Standard Business Roadmap Value Stream Analysis / Mapping Training Pack.

Standard Business Roadmap

Value Stream Analysis / Mapping

Training Pack

Value stream mapping isValue stream mapping isthe start to any lean transformationthe start to any lean transformation

““Where you can flow you flowWhere you can flow you flowWhere you can’t flow Where you can’t flow

You Pull !You Pull !

Introduction to mapping

Creating a Current State Map

Introduction To Lean Techniques

Creating a Future State Map

Using a Map as a basis for Tactical Implementation Planning

AGENDA

Value Stream Mapping

A Value Stream Map is a diagram of all actions(both value added and non-value added) required to

bring a product through from raw material to thearms of the customers

Current

Representation of Current State:reveals waste and its sources

Future

Representation of Future State:explains how lean business will flow

Definition of Value Stream Map

Toyota have been benefiting from Material & Information Flow Mapping since 1940’s

He developed Material & Information Flow Mapping as a standard method for mapping the flows visually

Taiichi Ohno could not see waste at a glance (especially across a geographical area)

Became the standard basis for designing improvements at Toyota - as a common language

it became one of their business planning tools

Value Stream Mapping is now utilised throughout the world, in many businesses to strategically plan

Introduction to Mapping

• Diagram needs to be on one sheet of paper

• Use the standard format for the diagram

• Use the standard symbols for the diagram

• Capture all of the data yourself

• Walk, Understand and Validate the process

• Involve as many people as practical

• Use paper and pencil

Principles for Creating a Value Stream Map

•VALUE STREAM MAPPING •PROCESS MAPPING

Considers the whole value stream

Identifies non value added between processes

Improvements to system are usually significant but difficult to achieve

Enables long term strategy to be planned

Concentrates on a single process

Identifies non value added within a process

Improvements to process are usually small but very easy to implement

Enables short term tactical planning

Value Stream Mapping V’s Process Mapping

Processing time

Production Control

I I I I I II

PRODUCTIONLEAD TIME

22 days

165.5 mins

0.65%

7m

3.125d

6m

3.125d

45m

6.25d

90m

0.625d

15m

3.125d

2.5m

35d

PART MARK

SLOT SAW CNC ENGRAVE VAPOUR BLAST

SHIPPING

Demand Signal•Annual Forecast•22 Week Forecast•Weekly Order•Daily Expedite

DAILYEXPEDITE

5.625d

Order

Reduce Inventory -Supply Negotiations

Set-ups? Lengthy Despatch Process

Monthly quantities

SupplyCustomer

Free IssueMaterial

Weekly

Standard Diagram Format for Single Site

Determine the product family :

PR

OD

UC

TS

PROCESS AND EQUIPMENT STEPS

x x x x xx x x x x

Weld 1 Weld 2 Assy 1 Assy 2 Polish Pack

Left

Right

Upper

Lower

Inner skin

Outer skin

xxx

x x xx

xx x x x

Product Family matrix

Product family

Current state drawing

Future state drawing

Understanding how the shopfloor currently operates.

The foundation for the future state.

Designing a future state.

Plan and implementation

2 days

CURRENT STATE MAPPING

Using the Value Stream Mapping Course

Product family



Understanding how the shopfloor currently operates.

Material and information flows. Draw using icons. Start with the “door to door” flow. Have to walk the flow and get

actuals -• No standard times.• Draw by hand, with pencil.

Foundation for future state.Plan and implementation

CURRENT STATE MAPPING

2 days

Using the Value Stream Mapping Course

Process

Single plant

Multiple plants

Across companies

Levels of Value Stream

Start here!

Single plant






AGENDA


THE 7 STEPS

1. Customer Requirements

2. Draw Process Steps

3. Process Data

4. Inventory

5. Material Flow: Supplier to Manufacturer & Manufacturer to Customer

6. Information Driving Flow & Internal Material Flow

7. Manufacturing Lead Time & Processing Time

Creating a Current State Value Stream Map

You need:

A Large Piece of Paper

A Pencil

An Eraser (absolutely)

A Ruler (maybe)

A set of detailed information / data about the company -• Its Processes, Machines, Employees, Stock , WIP etc• Its Suppliers• Its Customers

Creating a Current State Value Stream Map (2)

White-board exercise

Let’s begin!

