1. Lean Webinar Series Metrics-Based Process Mapping November
5, 2009 CompanyLOGO
2. Learning Objectives Participants will learn: Key differences
between a value stream and metricsbased process maps. Key time and
quality metrics for effective improvement in office and service
settings. Step-by-step approach for creating current and future
state maps. How to use the MBPM as a standard work and process
monitoring tool. 2009 Karen Martin & Associates2
3. Macro vs. Micro - Review Value Stream Mapping (yesterdays
webinar) Macro view Rooftop perspective, 30,000 ft view Future
state designed by leadership Strategic What are we going to
do?Metrics-Based Process Mapping Micro view In the weeds Future
state designed by frontline workers Tactical How are we going to do
it? 2009 Karen Martin & Associates3
4. The Work We Do: Degrees of Granularity 30,000 ft View
(Strategic)Value Stream ProcessStep In the Weeds (Tactical) 2009
Karen Martin & AssociatesProcessStepValue Stream MapProcessStep
Metrics-Based Process Map4
5. Traditional Mapping Method: Process Flow Chart Look up
Customer in Eclipse SALESNew Customer?YesEnter Order SALESProduct
in Stock?YesPrint Ship Ticket SALESLoad Trucks SHIPPINGNo NoEnter
Customer Information ADMINYesPerform Credit Check
FINANCEOkay?Notify Sales COD Only; Notify Admin No to update
Customer Profile FINANCEOrder Material PURCHASINGReceive Material
RECEIVINGWheres the quality? Wheres the time? 2009 Karen Martin
& Associates5
6. What is a Metrics-Based Process Map? A visual process
analysis tool, which integrates: Functional orientation of
traditional swim lane process maps Key Lean time and quality
metricsTool which highlights the disconnects / wastes / delays in a
process Keeps the improvement focus properly directedServes as
standard work for workforce training and process monitoring 2009
Karen Martin & Associates6
7. Metrics-Based Process Mapping (MBPM)
8. When is the MBPM Used? For current state analysis and future
state design during an office/service-based Kaizen Event. As a
stand alone improvement tool. 2009 Karen Martin &
Associates8
9. Mapping Prep If Not Part of a Kaizen Event Select a skilled,
objective facilitator. Create a mapping charter who, what, where,
when & why. Define the scope. Select the fence posts (first and
last steps). Select a specific situation or set of
conditions.Select the team. No more than 10. Include
representatives from all functions within the fence posts,
including customers and suppliers. Include people who currently do
the work. If too many people involved, narrow your scope. If
possible, include objective outside eyes. 2009 Karen Martin &
Associates9
10. Document the Current State Step 1 Label the map in the
upper right hand corner. Include process name, conditions mapped,
date, and facilitator name and/or team members. 2009 Karen Martin
& Associates10
11. Step 1: Label the map Process Name Included/Excluded
Conditions Current State MBPM Date Facilitator and/or Team NamesUse
36 wide white paper with 6 swim lanes (hand drawn, chalk lines, or
pre-printed). Email me if you want a preprinted version you can
print on a plotter printer.
