Min. pack : 20

Tues/ Th

1/day

Stamping Weld I Weld II ASSM I ASSM II Shipping

I I I I I I
5 days
C/T: 1 sec 4600 LH C/T: 39 sec 1100 LH C/T: 46 sec 1600 LH C/T: 62 sec 1200 LH C/T: 40 sec 2700 LH
2400 RH 600 RH 850 RH 640 RH 1440 RH
C/O: 1 hr C/O: 10 min C/O: 10 min C/O: 0 C/O: 0
Rel: 85% 7000 T Rel: 100% 1700 T Rel: 80% 2450 T Rel: 100% 1840 T Rel: 100% 4140 T
(7000/920) (1700/920) (2450/920) (1840/920) (4140/920)
Multiple Dedicated Dedicated Dedicated Dedicated
= 7.6 d = 1.8 d = 2.7 d =2d = 4.5 d
Products Lead Time
5 days 7.6 days 1.8 days 2.7 days 2 days 4.5 days 23.6 days
1 sec 39 sec 46 sec 62 sec 40 sec Process Time
188 sec
 Future State I
ACME
Daily fax 90/60/30 day f’cst
MICH. PC&L STATE
STEEL 6 wk. f’cst MRP daily order STREET
18400 pcs/mo
STEEL
•12000 LH
COILS coil Daily Order
•6400 RH
2 SHIFTS

coil 20 Min. pack : 20

DAILY
20
20
1/day
BATCH
OXO
BATCH
X
BIN 300 LH BIN
600 LH 20
160 RH 20
320 RH

Stamping LH LH LH Shipping
ASSEMBLY
Weld
200T 2 2
coils RH RH RH

C/T: 1 sec C/T: 46 sec C/T: 56 sec

C/O: 1 hr C/O: 10 min C/O: 0
Reduced lead time
Rel: 85% Rel: 80% Rel: 100%
by 18.35 days
Multiple Total work Total work
Products = 85 sec = 102 sec Lead Time
1.5 days 1.5 days 0.75 days 1.5 days 5.25 days
1 sec 85 sec 102 sec Process Time
188 sec
 Future State II
ACME
Daily fax 90/60/30 day f’cst
MICH. PC&L STATE
STEEL 6 wk. f’cst MRP daily order STREET
18400 pcs/mo
STEEL
•12000 LH
COILS coil Daily Order
•6400 RH
2 SHIFTS

coil 20 Min. pack : 20

20
20
DAILY
Weld c/o OXO 1/day
BATCH
X
BIN 20
600 LH 20
320 RH

coils LH Shipping
Stamping LH WELD + ASSEMBLY
3
200T
RH
RH
C/T: 1 sec C/T: 56 sec
C/O: 1 hr C/O: 0
Rel: 85% Weld rel >98% Rel: 98%
Multiple Total work
Products = 168 sec
Lead Time
1.5 days 1.5 days 1.5 days 4.5 days
1 sec 168 sec Process Time
169 sec
 Future State III
ACME
Daily fax 90/60/30 day f’cst
MICH. PC&L STATE
STEEL 6 wk. f’cst MRP daily order STREET
18400 pcs/mo
STEEL
•12000 LH
COILS coil Daily Order
•6400 RH
2 SHIFTS

coil 20 Min. pack : 20

20
20
DAILY
Weld c/o OXO 1/day
BATCH
X
BIN 20
600 LH 20
320 RH

coils LH Shipping
Stamping LH WELD + ASSEMBLY
3
200T
RH
RH
C/T: 1 sec C/T: 56 sec
C/O: 1 hr C/O: 0
Rel: 85% Weld rel >98% Rel: 98%
Multiple Total work
Products = 168 sec
Lead Time
1.5 days 1.5 days 1.5 days 4.5 days
1 sec 168 sec Process Time
169 sec
 WHAT WOULD AN
INFORMATION OR AN
OFFICE TYPE MAP LOOK
LIKE?

38
 YEARLY VALUE STREAM PLAN Date: 06/26/2008

Prepared by: Bob Forder

Value Stream Chem Lab Year: 2008 MONTHLY SCHEDULE

Plant Level Objective V.S. Loop Value Stream Objective Goal 1 2 3 4 5 6 7 8 9 10 11 12 Person Resp. Comments

Chem Lab move to new location in Foundry. Creates the need

Lori Palmateer, Bob
Move Chem Lab VS1 Facilitate Chem Lab Move Move Chem Lab by 4th week in July X to facilitate Material and Information movement as well as
Forder, Ian Murray
relation of Grinders and a procedure for use.

