Value Stream Mapping
"The greatest cost saving is concealed in the chain
Bart Smits Manager Operations Koopman Compounds
Koopman Logistics Group regularly deploys Value Stream Mapping in order to optimise clients' chains. I don't believe that you can win a great deal of time by simply having people work harder. You need to work smarter. The purpose of Value Stream Mapping (VSM) is to identify and gain insight into any waste in a process in order that this can be eventually eliminated.
How does VSM work?
VSM allows you to map out the entire chain. It's essential that all parties who cooperate in the chain are involved in the process. I don't mean the managers but rather those persons involved in operations, planning, finance, etc. We often call in an external moderator, in order to ensure absolute impartiality.
"Turnaround times are the most important aspect in our branch. The vehicles must be ready for use again as quickly as possible. After all, every day a vehicle is parked up costs money.
We start by mapping out the main goods flow. Using post-its, we set out the current process, or current state as it is known within VSM. What we are mainly looking at is waiting times and turnaround times. Turnaround times are the most important aspect in our branch. The vehicles must be ready for use again as quickly as possible. After all, every day a vehicle is parked up costs money. Ideas are then put forward, and can be developed into actions, including the effect on such actions on the turnaround time. Based on these actions, the future state (optimum process) can be determined. Each party then sets to work on their action points in order to arrive at this future state.
Cost savings
Once you have walked through such a process together, it creates a new mutual philosophy. You have coached each other and so everyone takes a new look at the processes. You keep each other alert and become more open towards each other. This all creates an extremely strong relationship. In concrete terms, it also ensures cost savings. 'In practice, we have discovered that we can reduce our clients' turnaround time by at least 20 to 30%'.
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