Tim McMahon and Jeff Hajek talk about the proven steps you should use to create an effective value stream map. Value stream mapping (VSM) is ideal for creating positive organizational changes, developing efficient future states, and producing system-wide benefits in cost, quality, and flexibility. It is well suited for a broad range of industries and processes. But like any tool, VSM must be applied properly. Jeff and Tim share the secrets they have learned from years of creating VSMs so you can get the most benefit from yours.

1. The Secrets to Creating an Effective VSM
November 2011

2. The Secrets to Creating an Effective Value Stream Map
Presented by
Jeff Hajek Tim McMahon
Gotta Go Lean A Lean Journey
For Internal Use Only 2

3. Introduction
Product/Service
“Family”
current state
drawing
future state
drawing
plan and
implementation
For Internal Use Only

4. Define a value stream
All actions (both value added and non value added) required to
bring a specific product or service from raw material through to the
customer.
For Internal Use Only

5. Based on Customer
Requirements
• You must understand what
the customer values.
• “Value” is what the customer
is paying for.
• Use that as your starting
point.
• Align your business to your
customer’s demands. Image courtesy of Wikimedia Commons
http://commons.wikimedia.org/wiki/File:Handshake
_(Workshop_Cologne_%2706).jpeg
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6. Capture The Process As It Is
• Be sure you map the process
as it happens now, not the
way it used to work—or how
you wish it worked!
• Go to the source to collect
actual information.
• Don’t ignore opportunities
for improvement but don’t
Image courtesy of Wikimedia Commons jump ahead either.
http://commons.wikimedia.org/wiki/File:Inside_the_Bender_Factory_-
_geograph.org.uk_-_1547827.jpg
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7. Assign A Value Stream Map
Manager
• Assign a value stream map
manager to lead the mapping
effort.
• Input from team members and
stakeholders is important, but
appoint (or elect) one team
member to own the entire value
stream map.
• This ensures that the manager Image courtesy of Wikimedia Commons
http://commons.wikimedia.org/wiki/File:Gr
understands the material and een_River_aerial.jpg
information flows.
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8. Walk The Process
• Make sure your map reflects
the reality of the process—
verifying this by following
the process from start to
finish can reveal crucial
details you might have
Image courtesy of Wikimedia Commons
http://upload.wikimedia.org/wikipedia/co
missed.
mmons/c/c6/Mag_glass_request.jpg
• The process isn’t always
how we perceive it.
• Walk the process with an eye
Image courtesy of Wikimedia Commons for improvement.
http://commons.wikimedia.org/wiki/File:F
lax_Bourton_footprints.jpg
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9. One Small Step At A Time
• Focus on one small step at a
time.
• Make sure you capture each
step accurately.
• For example, don’t trust the
clock on the wall to measure
cycle times—use a stopwatch.
Image courtesy of Wikimedia Commons
http://commons.wikimedia.org/wiki/File:Da
videSapienza_pen%26paper.jpg For Internal Use Only 9

10. Identify Critical Paths And
Bottlenecks
• What prevents flow along the
value stream?
• Your map may reveal a number
of potential areas for
improvement.
• Which ones will make the
biggest difference in meeting
customer requirements?
Image courtesy of Wikimedia Commons
http://commons.wikimedia.org/wiki/File:Wooden_hourglass_2.jpg For Internal Use Only 10

11. Create A Future State Map
• Your current-state map
suggests where to focus
your efforts.
• Based on that you can draft
a map that shows how
value will flow through an
improved process.
• Design for flow of material
and information.
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12. Limit The Improvement Plan
• Limit the improvement plan to
achieve the future state to a
one-page document, if possible.
• List the actions that need to
happen to improve the process.
• Use simple, clearly-defined
steps.
• A3 format can be helpful. A free copy of this A3 template is available at
http://www.velaction.com/a3-template/
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13. Focus On Individual Areas
• To implement the improvement
plan quickly, focus on
individual areas.
• Take a step-by-step approach
to putting your plan in action.
• Update your future state map
as you implement each step.
Image courtesy of www.Velaction.com
• Then repeat.
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14. Conclusion
1. Define a value stream.
2. Base the value stream map process on customer requirements.
3. Capture the process as it operates now, not how it’s supposed to
operate.
4. Assign a value stream map manager to lead the mapping effort.
5. Walk through the process to ensure that the flow of materials and
information is accurate.
6. Focus on one small step at a time.
7. Identify critical paths and bottlenecks.
8. Create a future state map from the current state map.
9. Limit the improvement plan to achieve the future state to a one-page
document, if possible.
10. To implement the improvement plan quickly, focus on individual
areas.
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15. Follow-up Information
http://www.ALeanJourney.com
www.facebook.com/ALeanJourney
• http://www.GottaGoLean.com
• Many new videos posted at
http://www.youtube.com/user/
@TimALeanJourney
VelactionVideos
A Lean Journey LinkedIn
Group

16. Questions
Jeff Hajek
Info@Velaction.com
www.GottaGoLean.com
1.800.670.5805
Tim McMahon
http://linkedin.com/in/timothyfmcmahon
860-HOW-LEAN (469-5326)
www.ALeanJourney.com

17. Copyright Terms
• You may modify this presentation for use within your
own organization.
• You may distribute this presentation within your own
organization.
• You may not distribute this presentation, its derivative
works, or images contained within it outside of your own
organization.
For Internal Use Only