1

Value Stream
Management
FIGURE 1.1 Granularity of work
 ABC Technology, Inc.
Current State Value Stream Map
Name of Value Stream Being Mapped
Demand Rate = XX / Year
Name of Value Stream Champion
Mapping Date

1
Customer

Information IT-1 IT-2

Flow

2 3 4 5 6
Process 1 Process 2 Process 3 Process 4 Process 5

Work
Function A Function B Function C Function D Function E
Flow
1 item 5 11 45 items 3 10 items 7 4
LT = 1 days LT = 0.5 days LT = 5 days LT = 2 days LT = 1 days
PT = 10 mins. PT = 5 mins. PT = 120 mins. PT = 30 mins. PT = 15 mins.
%C&A = 50% %C&A = 75% %C&A = 85% %C&A = 99% %C&A = 95%

Timeline 1 days 0.5 days 5 days 2 days 1 days Total LT = 9.5 days
10 mins. 5 mins. 120 mins. 30 mins. 15 mins. Total PT = 180 mins.
Activity Ratio = 3.9%
Rolled %C&A = 30.0%

FIGURE 1.2 Basic current state value stream map

FIGURE 1.3 Vertical organization structure versus horizontal reality
 ABC Technology, Inc.
Future State Value Stream Map
Name of Value Stream Being Mapped
Demand Rate = XX / Year
Name of Value Stream Champion
Mapping Date

1
Customer

IT interface

Standard IT-1 IT-2

work
Error Cross-
proof Modified train
approvals
2 Cross- 3 Standard 4
Process 1 train Process 2 work Process 3

Function A Function C Function E

1 item 5 5 items 3 10 items 4
LT = 1 days LT = 2 days LT = 0.5 days
PT = 10 mins. PT = 120 mins. PT = 30 mins.
%C&A = 99% %C&A = 95% %C&A = 95%

1 days 2 days 0.5 days Total LT = 3.5 days

10 mins. 120 mins. 30 mins. Total PT = 160 mins.
Activity Ratio = 9.5%

Rolled %C&A = 89.3%

FIGURE 1.4 Basic future state value stream map
FIGURE 1.5 Cycles of continuous improvement
 2

Setting the Stage and

Enabling Success
Figure 2.1  Value stream mapping phases and timing
 Value Stream Mapping Charter
Scope Accountable Parties Logistics
Value Stream Value stream being improved Executive Sponsor Required: typically VP or C-level 3 days typically; consecutive is
Event Dates &
best; 6 hrs per day minimum; 7 or
What circumstances are included and excluded? (e.g., Value Stream If needed—often director or manager Times
Specific Conditions 8 hrs is best
type of customer, geographic location, etc.) Champion level
Demand Rate How many times is this done per wk, qtr, mo, or yr? Required: skilled, objective person Base-camp On-site, ample wall space,
Facilitator
Trigger What initiates the process? leading the activity Location quiet/private location
First Step Task on first process block Logistics Always a nice touch; keeps the
Not always needed Meals Provided
Last Step Task on last process block Coordinator team from wandering

Boundaries &
What is the team NOT authorized to change? Briefing Attendees List the people that are required Aids in consensus building and
Limitations Briefing Dates
** required to attend the briefings (**) and those organizational learning. Typically
Improvement Time & Times
Typically 3-6 months *optional whose attendance is optional (*). the last hour of the day.
Frame
Current State Problems & Business Needs Mapping Team
1 What's driving the need for improvement? Function Name Contact Information
2 1 Leadership-heavy
3 2
4 3
5 4
Measurable Target Condition 5
1 Reduce <defined metric> from X to Y (Z% improvement). 6
2 Increase <defined metric> from X to Y (Z% improvement). 7
3 8
4 9
5 10
Benefits to Customers On-Call Support
1 How will internal and / or external customers benefit as a result Function Name Contact Information
2 of improvements to the VS? 1 SMEs that may not be needed full time
3 2
4 3
5 4
Benefits to Business Agreement
1 What other benefits will the business or internal customers realize as a Executive Sponsor Value Stream Champion Facilitator
2 result of improvements to the VSM?
3 Signature: Signature: Signature:
4 Date: Date: Date:

© 2013 Karen Martin & Mike Osterling

FIGURE 2.2 Value stream mapping charter

Figure 2.3  Proper scoping is needed to successfully map the current state.
 3

Understanding the
Current State
FIGURE 3.1 Post-it note after the first value stream walk
 3
Process 3

Function A

50%

1 2 4 5

Process 1 Process 2 Process 4 Process 5

50%

Function A Function B Function D Function E

FIGURE 3.2 Acceptable branching on a value stream map

 ABC Technology, Inc.
Current State Value Stream Map
Name of Value Stream Being Mapped
Demand Rate = XX / Year
Name of Value Stream Champion
Mapping Date

1
Customer

2 3 4 5 6
Process 1 Process 2 Process 3 Process 4 Process 5

Function A Function B Function C Function D Function E

FIGURE 3.3 Value stream map progressive build: process block placement
FIGURE 3.4 Process time versus lead time across the value stream
In-box In-process Out-box In-box

