Value stream mapping (VSM) is a Lean tool used to visualize and improve the flow of materials and information required to bring a product or service to a customer. It involves mapping both the current and future state of processes to identify and eliminate waste. The goal is to optimize workflow and reduce lead times by removing non-value adding activities. VSM originated from Toyota's production system and focuses on improving productivity and quality by systematically eliminating waste.

1. VALUE
STREAM MAPPING
WHAT IS VALUE
STREAM
MAPPING?
DESCRIPTION
The Value Stream Mapping method (VSM) is a visualization tool oriented to the Toyota version of Lean
Manufacturing (Toyota Production System). It helps to understand and streamline work processes by using
the tools and techniques of Lean Manufacturing. The goal of VSM is to identify, to demonstrate and to
decrease waste in the process. Waste is defined as any activity that does not add value to the final product.
The word is often used to demonstrate and decrease the amount of "waste" in a manufacturing system.
VSM can thus serve as a starting point to help management, engineers, production associates, schedulers,
suppliers, and customers to recognize waste and identify its causes. As a result, Value Stream Mapping is
primarily a communication tool, but it can also be used as a strategic planning tool. And as a change
management tool.
In order to do this, the Value Stream Mapping method visually maps the flow of materials and information.
From the moment that the products are entering the back door as raw materials. Via all manufacturing
process steps. Until the moment that the products leave the loading dock as finished products.
Mapping out the activities in the manufacturing process with cycle times, down times, in-process inventory,
material moves, information flows, helps to visualize the current state of the process activities and guides
towards the future desired state.
The process usually includes mapping the "Current State" and the "Future State". These then serve as the
foundation for other Lean Manufacturing strategies.

2. HISTORY OF VALUE STREAM MAPPING
The use of waste removal to achieve competitive advantage inside organizations, was pioneered in the
1980s by Toyota's chief engineer, Taiichi Ohno, and sensei Shigeo Shingo and is oriented fundamentally
towards productivity rather than towards quality. The reason for this is thought to be that improved
productivity leads to leaner operations which help to expose further waste and quality problems in the
system. Thus the systematic attack on waste is also a systematic assault on the factors that are underlying
poor quality. And on fundamental management problems. The seven commonly accepted wastes in the
Toyota production system were originally (reformulation by Jones between brackets):
1. Overproduction (faster than necessary pace).
2. Waiting.
3. Transport (conveyance).
4. Inappropriate processing.
5. Unnecessary inventory (excess inventory).
6. Unnecessary motion.
7. Defects (correction of mistakes).
Peter Hines and Nick Rich have suggested the following tools (Article: "The seven value stream mapping
tools" - International Journal of Operations & Production Management, Vol. 17, No. 1, 1997, pp. 46-64.).
SEVEN VALUE STREAM MAPPING TOOLS
1. Process activity mapping. Origin: Industrial Engineering.
2. Supply chain response matrix. Origin: Time compression/logistics.
3. Production variety funnel. Origin: Operations Management.
4. Quality filter mapping.
5. Demand amplification mapping. Origin: Systems Dynamics.
6. Decision point analysis. Origin: Efficient Consumer Response/logistics.
7. Physical structure mapping.
.
VALUE STREAM MAPPING FORUM
Recent User Comments
Harshada - Ind Value Stream "Is there any training program to implement VSM in 0
ia Mapping any organization? Preferably VSM in Automobile
Training Industry..."
Farooq Value Stream "Hi everyone, I use a value stream process for design 0
Omar - Pakist for Design engineering that also works in conjunction with PMI's
an Engineering project management principles.
and PMI For those who aren't familiar with these principles,
they incorporate "project" fundamentals that initiate,
plan, execute, monitor & control & close a project.
Through my value stream there are a set of
requirements for each major phase. At least for the
teams I manage, this seems to be a good process for
the design engineers to follow."
Michael Value Stream "Hi, I'm currently looking in to the "cost and benefits" 1
Lundgren - Sw Management of implementing value stream management in a
eden in IT Services global IT function.
We have gone through a period of cost cutting and

3. have further needs to reduce cost. Hence value
stream management seems like a potential approach.
I'm looking for companies (preferably in the service
sector) that are using VSM to discuss experiencies.
Appreciate your comments."
Bernie - USA Changes in "Note that the realization of the action plan in VSM 1
Behavior typically requires changes in activities and
processes, but may also require changes in
behavior."
Prakash Value Stream "In what way will a software program help with value 4
Saitwal - India Mapping stream mapping? What are the criteria of selecting
Software the most suitable software program.
Please provide help in getting answers to these
problem."
Prakash Defining Value "I am in process of implementing "value stream 3
Saitwal - India Stream mapping" as a tool to serve industries. I am facing
Mapping constraints in the implementation.
Areas After documenting the process under review and
charting the present value stream, what is the process
to identify the areas having least value addition and
are on highest priority of value stream optimization."
Dana Mappping "Hi everybody, I would need an advice concerning the 0
Kristova - Cze Outsourced mapping of an outsourced activity in the production
ch Republic Activities in of one company where I'm working on my thesis. I
VSM haven't found any information about how to map the
value stream when the production isn't all done in one
company. In my case, the original company starts to
work on the product and because it's the smaller one,
the product is then transported to another company
which has the needed equipment for the operation
needed. Then the product is transported back to the
original company. I would like to know how to map
this flow.
If you have any experience with some similar case or
if you have any ideas concerning how to map this, I
would be very grateful for them. Thanks for your
comments!"
Van The Idea "Basically VSM is done to map the set of operations, 9
Hooijdonk - Th Behind Lean required for a product to launch from order to delivery
e Netherlands VSM to the market, considering both value-added and non
value added operations. This mapping method is
often used in lean transformations to find and
eliminate waste in the value stream.
A lean transformation can be compared to a river
stream, in which you want your boat (the product) to
flow without getting stuck on rocks (problem causers).
To ease the flow, the water level (stock level, lead
time) could be increased; the boat will not get stuck.
Though it would create a rough stream (high costs)

4. and eventually even abandonment of the ship
(rejected sales).
Better is to keep a minimum water level (lean) and to
clear all the rocks (uncertainty, unreliability, scarcity
and more) in the stream. VSM is used to constantly
identify the rocks, clear them, and lower the water
level again."
Juan VSM Plan "I need to compare a VSM plan example. Please 11
Cruz - Mexico Example share a case if you can."
Farooq Omar 4 VSM Phases "The 4 Phases in VSM are: 4
– Pakistan 1. Current State Map of material flow and activities
2. Future State Map
3. Action Plan
4. Implementation"
Best User Comments
harshil - INDIA VSM in a job "I am currently working in a company where I have 10
shop been told to implement VSM. But the problem is that
its manufacturing activities are like a job shop and
there is no repeatability.. Is VSM possible in this
environment??"
Joe VSM in "Always remember to use "Common Sense " in your 8
O'Brien - US general VSM."
James - Richa VSM within "I am currently in the process of mapping the supply 4
rds Logistics chain within our facility. Having read both Value
Operations Stream Mapping (Tapping, Luyster & Shuker) and
Learning to See (Rother & Shock) I should be
focusing on a product family to assess the value and
the waste rather than the overall material flow within
the said process. What I wish to capture is the waste
within the logistics support functions. For example
good receipt into store and engine dispatch from store
rather than the flow of material throughout the internal
process. Any ideas in the right direction would be
greatly appreciated."
Reproduced form a live webinar for the audience
to give them a better ‘creative’ tool to open
directional mindset.
Autorization : Farooq Omar. International
Executive Fast Track Association., USA
Course coach : Mr. Hussnain Javed