Customer

.

Pack size = 1

320 pieces/ month•200 A1•120 A2

2 shifts

1 x Daily

Step 1 - Customer Requirements

Customer

.

Pack size = 1


2 shifts

Shipping Assembly # 2Assembly #1Spot weld # 2Spot weld # 1Stamping

Step 2 - Process Steps

1 x Daily

Customer

.

Pack size = 1


2 shifts

Shipping Assembly # 2Assembly # 1Spot weld # 2Spot weld # 1Stamping

Spot weld # 2Spot weld # 1Stamping

Multiple process in parallel

Step 2 - Process Steps

1 x Daily

Customer

.

Pack size = 1

320 pieces/ month•200 A1

• 120 A2

2 shifts


Cycle time= 1 minute

Change over= 60 min

Uptime =85%

1 x


Change over=10 min.

Uptime =100%

1 x

10 T


Change over=10 min.

Uptime =80%

1 x


Change over=0 min.

Uptime =100%

1 x


Change over=0 min.

Uptime =100%

1 x

Step 3 - Process Data

1 x Daily

Customer

.

Pack size = 1


2 shifts



Change over=1 hour

Uptime =85%

1 x


Change over=10 min.

Uptime =100%

1 x

10 T


Change over=10 min.

Uptime =80%

1 x


Change over=0 min.

Uptime =100%

1 x


Change over=0 min.

Uptime =100%

1 x

I I

I5 days

I150 A124 A2

Draw these then erase after explanation

Step 4 -Inventory

1 x Daily

Customer

.

Pack size = 1


2 shifts



Change over=1 hour

Uptime =85%

1 x


Change over=10 min.

Uptime =100%

1 x

10 T


Change over=10 min.

Uptime =80%

1 x


Change over=0 min.

Uptime =100%

1 x


Change over=0 min.

Uptime =100%

1 x

II5 days 150 A1

24 A2

I42 A16 A2

I16 A118 A2

I42 A16 A2

I27 A114 A2

Step 4 -Inventory

1 x Daily

Customer

.

Pack size = 1


2 shifts



Change over=1 hour

Uptime =85%

1 x


Change over=10 min.

Uptime =100%

1 x

10 T


Change over=10 min.

Uptime =80%

1 x


Change over=0 min.

Uptime =100%

1 x


Change over=0 min.

Uptime =100%

1 x

II I I5 days 150 A1

24 A2

I I42 A16 A2

16 A118 A2

42 A16 A2

27 A114 A2

Slug Brackets StampingCurrents State Map Date :

Label the Map

1 x Daily

Customer

.

Pack size = 1


2 shifts

Shipping Assembly # 2Assembly # 1Spot weld # 2Spot weld #1Stamping


Change over=1 hour

Uptime =85%

1 x


Change over=10 min.

Uptime =100%

1 x

10 T


Change over=10 min.

Uptime =80%

1 x


Change over=0 min.

Uptime =100%

1 x


Change over=0 min.

Uptime =100%

1 x

II I I5 days 150 A1

24 A2

I I42 A16 A2

16 A118 A2

42 A16 A2

27 A114 A2


Coils r us

500 ft coils

Tuesdayand

Thursday

Step 5 - Material Flow Supplier / Mfr & Mfr / Customer

1 x Daily

Customer

.

Pack size = 1


2 shifts



Change over=1 hour

Uptime =85%

1 x


Change over=10 min.

Uptime =100%

1 x

10 T


Change over=10 min.

Uptime =80%

1 x


Change over=0 min.

Uptime =100%

1 x


Change over=0 min.

Uptime =100%

1 x

II I I5 days 150 A1

24 A2

I I42 A16 A2

16 A118 A2

42 A16 A2

27 A114 A2

Coils r us

500 ft coils

Production Planning

30/ 60/ 90 day forecast

Daily expedite

6 week forecast

Weekly fax

Step 5 - Material Flow Supplier / Mfr & Mfr / Customer


1 x Daily

Customer

.

Pack size = 1


2 shifts



Change over=1 hour

Uptime =85%

1 x


Change over=10 min.

Uptime =100%

1 x

10 T


Change over=10 min.

Uptime =80%

1 x


Change over=0 min.

Uptime =100%

1 x


Change over=0 min.