Process 2 Process 3

Function B Function C
15 items 7 items 5 items

10 items

Total Work-in-Process
at Process 2 = 32 items

FIGURE 3.5 Three places work can accumulate

FIGURE 3.6 Post-it note after second value stream walk
FIGURE 3.7 How to document multiple downstream customers reporting
different %C&As from the same upstream supplier
 ABC Technology, Inc.
Current State Value Stream Map
Name of Value Stream Being Mapped
Demand Rate = XX / Year
Name of Value Stream Champion
Mapping Date

1
Customer

2 3 4 5 6
Process 1 Process 2 Process 3 Process 4 Process 5

Function A Function B Function C Function D Function E

1 item 5 11 45 items 3 10 items 7 4
LT = 1 days LT = 0.5 days LT = 5 days LT = 2 days LT = 1 days
PT = 10 mins. PT = 5 mins. PT = 120 mins. PT = 30 mins. PT = 15 mins.
%C&A = 50% %C&A = 75% %C&A = 85% %C&A = 99% %C&A = 95%

FIGURE 3.8 Value stream map progressive build: process details

 ABC Technology, Inc.
Current State Value Stream Map
Name of Value Stream Being Mapped
Demand Rate = XX / Year
Name of Value Stream Champion
Mapping Date

1
Customer

IT-1 IT-2

2 3 4 5 6
Process 1 Process 2 Process 3 Process 4 Process 5

Function A Function B Function C Function D Function E

1 item 5 11 45 items 3 10 items 7 4
LT = 1 days LT = 0.5 days LT = 5 days LT = 2 days LT = 1 days
PT = 10 mins. PT = 5 mins. PT = 120 mins. PT = 30 mins. PT = 15 mins.
%C&A = 50% %C&A = 75% %C&A = 85% %C&A = 99% %C&A = 95%

FIGURE 3.9 Value stream map progressive build: information flow

 USM2 ICCT Easy Power Shared Drive Excel

1 2 3 4 5 6 7 8
Create & Post Hold KO Refine & post Post Run clash Refine & post Post
post LSP LSP meeting LSP LSP detection LSP (1st DR) LSP
comments

AE Stakeholders AE AE Stakeholders AE AE Stakeholders

FIGURE 3.10 Complicated information flow

 ABC Technology, Inc.
Current State Value Stream Map
Name of Value Stream Being Mapped
Demand Rate = XX / Year
Name of Value Stream Champion
Mapping Date

1
Customer

IT-1 IT-2

2 3 4 5 6
Process 1 Process 2 Process 3 Process 4 Process 5

Function A Function B Function C Function D Function E

1 item 5 11 45 items 3 10 items 7 4
LT = 1 days LT = 0.5 days LT = 5 days LT = 2 days LT = 1 days
PT = 10 mins. PT = 5 mins. PT = 120 mins. PT = 30 mins. PT = 15 mins.
%C&A = 50% %C&A = 75% %C&A = 85% %C&A = 99% %C&A = 95%

1 days 0.5 days 5 days 2 days 1 days Total LT = 9.5 days

10 mins. 5 mins. 120 mins. 30 mins. 15 mins. Total PT = 180 mins.
Activity Ratio = 3.9%
Rolled %C&A = 30%

FIGURE 3.11 Value stream map progressive build: summary timeline

 Process 2a Process 3a

Function A Function C
10 items

LT = 0.5 days LT = 3 days

PT = 20 mins. PT = 5 mins.
%C&A = 50% %C&A = 67%

Process 1 Process 2b Process 3b Process 4

Function A Function B Function D Function E

45 items

LT = 2 days LT = 1 days LT = 1.5 days LT = 2 days

PT = 5 mins. PT = 10 mins. PT = 15 mins. PT = 25 mins.
%C&A = 90% %C&A = 75% %C&A = 99% %C&A = 90%
2 days 0.5 days 3 days 2 days Total LT = 7.5 days
5 mins. 20 mins. 5 mins. 25 mins. Total PT = 55 mins.
Activity Ratio = 1.5%
Rolled %C&A = 20.1%

FIGURE 3.12 Parallel process block treatment on the timeline

 3 2
Schedule Create
service quote 1
Customer

Customer Sales
service rep rep
11 4
LT = 5 days LT = 10 days
PT = 15 mins. PT = 30 mins.
%C&A = 90% %C&A = 67%

Scheduler Excel

4 5 6
Prep Perform Approve
site repair repair

Foreman Tech Inspector

2 24 3
LT = 1 days LT = 3 days LT = 1 days
PT = 1 hrs. PT = 4 hrs. PT = 0.5 hrs.
%C&A = 80% %C&A = 99% %C&A = 99%

1 days 3 days 1 days Total LT = 5 days

60 mins. 240 mins. 30 mins. Total PT = 330 mins.
Activity Ratio = 13.7%
Rolled %C&A = 78.4%

FIGURE 3.13 Multiple timelines

 4

Designing the Future State

FIGURE 4.1 PACE chart for setting priorities
 ABC Technology, Inc.
Future State Value Stream Map
Name of Value Stream Being Mapped
Demand Rate = XX / Year
Name of Value Stream Champion
Mapping Date

