SIX SIGMA FUNDAMENTALS - Software Design for Six-Sigma: A Roadmap for Excellence - page 154

FIGURE 7.5 Process map transition to value stream map.

7.4.2 Value Stream Mapping

Process mapping can be used to develop a value stream map to understand how well a
process is performing in terms of value and flow. Value stream maps can be performed
at two levels. One can be applied directly to the process map by evaluating each step of
the process map as value added or non-value added (see Figures 7.5 and 7.6). This type
of analysis has been in existence since at least the early 1980s, but a good reference is
the topic, Hunter's and the Hunted (Swartz, 1996). This is effective if the design team
is operating at a local level. However, if the design team is at more of an enterprise
level and needs to be concerned about the flow of information as well as the flow of
product or service, then the higher level value stream map is needed (see Figure 7.7).
This methodology is best described in Rother and Shook (2003), Learning to See .

7.5 INTRODUCTION TO BUSINESS PROCESS MANAGEMENT

Most processes are ad hoc or allow great flexibility to the individuals operating
them. This, coupled with the lack of measurements of efficiency and effectiveness,
result in the variation to which we have all become accustomed. In this case, we

Value-added
activity

Elapsed time (no activity)

Value
Added

Non-
Value
Added

Non-value-added
activity Time dimension of process

FIGURE 7.6 Value stream map definitions.