You are on page 1of 8

International Journal of Engineering Research and Technology.

ISSN 0974-3154 Volume 5, Number 2 (2012), pp. 147-154


International Research Publication House
http://www.irphouse.com

Value Stream Mapping - A Effective Tool to Go


Lean: A Case Study
Manil Gogia1 and Dr. J.S. Oberoi2
1

Research Scholar, 2Professor, Department of Mechanical Engineering


Baba Banda Singh Bahadur Engineering College, Punjab, India
E-mail: manilgogia@yahoo.com, jpsoberoi@gmail.com

Abstract
The paper addresses the method of value stream analysis, which is a tool for
helping manufacturing companies to go lean and to achieve larger control of
their value stream. It is a qualitative tool that is supposed to give an
understanding of the value stream/value chain as a basis for reducing the
pipeline of inventory and time compress the throughput time. Both physical
flow and information flow are dealt with. The approach is informed by and
conceptualized on basis of experiences in the Japanese automotive industry
and just-in-time production. Focus is product families and it includes suppliers
and customers. A subcontractor case in the automobile industry is analyzed.
Keywords: Value Stream Mapping, VSM, Lean manufacturing.

Introduction
A major activity in the journey towards lean is the effective management of the flow
of products and services through the series of the activities involved in providing
value to the customer, known as the value stream. This requires a detailed
understanding of all the processes involved so that non-value-added activities can be
identified and eliminated. Value stream mapping is a technique that can aid in
developing this required knowledge. This thesis provides a implementation of value
stream mapping throughout the process in the organization.
Since the 1980-s just-in-time production and related paradigms, such as lean
production, have been source of reference for restructuring manufacturing industry.
To a large extent the paradigms are empirical generalizations based on the success of
Japanese automobile industry in the 1980-s and later. Their way of organizing
production and the supply chain proved to be much more flexible and competitive
compared to the old technological paradigm (Lipietz1986). Just-in-time production

148

Manil Gogia and Dr. J.S. Oberoi

makes up a set of principles related to the material flow and the control of it, quality
control, industrial relationships, relationships to suppliers, etc. (Kalsaas 1995).

The Value Stream Mapping


Value Stream Mapping (VSM) is a tool that is essential to both quality improvement
initiatives and to implementation of lean manufacturing principles. This technique can
be applied to manufacturing and processing environments, but also to business and
management systems. This versatile, powerful method is used to visualize product
flows through various processing steps, with the added benefit of illustrating the
information flows that result from these operations, as well as the information used to
control the product flows. As quality and lean concepts continue to gain importance in
manufacturing and business settings, it is increasingly important for engineering and
technology graduates to be knowledgeable regarding practices and procedures that are
vital to achieving these objectives. Thus the goal of this paper is to introduce
engineering and technology educators to the use of VSM. Toward that end, common
nomenclature and symbols will be introduced, techniques for mapping an industrial
process will be discussed, and an example application will be presented.

Lean Production
Womack et al (1990) introduced the concept of Lean production in The Machine that
changed the World2. It is denoted lean because it does more and more with less and
less (Womack and Jones 1996). Japanese and in particular Toyotas way of making
cars and organize the production, make up the empirical and generalized background
for the Lean production concept, in
Which even some Japanese phrases are applied. In the late 1980s the authors
found the best practice in Japan and in Japanese plants in the West. At the core of the
lean production concept we find customized mass production of tangible products.
Lean Thinking followed up the Machine. Banish waste and create wealth in your
corporation (Womack and Jones 1996). Here the authors contracts lean thinking
into five principles: Precisely specify value by specific product, identify the value
stream for each product, make value flow without interruption, let the customer pull
value from the producer, and pursue perfection. It is argued that companies should
contribute to
Implement lean production to suppliers and customers. The integrated approach
across different companies in a stream is denoted the Lean Enterprise where the
authors integrate thoughts also found in the supply chain management concept (see
for instance Christopher 1992) and extended enterprise (see for instance Boyson et al.
1999), but also to some extent in the value system term (Porter 1985).
Hines and Taylor (2000) brings the lean thinking concept further towards
guidelines for implementation by addressing several analyzing and mapping
techniques. These are divided into six different steps; understanding waste, setting the
direction, understanding the big picture, detailed mapping, getting suppliers and
customers involved and finally checking the plan to fits the direction and ensuring
buy-in.