1
Customer

IT interface

Standard IT-1 IT-2

work
Cross-
Error train
proof Modified
approvals 3 Standard 4
2 Cross-
train work
Process 1 Process 2 Process 3

Function A Function C Function E

1 item 5 5 items 3 10 items 4
LT = 1 days LT = 2 days LT = 0.5 days
PT = 10 mins. PT = 120 mins. PT = 30 mins.
%C&A = 99% %C&A = 95% %C&A = 95%

1 days 2 days 0.5 days Total LT = 3.5 days

10 mins. 120 mins. 30 mins. Total PT = 160 mins.
Activity Ratio = 9.5%
Rolled %C&A = 89.3%
FIGURE 4.2 Basic future state value stream map
 5

Developing the
Transformation Plan
 Value Stream Transformation Plan
Value Stream Outpatient Imaging Scheduled Review Dates
Executive Sponsor Allen Ward 1-Nov-12
Value Stream Champion Paul Scanner 21-Nov-12
Value Stream Mapping Facilitator Dave Parks 13-Dec-12
Date Created 10/18/12 10-Jan-13
FS VSM Exec. Planned Timeline for Execution
Measurable Target Proposed Countermeasure Owner Status
Block # Method* 1 2 3 4 5 6 7 8 9 10 11 12
Sean
2 Improve quality of referral to 85% Implement standard work for referral process KE
Michaels 100%
Reduce lead time between scheduling and
3,4
preregistration step to 45 minutes
Cross-train and co-locate work teams Proj Dianne Marie 75%
Ryan
4 Only one check in per patient Collect copays in Imaging KE
Austin 50%
Dianne
4 Reduce wait time in waiting area by 50% Balance work / level demand KE
Marie 50%
Eliminate 6 hour lead time associated with
6
transcription step
Implement voice recognition technology Proj Dave Gerald 50%

7 Eliminate redundant data entry Auto populate between PACS and Meditech Proj Dave Gerald 25%
Visually managed inventory; no outages or Michael
5
expired items
5S CT supplies area; implement kanban KE
O'Shea 100%
Martha
6 Reduce imaging LT to one hour Value-stream specific radiologists Proj
Allen 25%
Increase % of physicians receiving electronic Martha
8 Reduce report delivery LT to 30 minutes
delivery
Proj
Allen 0%
Dave
7 Reduce LT at image review to 1 day Visual metrics and indicators JDI
Gerald 100%

Agreement
Executive Sponsor Value Stream Champion Value Stream Mapping Facilitator
Signature: Signature: Signature:

Date: Date: Date:

* Execution Method = JDI (Just-do-it), KE (Kaizen Event), or Proj (Project)

 6

Achieving and Sustaining

Transformation
Figure 6.1  Nested PDSA cycles
 Appendix A:
Value Stream Mapping Icons

FIGURE A.1 Common value stream mapping icons

 ABC Health Care
Current State Value Stream Map
Imaging Services - Outpatient CT Scans
Demand Rate = 15/day
Value Stream Champion: Paul Scanner
October 16, 2012

4 3
Preregister Schedule
1
patient appointment 2

Refer patient
Patient
Physician
Insurance Scheduling

5 6 %C&A = 65%
LT = 2 days LT = 12 mins.
PT = 30 mins. PT = 10 mins.
%C&A = 99% %C&A = 98%
Fax: 25%
EMR: 40%
US mail: 10%
MD mail box: 25%

ADS Internet FOS Symposium EPay PACS Meditech Excel

Rework Loop
via Fax 25% of
the time

5 6 7 8 10 11
Check-in Check-in Conduct Review Review / sign Print & send
9
patient patient exam images, report reports
dictate report Transcribe
report
Admitting Imaging Tech Radiologist LDI Radiologist Imaging

2 pts 5 4 pts 3 2 pts 2 8 items 2 23 items LT = 6 hrs. 52 items 2 15 items 8

LT = 5 mins. LT = 25 mins. LT = 90 mins. LT = 4 hrs. PT = 5 mins. LT = 2 days LT = 4 hrs.
PT = 2 mins. PT = 1 mins. PT = 30 mins. PT = 15 mins. %C&A = 75% PT = 1 mins. PT = 5 mins.
%C&A = 90% %C&A = 98% %C&A = 90% %C&A = 95% %C&A = 95% %C&A = 90%
Batches/wk = 3 Batches/wk = 10

0.0 days 0.1 days 0.2 days 0.5 days 0.8 days 2.0 days 0.5 days Total LT = 4.0 days
2 mins. 1 mins. 30 mins. 15 mins. 5 mins. 1 mins. 5 mins. Total PT = 59 mins.
Activity Ratio = 3.1%
Rolled %C&A = 30.5%

FIGURE B.1 Current state value stream map for outpatient imaging
 ABC Health Care
Future State Value Stream Map
Imaging Services - Outpatient, CT Scans
Demand Rate = 15/day
Value Stream Champion: Paul Scanner
3
October 17, 2012
Schedule 2 1
appt &
preregister Refer patient Patient
Physician
Cross- Scheduling
Standard
training 6 work LT = 2 hrs.
LT = 45 mins. %C&A = 85%
PT = 11 mins.
%C&A = 98%
Auto fax: 80%
Auto populate
US mail: 15%
Schedule MD mail box: 5%
Excel EPay PACS Meditech
Maker