Uptime =100%

1 x

II I I5 days 150 A1

24 A2

I I42 A16 A2

16 A118 A2

42 A16 A2

27 A114 A2

Coils r us

500 ft coils

Tuesdayand

Thursday

Production Planning


Daily expedite

6 week forecast

Weekly fax

MRP

Weekly plan

Step 6 - Push & Pull Material Information Flows


1 x Daily

Customer

.

Pack size = 1


2 shifts



Change over=1 hour

Uptime =85%

1 x


Change over=10 min.

Uptime =100%

1 x

10 T


Change over=10 min.

Uptime =80%

1 x


Change over=0 min.

Uptime =100%

1 x


Change over=0 min.

Uptime =100%

1 x

II I I5 days 150 A1

24 A2

I I42 A16 A2

16 A118 A2

42 A16 A2

27 A114 A2

Coils r us

500 ft coils

Tuesdayand

Thursday

Production Planning


Daily expedite

6 week forecast

Weekly fax

MRP

Weekly plan

Dailyshipping

plan

Step 6 - Push & Pull Material Information Flows


1 x Daily

Customer

.

Pack size = 1


2 shifts



Change over=1 hour

Uptime =85%

1 x


Change over=10 min.

Uptime =100%

1 x

10 T


Change over=10 min.

Uptime =80%

1 x


Change over=0 min.

Uptime =100%

1 x


Change over=0 min.

Uptime =100%

1 x

II I I5 days 150 A1

24 A2

I I42 A16 A2

16 A118 A2

42 A16 A2

27 A114 A2

Coils r us

500 ft coils

Tuesdayand

Thursday

Production Planning


Daily expedite

6 week forecast

Weekly fax

MRP

Weekly plan

Dailyshipping

plan

16 pieces/ day

10.9 days 2.1 days 3 days 2.6 days5 days

1 minute 39 minute 46 minute 62 minute 40 minute

3 days

Step 7 - Lead Time & Processing Time


1 x Daily

Customer

.

Pack size = 1


2 shifts



Change over=1 hour

Uptime =85%

1 x


Change over=10 min.

Uptime =100%

1 x

10 T


Change over=10 min.

Uptime =80%

1 x


Change over=0 min.

Uptime =100%

1 x


Change over=0 min.

Uptime =100%

1 x

II I I5 days 150 A1

24 A2

I I42 A16 A2

16 A118 A2

42 A16 A2

27 A114 A2

Coils r us

500 ft coils

Tuesdayand

Thursday

Production Planning


Daily expedite

6 week forecast

Weekly fax

MRP

Weekly plan

Dailyshipping

plan

16 pieces/ day


Production Lead Time = 26.6 days

Processing time = 188 mins


3 days

Step 7 - Lead Time & Processing Time


1 x Daily

Customer

.

Pack size = 1


2 shifts



Change over=1 hour

Uptime =85%

1 x


Change over=10 min.

Uptime =100%

1 x

10 T


Change over=10 min.

Uptime =80%

1 x


Change over=0 min.

Uptime =100%

1 x


Change over=0 min.

Uptime =100%

1 x

II I I5 days 150 A1

24 A2

I I42 A16 A2

16 A118 A2

42 A16 A2

27 A114 A2

Coils r us

500 ft coils

Tuesdayand

Thursday

Production Planning


Daily expedite

6 week forecast

Weekly fax

MRP

Weekly plan

Dailyshipping

plan

16 pieces/ day



3 days

Complete State Current State Value Stream Map

Production Lead Time = 26.6 days

Processing time = 188 mins


1 x Daily

Go and map your own processes.Go and map your own processes.Current state mapCurrent state map







AGENDA


Product family



Plan and implementation

FUTURE STATE MAPPING

If you don’t design a future state then

so far it’s all been waste

You may not get it right first time, keep updating

Becomes the foundation for your T.I.P.

Begin with the current state

First try should be low cost no cost

Move existing kit

Make only minor purchases

2 days

Apply Lean techniques

Designing a Lean Flow

Value Add

Waste

Traditional Focus

• Work Longer-Harder-Faster

• Add People or Equipment

Lean Manufacturing

• Improve the Value Stream to Eliminate Waste

LEAD TIME

Waste Elimination

Isolated Efficiency V’s System Efficiency

Motion

Inventory11

66

77

55 44

33

22

WASTE

Over-production

Waiting

Not Right First Time - Scrap, Rework & Defects

Over-processing

Transportation

7 Wastes

Manufacturing too much, too early or "Just in Case". Overproduction discourages a smooth flow of goods or services. Takes the focus off what the customer really wants.

