Mapping and streamlining value streams

Process mapping provides an overall view of the company and is a fundamental prerequisite for meaningful optimization. There are different types of process mapping.

• Process mapping using flow charts
• Process trees and mapping according to IDEF 0
• Swimming lane mapping (Swimming lane)
• Value stream analysis (VSM)

Process optimization consists of several levels:

• Optimizing the overall value stream primarily focuses on balancing capacities and shortening the flow from order to delivery. The aim of such optimization is to uncover potentials at the organizational level, but it’s not ideal for detailed perspectives.
• Eliminating waste and optimizing at the level of individual processes delves into potentials in a much more detailed manner. This optimization applies equally to manufacturing processes as well as non-manufacturing processes and does not exclude project-oriented companies.
• Especially in manufacturing operations and frequently repeated processes, there is also a micro-level that assists in optimizing activities where a very high level of detail is required.
• However, there is also optimization beyond the organization, namely Supply Chain Management optimization, which can take place on a global level.

Process mapping is usually conducted through workshops led by experienced facilitators knowledgeable in mapping and optimization methods. Local experts who have an in-depth understanding of the processes are also involved in these workshops. Facilitators can be external (within the FBE Team, we have 8 experienced experts in this field) or you can train your own facilitators through training programs that we offer.

Streamlining work in the processing of contracts in a financial company

Customer: Important financial institution in Slovakia

Problem/Opportunity: The need to streamline processes and the work of employees due to market growth

Used methods and tools:  Value Stream Mapping in a product family (VSM); Poker Planning (task time estimation using point system by individual team members); Task Matrix and their time complexity; Pareto diagram; Analysis of task duration variability.

Achieved improvements: Reduction of customer Lead Time by 20.4%, reduction of contract processing time by 37.8%.

Reduction of work in progress at the supplier of assembled components.

Customer: Supplier of assembled components for the automotive industry.

Problem/Opportunity: Large amount of work-in-progress increasing inventory value

Used methods and tools:  Value Stream Mapping (VSM); Inventory Analysis based on the cube principle (ABC, GMK, and XYZ analyses); Introducing pull principle into production; Implementation of Kanban.

Achieved improvements: Reduction of work-in-progress inventory by 81.2%.

Increasing turnover and reducing inventory at the parts supplier

Customer: Supplier of parts for the automotive industry.

Problem/Opportunity: Unachieved corporate standard of inventory turnover for parts in stock.

Used methods and tools:  Improvement process – DMAIC; Pareto analysis; Box-Plot; Process map (Flowchart); Value Stream Analysis (VSM); Trend diagram; Analysis of minimum and maximum values in Kanban.

Achieved improvements: Increase in inventory turnover by approximately 30% and reduction of inventory stock by approximately €600,000.