Reduce data-
entry
requirements Voice
Supplies recognition Batch
Collect copay kanban Work
@ imaging VS-specific Visual reductions
balancing
radiologists metrics
5S
4 5 6 7 8

Check-in Conduct Review images, Review & sign Print and send
patient exam dicatate report report reports

Imaging office Imaging office

Tech Radiologist Radiologist
2 pts 5 2 pts 2 2 items 2 7 items 2 3 items 6
LT = 5 mins. LT = 1 hrs. LT = 2 hrs. LT = 7 hrs. LT = 0.5 hrs.
PT = 1 mins. PT = 28 mins. PT = 15 mins. PT = 1 mins. PT = 3 mins.
%C&A = 98% %C&A = 90% %C&A = 95% %C&A = 95% %C&A = 98%
Batches per wk = 5
0.0 days 0.1 days 0.2 days 0.9 days 0.1 days Total LT = 1.3 days
1 mins. 28 mins. 15 mins. 1 mins. 3 mins. Total PT = 48 mins.
Activity Ratio = 7.6%
Rolled %C&A = 65.0%

FIGURE B.2 Future state value stream map for outpatient imaging
 Appendix C:
Purchasing Value Stream
 ABC Aerospace
ABC Aerospace
Current State
Current
Value
State
Stream
Value Map
Stream Map
Purchasing
Purchasing
- Supplies,
- Supplies,
<$5000, <$5000,
non-recurring
non-recurring
DemandDemand
Rate = 615
Raterequisitions
= 615 requisitions
/year /year
Value Stream
Value Champion:
Stream Champion:
Joe BeyerJoe Beyer
October October
30, 201230, 2012

1 1
Initiate Initiate
requisition
requisition
Hard CopyHard Copy
50% 50%
Originator
Originator

50% 50% 31 31
PT = 10 PT
mins.
= 10 mins.
%C&A =%C&A
10% = 10%

Vendor Vendor
QuickenQuicken Form File
Form File FileMaker
FileMaker Excel Excel SAP SAP
Website Website

2 2 3 3 4 4 5 5 6 6 7 7 8 8 9 9

Review Review Review Review Review Review Review Review Review Review Enter Enter Approve Approve Submit PO Submit PO
budget budget requisition
requisition requisition
requisition requisition
requisition requisition
requisition requisition requisition in SAP in SAP to supplier to supplier 10 10

External External
supplier supplier
FinanceFinance Supervisor
Supervisor Sys Engineer
Sys Engineer IS Manager
IS Manager Financial
Financial Admin Admin Purchasing Purchasing Corp Corp
ManagerManager Assistant Assistant Manager Manager Purchasing Purchasing
20 items 20 items 10 items 10 items 63 items 63 items LT = 10 days LT = 10 days
6 6 2 2 1 1 1 1 1 1 1 1 1 1 6 6
PT = 20 mins. PT = 20 mins.
LT = 2 hrs.
LT = 2 hrs. LT = 0.5 LT
days
= 0.5 days LT = 5 days
LT = 5 days LT = 1 days
LT = 1 days LT = 1 days
LT = 1 days LT = 0.5 days LT = 0.5 days
LT = 3 days LT = 3 days LT = 7 days LT = 7 days
PT = 5 mins.
PT = 5 mins. PT = 5 mins.
PT = 5 mins. PT = 5 mins.
PT = 5 mins. PT = 5 mins.
PT = 5 mins. PT = 10 PT
mins.
= 10 mins. PT = 15 mins. PT = 15 mins.
PT = 5 mins. PT = 5 mins.PT = 15 mins. PT = 15 mins.
%C&A =%C&A
60% = 60% %C&A =%C&A95% = 95% %C&A =%C&A
90% = 90% %C&A =%C&A
99% = 99% %C&A =%C&A
95% = 95% %C&A = 98% %C&A = 98% %C&A = 90% %C&A = 90% %C&A = 98% %C&A = 98%

0.25 days
0.25 days 0.5 days0.5 days 5 days 5 days 1 days 1 days 1 days 1 days 0.5 days 0.5 days 3 days 3 days 7 days 7 days 10 days 10 days
Total LT = 28.2Total
daysLT = 28.2 days
5 mins. 5 mins. 5 mins. 5 mins. 5 mins. 5 mins. 5 mins. 5 mins. 10 mins.10 mins. 15 mins. 15 mins. 5 mins. 5 mins. 15 mins. 15 mins. 20 mins. 20 mins.
Total PT = 85 mins.
Total PT = 85 mins.
Activity Ratio =Activity
0.6% Ratio = 0.6%
Rolled %C&A =Rolled
4.2% %C&A = 4.2%

FIGURE C.1 Current state value stream map for supplies purchasing
 ABC Aerospace
Future State Value Stream Map
Purchasing - Supplies, <$5000, non-recurring
Demand Rate = 615 requisitions/year
Value Stream Champion: Joe Beyer 1
October 31, 2012
Enter
requisition in
SAP