Leads to excessive inventory.

To produce sooner, faster or in greater quantities than the absolute customer demand

Definition

Overproduction

Takt is a German word meaning ‘beat’ (metronome)

Takt time is matching the pace of production to customer demand.

Adherence to Takt time will ensure customer satisfaction through 100% on time delivery

Takt = total time available* total customer demand

* only management allowances are deducted:-e.g. tea breaks, lunch breaks, team meetings, clean down time

Beat makes no allowances for machine inefficiencye.g. breakdowns, changeovers

57.5 minutes = 2(480-20) minutes 16 pieces

Takt Time

Op 1Op 1 Op 2Op 2 Op 3Op 3 Op 4Op 4

Takt timeTakt time

Go to Flip Chart

Cycle timeCycle time

Process

Shipping

Customer

Process Shipping

TO SHIPPINGTO SHIPPING

Customer

TO SUPERMARKETTO SUPERMARKET

Which is better?

Build to Shipping or to Supermarket?

1 x Daily 1 x Daily

1.

Customer

Peak demand

2.

Lowerpeak

Customer

Finished goods

Go to Flip Chart

Batch production

Process C

Process B

Process A

Process C

Process B

Process A

Single piece flow

One Piece at a Time Manufacture

Batch production - Lead time 17 units of time

Continuous flow processing - Lead time - 7 units of time

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17

A

B

C

Transfer time

Transfer time

Process

First part complete after 3 units

Complete First part complete after 13 units

Complete

One Piece at a Time - Effect on Lead Time

SupplierProcess

CustomerProcess

Withdrawal Kanban

Production Kanban

Inventory Marketplace

• Customer goes to supermarket and withdraws what it needs when it needs it.

• Supplier process produces to replenish what the customer has withdrawn.

New product Withdrawn product

Solution to Scheduling - Supermarket Pull System

Shipping Assembly # 1Spot weld # 2Stamping

10 T Customer


10 T Customer

Flow

Flow

Schedule

Schedule

Pull System now schedules supply processes: only schedule one place

Scheduling Your Value Stream


10 TCustomer


10 T Customer

Flow

Flow

Pacemaker

Whip effect of volume fluctuation

Pacemaker

OOXXOOXX

Ideally minimal fluctuation at Pacemaker and minimum batch size to reduce stock in up stream processes

Coupled Processes but:Larger whip effect, larger supermarkets; large batches, large supermarkets; long changeovers, large

supermarkets

Scheduling Your Value Stream

Productionscheduler

Monday: 10 A, 6 B, 9 C

Translates to:

Build every part every day

Every part every ship window

Production scheduleMonday = 40ATuesday =10A, 30 BWednesday =1 B, 1CThursday = 40 CFriday = 1 C, 1 A

Tuesday: 10 A, 6 B, 9 C

Wednesday: 10 A, 6 B, 8 C

Thursday: 10 A, 7 B, 8 C

Friday: 11 A, 6 B, 8 C


Tuesday: 5A, 3 B, 5 C





Tuesday: 5A, 3 B, 4 C




Levelling Production at the Pacemaker Process

Process

Supplier

Supplier

SHIPPING

Process

Assembly plant

All Processes linked to produce exactly what their customer wants when the customer needs it.

What do we do if a link breaks?

A Lean System all Processes are Linked

How do we know if a link/process has broken?

Problem Solve - Maintain Flow!!

Do NOTNOT add “Waste” to act as a safety net and cover the problem

What do we do if a Link Breaks?

The amount of work produced at the Pacemaker process is to schedule. Each part of the process is working to Takt And are you providing a Takt image? Monitor the process at set intervals; your management time frame!

1 week

1 day

1 shift

1 hour

takt

When do we find out if a link has broken?






AGENDA


Standard Business Roadmap Value Stream Analysis / Mapping Training Pack.

Documents

days current state mapping

future state map

current state map introduction

single plant slide

single process

process improvements

process steps

process data