Value Stream Mapping Demonstration on Real Case Study

The aim of this article is a practical demonstration of Value Stream Mapping method (VSM) for visualization and rationalization of processes and its use in the context of a real enterprise. Own philosophy of a method lies in a view of the value-chain “from doors to doors” among all important transportation and transformation processes flowing in a company since receiving of raw materials and semi-finished products from suppliers to final delivery of finished products to a customer. Processes within VSM are strictly separated in to the two groups: Value-Adding Processes (VA) and Non-Value-Adding processes (NVA). The outcome of a VSM method is a diagram presenting a value flow in a company. Trough VSM is possible to identify places of piling inventory, calculate a lead time and realize how many percent of a time are Value-Adding and how many are not. The VSM flow diagram and its calculated indicators are used in next step not only as a tool of communication in problem solving processes, but also as a clue for improvement, visualization and description of a future state. The importance of a VSM method is rising together with the level of management. With help of VSM it is possible to generate small and continuous improvements of operative character or to generate huge and capital intensive strategic projects which lead the company directly to fulfilment of all its stated goals and mission. VSM is primarily an analytical method which purpose is to identify bottlenecks and potentials for improvement at all levels of the process.