Provide SAP Originator

access
31
Integrate Form File PT = 30 mins.
Use budget in
& FileMaker %C&A = 85%
place of Quicken

Requisition Vendor
FileMaker SAP
checklist Website

Standard work
Dedicated
2 3 buyers
4
Cross-
Review Approve Submit PO to
training
requisition in SAP supplier 5

External
supplier
Supervisor Dept Manager Corp
Purchasing
2 items 3 items 3 items 6 LT = 10 days
2 1
PT = 20 mins.
LT = 0.5 days LT = 6 hours LT = 1 days
PT = 5 mins. PT = 5 mins. PT = 20 mins.
%C&A = 95% %C&A = 98% %C&A = 98%

0.5 days 0.75 days 1 days 10 days Total LT = 12.3 days

5 mins. 5 mins. 20 mins. 20 mins. Total PT = 50 mins.
Activity Ratio = 0.9%
Rolled %C&A = 77.6%
FIGURE C.2 Future state value stream map for supplies purchasing
 Appendix D:
Repair Services Value Stream
 ACME Service
Current State Value Stream Map
Repair Services
Demand Rate = 30 calls/day
Value Stream Champion: Fred Techner
August 8, 2013

1
Customer

Great Plains

Verisae
Verisae Excel Excel

5
Special order 8
part Supplier

Tech
15
LT = 1 days
PT = 10 mins.
%C&A = 99%
20%
10 12 14 16 16
6
Pick up part Enter time Close call in Process time Process
Process
@ parts store card Verisae cards payroll
payroll

Tech Account Mgr Payroll AdminAdmin

Payroll A/P Admin
A/P Admin
Tech
15 25 items
25 items
LT = 4 hrs. 35 items LT = 8 hrs. LT = 8LT
hrs.
= 8 hrs. LT = 5LT
days
= 5 days
40% LT = 75 mins.
PT = 5 mins. PT = 1 mins. PT = 10
PTmins.
= 10 mins. PT = 15
PTmins.
= 15 mins.
PT = 75 mins. %C&A = 70% %C&A = 90% %C&A%C&A
= 90%= 90% %C&A%C&A
= 85%= 85%
%C&A = 95% 12 items Batch: 1x daily Batch: 1x daily Batch:Batch:
1x daily
1x daily

2 3 4 7 9 11 13 15 15 17 17 18 18 19 19 20 20
Receive Select & Assess Get part Make repair; Complete call Review Review
Review
open-open- ReviewReview
& & ReviewReview
& & Release
Release Receive
Receive
cash; cash;
40% post invoices
post invoices close close
invoices
invoices invoice
invoice post payment
post payment
service call dispatch tech problem from truck raise NTE in GP call data ticket ticket
reportreport

Call Center Dispatcher & Tech Tech Tech Dispatcher Service BillingBilling
AdminAdmin Posting
Posting
AdminAdmin Account
Account
Mgr Mgr BillingBilling
AdminAdmin Collections
Collections
Service Mgr 15 15 15 Manager 15 15
6 items 7 items 7 items 45 items 150 items
150 items 1500 items
1500 items
LT = 10 mins. LT = 2 hrs. LT = 3 hrs. LT = 1 mins. LT = 2 hrs. LT = 0.5 days LT = 1.5 days LT = 6LT = 6 days
days LT = 0.5
LT days
= 0.5 days LT = 1.5
LT days
= 1.5 days LT = 2LT = 2 hrs.
hrs. LT = 60
LTdays
= 60 days
PT = 10 mins. PT = 5 mins. PT = 90 mins. PT = 1 mins. PT = 2 hrs. PT = 5 mins. PT = 10 mins. PTmins.
PT = 25 = 25 mins. PT = 3PT
mins.
= 3 mins. PT = 10
PTmins.
= 10 mins. PT = 4PT = 4 mins.
mins. PT = 2PT
mins.
= 2 mins.
%C&A = 99% %C&A = 60% %C&A = 90% %C&A = 99% %C&A = 40% %C&A = 80% %C&A = 50% %C&A%C&A
= 75%= 75% %C&A%C&A
= 98%= 98% %C&A%C&A
= 85%= 85% %C&A%C&A
= 95%= 95%
Batch: 2x daily Batch:Batch: 1x daily
1x daily Batch:Batch: 1x weekly
1x weekly

0.0 days 0.2 days 0.4 days 0.2 days 0.3 days 0.5 days 1.5 days 6.0 days
6.0 days 0.5 days
0.5 days 1.5 days
1.5 days 0.2 days
0.2 days 60.0 days
60.0 days Total LT
Total
= 71.3
LT =days
71.3 days
10 mins. 5 mins. 90 mins. 75 mins. 120 mins. 5 mins. 10 mins. 25 mins.
25 mins. 3 mins.
3 mins. 10 mins.
10 mins. 4 mins.
4 mins. 2 mins.
2 mins. Total PT
Total
= 359
PT =
mins.
359 mins.
Activity
Activity
Ratio Ratio
= 1.0%= 1.0%
RolledRolled
%C&A%C&A
= 2.3%= 2.3%