12. Document the Current State Step 2 Label the swim lanes with
the functions involved. Include external functions, if appropriate
(e.g. customers, suppliers/contractors, etc.) 2009 Karen Martin
& Associates12
13. Step 2: List functions Function AFunction BFunction
CFunction DFunction EFunction FProcess Name Included/Excluded
Conditions Current State MBPM Date Facilitator and/or Team
Names
14. Document the Current State Step 3 Document all
activities/steps on 3 x 6 post-its. Use verb/noun format; clear and
concise. Include function. Separate tasks that have different
quality outputs or timeframes; combine tasks otherwise. Place
post-its in appropriate swim lane, sequentially. 2009 Karen Martin
& Associates14
16. MBPM Post-it Conventions Activity (Verb / Noun)Function
that performs the task
17. Document the Current State Map the rule (80%), not the
exceptions (20%). For metrics with ranges, use the median.Continue
to add conditions to your scope if you need to. To minimize it
depends answers. 2009 Karen Martin & Associates17
18. Document the Current State Step 4 Number the activities.
Number the activities sequentially from left to right. For parallel
activities, add A, B, etc. Example: Step 8A, Step 8B, etc.Dont
number the post-its until the map is final. 2009 Karen Martin &
Associates18
19. MBPM Post-it Conventions Step # Activity (Verb /
Noun)Function that performs the task
20. Step Step 1 2Parallel Steps: 8A & 8B
21. Document the Current State Step 5 Add activity-specific
information: Number of staff involved (if relevant) Barriers to
flow Batches Shared resources Equipment downtime Etc.Key metrics
(include units of measure) Process Time (PT) Lead Time (LT) Percent
Complete & Accurate (%C&A) 2009 Karen Martin &
Associates21
24. Task-Level Metrics: Time Process time (PT) The time it
takes to actually perform the work, if one is able to work on it
uninterrupted Includes task-specific doing, talking, and thinking
aka touch time, work time, cycle timeLead time (LT) The elapsed
time from the time work is made available until its completed and
passed on to the next person or department in the chain aka
throughput time, turnaround time, elapsed time 2009 Karen Martin
& Associates24
25. Lead Time vs. Process Time Scenario 1 Lead TimeProcess
TimeWork ReceivedWork passed to next stepLT = PT + Waiting / Delays
2009 Karen Martin & Associates25
26. Lead Time vs. Process Time Scenario 2Lead TimeProcess Time
Work passed to next stepWork ReceivedLT = PT + Waiting / Delays
2009 Karen Martin & Associates26
28. Key Lean Metric: Quality %Complete and Accurate (%C&A)
% time downstream customer can perform task without having to CAC
the incoming work: Correct information or material that was
supplied Add information that should have been supplied Clarify
information that should or could have been clearThis output metric
is measured by the immediate downstream customer and all subsequent
downstream customers. If workers further downstream deem the output
from a particular step to be less than 100%, multiply their
assessment of quality with the previous assessments. 2009 Karen
Martin & Associates28
29. Metrics Reminders Typically obtained via interview;
questions must be high quality PT & LT You can chunk these
metrics for a series of post-its when necessary When wide
variation, do one of three things: Narrow your scope (pick a
specific circumstance) Use the median Indicate the variation, but
use the median for the timeline%C&A Determined by immediate
downstream customer and all subsequent downstream customers
Response is placed on the post-it for the output step 0% at a
particular step is not rare 2009 Karen Martin &
Associates29
30. Documenting the Current State Step 6 Define the Timeline
Critical Path Longest LT unless dead-end step If longest LT is a
dead end step, then bring the next longest LT to the timelineUse
colored marker 2009 Karen Martin & Associates30
31. Step 6: Define the Timeline Critical PathFor parallel
activities: Chose the longest LT unless a dead-end activity
32. Documenting the Current State Step 7 Create the timeline
Bring down the PT & LT from the timeline critical path steps.
2009 Karen Martin & Associates32
33. Step 7: Create the Timeline
34. Document the Current State Step 8 Calculate the summary
metrics Timeline PT Sum Timeline LT Sum % Activity (PT Sum/Total LT
Sum) x 100Rolled First Pass Yield (RFPY) %C&A x %C&A x
%C&A Include ALL post-its, not just critical path 2009 Karen
Martin & Associates34
35. Summary Metrics: Labor Requirements Total PT Sum of all
activities, not just timelineLabor Requirements # FTEs=Total PT (in
hrs) X # occurrences/year Available work hrs/year/employeeFreed =
CS FTEs - FS FTEs Capacity * FTE = Full-time Equivalent (2 half
time employees = 1 FTE) 2009 Karen Martin & Associates35
36. Metrics-Based Process Mapping Summary Metrics Metric
Timeline PT Timeline LT% Activity Rolled First Pass YieldTotal
Process Time Labor requirements Freed capacityCurrent
StateProjected Future StateProjected % Improvement
37. Document the Current State Step 9 Identify the value-adding
(VA) and necessary non-value-adding (N) activities Use small
colored post-its labeled with VA or N. All unlabelled post-its
represent waste. NOTE this is the first of two bridge steps between
current state documentation and future state design. 2009 Karen
Martin & Associates37
38. Step 9: Label the value-adding (VA) and necessary non-value
adding (N) activities 2009 Karen Martin & Associates38
39. Document the Current State Step 10 Circle (with a red
marker) the step-specific metrics that indicate the greatest
opportunity for improvement. Low step-specific %activity, low
%C&A, etc. This is the second of the two steps that provide the
bridge between current state documentation and future state design
2009 Karen Martin & Associates39
40. Step 10: Circle the data that indicates the greatest need
for improvement
41. Current State Facilitator Tips Keep the team focused on
current state. Quickly flip chart future state ideas to capture
them, then return to current state. If the LT is 8 hrs for a block,
it doesnt matter if the PT is 5 or 8 mins. Limit debates over
things that dont matter. If three people perform the work three
different ways, select one way for the current state map. Create a
safe environment for telling the truth. It is what is it. No blame.
No worries. People arent the problem. The process is the problem.
Help digest how bad the process is. Itll be easy to be a rock star!
