Boosting Business Basics: A Small Business Guide to all things Lean and OpEx
This blog series explores key concepts in Operational Excellence (OpEx), Lean methodology, and Continuous Improvement (CI) for small businesses. It covers topics such as Value Stream Mapping, the 5S methodology, the PDCA cycle, Kaizen, and Standard Work, providing practical insights to help small businesses enhance efficiency, reduce waste, and deliver high-quality products or services.
Blog 4: What is Value Stream Mapping
(VSM)?
Value Stream Mapping (VSM) is a Lean tool used to visually map out all the steps involved in delivering a product or service, from start to finish. For small businesses, VSM helps identify areas where waste occurs, such as unnecessary steps, delays, or bottlenecks, allowing them to streamline their processes and improve flow.
- Identify the Product or Service
Choose a product or service to map from start to finish. A small brewery might choose its beer production process, from ingredient sourcing to bottling.
- Map the Current State
Draw a flowchart that includes all steps in the current process, noting the time taken and resources used at each step. For example, a local bakery could map the steps of breadmaking, from mixing ingredients to baking and packaging.
- Identify Waste
Look for steps that don't add value to the customer and opportunities to
eliminate or reduce them. A small furniture maker might find that excessive time is spent moving materials between workstations, suggesting a need for a better layout.
- Design the Future State
Create a new map that removes waste and improves flow, focusing on delivering maximum value to the customer. A printing business could
design a future state that reduces paper waste by optimising print runs and proofs.
Using VSM, small businesses can better understand their processes, identify inefficiencies, and develop more streamlined workflows. For example, a local event planning company could use VSM to streamline the coordination of vendors and logistics, reducing the time and effort needed to plan an event.