PMIAgile Certified Practitioner (PMI-ACP)

Agile Value Stream Analysis

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Copyright 2014, Simplilearn, All rights reserved.

Copyright 2014, Simplilearn, All rights reserved.

Objectives
After completing
this lesson, you will
be able to:

Explain Agile value stream mapping

Describe and use the various Agile flowchart symbols

List the steps in creating Agile spaghetti diagrams

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Value Stream Mapping

Value stream mapping is a technique used to analyze the flow of information, people, and material
required to bring a product or service to a consumer.

It is based on the concept of Lean manufacturing.

It consists of a series of steps and activities classified as value adding and non-value adding.

It is a key tool to identify and eliminate process waste and improve throughput.

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Value Stream Mapping (contd.)

Value stream mapping usually involves creating visual maps of the process (value stream maps) and
progresses through the following stages:

Identify the product or

service to be analyzed.

Create a value stream map

of the current process by
identifying the steps,
queues, delays, and
information flows.

Review the map to find

delays, waste, and
constraints.

Create a new value stream

map of the future
optimized state to remove
or reduce delays, waste,
and constraints.

Develop a roadmap to
achieve the future state

Plan to revisit the process

in the future to continually
calibrate and optimize.

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Value Stream MappingProcess

Value stream mapping entails several steps.
The first step is to identify the starting point of the process (who initiates it) and the end point (who
gets the result) of the process.

You

You and the

customer agree
on story

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Value Stream MappingProcess (contd.)

The second step in value stream mapping is to identify the high level steps, inventories, and queues
through the process focusing on the primary flow.

You

Select the story

from backlog

Meet the
customer

Determine
Acceptance Tests

You and the

customer agree
on story

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Value Stream MappingProcess (contd.)

The third step in value stream mapping is to identify any supporting groups and alternative flows,
such as selecting another story if the customer representative is not available.

You

Select the story

from backlog

Meet the
customer

Story cards

Customer reps

Determine
Acceptance Tests

You and the

customer agree
on story

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Value Stream MappingProcess (contd.)

The next step in the value stream mapping is to classify activities as value adding and non-value
adding.
You

Value add

Non - value add

Select the story

from backlog

Meet the
customer

Story cards

Customer reps

10 mins

You and the

customer agree
on story

60 mins

10 mins

60 mins

45 mins

Total Cycle time = Value Added + Non-value added time

Process Cycle Efficiency = Total Value Add Time
Total Cycle Time
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Determine
Acceptance Tests

30 mins

15 mins

Total Cycle Time = 230 mins

Total Process Efficiency = 140 = 61%
230
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Mapping Seven Wastes of Lean Manufacturing to Software

The Lean methodologies provide guidance on identifying waste in the manufacturing world. Mary
Poppendieck has translated these for the software development activities.
Type of Waste

Description

Example

Partially done
work

Work started, but not complete. Partially done work will lose
its value over time

Code waiting for QA; Specs waiting for

development

Extra processes

Extra work that does not add value

Unused documentation; Unnecessary approvals

Extra features

Features that are not required, or thought of as nice to have

Gold plating; Technology features

Task switching

Multitasking between multiple projects that has context

switching penalties

People on multiple projects

Waiting

Delays waiting for reviews and approvals

Waiting for prototype reviews; Waiting for

document approvals

Motion

The effort required to communicate or move information or

deliverables from one group to another. If teams are not colocated, this can be higher

Distributed teams; Handoffs

Defects

Defective documents or software that needs correction

Requirements defects; Software bugs

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Agile Flowcharts
An Agile flowchart is a useful tool for illustrating the process flow. A process is a set of activities with a
defined trigger or starting event that produces a specific output of value to a customer.

Flowcharts are used for analyzing, designing, documenting, and managing a process or program in
various fields.

Flowcharts help uncover process gaps which contribute to waste, delays, and bottlenecks.

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Agile flowcharts are also known as process flow chart, functional flow chart, process map, process chart,
functional process chart, business process model, process model, process flow diagram, work flow diagram,
and business flow diagram.
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Flowchart Symbols
Various flow chart symbols and their uses are given below:
Name

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Symbol

Use in flowchart

Oval

Denotes the beginning or end of a program.

Flow line

Denotes the direction of logic flow in a program.

Parallelogram

Denotes either an input or an output operation (e.g., Print).

Rectangle

Denotes a process to be carried out (e.g., Addition).

Diamond

Denotes a decision (or branch) to be made. The program should

continue along one of the two routes (If/then/else).

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Agile Spaghetti Diagrams

Spaghetti diagram is a graphical tool that uses a continuous flow line, tracing the path of an item, or
activity through a process.

The continuous flow line enables process teams to identify redundancies in the work flow and
opportunities to expedite process flow.

Spaghetti diagram is also known as physical process flow, point-to-point flowchart, or workflow
diagram.

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Spaghetti DiagramsSteps
The steps involved in creating a spaghetti diagram are as follows:

Sketch the current

work area
arrangement in
detail.

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Draw a line to mark

every trip each
person or unit makes
from one point to
another.

Add more lines as

more trips are made.