2009 Karen Martin & Associates41
42. Typical Current State Findings Islands of value-adding
activities All other time is waste. ReworkFirst StepAdding
ValueLast StepFuture State Design: How can we progress from one VA
or N step to the next and eliminate all waste? 2009 Karen Martin
& Associates42
43. Future State Design Goals Reduce overall LT & PT
Improve quality (increase RFPY) Increase % activity Improve LT, PT,
and %C&A at individual stepsMay need to perform root cause
analysis before determining countermeasures to realize the future
state Mapping steps Clean sheet or modify current state map Same
steps as current state Calculate projected metrics 2009 Karen
Martin & Associates43
44. Future State Design Considerations Eliminate steps /
handoffs Combine steps Create parallel paths Alter task sequencing
and/or timing Implement pull Reduce / eliminate batches Improve
quality Create an organized, visual workplace Reduce changeover
Eliminate motion & transportation Standardize work Eliminate
unnecessary approvals / authorizations Stop performing nonvalue
adding (NVA) tasks Co-locate functions based on flow; create cells
(teams of crossfunctional staff) Balance work to meet takt time
requirements44
45. The Right Process Standardize work Mistake proof work Make
problems visual Fix problems immediately Create continuous flow
Level demand Balance work Create pull systems 2009 Karen Martin
& Associates45
46. Future State Facilitator Tips Reduce resistance by pointing
out how boring waste is and how energizing it is to provide
customer value. Spark innovation by using examples outside your own
company / industry. Guarantee the team that they will not lose a
paycheck and that theyll be properly trained for any new role they
take on. Guarantee the team that if the process is more difficult
(after a learning curve), youll revisit the improvement. Guarantee
the team that youll only make a process change if its indeed an
improvement. 2009 Karen Martin & Associates46
47. Document Projected Future State Results MetricCurrent
StateProjected Future StateProjected % ImprovementCP PTCP LT AR
RFPY Total PT Labor requirements Freed capacity 2009 Karen Martin
& Associates47
48. PACE Prioritization Matrix Easy4523 1322817 31021116 15 20
19146 711 218 12DifficultEase of Implementation9HighAnticipated
BenefitLow
49. Create an Action Plan: Who, What, When, Where, and How?
Future State Implementation Plan Value Stream Outpatient
ImagingImplementation Plan Review DatesExecutive Sponsor Allen
Ward11/1/2007Value Stream Champion Sally McKinsey11/21/2007Value
Stream Mapping Facilitator Dave Parks12/13/2007Date Created
10/18/2007 Block # 2Goal / Objective Improve quality of
referralImprovement ActivityType KEImplement standard work for
referral processOwner Sean O'RyanPROJ1/10/2008 Implementation
Schedule (weeks) 2 3 4 5 6 7 8 9 10 11 12Dianne Prichard3, 4Reduce
lead time beween schedulingand Cross-train and colocate work teams
preregistration steps5, 6Eliminate the need for two patient
checkinsCollect copays in ImagingKEMichael O'Shea6Eliminate
bottleneck in waiting areaBalance work / level demandKEDianne
Prichard9Eliminate lead time associated with transcription
stepImplement voice recognition technologyPROJSam Parks10Eliminate
batched readingReduce setup requiredKESam Parks7Reduce inventory
costs, regulatory risk and storage needs5S CT supplies area;
implement kanbanKEMichael O'Shea12Reduce delay in report
deliveryImplement additional fax portsPROJMartha Allen12Reduce
delay in report deliveryIncrease percentage of physicians receiving
electronic delivery (rather than hard copy)KE1Martha AllenApprovals
Executive SponsorValue Stream ChampionValue Stream Mapping
FacilitatorSignature:Signature:Signature:Date:Date:Date:Date
Complete
50. The Improved State Becomes Standard Work Current State
Metrics-Based Process Map0PT Units 1 0SecondsHoursMinutesDaysLT
Units 15 6 -1 0SecondsHoursMinutesDaysProcess Details Specific
Conditions Domestic orders through sales force Occurrences per Year
37,500 Hours Worked per Day 8 Date Mapped 25-Jun-08Step # Function
/ Department1 CustomerMapping Team Diane O'Shea Sean Michaels Sam
Parks Sally Dampier Michael PrichardProcess Name Order
Fulfillment12ActivityPTLT%C&AFax PO to Sales Rep00Ryan Austin
Mary TownsendFacilitator Dave Morgan
3445%PTLT%C&AActivityPTLT%C&AReview PO; clarify with
customer as needed20290%Fax PO to
warehouse104ActivityPTLT%C&AActivityPTLT%C&ACheck inventory
levels; notify Sales Rep re: status2 Sales RepActivity590%5495%Fax
PO to Sales Rep50.3390%5 Finance6Warehouse / ShippingCritical Path
PT Critical Path LT Rolled %C&A Total PT020 0010 245% 205 490%
105 490%0.33 95%590% 5
51. Electronic Documentation? Archive the teams work Distribute
the maps to remote locations Document the new standard work for the
process Training/retraining staff Monitoring process
performanceCommunicate the impact of Kaizen Events and other
improvement activities 2009 Karen Martin & Associates51
52. Recommended ResourcesChapter 12 Manual method
53. Learning Objectives Participants will learn: Key
differences between a value stream and metricsbased process maps.
