1. Value Stream Mapping
October 2016

2. Agenda Introduction & Expectations Who are we? Who are you?
Spotting Waste within the value chain- activity
Value Stream Mapping– The theory
Overview of Value Stream: “Why VSM” ?
Map process : “AS IS”
Highlight weaknesses & improvement opportunities
Examples of Value Stream Optimization
Example 1
Example 2
Value Stream Mapping simulation
Game
Sofia?

3. Who are we? Sofia Albohaithi Kostas Kefalakis Lean Manager
Northern Europe
Kostas Kefalakis
Global Lean Manager
Voice over who we are, what are roles entail- both

4. Outcomes/ Expectations
Key expectations
Kostas? To lead and I make note of key expectations?

5. Ball game - 5 General rules
Kick-off round
Create a process to pass over the ball within your team (team of min. 5)
You can‘t pass the ball to the person next to you
Everybody in your team must have had contact to the ball
The ball must return to the person who started with it
The ball must travel through the air
Sofia

6. Waste can be divided into 7 (+1) types
Over information/production
Transport/information transfer
Unused potential
Inventory
Motion
Defects
Over processing/unsuitable methods
Kostas
Waiting

7. Functional Segmentation
An image instead of words… what’s going wrong?
Functional Segmentation
(Task bundling/ specialization/ spatial seperation/ department thinking)
Media breaks and paper-based infos
Push Connections
(Lack of demand-orientation and lack of coordination)
Big lots (Binder tradition)
Serial Processing
(In large lots with many interfaces)
kostas

8. Uses and goals of value stream mapping (VSM)
Added value of using value stream mapping
Holistic view
Process mapping from a bird’s eye view
Common process understanding
Redesign the value stream
Uncover weaknesses / potential
Alignment with LEAN principles
Restructuring the value chain
Increasing competitiveness
Reducing throughput time (TPT)
Increasing performance level
kostas

9. What is value and the value stream?
This is the usage the customer is willing to pay for
Value creation is increasing the value from raw materials up to the end product
Value stream
Contains all activities that are necessary to bring one or more products from raw materials into the form desired by the customer
kostas
Mechanical
manufacturing
Pre-
assembly
Final
assembly
Supplier
Customer
Value creation steps

10. Concentration of value generation Reduction of throughput time (TPT)
Chain of effects of value stream mapping
Process step 1
Process step 2
Process step 3
Process step 4
Process step x
Process optimization with the support of the tool value stream mapping
From analysis to optimization:
Concentration of value generation
Reduction of throughput time (TPT)
Value
Waste
kostas
Higher quality
Better service
Improved
flexibility
Smaller stocks
Reduced complexity
Lower costs
Customer
Company

11. Agenda Game tbc Introduction Who are we?
Spotting Waste within the value chain- activity
Value Stream Mapping– The theory
Overview of Value Stream: “Why VSM” ?
Map process : “AS IS”
Highlight weaknesses & improvement opportunities
Examples of Value Stream Optimization
Example 1
Example 2
Value Stream Mapping simulation
Game tbc

12. AS-IS value stream mapping AS-IS value stream analysis
Systematic optimization of a value stream
Process structure on the way to the target value stream
AS-IS value stream mapping
AS-IS value stream analysis
Value stream
VISION
detached
Zero line in project
Uncovering weaknesses
Green field approach
(free of restrictions)
Value stream
TO-BE 1
(Implementation step 1 of x)
sofia
Quick wins first!
Taking restrictions into consideration

13. AS-IS- Value Stream Map
VSM workshop – Brown-paper approach
Document flow
AS-IS- Value Stream Map
sofia

14. The weakness analysis follows the AS-IS map
sofia

15. Agenda Game tbc Introduction Who are we?
Spotting Waste within the value chain- activity
Value Stream Mapping– The theory
Overview of Value Stream: “Why VSM” ?
Map process : “AS IS”
Highlight weaknesses & improvement opportunities
Examples of Value Stream Optimization
Example 1
Example 2
Value Stream Mapping simulation
Game tbc

