Project performance with Value Stream management

Abstract

This article describes Value Stream Management and how it can help to optimization of supply chain network and hereby ensuring a high level of customer satisfaction. In continuation of Value Stream Management, a definition of Value Stream and a description of the tools Value Stream Storyboard and Value Stream Mapping (VSM) will be introduced. The article will dive into Value Stream management approaches of delivering value and streamlining the workflow. This will include a walkthrough of the theory behind Value Stream and the lean tool of VSM. Along the article, Lean philosophy will be descripted to some degree. The application of Value Stream Management will be discussed, and a guidance of the tools Value Stream Storyboard and VSM will be given. Lastly the article will deliver a reflection on the challenges which Value Stream Management faces, when it comes to developing and maximizing value for both company and business. This reflection will also touch on the benefits and disadvantage of value stream management. The article should in some sense give an understanding of how to use Value Stream Management and also apply it, so it is easier to get products out the door.

Agile aspect – state of the art

Today ‘s modern businesses require a lot of agility due to for example digital transformation, higher business complexity and especially after Covid-19 more hybrid work. Throughout the crisis, innovative and adaptational thinking has accelerated. This means that organizations have to reconsider the processes, tools, and the people behind the business so they can remain competitive and also focus on high-value impactful work. This is where Value Stream Management comes into the picture. Focus on value stream management is essential when building bridge between agile practices and realizing agility in businesses. Also, value stream relates to the ongoing shift of focusing on value vs. economies of scale or cost, in that way, that you try to update and develop what gives value to the customer and hereby the business instead of trying to produce the highest quantity the cheapest way.

In addition, to better understand once value stream, Value Stream Management makes it possible for organizations to bridge silos and enable collaboration across company borders. This provides foundation for supply chain optimization and with the current digitalization it will impact cross-enterprise interfaces, through that giving more transparency as for information.

Big Idea

Introduction to value stream management

Value Stream Management is a management approach which focuses on delivering value from customer request to customer delivery. The approach consists of measuring and improving flow as well as eliminating waste in each step of the way. CONTINUE…

• Digital approach and impact on value stream mapping

Definition of Value Stream

The term value stream originally come from Lean manufacturing and explain the flow of material and information to create value. A value stream is the set of activities or services an organization takes to add value to a customer or customer need.

Value Stream Mapping

• As a management tool
• Example of a Value Stream Map (Material – and information flow mapping)

Reference

Feedback comments: - Change title maybe --> Increasing project performance with Value stream management

- For now, the only tool presented seems to be Value stream mapping. There must be more to it.