Value Stream Mapping - A Effective Tool to Go Lean: A Case Study

149

Rother and Shook (1999) have published a workbook in value stream mapping
(VSM); whish is an important source of knowledge for Hydro Automotive Structures.
According to Hines and Taylor (2000, p. 21) VSM is a tool barrowed from Toyota
where it is denoted Big Picture Mapping

Case Study
A Indo-German Joint Venture Company situated in Mohali (India), manufacturer of
Anti vibration parts which is being supplied to various OEMs. The total turnover of
the company is 90 crores. The problem which is also a requirement of the OEM the
inventory should be as low as possible in the each process of the company (WIP). The
current status of the inventory is very high. Also department wise inventory
contribution is plotted in the Pie Chart. During management review meeting it was
decided to have fewer inventories on the shop floor. To achieve this team was made
and to start the project. It was decided to start Value stream mapping for the Whole
project to go Lean

Figure 1: Inventory Contribution

Team Identification
Team is identified with members from different departments. This is important in
point of good coordination between the team members. .
Analyzing and Map Current Process
The current state map is a fancy way of saying what happens now or the as-is
process. The current state map should show all the process steps and sufficient detail
on how each step is completed and what happens to the items being processed. This
will enable us to spot the causes of problems and thus the means to improving the
flow, efficiency, reliability and flexibility of the process. It can be as detailed or as
simple as you need and can also exist in a number of different versions for
consumption by different internal or external groups

150

Manil Gogia and Dr. J.S. Oberoi

For this case study List down all the current processes to know exact status of the
current process. Calculate the Customer Takt Time and Calculate the Current Takt
time (Calculation is given in Table -2). After the identification of the process stream
and Team formation, the next step is to analyze and Map the current process. List
down all the activities with cycle time and waiting time and draw the process map.
The Process mapping sheet for the current process is shown in Fig-. 2 in the page
attached at the last there are total 9 processes were identified

Figure 2: Current and Future Mapping with waste identification

Value Stream Mapping - A Effective Tool to Go Lean: A Case Study

151

Table 2: Calculations of TAKT Time

The analysis of the map consists of identifying the various ways in which the Lean
principles can be applied. These are likely to include:
Moving from a push to a pull process
Reducing batching
Balancing the capacity of the different stages of the process
Eliminating non value-adding steps
Moving decision points to earlier in the process
Simplifying individual steps
Reducing the cycle times or changeover times of individual steps
Improving the flow of information between steps. As well as other specific
improvement activities.
Analyzing and Mapping the Future State
When all the possible improvements have been identified and considered, the next
stage is to develop a single, future state map to show how we want the process to
operate in the future. How far away this future is can vary, on the assumption that the
future state process will be arrived at after a number of sequential blitz events. The
new process is tested against the Lean principles and any waste or flow issues are
identified and removed. When we are convinced that we have a process that is as
good as it can be we draw up the future state map to enable us to explain the new
process to others.
Experience shows that most future state maps will need to be explained. Lean is
simple, but it is not always obvious. Even people who are painfully aware of the
inadequacies of their own processes can be reluctant to substantially change how they
operate.
After mapping of current process the team is decided to go through the each
process thoroughly and mark the area where the inventory is high and the also mark
the process where the inventory is accumulated. The outcome of the study is shown in
the Process mapping sheet as shown in Fig- 2. Also some other improvements are

152

Manil Gogia and Dr. J.S. Oberoi

identified by team which can leads to improvement in the material handling and
process improvement. These are shown in the Table-1.
The Takt time is calculated after making future process mapping.

Table 1: Improvement Matrix


Measure
Moulding
Inventory
Swagging

Current State
1 Day

Future State Improvement


0.3 Day
Material Handling is done in small Bins
instead of Big Trolleys
0.5 Day
0.17 Day
Small batches are transferred from
Moulding to Swaging shift wise.
Phosphating 0.5 Day (12 Hrs) 0.17 Day
one shift material is being shifted to
phosphating
Oiling
2 Day
0 Days
Cell is made to club Oiling, Packing and
Inspection
to reduce material movement
Inspection 0.4 Days
0.17 Day
and reduce inventory.
Packing
0.1 Day
0 Day
Material
4 K.M
3 K.M
Material movement reduces by
Movement
combining three processes.
Material
5 Days
1 Day
No material storage. Material moves to
Storage
next station shift wise.
Standardized Na
Implemented Standardized work implemented on the
Work
shop floor.

