As businesses continue to focus on strategies to reopen, one thing is absolutely clear, providing value for customers will need to change dramatically as the “old normal” will be a distant memory.
Providing “value” for customers will certainly require different approaches, shapes and sizes based on different industries, business sectors, regions, product or service. Each will determine a new way of reopening and at differing speeds with a high level of complex variation.
Organizations will need to consider the vast, and seemingly endless, array of business scenarios.
- What will the financial health of our customers be?
- What is the “state of mind” of our customers?
- How quickly will customer demand return?
- What will be the impact to our suppliers and overall supply chain process?
- How will we keep our workforce inspired while ensuring the safety and wellbeing of our employees?
- How can we leverage this crisis as an opportunity to strengthen our relationship with our customers while solidifying our business ecosystem?
This level of variation associated with the relaunch of any business will most certainly require an enterprise view of the entire “Value Stream.” The best way to truly understand your Current State, (the “old norm”) and determine your Future State, (the “new norm), is to effectively map the entire business enterprise which will enable a holistic view of your entire business ecosystem as well as how to bridge the gap from “as-is” to “to-be.” This process is know as Value Stream Mapping.
Enterprise Value Stream Mapping takes a holistic view of your entire business, defining value as determined by the customer, meeting their needs at specific price points and at a specific times punctuated by optimal value. Such a map identifies all actions required to bring a specific good or service through key tasks while pinpointing critical areas that must flow well. This streamlining process is more important than ever as COVID-19 continues to take center stage in this country and businesses are trying to redefine their focus.
The true power of Enterprise Value Stream Mapping is that it may be applied at different levels, sizes scope, based on the actual need. An organization may decide to map a single process while others may decide to have an entire end-to-end view of the their business enterprise, (Enterprise Value Stream Map).
In essence, value stream mapping (VSM) is a business management process that outlines the steps necessary to take your business from inception to customer delivery, says Forbes. This tool allows you to take a fresh look at established processes throughout your enterprise so that you can have not only a better understanding of the flow of information but you can also document procedures from beginning to end.
You may be amazed at what you find, realizing just how much your current processes and methods waste time, duplicate effort and lead to unnecessary cost and overspending.
An Eye-Opening Management Process
Generally, value stream mapping (VSM) is used to:
- Illustrate and analyze the flow of materials and the information needed to process them, points out Industry Week.
- Display the interaction between various functions within the manufacturing process along with related functions such as scheduling, production planning, and materials management.
- Visualize and recognize limiting factors in an organization.
- Highlight problems, losses and inefficiencies.
- Develop and implement countermeasures visually so as to facilitate culture change.
- Focus direction on continuous improvement for the lean process transformation teams, front-line supervisors and upper managers.
- Monitor and continuously improve lean processes.
Many successful organizations are now leveraging Enterprise Value Stream Mapping to make critical decision such the resizing and/ or restructuring of their teams, how to make their business models more flexible, shorten decision chains, streamline their processes, and even convert their overall production facilities and lines.
With our Enterprise Value Stream Mapping Workshop, you will learn how to:
- Conduct value stream mapping through the selection of key processes across your business enterprise
- Identify the existing state of performance against your ideal performance requirements.
- Define and assess waste opportunities.
- Identify and prioritize improvement opportunities designed to improve not only your competitive advantage but your financial performance as well.
- Determine sources of unevenness, overburdening and overall waste in order to establish process flow.
- Prepare a future state map and gap analysis.
- Conduct key performance indicator validation against future state to ensure performance success
- Develop a master schedule roadmap and milestones to ensure a stable future state.
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