Lean Manufacturing

Value Stream Mapping Basics

A practical introduction to VSM, the essential Lean tool for visualizing, analyzing, and improving the flow of material and information from raw material to customer delivery.

20 Hours
Beginner to Intermediate

1. Introduction & Scope

Value Stream Mapping (VSM) is a foundational Lean tool used to visualize, analyze, and improve the flow of material and information required to bring a product or service to a customer.

Defining the VSM Scope: The Product Family

"You should never try to map your entire facility at once. The effectiveness of VSM lies in its focus."

  • VSM is applied to a Product Family.
  • A Product Family is defined as a group of products that share a significant portion of the processing steps and equipment (usually >80%).
  • Mapping a Product Family ensures you analyze the true capacity and constraint points common across multiple revenue streams.

2. Flows & Takt Time

Every VSM must map two simultaneous and interconnected flows: the Material Flow and the Information Flow.

Flow Type What it Shows Key Metric
Material Flow Steps from raw material to finished goods (usually mapped right to left). Processing Time (PT)
Information Flow How orders, forecasts, and schedules are communicated. Lead Time (LT)

Supplier Integration

The VSM must capture the Initial Material Wait Time: the time spent waiting for raw material procurement. This time must be calculated in the VSM's total Lead Time, starting from the moment a purchase signal is released.


The Heartbeat: Takt Time

Before analyzing process efficiency, you must understand customer demand. Takt Time is the rate at which you must produce a product to satisfy customer demand.

$$Takt \text{ } Time = \frac{\text{Available Production Time per Day}}{\text{Customer Demand per Day}}$$
  • Synchronization: If your Cycle Time is faster than Takt, you are overproducing (Waste). If slower, you need overtime.
  • The Target: Takt Time becomes the "drumbeat" of your Future State map. Ideally, processes operate slightly faster than Takt to allow for variability.

3. Data & Analysis

Data Collection: The Gemba Walk

A VSM cannot be created at a desk using ERP data. It requires a Gemba Walk ("Go and See").

  • Walk Backward: Start at shipping and walk upstream to receiving to see the "pull" of the customer.
  • Stopwatch Observation: Do not rely on "standard times." Record actual Cycle Time (C/T) and Changeover Time (C/O).
  • Talk to Operators: They know the reality of downtime and scrap rates better than any software.

Analyzing Time and Waste (Muda)

The primary goal is to reduce Lead Time (LT) by eliminating Waste.

VA

Value-Added Time: Steps that physically transform the product (e.g., welding). This is your Processing Time (PT).

NVA

Non-Value-Added Time (Waste): Everything else (waiting, transporting, storing). This makes up the majority of Lead Time.

The Lead Time Calculation

$$LT \text{ (Total) } = \sum \text{ (Processing Time) } + \sum \text{ (Waiting Time in Inventory)}$$

Quality Metrics: %C/A

Speed is important, but quality dictates flow. We measure Percent Complete & Accurate (%C/A) at each step. This represents the percentage of work a process receives that is usable "as is" without clarification or rework.

4. Handling High-Complexity Products

For products with a very large Bill of Materials (e.g., 500+ parts), a single VSM is impractical. Use the Hierarchical Mapping Approach.

Level 1: Macro Map

  • Map the major sub-assembly flows as large blocks converging at Final Assembly.
  • Measure the high-level Lead Time for each major flow.

Level 2: Drill-Down

  • Identify the sub-assembly flow with the longest Lead Time (the constraint).
  • Create a separate, detailed VSM specifically for that one critical sub-assembly to find and remove waste.

5. Designing the Future State

A VSM is wasted effort if you don't use it to design an actionable Future State Map. The goal is to move from batch production to continuous flow or one-piece flow.

The Pacemaker Process

In the Future State, you cannot schedule every step independently. You must select a single Pacemaker Process:

  • The Scheduling Point: The only point that receives the schedule from the customer.
  • Upstream Logic: Processes upstream should produce only in response to a "pull" signal.
  • Downstream Logic: Processes downstream must flow continuously (FIFO) to shipping.

Flow Strategies: Supermarkets vs. FIFO

FIFO Lane (First-In, First-Out)

Use when processes are close together and have similar cycle times. It forces a limit on WIP and highlights problems immediately. This is the ideal state.

Supermarket Pull System

Use when processes cannot be linked directly (different cycle times, distance, downtime). Downstream "shops" for parts; upstream replenishes.

Kaizen Targets

The Future State Map must show Kaizen Burst icons linked to specific improvements (e.g., "Reduce Setup Time on Mill 3 to <10 mins").

6. The VSM Standard Icons

For a VSM to be a true communication tool, it must use the standardized set of icons.

Process Box: Shows the work step.
Data Box: Contains C/T, C/O, and Uptime below the process step.
Inventory Triangle: Shows static accumulation of parts (Waste).
Push Arrow: A striped arrow showing material is pushed regardless of demand.
Supermarket: An open-front icon indicating a controlled inventory store.
Timeline: The castellated line at the bottom separating Value-Added Time from Lead Time.