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Value Stream Mapping and PCE Analysis

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0% found this document useful (0 votes)
8 views4 pages

Value Stream Mapping and PCE Analysis

Uploaded by

tipscongnghe123
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd

1.

Value Stream Map (VSM) Table


Step Description Process Time (PT) Waiting Time (WT)
1 Client provides profile info 10 min 0
2 Wait for account approval 0 12 hours
3 System sends confirmation email 1 min 0
4 Email sits in inbox 0 12 hours
5 Client confirms account 1 min 0
6 Client submits project request 1 hr 0
7 Request waits for assignment 0 12 hrs
8 Company's Sr Account Manager 1 min 0
looks at the pending requests every
day and assign it to one of the
account manager
9 Wait for account manager review 0 12 hrs
10 Account manager contacts the client 30 min 0
to set up a meeting to get
requirements
11 Client and Account Manager waiting 0 72 hrs
for the meeting
12 Account Manager and Client meet to 4hrs 0
outline requirements
13 Account Manager puts the request 0 24hrs
in queue to document
14 Account Manager writes up 30min 0
requirement and sends this
information to Company's Solution
Architect
15 Wait for Solution Architect 0 48 hrs
16 Architect provides feedback 1 hr 0
17 Solution Architect feedback waiting 0 24 hrs
to be read by Account Manager
18 Account Manager sets up another 30 min 0
meeting with Client to discuss
architecture and timeline
19 Client and Account Manager waiting 0 72 hrs
for the meeting
20 Account Manager and Client meet to 1hr 0
approve architecture
21 Send to development queue 30 min 0
22 Wait in development queue 0 120 hrs
23 Development completes 72 hrs 0
24 Wait in testing queue 0 120hrs
25 Testing team tests/release 24 hrs 0
26 Wait for Account mgr to send 0 12 hrs
27 Account mgr sends deliverables 10 min 0
28 Client uses the deliverables 0 0

2. Process Cycle Efficiency (PCE) Calculation


- **Value-Added Time (PT):**

- Steps: 10 min (0.167 hr), 1 min (0.017 hr), 1 min (0.017 hr), 1 hr, 1 min (0.017 hr), 30 min
(0.5 hr), 4 hr, 30 min (0.5 hr), 1 hr, 30 min (0.5 hr), 1 hr, 30 min (0.5 hr), 72 hr, 24 hr, 10 min
(0.167 hr)

- **Total Value-Added Time:** 106.385 hrs

- **Total Waiting Time (WT):**

- Steps: 12 hr, 12 hr, 12 hr, 12 hr, 72 hr, 24 hr, 48 hr, 24 hr, 72 hr, 120 hr, 120 hr, 12 hr

- **Total Waiting Time:** 572 hrs

- **Total Lead Time:**

- 106.385 hrs (PT) + 572 hrs (WT) = **678.385 hrs**

- **Process Cycle Efficiency (PCE):**

- PCE = Value-Added Time / Total Lead Time

- PCE = 106.385 / 678.385 ≈ **15.7%**

3. Improvement Recommendations

**Main Bottlenecks and Causes:**

- Long waits for approvals, emails, assignments, meetings, and queues.

- Large development and testing queues (120 hrs each).

- Delays between meetings and communication.


**Suggested Improvements:**

1. **Automate Account Approval & Notifications:**

- Reduce manual approval, automate email confirmations.

2. **Resource Pooling for Assignments:**

- Assign requests immediately, not in daily batches.

3. **Dynamic Scheduling:**

- Use scheduling tools to minimize meeting wait times.

4. **Parallel Processing:**

- Allow some documentation and review steps to overlap.

5. **Reduce Queue Times:**

- Increase resources or optimize workflow to shorten development/testing queues.

6. **Immediate Communications:**

- Use instant notifications for critical steps.

7. **Lean Meetings:**

- Combine meetings and use collaborative tools to reduce meeting time.

8. **Continuous Flow:**

- Adopt Kanban or similar methodologies to improve workflow.

4. Summary Table
Metric Value
Value-Added Time 106.4 hrs
Total Lead Time 678.4 hrs
Process Cycle Efficiency 15.7%

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