ABSTRACT

Value stream maps are most useful if they are limited to and defined by the specific parameters of a specific value stream. Thus, it is important to choose only one product, or product family, to work on at a time. You may, for example, make similar parts (e.g., rear view mirrors) for Toyota, Ford, GM, and Daimler-Chrysler. But because each of these four customers has unique specifications, you have four value streams. Determining which of these value streams should be targeted for lean implementation first is often a simple matter of listening to customers: The customer demanding improvement points out which stream becomes the first target area. Once this decision has been made, you will need to focus on customer evaluation. There are four things to consider when approaching this task:

1. Customer demand

2. Takt time

3. Pitch

4. Buffer and safety stocks

What Is Demand?