Developing and implementing the change


The aim of this stage is to develop a plan that takes us from the current state to the
future state in a sequence of discrete actions that make the process better each time.
Sometimes we know how we want to change the process, but the act of making one
change without the others already in place can cause problems to occur. We must
develop our change process so that each step can function independently of those to
come after. In a Lean transformation it often makes sense to start a series of
improvement workshops at the start and then work down the process. However, if one
step creates limits in capacity or is the cause of large delays it may make sense to start
with that step.
Once we have a plan all that is left is to implement it! The normal process for
going from current state to future state is by using kaizen blitzes. These are usually
week-long workshops, involving teams made up of staff and managers from the
process we are tackling. They work through the current state map and usually add
some detail to the map and list of problems. They identify their objectives for the blitz
(based on the future state map) and then go about the implementation of the change.
Blitzes are fascinating, uplifting events. Most people come into them cynical and
suspicious and emerge empowered and enthusiastic. Very few blitzes fail, particularly
if they have been well planned in advance.

Value Stream Mapping - A Effective Tool to Go Lean: A Case Study

153

Conclusions
This paper has been intended to introduce educators to Value Stream Mapping
(VSM), which is becoming an essential tool for realizing lean manufacturing in actual
production settings. Essential concepts have been discussed, as have common
symbols and nomenclature, methodologies, and curriculum infusion techniques.
Educators should find this a useful resource base from which to work in order to
augment their current curricula. The results are shown in the form of current and
future process Mapping and improvement is shown in the reduction in inventory and
TAKT Time.

Recommendations for Further Study


This research paper focused on the exploration of VSM at a broad base of observation
and in one industry only. Further analysis of this topic may find benefit in the more
in-depth study of VSM examples, using this research as background. Also,
verification studies of the proposed VSM method are necessary to determine the
efficacy of the method, and how it may be advanced.

References
[1] Goodman, Gary, F-16 Lean Build-To-Package Support Center Process,
Lockheed Martin, LAI Product Development Team Winter Workshop, January
2000.
[2] Miller, Craig, Value Stream Mapping, Northrop-Grumman, Lean Aerospace
Initiative Meeting, September 1999.
[3] McManus Hugh, A Framework for Lean Engineering, MIT Lean Aerospace
Initiative Product Development FocusTeam, March 1999.
[4] Womack, James P and Daniel T. Jones, Lean Thinking, Simon and Schuster:
New York, NY, 1996.
[5] Ward, Allen C., Value Stream Mapping for Product and Process Development,
Ward Synthesis, Inc., Ypsilanti, MI, 2000.
[6] Womack, James P, Daniel T. Jones, and Daniel Roos, The Machine That
Changed the World, Harper Perennial: New York, NY, 1992.
[7] Clark, Kim B, and Takahiro Fujimoto, Product Development Performance:
Strategy, Organization, and Management in the World Auto Industry, Harvard
Business School Press: Boston, MA, 1991.
[8] Chase, James P., Measuring Value in Product Development, Lean Aerospace
Initiative Working Paper WP00-05(and pending thesis), Massachusetts Institute
of Technology, 2001.
[9] Fine, Charles H., Clock Speed: Winning Industry Control in the Age of
Temporary Advantage, Perseus Books: Reading, Massachusetts, 1998.
[10] Bicheno, John, Automotive Value Stream Mapping, Lean Enterprise
Research Centre, Cardiff Business School, 1998.

154

Manil Gogia and Dr. J.S. Oberoi

[11] Chase, James P., Measuring Value in Product Development, Lean Aerospace
Initiative Working Paper WP00-05(and pending thesis), Massachusetts Institute
of Technology, 2001.
[12] Miller, Craig, Value Stream Mapping, Northrop-Grumman, Lean Aerospace
Initiative Meeting, September 1999.
[13] Rother, Mike and John Shook, Learning To See: Value Stream Mapping to Add
Value and Eliminate Muda, Lean Enterprise Institute: Brookline, MA, 1999.
[14] Hines, Peter, et al, Value Stream Management, International Journal of
Logistics Management, Ponte Vedra Beach, 1998.
[15] Hines, P., and Rich, N. The seven value stream mapping tools. International
Journal of Operations and Production Management, 1997.

You might also like