What is VSM and how it is used

What is VSM , Value Stream Mapping?

Value Stream Mapping (VSM) is a lean manufacturing technique that is used to accurately map out and visualize each step involved in value creation. It is a tool used to identify, analyze, and improve value flow and material flow, with the aim of improving the efficiency of the entire manufacturing process. The goal of VSM is to eliminate delays, non-value added steps, and wasteful activities, while highlighting areas of opportunity and highlighting the flow of materials and information.

VSM is a visual representation of the process created by the mapping of information and data flow, as well as material and product flow. This graphical representation includes detailed notes on timings, data, and metrics that help to analyse the production process. To create a complete VSM, all involved parties must be observed and the current state of the process must be captured. This includes identifying where products are produced by the manufacturers, understanding the supplier relationships, and understanding the transportation patterns used.

Why map VSM

Value stream mapping is an incredibly powerful tool for revealing and optimizing the source of value for a business process. By visualizing and documenting the individual steps of a process, value stream mapping provides insight into how the entire system works together to deliver added value to customers. By using this technique, businesses can identify wasteful steps and bottlenecks in critical areas that impact customer experience, as well as identifying opportunities to reduce complexity and redundancies. Additionally, time tracking data gathered during value stream mapping sessions can be used to benchmark current performance against target goals. Ultimately, by utilizing value stream mapping techniques on a regular basis, businesses can achieve greater efficiency in their operations while improving customer satisfaction.

When we map value stream mapping?

When we are failing improve OTIF (on time in Full), Customer dissatisfaction, Cost ,Quality problem arises , we have to start VSM.

It is a business process engineering tool used to document, analyse and improve the flow of materials and information required to satisfy customer demand. Through data collection, analysis and process benchmarking, VSM enables companies to identify areas for improvement in product paths and develop plans for eliminating non-value-added waste, ensuring an efficient production system from concept to delivery. It also provides the framework for strategic decision making with regards to inventory optimization and throughput time reduction. The methodology requires clear processes that are broken down into individual steps or tasks that allow for detailed descriptions of inputs, outputs, activities and their dependencies throughout the value chain.

Value Added & Non value Added activities

An important aspect of VSM is the ability to identify value-added versus non-value-added activities. A value added activity is any process or activity that contributes to the product’s purpose and/or desired result. Because value -added activities are essential to achieving the desired outcome or desired product, they should be focused on and maximized whenever possible. The main goal of VSM is to identify, analyze, and improve the value -added process to make the overall process more efficient.

In addition to the value-adding activities, VSM also includes the mapping of non-value-adding activities. Non-value -adding activities are any activities that do not contribute to the product’s purpose or desired result. These activities are known as waste, as they do not add any value to the process, and therefore must be eliminated whenever possible.

Once the steps of the process have been mapped out, actual and ideal comparison are taken into consideration. Through this comparison, areas of improvement and opportunities can be identified. With this knowledge, teams can outline and implement the necessary changes to the process so that manufacturing can become leaner and more efficient.

Overall, VSM is an invaluable tool for understanding, analyzing, and improving the value flow of materials and information in a manufacturing process. It’s efficient and effective approach helps to eliminate waste, identify areas of improvement, and maximize the value created. By understanding the current and ideal state of production, VSM can help manufacturers to become more efficient and reactive to their customer’s needs.

How to use VSM

Value Stream Mapping is a powerful technique that helps organizations analyze activities and processes in order to identify opportunities for improvement. Value Stream Mapping (VSM) provides an efficient and effective way to visualize, understand, and analyze the flow of information, materials and products throughout a business system. This crucial tool can help to improve productivity, reduce costs, and reduce both lead time and waste.

Steps towards VSM

  1. Determine the process family.
  2. Draw the current state of process map.
  3. Identification of 8 types of waste
  4. Determine and draw the future state of process map.
  5. Draft a plan to arrive at the future state.

Value Stream Mapping begins with mapping the current state of a process. This involves drawing a value stream map to reflect the actual flow of material, information and activities that are used to create a product. This includes all areas of the value stream, from procurement to delivery. Once the current state is mapped, it can then be compared with the ideal state to identify areas for improvement.

In VSM we are identify 8 types of waste in current process, acronym for 8 types of waste is DOWNTIME

  1. D–>Defect
  2. O–>Overproduction
  3. W–>Waiting time
  4. N–>Non utilization of resources
  5. T–>Transportation
  6. I–>Inventory
  7. M–> Motion
  8. E–> Excess Processing

The next step in VSM is to develop a plan for improvement. This typically involves identifying the key improvement opportunities and developing a plan of action. The action plan should include a timeline, responsibilities, a target date, and a list of resources that will be used to implement the changes. Once the plan is in place, it will be necessary to focus on results and improvement to ensure that the desired impact is achieved.

When implementing Value Stream Mapping, it is important to ensure that the necessary support is available. This could include training of employees in VSM, designing clear visuals and diagrams, and evaluating systems and processes to ensure they are properly configured.

There are several approaches to Value Stream Mapping, depending on the nature of the organization. One option is focused on process improvement and is more suitable for mid to large sized organizations. The other option is focused on product improvement and is more suitable for small to medium sized organizations.

Value Stream Mapping is not a one-time effort. The process should be monitored to ensure that it is effective and that improvement goals are met. Regular feedback from employees and stakeholders can help to ensure that any problems are identified and addressed quickly.


Value Stream Mapping is a powerful tool for understanding and improving the flow of materials, information and activities involved in a process. With the right support, VSM can help to reduce costs, improve efficiency and save time. By implementing the various steps involved in VSM, organizations can ensure that they are maximizing the value of their processes while minimizing waste and costs.

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