We were looking at a Vacuum Tube system, however after

Physical Move of Job Cards, Samples and
VS1 Move Physical Information X ALL meeting now looking at creation of Formal and Informal Milk
Certs
Runs

Lori, Jeff, Brian,

VS1 Move Electronic Information Electronic Move of Certs and Results X Email and Scan to Email
Kevin, Gail

VS1 Remove old Office Tear down old office by 1st week in August X Ian, Bob Remove old block walls from existing Chem Lab Office

Establish Location and procedures for Move grind operation and create procedure The grinders have to move with the office, we need to
VS1 X Lori, Azaz, Jeff
Grinding for same determine what the short term and long term solutions are.

Reduce the time taken to calibrate the

Streamline the weekly function of
Weekly Equipment Calibration VS2 spectrometer as well as other equipment by X X X X X ALL Present procees time estimated between 4 and 6 hours
calibration of equipment
at least 50%

Add resources to back fill existing Technician

Study Standardization process and find areas to reduce time
Standardization Backlogs on Mondays VS2 Increase area availability on Mondays to free up processing time in the Lab Area X X X X X Lori, Jeff, Kevin
and increase availability
during the Monday Standardization process.

Increase area availability during offshift Train personell to help as required and Lori, Jeff, Kevin, Training people to help in this function will help with day to day
Off Shift Samples and Certs VS3 X X X X X
and peaks perform functions during off shift times Supervisors functions as well as backfill during peak periods.
41
Thank you … Remember that this was just a quick
taste of How to Build a VSM, How to Read a VSM
and What to do with a VSM

•Bob Forder
•5S / Lean Coordinator at Deloro Stellite Inc.,
Belleville
•Chairman of the Quinte Manufacturers Association
•Owner and Trainer for Learning To See Lean
•www.ltsl.ca
42
The 5S
numbers
game.

43
•These sheet represents our current work place.
•Please do not look at the sheets until asked to do so.
•Our job during a 20 second shift, is to strike out the
numbers 1 to 49 in correct sequence. Example: 1
2 3
•The team score will be represented by the lowest
individual score achieved.
•The sheets will be handed out face down and I will
keep time.
•Each person will call out their individual scores
•Turn over sheet 1 Now.

44
 27
30
51

62
23

47
40
10
58 13
79
45
TEAM SCORE

___________
•For our first action, we are going to implement 5S in
this area.
•The first step of this is “Sort” and so we have
removed from the area all the numbers from 50 to 90
which are not needed.
•Same rule applies. Strike out numbers 1 to 49 in
sequence during a 20 second shift.
•Turn over the 2nd sheet now!

47
 27
30

23

47
40
10
13

48
TEAM SCORE

___________
•Having achieved some improvement, we now need to
move onto the next step ”Set In Order”.
•We have installed some racking, and we have
organized the items so that with Number 1 in the
bottom left hand corner, the numbers are located from
left to right and bottom to top - examples 1 in the
bottom left, 2 in the middle, and 3 in the top left.
•Same rules apply 20 second shift, lowest individual
score equals team score etc…
•Turn over the 3rd Sheet now!

50
 27
30

23

47
40
10
13

51
TEAM SCORE

___________
• Having now made a significant step forward, we must now
“Shine” and “Standardize”.
• Since we are dealing with numbers 1 to 49 in sequence, it
seems logical to re-organize them in a standard way that
makes the completion of the work task as easy as possible.
So we have “SHINE” the area by making the area
presentable and tidy, we have Standardized by making all
numbers the same size and font and organizing them in a
fashion that is easier to follow.
• This should ensure that everyone is able to complete the task
(and therefore produce a team score of 49.)
• Turn over the 4th Sheet now!

53
Numbers from 1 to 49
10

13

23 27 30

40

47

54
TEAM SCORE

___________
•To show respect for Standards it is necessary to make
the “management” of the area visual.
•Returning to our original work area, we have for this
assignment two numbers missing. We cannot
complete the task without these numbers - so first we
have to find them.
•I will start a clock running and every 20 seconds, I
will tell you how many “shifts” you have been down
looking for the appropriate numbers.
•Turn over the 5th Sheet Now!
 27
30
51

62
23

47
40
10
58 13
79
TEAM SCORE

___________
•Now how much easier would it be to find the quality
problems with the system we had earlier? Let’s try it.
•Turn over the 6th Sheet now!
Numbers from 1 to 49
10

13

23 27 30

40

47
TEAM SCORE

___________