Where Is Lost Value: Mapping of Value Stream and Bottleneck Identification

This chapter introduces the reader to the concept of the value stream, emphasizing its significance in process analysis, waste recognition, and subsequent elimination. It provides a detailed discussion of the value stream mapping technique as a tool for visualizing processes and identifying areas that generate waste. The key concepts underlying mapping are explained, elements of a value stream map are elaborated, and the practical aspects of working with it are clarified. The latter part of this chapter focuses on the methodology for identifying constraints as a practical tool to help pinpoint the current bottleneck in a production stream. The multi-method framework for bottleneck identification addresses, to some extent, the needs of managers by providing clear guidance on how to practically recognize where a bottleneck occurs in the system. There is a comprehensive introduction to value stream analysis and constraint determination. This chapter takes the reader through the analysis of the state of value creation to determine where and how improvements need to be made to significantly improve the organization’s operations system.