How to optimize processes using Value Stream Mapping

Many companies (or their employees or customers) complain about their processes. And not rarely they are right.

The key question then is - how to improve?

Agile has adopted a lean practice called "Value Stream Mapping." The practice has been simplified and optimized - so that even very complex processes can be mapped and analyzed in range of hours, maximally few days. In Agile Value Stream Mapping we really do not speak about projects taking months.

Purpose of this practice is to help visualize selected process (e.g. purchasing of office equipment, recruitment process, processing invoices/payments, etc..). This is done on collocated intensive workshop. With good tools it can be done also remotely, however the process will be slower and less efficient.

This is how a mapped process looks like.

The goal is to VISUALIZE it in understandable way. We use sticky notes, whiteboard and markers. That's it. We need all involved SMEs who are part of the entire process. Facilitator will guide them through entire process of mapping.

Once the process is visualized we can calculate “AT -activity time” (how much time do we spend on particular activities) and “WT - wait time” (idle time between the activities). Then we can simply calculate the process efficiency. The sad fact is that majority of processes have their efficiency expressed as single-digit-number. Like – 5%, 8% or so.

“What??? How come??? Are you saying our processes are wrong???”

This is what we heard from many clients while facilitating Value Stream Mapping workshops.

Yes, seeing such value in a payment or procurement process usually created some level of friction (and even anger). But – after some moments the team started to look at the steps (and pauses) in the process – and came with suggestions for improvements.

When looking at the "visualized beast" you suddenly see some duplicities. Or even illogical steps. And especially huge wait times between them. A process requiring 3 hours of real work can take weeks to complete. Just because of waiting.

So we focus on elements that provide the largest gain requiring least time / money to change. And usually with just some small tuning the process efficiency grew from 8% to 30% or even 70% and higher.

This is not only possible. This is a proven reality.

If you want to give it a try, express your interest here.