Multidimensional Assessment of Value Stream Design Alternatives

Abstract

Value Stream Design (VSD) is a widely used approach to rearrange the value stream by creating an ideal future state. In case the design process results in multiple value stream alternatives, the planner might be confronted with a multi-objective decision problem. The target of this paper is to research key performance indicators (KPIs) and assessment approaches that are linked to value stream management and to thus develop an assessment tool that can be used to compare value stream design alternatives. For that purpose, a literature review has been carried out. The identified system-related KPIs are classified into the categories flexibility, cost efficiency, and flow. The assessment approaches are described with respect to their function, their application in the analyzed literature, and the scope that the approach is taking into account. After all, the Technique for Order Preference by Similarity to Ideal Solution (TOPSIS) is selected as a well-suiting method to compare value stream alternatives in a flexible and comprehensible manner. TOPSIS is able to consider any desired kind or number of KPIs. The presented approach is evaluated in a value stream design project at the process learning factory CiP (Center for industrial Productivity) of the Institute of Production Management, Technology and Machine Tools (PTW) at the TU Darmstadt.