Value stream management

The sustainability project teams need to convince the lean six sigma project directors (often referred to as value stream managers in lean and black... 

Value Stream Identification The target of this principle is the identification of all value-adding processes and their relations and sequential arrangements throughout the whole value chain to describe all activities that are necessary to produce the considered goods. The Value Stream Management is the corresponding discipline and offers methods to analyze the value chain. A common method is the Value Stream... 

Hines P., Lamming R., Jones D., Counsins P., Rich N., 2000, Value Stream Management Strategy and Excellence in the Supply Chain, London Prentice Hall. 

Realization of a Production Flow Once value and value stream are analyzed, the next fundamental step of Lean Management is the realization of a continuous, smoothed production flow. The whole production process shall focus on the identified value stream. The intention is a harmonized production flow with minimal batch sizes (targeting a one piece flow) as a basis for a flexible, order-related manufacturing process. 

This refers to a process by which the value stream between consumer and raw materials is systematically mapped and then managed on the basis of waste reduction and optimisation tools and techniques. Similar in many ways to the lean manufacturing and production models used within the operations and production function but extended beyond the focal firm into the supply chain. 

Saunders MJ (1995) Chains, pipelines, netwmks and value stream the role, nature and value of such metaphors in forming perceptions of the task of purchasing and supply management In First worldwide research symposium on purchasing and supply chain management... 

Under the leadership of the General Manager, the Supply Chain and Operations Area had embraced the principles of lean thinking developed by Toyota (Liker, 2004) and applied them. Within 12 months the operational sections had been reconfigured into 7 value streams that represented the company s major product lines cross-functional teams had been established to eliminate sources of inefficiency such as waste, non-conformance and duplication communication channels had been unblocked and individuals had been empowered. 

The delivery of goods and services of expected standards on time at the best in class cost is creating value for money for customers and thus adding value to the business. An effective supply chain management team can deliver value by a value stream approach or total supply chain management approach. 

It is therefore vital for any organization, being more and more dependent on both local and global outside resources and information, to work in harmony with all stakeholders of the supply chain including customers and snppliers. We need a holistic value stream approach to supply chain or a total snpply chain management approach. 

We believe that the above example of the value stream for a carton of cola firmly establishes the need for a total supply chain management approach. It is important to note that most of the 40,000 other items in a typical supermarket would produce similar results. The impact of the value stream or total supply chain approach in the service sector is not so dramatic as fast-moving con-snmer goods (FMCGs), but highly significant all the same. 

The initiatives and processes in lean project management are deriving benefits from two sources. Firstly, the traditional approach of critical path scheduling, Basu (2004, p. 129) is to optimize time for completion and secondly derived from the lean tools applied in supply chain management (such as value stream and process mapping) to reduce procurement lead-time and non-value adding activities. 

As w as mentioned earlier, extra rows are provided as can be seen in Figure 1. This gives extra flexibility needed for process design case studies. Often, the set of case studies initially envisioned by the engineer or manager are not sufficient to answer all questions. The extra rows allow intermediate recycles or intermediate flows from or additions to the plant that might not have been envisioned initially. Another value of the intermediate rows is to provide component values at intermediate points in the process. The breakeven value of a proposed purchase stream from another plant would be one use of intermediate component values. 

As an alternative to these calculations, the registrant may choose to make a generic release estimate. Here, conservative default values are used for identifying waste amounts and fractions entering into the three main waste streams. Furthermore, generic exposure scenarios can be selected containing default release factors and assumptions on implemented risk management in the processes. [19]. 

A microcontroller board for sensor read-out was developed in collaboration with AppliedSensor (Reutlingen, Germany). This board provides the power supply and the necessary reference voltages and currents to the sensor chip. The sensor chip is mounted on a socket and connected to the microcontroller. The microcontroller provides a set of commands for programming and reading the on-chip registers, controller parameters and sensor values. The microcontroller also manages the data transfer between the f C interface of the microchip and a serial RS-232 interface for external read-out via a PC. The data stream is continuously read out in the measurement mode. Each data set contains the temperature of the microhotplate, the chip... 

Step 2 Technical requirements Determine the specific technical requirements for the new method and/or analyzer that will ensure that it captures the previously determined business value. This is also done jointly by the customer and the project manager. Avoid nice to have and focus on what is necessary. Technical requirements may include accuracy, precision, specificity, turnaround time, response time, robusmess, maintenance needs, etc. They should be focused on what the analyzer needs to do (e.g. determine the concentration of component X with 1.5% relative precision, once a minute, in a corrosive process stream at 80 °C), not how it will be done. Issues that need to be considered in setting technical requirements are discussed in Section 15.2.3. 

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