FIGURE D.1 Current state value stream map for repair services
 ACME Service
Future State Value Stream Map
Repair Services
Demand Rate = 30 calls/day
Value Stream Champion: Fred Techner
August 9, 2013

Customer

90%
EDIEDI
EDI w/ Verisae
w/ Verisae
w/GP Establish
Establish parameters
parameters for for
Preferred-customer timetime & parts
& parts by by
Explore flat- T & C's service
service type
type
rate pricing Great Plains Excel
10%

Verisae
Verisae

Special order part 8

Supplier

Tech
Improve tech 15
Improve tech
onboarding
training; create LT = 1 hrs.
sublevels PT = 10 mins.
%C&A = 99% Invoice
10% exception Standard
Standard work
work
3 6 10 10
report for for invoicing
invoicing
Contact tech Pick up part @ Enter
Enter datadata
intointo
support as req'd parts store Verisae
Verisae & Excel
& Excel

Standard
Tech Tech kanban Account
Account MgrMgr
on trucks 30 items
15
Centralize Tech support LT = 90 mins. LT =LT4 =hrs.
4 hrs. Customer
Customer
dispatch center PT = 75 mins.
10% PT PT
= 1 =mins.
1 mins.
%C&A = 95% billing
billing teams
teams
%C&A%C&A = 90%
= 90%
Batch:
Batch: 1x daily
1x daily
2 4 7 9 11 11 12 12 13 13
Review
Review WO,WO,
Create WO; Assess Get part from Make repair; Release
Release Receive
Receive cash;
cash;
payroll,
payroll, AP AP
& &
dispatch tech problem 80% truck close call in GP invoice
invoice post
post payment
payment
invoice;
invoice; post
post

Dispatch Tech Tech Tech Billing

Billing Admin
Admin Billing
Billing Admin
Admin Collections
Collections
7 items 15 15 15 90 items 10 items
10 items 1500
1500 items
items
LT = 2 hrs. LT = 75 minutes LT = 10 mins. LT = 125 mins. LT =LT3 =days
3 days LT =LT4 =hours
4 hours LT =LT60= days
60 days
PT = 7 mins. PT = 75 mins. GPS on PT = 1 mins. PT = 2 hrs. PT PT
= 25= mins.
25 mins. PT PT
= 5 =mins.
5 mins. PT PT
= 1 =mins.
1 mins.
%C&A = 85% %C&A = 90% trucks %C&A = 99% %C&A = 80% %C&A%C&A = 50%
= 50% %C&A%C&A = 99%
= 99%
Batch:
Batch: 2x daily
2x daily
0.2 days 0.2 days 0.0 days 0.3 days 3.0 3.0
daysdays 0.5 0.5
daysdays 60.060.0
daysdays Total
Total LT64.2
LT = = 64.2 days
days
7 mins. 75 mins. 1 mins. 120 mins. 25 mins.
25 mins. 5 mins.
5 mins. 1 mins.
1 mins. Total
Total PT PT = 234
= 234 mins.
mins.
Activity
Activity Ratio
Ratio = 0.8%
= 0.8%
Rolled
Rolled %C&A
%C&A = 25.4%
= 25.4%

FIGURE D.2 Future state value stream map for repair services
 Appendix E:
Shelving Systems Value Stream
 ABC Shelving
Current State Value Stream Map
Shelving Systems - Custom
Demand Rate = 30,000 orders/year
Value Stream Champion - Anda Lavelle
February 11, 2013

2 1
Contractor Client

Excel SharePoint Oracle 3PL

3 4 5 6 7 8 9 10 11 12 13 14
ABC Shelving
Create Create quote State Value Stream Map Create
Current Create Create Measure Finalize Manufacture Schedule & Install Inspect Create
OI & contract Systems - Custom master plan
drawings
Shelving order pack job order pack & & ship to ship to site shelves installation invoice
Demand Rate = 30,000 orders/year book branch
Value Stream Champion - Anda Lavelle
Sales Coordinator February
Design 11, 2013 Coordinator Operations Field Operations Production 3PL Installer Field Billing
1100 75 1550 210 810 70 2650 210 375 75 350 92 75 75 850 55 200 45 90 75 1800 5
92
LT = 7.5 days LT = 10 days LT = 7 days LT = 18 days 2
LT = 1.5 days LT = 3 days LT = 1.5 days LT = 6 days LT =12 days LT = 2 days LT = 2 days LT = 14 days
PT = 4 hrs. PT = 10 hrs. PT = 3.5 hrs. PT = 10 mins. PT = 3 hrs.
Contractor PT = 20 mins. PT = 1.5 hrs. PT = 3 hrs. PT = 1 hrs. PT = 6 hrs. PT = 30 mins. PT = 15 mins.
Client
%C&A = 50% %C&A = 60% %C&A = 20% %C&A = 30% %C&A = 95% %C&A = 95% %C&A = 80% %C&A = 99% %C&A = 80% %C&A = 60% %C&A = 70% %C&A = 25%

