Value Stream Mapping

Value Stream Mapping (VSM) is a Lean technique for visualising and describing, through standardised language and specific icons, the activities of a process and its logic of operation. It consists of three key elements: the operational stream, the information stream, and the timeline. 

The operational flow represents the path of materials from raw materials to finished product, including suppliers, customers, inventory, and the operations performed. The information flow, on the other hand, shows how information – whether physical or electronic – is transmitted and processed within the process. 

The timeline provides a temporal view of activities, highlighting cycle times, waiting periods, and bottlenecks. By using the timeline, it becomes possible to distinguish actual processing time from waiting time, thereby determining the lead time and flow index of the analysed process. 

VSM is an essential tool for both analysing and redesigning processes, as it enables organisations to: 

• Visualise the connections between different operational and informational steps; 

• Measure process performance by highlighting lead time; 

• Identify inefficiencies and waste; 

• Design improvement scenarios to optimise flow and increase customer value. 

Application of Value Stream Mapping

The technique is typically applied though the following steps:

1. Identification of the process to be mapped

The analysis begins with the use of group technology to classify product families and their associated macro-processes. The next step is to define the scope of the analysis – whether to map the entire supply chain or limit to the internal flow within the company (door-to-door). 

2. Creation of the Current State Map and waste analysis

Once the boundaries of the mapping are defined, the current state of the process is represented through the Current State Map, which includes: 

• Identification of process demand; 

• Mapping of operational steps, inventories, and external suppliers; 

• Graphical representation of material flows, handling methods, and information flows; 

• Inclusion of the timeline, highlighting lead times and bottlenecks. 

During this phase, waste (muda) is also identified and represented using dedicated symbology. These wastes are then analysed through muda analysis, which helps trace them back to their root causes. This step is crucial for identifying systemic inefficiencies and developing targeted actions to eliminate or reduce them. 

3. Designing the Future State Map

Insights gained from the Current State Map and muda analysis form the basis for designing the Future State Map, representing an optimised vision of the process. Multiple scenarios are typically developed, including blue sky solutions (theoretically ideal but difficult to implement), which serve as long-term improvement references. 

4. Definition of the action plan

The final step is to translate the proposed solutions into a concrete action plan, which includes: 

• The specific tasks to be implemented; 

• The actions required to eliminate or reduce the root causes of waste; 

• Timelines and assigned responsibilities for implementing the changes. 

The objective is to turn the vision of the Future State Map into an operational reality, ensuring a more efficient, value-driven, and waste-free process. 

You can find practical examples of this technique in our Case Histories!