16885J/ESD35J-NoV18,2003 Fundamentals For Developing a Lean Process Ⅴ alue phases Valu value Value Identification Proposition Delivery Specify value: Value is defined by customer in terms of specific products services Identify the value stream: Map out all end-to-end linked actions, processes and functions necessary for transforming inputs to outputs to identify and eliminate waste(Value Stream Map or VSM) Make value flow continuously: Having eliminated waste, make remaining value-creating steps"flow Let customers pull value: Customer's pull cascades all the way back to the lowest level supplier, enabling just-in- time production Pursue perfection: Pursue continuous process of improvement striving for perfection Source: James Womack and Daniel T. Jones, Lean Thinking(New York: Simon &t Schuster, 1996)16.885J/ESD.35J - Nov 18, 2003 Fundamentals For Developing a Lean Process • Specify value: Value is defined by customer in terms of specific products & services • Identify the value stream: Map out all end-to-end linked actions, processes and functions necessary for transforming inputs to outputs to identify and eliminate waste (Value Stream Map or VSM) • Make value flow continuously: Having eliminated waste, make remaining value-creating steps “flow” • Let customers pull value: Customer’s “pull” cascades all the way back to the lowest level supplier, enabling just-in￾time production • Pursue perfection: Pursue continuous process of improvement striving for perfection Value Identification Value Proposition Value Delivery Value Phases Source: James Womack and Daniel T. Jones, Lean Thinking (New York: Simon & Schuster, 1996)