Methodology for preparing a Cost-Value Stream Map

Abstract

This paper proposes the methodology for preparing the Cost Value Stream Map (CVSM) which possesses the advantage of measuring the cost involved and time consumed in the production process stream. A value stream map addresses the value addition process in terms of time domain in a production process. CVSM addresses both the time and cost information simultaneously in a production process. This CVSM method equips the study of the production process in detail and helps to figure out the wastages in the process directly in terms of the cost involved in the production. The cost line added alongside the time line in the modified VSM is a simple tool which can be utilised by lean experts in identifying the wastage in production process in terms of the cost involved. CVSM is prepared by collecting data from company in the prescribed format. All this data thus collected can be consolidated to prepare CVSM. A case study is conducted and a CVSM is prepared in a scaffolding pipe manufacturing unit in Kerala.