Growing the Lean Community An LAI Plenary Conference PD VS Analysis and Mapping Tools April 10, 2001 Presented By: Rich Millard LAI Research Sponsored By LAI Lean Aerospace Initiative PD VSA/VSM Tools 1. Explore Value Stream Analysis and Mapping practices within the aerospace industry, 2. Identify standards or best-practices, 3. Characterize and/or advance methods and tools Definitions/Background Research Data Context-Tool Sophistication Preliminary Results Proposed Improvement Scheme 2 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative Product Development Framework PRODUCT DEVELOPMENT Enterprise Shareholder NEED -business plan -estimation -contract VIRTUAL EXISTENCE of PRODUCT PRODUCT FRAMEWORK -model (what) -manufacture plan (how) -analytical support (risk reduction) SUPPLIERS Requirements Product Definition Design Physical Production: Decomposition/Integration User Design Development: Decomposition/Integration Customer Acqu isition Strate gy PRODUCT DEFINITION User Maintenance PRODUCT -performance -cost -schedule Support Upgrade SUPPLIERS Manufacture Support time 3 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative Value Stream Analysis and Mapping ➢Value Stream Analysis (VSA) is the method by which managers and engineers analyze, plan, and coordinate their company’s Product Development efforts. - Performed to increase the understanding of a process ➢ Value Stream Mapping (VSM) is a method by which the outcomes of Value Stream Analysis are visually depicted or illustrated. - Serves for data collection, communication, and derivation of improvement measures 4 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative Lean VSA/VSM Under the Gun ➢State of Lean-based VSA/VSM in the industry - Successful initial results in PD: 30-90% reduction in cycle time, cost, resources required - Not yet matured, no standard method or tool - What this means: passing buzzword or potential competitive advantage ➢Specific benefit of insight into PD process ➢Absolute definition of process improvement not yet established 5 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative Research Design ➢Research data taken January to August 2000 - 9 sites, 31 interviews, 48 contributors, 1 weeklong Lean PD improvement exercise - Semi-structured interview, self-assessment format ➢Data Collected 1. Value Stream Mapping/Process mapping tools used 2. Lean context 3. Motivation and success of VSA/VSM improvement efforts 6 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative Gantt Chart ➢ Scheduling tool highlighting precedence and concurrency Activity 7 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative Learning To See ➢ Process mapping tool highlighting product flow and geography 8 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative System Dynamics ➢ System analysis tool highlighting inputs/outputs and quantified dependencies 9 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative Ward/LEI ➢ System mapping tool highlighting concurrency and general resources Material Development Resources Concept Concept Tooling Drawings Material Prelim. Design Concept Design Proposal Properties Structure Concept Make Verification Test Structure Development Tests Analysis Long Lead Materials Facility Specifications Interface/Function 10 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology Time, Schedule web.mit.edu/lean Lean Aerospace Initiative Design Structure Matrix (DSM) ➢ Product flow tool highlighting iteration, feedback, and precedence A D B Customer Requirements A A D System Level ParametersD Wheel Torque B B Piston—Front Size J Piston—Rear Size H Pedal Mechanical Advantage C Rear Lining Coeff. of Friction K Front Lining Coeff. of Friction G Booster Reaction RatioM Rotor Diameter E Booster—Max. Stroke L Caliper Compliance I ABS Modulator Display F 11 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology J H C K G M E L I F J H C K G M E L I F web.mit.edu/lean Lean Aerospace Initiative Process Flow Map ➢ Process mapping tool highlighting flow, precedence, and metrics input input task 1 task 2 yes task 4 output no task 3 12 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative VSM Tool Characterization ➢Tool characterization matrix - Map attributes: tasks, information flow, iteration, precedence, start/stop times, milestones … VSM Tool Representative (concurrency) Supports Analysis (flow) What to do (value) 13 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology How to do it (optimization) web.mit.edu/lean Lean Aerospace Initiative Lower Analytic Capability 1 -Gantt VSM Tool Analytic Capability 2 -LToSee 1 SysDyn -Ward 3 4,5,6 -LToSee 2 -Flow 1 -DSM 1 Higher Analytic Capability 7,8 9 -Flow 2 -Flow/DSM -DSM combination 2 ➢ Preliminary assessment of the analytic capability of VSM tools as seen used at the sites - Scale does not account for representative capability or full potential of the tool ➢ Often tools used in conjunction/combination 14 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative Tool Sophistication and VSA/VSM Success VSA/VSM VSA/VSM Success Success 10 9 8 7 6 5 4 3 2 1 0 1 2 3 4 5 6 7 8 9 Site Site ➢ Does VSM tool sophistication equate to VSA/VSM success? 15 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative Lean Context ➢Context characterization showed three groupings - Group A: Traditional business methods - Group B: Fractional Lean integration - Group C: Developing comprehensive Lean environment - Ratings based on education/training, general resource allocation, leadership involvement, organizational Lean integration, Lean vision/goal 16 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative Lower Analytic Capability 1 -Gantt Group A Tool-Context Correlation 2 -LToSee 1 SysDyn -Ward 3 4,5,6 -LToSee 2 -Flow 1 -DSM 1 Group B Higher Analytic Capability 7,8 9 -Flow 2 -Flow/DSM -DSM combination 2 Group C ➢Context of analysis drives the use of the tool and contributes to tool selection - Data collection, constraints, and requirements - Observations, themes, trends seen in the data 17 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative Preliminary Conclusions 1. VSA/VSM tool sophistication and use contributes to improvement success - Tool capability characterized as representative or analytic, which focus on what or how domains 2. Lean context in part drives tool use - Improvement efforts in a more Lean environment will require/observe different analysis than those in a less Lean environment 18 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative Suggested Tool… (for now) 1. High-level representative tool - Gantt, Ward/LEI - Definition of Value Stream elements, “big picture” 2. Detail-level process map - Determination of value, what to do in process 3. Detail-level DSM - Optimization, how to do process - Process structure, groupings, teams, concurrency 19 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative Proposed Improvement Scheme 1. Assemble and train VSA/VSM Team 2. Choose VS (opportunity vs. risk plot) 3. Define VS (bounds, owner, product, customer) 4. Analyze and map Current State (tasks, information flow, value, time, Real flow) 5a. Analyze and map Future State (simplification/standardization, flow continuity, transfers, review, communication, IPPD, concurrency) 5b. Analyze and map Ideal State (PD framework) 6. Implement 20 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative Improvement Iteration Current State current processes available VSA/VSM methods and tools Future State Future State VSM VSM VSM method and tool improvement method and tool improvement method and tool improvement VSA VSA process and product improvement ... VSA ➢ Improvement of work process, product, VSA/VSM ➢ VSA is critical: VSM alone is ineffectual ➢ Ideal state process: vision within context of Lean PD and Lean enterprise 21 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean Lean Aerospace Initiative Contact Information Rich Millard rmillard@mit.edu c/o LAI, MIT 41-205, Cambridge, MA 02139 Hugh McManus hmcmanus@mit.edu The views expressed in this presentation are those of the author and do not reflect the official policy or position of the United States Air Force, Department of Defense, or U.S. Government. 22 - PD Millard - 041201 © 2001 Massachusetts Institute of Technology web.mit.edu/lean