7.5 days 10 days 7 days 18 days 1.5 days 3 days 1.5 days 6 days 2 days 2 days 2 days 14 days Total LT = 74.5 days
Excel SharePoint
4.0 hrs. 10.0 hrs. 3.5 hrs. 0.2 hrs. 3.0 hrs. 0.3 hrs. 1.5 hrs. Oracle 3.0 hrs. 3PL
1.0 hrs. 6.0 hrs. 0.5 hrs. 0.2 hrs. Total PT = 33.3 hrs.
Activity Ratio = 5.6%
Rolled %C&A = 0.1%

FIGURE E.1 Current state value stream map for custom shelving systems

3 4 5 6 7 8
9 10 11 12 13 14
Create Create quote Create Create Create Measure Inspect
Finalize Manufacture Schedule & Install Create
OI & contract drawings master plan order pack job installation
order pack & & ship to ship to site shelves invoice
book branch

Sales Coordinator Design Coordinator Operations Field Field

Operations Production 3PL Installer Billing
1100 75 1550 210 810 70 2650 210 375 75 350 92 75
75 850 55 200 45 90 75 1800 5
92
LT = 7.5 days LT = 10 days LT = 7 days LT = 18 days LT = 1.5 days LT = 3 days
LT = 1.5 days LT = 6 days LT = 2 days LT = 2 days LT = 2 days LT = 14 days
PT = 4 hrs. PT = 10 hrs. PT = 3.5 hrs. PT = 10 mins. PT = 3 hrs. PT = 20 mins.
PT = 1.5 hrs. PT = 3 hrs. PT = 1 hrs. PT = 6 hrs. PT = 30 mins. PT = 15 mins.
%C&A = 50% %C&A = 60% %C&A = 20% %C&A = 30% %C&A = 95% %C&A = 95%
%C&A = 80% %C&A = 99% %C&A = 80% %C&A = 60% %C&A = 70% %C&A = 25%
 ABC
ABC Shelving
Shelving
Future
Future State
State ValueStream
Value StreamMapMap
Shelving
Shelving Systems- Custom
Systems - Custom
Demand
Demand Rate
Rate == 30,000orders/year
30,000 orders/year
Value
Value Stream
Stream Champion- Anda
Champion - AndaLavelle
Lavelle
February
February 12,2013
12, 2013

Pricingsheet
Pricing sheetfor
for
Contractorson
Contractors on 22 11
contractors
contractors
SharePoint
SharePoint Contractor
Contractor Client
Client
POs
POs for
for all
all
Addoptions
Add options changes
changes
Quote
Quote repository
repository && codestoto
codes
pricing
pricing Link
Link Standard
Standard
standard
standard naming
naming SharePoint &
SharePoint reconciliation
reconciliation
Drawing
Drawing SharePoint
SharePoint Oracle
Oracle Oracle
Oracle process
processfor
forpricing
pricing
standards
standards &&
checklist
checklist
Improve
Improve Eliminate
Eliminateneed
need
change
change Standardize
Standardize Coordinator
Coordinator for inspector
for inspector
Eliminate
Eliminate OI OI process
process measure pack
pack Improve
Improvereceiving
receiving position
positionatat
Pilot
Pilot Standardize
Standardize
process
process process
process@@branches
branches branches
branches
pricing
pricing Drawing
Drawing masterplan
master plan Redesign
Redesign
model
model repository
repository layout
layout invoice
invoice

3 3 4 4 55 66 77 88 99 1010 1111 1212

Give
Give commit
commit Create
Create Receive
Receivestart
start Create
Create Finalize Manufacture
Manufacture Schedule&&
Schedule Install
Install Create
Create
Create
Create
price
price to to drawings
drawings notice
noticefrom
from measure
measure pack
pack pack &
order pack & &&ship
shipto
to shiptotosite
ship site shelves
shelves invoice
invoice
master
masterplan
plan
contractor
contractor contractor
contractor &&measure
measure job
job book branch
branch

Sales
Sales Design
Design Coordinator
Coordinator Sales
Sales Field
Field Operations Production
Production Branch
Branch Installer
Installer Billing
Billing
150150 7575 600
600 7070 250
250 210
210 120
120 75
75 400
400 92
92 75
75 75 500 55
55 250
250 120
120 9090 120
120 55
LTLT
= 1=days
1 days LTLT
=5= days
5 days LTLT= =2 2days
days LT
LT==11days
days LT==3.5
LT 3.5 days
days LT = 0.5 days LT
LT==44days
days LT
LT==22days
days LTLT= =1 1days
days LTLT
= 1= days
1 days
PTPT
= 4=hrs.
4 hrs. PTPT
=9= hrs.
9 hrs. PTPT= =3 3mins.
mins. PT
PT==11hrs.
hrs. PT== 30
PT 30 mins.
mins. PT = 30 mins. PT
PT==33hrs.
hrs. PT
PT==11hrs.
hrs. PTPT= =6 6hrs.
hrs. PTPT
= 15 mins.
= 15 mins.
%C&A
%C&A = 99%
= 99% %C&A
%C&A = 80%
= 80% %C&A= =80%
%C&A 80% %C&A
%C&A==95%95% %C&A == 95%
%C&A 95% %C&A = 98% %C&A
%C&A==99%99% %C&A
%C&A==95%95% %C&A
%C&A= =80% 80% %C&A
%C&A = 75%
= 75%

