Value stream design aims to eliminate the causes of waste uncovered during the value stream analysis by developing a future-state process. The manufacturing steps identified are linked by continuous flow production or supermarket pull systems, so each process makes only what the next process needs, precisely when it needs it.
Image: Sample illustration
Value stream design is the second step of value-stream management. Based on the current-state map, a “future-state” is drafted. The goal is to create an improved, customer-oriented flow of materials and information. The previous step, value stream mapping, laid the groundwork by tracing production backward from the customer (internal and external) to the supplier and recording the flows in a value-stream diagram.
In short, value stream design sketches how today’s production should work tomorrow, eliminating non-value-adding activities. The activity plan created during value stream mapping serves as the starting point.
When designing the value stream, follow these seven guiding principles:
One of the main goals is to link all processes in the value stream so they flow as a single stream, driven primarily by customer pull. Tight coupling of processes shortens lead time while reducing inventory, defects, and scrap. Control shifts from managing individual processes to steering an entire, efficient, customer-oriented value stream.
The objective of value stream design is to work on the overall picture and not just on individual manufacturing processes. The focus is on the holistic optimization of production – “from ramp to ramp” and then on to suppliers and customers.
The focus is on the big picture, not isolated manufacturing steps—optimizing production holistically “from dock to dock,” and ultimately extending to suppliers and customers.
