VSM Basics

Value Stream Mapping also called as VSM is a diagrammatic tool used in lean manufacturing to represent and streamline present as well as future work processes. Value refers to an activity for which customer will pay for or which is valued by the customer. Value stream refers to the sequence of activities involved from customer’s request ion to fulfillment and VSM records these activities as icons or symbols.

Value Stream Mapping (VSM) is a visualization tool oriented to understand and streamline work processes using icons and symbols to depict various elements and improve the flow of material and information. It helps in identifying and decreasing waste or non-value addition, in the process. It can also be used as a strategic planning tool and a change management tool other than a communication tool.

Metrics – VSM visually maps processes, end to end from receipt as raw material to steps involved in manufacturing process and delivery as finished product thus, mapping of process from an external supplier to external customer. It maps various metrics which include

• Cycle Time
• Down Time
• Lead Time
• % Complete and Accurate
• In-process inventory
• Information flow paths, etc.

It visualizes the current state of the process activities and guides towards the future desired state by making a present state and future state value stream.

Process – VSM involves creation of a mapping team which has representation from all the different functions and specialties, so as to gain a common understanding of the process and not only develop but also implement good solutions.

Application – VSM is more suitable to companies having high-production, low-variety product mixes with few components and subassemblies and dedicated equipment.

Present State Mapping – It is the process to create a Present State Map, which shows work processes as they currently are. It is needed to pinpoint change and know where opportunities for improvements are present.

Future State Mapping – It is the process of creating a Future State Map which is the desired state with removal of non-value processes and is quality conscious along with being flexible. It is needed to not only create a blueprint for improvements but also put forward an objective for the organization to achieve for better work flow and discarding non-value processes.