1 days
1 days 5 days
5 days 2 2days
days 11days
days 3.5 days
3.5 days 0.5 days
days 44days
days 22days
days 1 1days
days 1 days
1 days Total LTLT
Total = 21 days
= 21 days
4.04.0 hrs.
hrs. 9.09.0 hrs.
hrs. 0.0hrs.
0.0 hrs. 1.0hrs.
1.0 hrs. 0.5 hrs.
0.5 hrs. 0.5 hrs.
hrs. 3.0
3.0hrs.
hrs. 1.0
1.0hrs.
hrs. 6.0
6.0hrs.
hrs. 0.20.2
hrs.
hrs. Total PTPT
Total = 25.3 hrs.
= 25.3 hrs.
Activity Ratio
Activity = 15.1%
Ratio = 15.1%
Rolled
Rolled%C&A
%C&A = 31.6%
= 31.6%

FIGURE E.2 Future state value stream map for custom shelving systems
 Appendix F:
Software Development
Change Request Value Stream
 ABC Software
Current State Value Stream Map
Software Development - Change Request Segment
Demand Rate = 90 change requests/month
Value Stream Champion - Mike Bump
January 7, 2013

1
Customer

Excel SalesForce MIPA TeamTrack BluePrint Jetway

50% 50%

4
40%
Clarify
request

Coordinator

6 LT = 3 days
2 3 PT = 30 mins. 5 6 7 8 9 10 11
50% %C&A = 60%
Discuss Review ABC Software Create Assess and Clarify Add CR Create Groom Kickoff
needs w/ request Current State Value Stream Map CR assign CR CR to backlog WR backlog Project
60%
customer Software Development - Change Request Segment
Demand
50%Rate = 90 change requests/month
Deployment Acct Mgr & Value Stream Champion - Mike Bump Alliance team Product Scrum Scrum Product Scrum Scrum
January 7, 2013 owner manager
team Acct Exec. team masterMIPA TeamTrack master BluePrint master
Jetway
10 12 8 4 20 80

LT = 2 days LT = 3 days LT = 1 days LT = 3 hours LT = 2 hrs. LT = 1 hrs. LT = 1 hrs. LT = 2.5 days LT = 15 days
PT = 45 mins. PT = 1.5 hrs. PT = 1 mins. PT = 10 mins. PT = 40 mins. PT = 15 mins. PT = 15 mins. PT = 5 mins. PT = 35 mins.
%C&A = 90% %C&A = 90% %C&A = 99% %C&A = 99% %C&A = 60% %C&A = 60% %C&A = 60% %C&A = 60% %C&A = 95%

2.0 days 3.0 days 3.0 days 1.0 days 0.4 days 0.2 days 0.1 days 0.1 days 2.5 days 15.0 days Total LT = 27.4 days
0.8 hrs. 1.5 hrs. Excel 0.5 hrs. 0.0 hrs. SalesForce
0.2 hrs. 0.7 hrs. 0.2 hrs. 0.2 hrs. 0.1 hrs. 0.6 hrs. Total PT = 4.8 hrs.
Activity Ratio = 2.2%
Rolled %C&A = 5.9%
50% 50%

FIGURE F.1 Current state value stream map for software development
change request

4
40%
Clarify 7 8 9 10 11
request
Clarify Add CR Create Groom Kickoff
CR to backlog WR backlog Project
Coordinator
 ABC Software
Future State Value Stream Map
Software Development - Change Request Segment
Demand Rate = 90/month
Value Stream Champion - Mike Bump
January 8, 2013

1
Customer
Link SF & JIRA
70% 30%
complex simple Enter internally
JIRA /
requests requests initiated requests SalesForce Jetway
Confluence
directly into SF
Increase % of requests
entered directly by
customers 4
Transition
Defined criteria for
BluePrint &
simple vs complex Hold product TeamTrack to
change management review Jetway
meeting (2x per
week)
Analyze & improve
developer workflow

Coordinator
2 3 5 6
6
Discuss needs w/ 40% Review & clarify CR;
Enter case; link LT = 1.25 days
customer, create create WR in
opportunity; PT = 1 hrs. Kickoff
opportunity, %C&A = 60% backlog; groom
complete decision project
complete decision backlog
tool (as required)
tool
60%

5 Deployment 12 8 30 Scrum
Acct Mgr or Acct Scrum
team Exec. team master
1550
Define product
guidelines
LT = 1 days LT = 2.5 days LT = 2 hours LT = 10 days
PT = 60 mins. PT = 1 hrs. PT = 10 mins. PT = 15 mins.
%C&A = 80% %C&A = 95% %C&A = 80% %C&A = 95%

1.0 days 2.5 days 1.3 days 0.2 days 10.0 days Total LT = 15.0 days
1.0 hrs. 1.0 hrs. 1.0 hrs. 0.2 hrs. 0.2 hrs. Total PT = 3.4 hrs.
Activity Ratio = 2.8%
Rolled %C&A = 34.7%
FIGURE F.2 Future state value stream map for software development
change request