16. Product Development Project overview Key Improvements
A product requires development loops Development  Prototyping  Assembly  Test
The average development loop time is 6 weeks
Teams can go through 30 loops in one project
Identified key value creation points
Identified 26 issues/wastes
Created 10 solutions & implemented 8
Eliminated ‘throwing over the wall’ communication, rework & firefighting
BEFORE
Potential Impact
~30% time saving per dev. loop
Created a communication platform with clear roles & responsibilities confirming development loop target, timeline responsibilities, outcomes & learnings
Created smoother flow of development loops by creating a concurrent schedule
6 Weeks
kostas
AFTER
4 Weeks

17. Agenda Current VS future state VSM Introduction Who are we?
Spotting Waste within the value chain- activity
Value Stream Mapping– The theory
Overview of Value Stream: “Why VSM” ?
Map process : “AS IS”
Highlight weaknesses & improvement opportunities
Examples of Value Stream Optimization
Example 1
Example 2
Value Stream Mapping simulation
Current VS future state VSM

18. Value Stream Mapping Game
October 2016

19. Game structure Architects Engineers Builders Max Time: 45 Minutes
Design
Engineers
Check
Builders
Build
Max Time:
45 Minutes

20. Game Structure – Steps
Step 1: Orientation Together you need to build a tower
Step 2: Setup Split group into 3 teams, put separator pinboards in between each team – handout instruction sheets to each team (next page)
Step 3: Play Observe & time how long each process takes. Game ends
Step 4: Video (map) Show video on how to map the process
Step 5: Map Together the team maps the entire process
Step 6: Video (waste) Show video on identifying wastes in processes
Step 7: Waste Individually each person writes red post-its of wastes observed
Step 8: Vision state Together discuss how to create vision state
Step 9: Run game again (optional) Play game again in new state

21. Architects – Instructions
Responsibilities
Receiving customer requirements
Designing the Marshmallow Tower
Communicating your design specifications to the Engineering group
Customer Requirements:
Customer wants the tallest possible spaghetti tower with a Marshmallow on top
Measurement starts from the ground up to the Marshmallow
0-30cm: Poor customer satisfaction
30-40cm: Average customer satisfaction
50-60cm: Good customer satisfaction
60+cm: Great customer satisfaction
Material Budget:
20 pieces of spaghetti
1 meter/yard of string
1 meter/yard of tape
1 marshmallow
Communication rules:
You are allowed to communicate only via paper

22. Engineers – Instructions
Responsibilities
Receiving design specifications from Architects
Checking design against structural requirements (example below)
Creating instructions on how to build the marshmallow tower (for the builders)
Communicating instructions to the builders
Structural Requirements:
Minimum 2 spaghetti sticks are required per column (vertical spaghetti not horizontal spaghetti)
Minimum 3 cm wide tape required to connect any two parts
Structure is not allowed to have support structure apart from the ground (no taping to table legs or walls)
Eg:
Communication rules:
You are allowed to communicate only via paper
You can only start your communication with architects after they start communicating with you
1cm tape
3cm tape

23. Builders – Instructions
Responsibilities
Testing structural capability (Test budget: of 1 marshmallow 10 spaghetti sticks, 50cm tape, 50cm string)
Receiving building instructions from Engineers
Checking building design & instructions against building requirements (below)
Building the Marshmallow Tower as per instructions
Building Requirements:
When using 2 pieces of spaghetti together – You need to use tape to connect them in the middle (see diagram)
You can build the tower only as per Engineering instructions
You need to get approval from Engineering if you want to modify the design or instructions
Communication rules:
You are allowed to communicate only via paper
You can only start your communication with engineers after they start communicating with you
tape
spaghetti

24. Questions to ask ourselves
What can we remove? What control steps can we limit? What can we do concurrently? How do handovers take place? Are there any air gaps? Is there information starvation? Is there a skill bottleneck? Are we repeating processes?

25. Backup

26. Video?
Pre-read