Key time and quality metrics for effective improvement in office
and service settings. Step-by-step approach for creating current
and future state maps. How to use the MBPM as a standard work and
process monitoring tool. 2009 Karen Martin & Associates53
54. Thank You! Link to todays slides (pdf format)
http://www.ksmartin.com/files/01ag89/mbpmj9eU Y43.pdf
www.ksmartin.com/files/mbpm_webinar.pdfNext webinar Kaizen Events
tell a friend! Part I December 4 Planning Part II December 5
Executing & Follow-upRegister for monthly newsletter and
webinar announcements tell a friend! www.ksmartin.com/subscribe
2009 Karen Martin & Associates54
55. For Further QuestionsKaren Martin, Principal 7770 Regents
Road #635 San Diego, CA 92122 858.677.6799 [email protected] 2009
Karen Martin & Associates55
56. Using the Excel-Based Tool 2008 Karen Martin & Mike
Osterling56
57. Why Capture the MBPM Electronically? Archive the teams work
Distribute the maps to remote locations Document the new standard
work for the process Training/retraining staff Monitoring process
performance Communicate the impact of Kaizen Events and other
improvement activities 2008 Karen Martin & Mike
Osterling57
58. Product Information The CD contains three files:
Essentials.pdf describes the step-by-step approach for creating
MBPMs manually, using paper and post-its Users Guide.pdf describes
the tools functionality and the steps to creating electronic
versions of the MBPMs MBPM.xlt the Excel-based tool
MappingIncluding a Quick Start Guide for mature Excel users and
those who already know how to create MBPMs 2008 Karen Martin &
Mike Osterling58
59. The Excel-Based Tool: Easy to Use Intuitive design Custom
tool bar and pull-down menus Color-coded cells Automated metrics
calculations Mistake-proofing audit feature Easily distribute
electronic read only versions of the process flow to nonlicensed
users 2008 Karen Martin & Mike Osterling59
60. Tool LayoutSeven sheets Current State Future State Summary
Metrics Audit Findings Metrics Descriptions Sample MBPM Quick Start
GuideCustom toolbar with easy to use pull-down menus
61. Custom Toolbar Features InsertRemoveMoveMap Management
62. Map Structure Process StepsFunctionsCurrent State
Metrics-Based Process Map0PT Units 1 0SecondsHoursMinutesDaysLT
Units 15 6 -1 0SecondsHoursMinutesDaysProcess Details Specific
Conditions Domestic orders through sales force Occurrences per Year
37,500 Hours Worked per Day 8 Date Mapped 25-Jun-08Step # Function
/ Department1 CustomerMapping Team Diane O'Shea Sean Michaels Sam
Parks Sally Dampier Michael PrichardProcess Name Order
Fulfillment12ActivityPTLT%C&AFax PO to Sales Rep00Ryan Austin
Mary TownsendFacilitator Dave Morgan
3445%PTLT%C&AActivityPTLT%C&AReview PO; clarify with
customer as needed20290%Fax PO to
warehouse104ActivityPTLT%C&AActivityPTLT%C&ACheck inventory
levels; notify Sales Rep re: status2 Sales RepActivity590%5495%Fax
PO to Sales Rep50.3390%5 Finance6Warehouse / ShippingCritical Path
PT Critical Path LT Rolled %C&A Total PT020 0 45%010 2 90%205
45 490% 100.33 95%590% 5Key Metrics & TimelineBlue color-coded
cells indicate the critical path
63. Color-Coded Summary Metrics SheetAuto-Calculates: Summary
time and quality metrics for before and after maps Projected %
improvement (color-coded for visual ease) Staffing requirements
User-defined metrics
64. Archiving your MPBM: 5 Easy Steps 1. 2. 3.Enter header
information Insert functions and steps Create the current state map
4.Enter activities & key metrics Define the critical path Audit
the mapCreate the future state map Enter activities & key
metrics Define the critical path Audit the map 5.View the Summary
Metrics Sheet 2008 Karen Martin & Mike Osterling64