Key Performance Metrics for Value Stream Mapping PPT

This PPT slide, part of the 157-slide Lean - Value Stream Mapping (VSM) PowerPoint presentation, presents key performance indicators related to Value Stream Mapping (VSM), focusing on metrics that assess process efficiency and effectiveness. It outlines 3 primary ratios: Process Efficiency Ratio (PE), Process Activity Ratio (AR), and Rolled % Complete & Accurate.

The Process Efficiency Ratio is calculated by dividing the Total Value Added Time by the Total Lead Time, then multiplying by 100. This metric helps organizations understand how much of their lead time is spent on value-adding activities, providing insights into potential areas for improvement.

The Process Activity Ratio follows a similar structure, measuring the Total Processing Time against the Total Lead Time. This ratio indicates the proportion of time spent on actual processing versus waiting or non-productive activities. Both ratios are crucial for identifying inefficiencies in processes and guiding strategic decisions.

The Rolled % Complete & Accurate metric aggregates the accuracy of multiple processing steps, calculated as a product of the accuracy percentages of each step. This highlights the cumulative effect of accuracy across the entire process, emphasizing the importance of precision at every stage.

Finally, the slide mentions Total Labor Processing Time, defined as the average time taken to complete the entire process without interruptions. This metric is vital for understanding labor requirements and optimizing workforce allocation.

Overall, these indicators serve as essential tools for organizations looking to enhance operational performance. They provide a framework for analyzing processes, identifying bottlenecks, and ultimately driving improvements that can lead to greater efficiency and effectiveness.

This slide is part of the Lean - Value Stream Mapping (VSM) PowerPoint presentation.

Developed by a Senior Executive and Operational Excellence Coach with experience at organizations including NOKIA, MICROVENTION, and MAGELLAN, this is a presentation and templates for planning and performing a Value Stream Mapping Event.

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Operational Excellence Value Stream Mapping Lean Management Key Performance Indicators

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