Identify the wasteful

and redundant trips.

As more wasteful or redundant trips are made, the chart gets thicker with more lines.
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Benefits of Spaghetti Diagram

The benefits of using spaghetti diagram are as follows:

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It identifies inefficiencies in area or plant layout.

It identifies opportunities to reduce handling.

It identifies opportunities for better workforce communication.

It identifies resource allocation opportunities.

It identifies opportunities for improvement of workplace safety.

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Process ImprovementReal Life Example

Harris Products Group, a subsidiary of publicly traded Lincoln Electric Co., produces a variety of
products used in the metal brazing, cutting, and welding industries, and an array of gas-control
equipment used in industrial, medical, and laboratory applications.
As a part of its continuous drive for improvement, Harris Products Group wanted to improve the
preparation of chrome-plated components for assembly into its gas-pressure regulators.

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Process Improvement ExampleSolution

Bill Nusbaum, the Northeast Region Manager, and Tara Barrett, a Lean Services Product Manager for
GaMEP, performed a value stream mapping analysis.
Analysis

Production area A, B, C,
and D

Implementation
A

Value stream
mapping

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Supermarket
A, B, C, and D

Current state value

stream map

The value stream mapping tool provides detailed

information of the flow of materials through a production
process. It helps to identify areas for improvement.

Supermarkets (locations in which a standard amount of

inventory is stored) were established at various points
along the production chain to ensure a steady flow of
components through the production process.
Supermarkets were restocked whenever they were
running low on inventory.
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Process Improvement ExampleOutcome

After reorganizing the production process, Harris Products Group witnessed following improvements:

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For the past 18 months, there have been no instances of outages of components.

There was a 75% reduction in WIP related to the components.

The cash that was previously used in inventory was saved, leading to significant savings.

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Quiz

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QUIZ
1
a.

Which of the following diagrams can be used to show the flow of materials through
various areas, departments, or physical spaces?

Flowcharts

b. Spaghetti diagrams

19

c.

SIPOC diagram

d.

Swimlane diagrams

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QUIZ
1
a.

Which of the following diagrams can be used to show the flow of materials through
various areas, departments, or physical spaces?

Flowcharts

b. Spaghetti diagrams
c.

SIPOC diagram

d.

Swimlane diagrams

Answer: b.
Explanation: Spaghetti diagrams show the flow of materials through various areas, departments, or
physical spaces. A SIPOC diagram is a high level process map that provides an overview the entire process,
from supplier to customer. Swimlane diagrams are more useful for demonstrating roles and responsibilities.
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QUIZ
2
a.

Which of the following helps to determine the steps that add value to a process and
the ones that do not?

Flowchart

b. Swimlanes

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c.

Value stream map

d.

Spaghetti diagrams

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QUIZ
2
a.

Which of the following helps to determine the steps that add value to a process and
the ones that do not?

Flowchart

b. Swimlanes
c.

Value stream map

d.

Spaghetti diagrams

Answer: c.
Explanation: Value stream map is a sophisticated flow charting method that uses symbols,
metrics, and arrows to help visualize processes and track performance. This method helps
determine which steps add value and which do not.
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QUIZ
3
a.

Process Cycle Efficiency is determined by _____________.

Total Value Added Time divided by Total Non-Value Added Time

b. Total Value Added time minus Total Non-Value Added time divided by Total Cycle Time

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c.

Total Value Add Time divided by Total Cycle Time

d.

Total Process Time divided by Total Value Added Time

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QUIZ
3
a.

Process Cycle Efficiency is determined by _____________.

Total Value Added Time divided by Total Non-Value Added Time

b. Total Value Added time minus Total Non-Value Added time divided by Total Cycle Time
c.

Total Value Add Time divided by Total Cycle Time

d.

Total Process Time divided by Total Value Added Time

Answer: c.
Explanation: Process Cycle Efficiency = Total Value Add Time/ Total Cycle Time

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QUIZ
4
a.

Airline flight routes (maps) can be an example of which of the following diagrams?

Flowchart

b. Map

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c.

Topographic sheets

d.

Spaghetti diagram

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QUIZ
4
a.

Airline flight routes (maps) can be an example of which of the following diagrams?

Flowchart

b. Map
c.

Topographic sheets

d.

Spaghetti diagram

Answer: d.
Explanation: Airline flight routes are a common example of Spaghetti diagrams.

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QUIZ
5
a.

What defines a process?

A set of activities with a starting event and an output that creates value to a customer

b. A sequence of events that must be followed to achieve a result

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c.

A set of activities with a documented set of procedures

d.

A sequence of activities performed in a specific order

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QUIZ
5
a.

What defines a process?

A set of activities with a starting event and an output that creates value to a customer

b. A sequence of events that must be followed to achieve a result

c.

A set of activities with a documented set of procedures

d.

A sequence of activities performed in a specific order

Answer: a.
Explanation: A set of activities with a starting event and an output that creates value to a
customer.
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Summary
Here is a quick
recap of what was
covered in this
lesson:

Value stream mapping is a technique used to analyze the flow of

information, people, and material required to bring a product or service to a

consumer.

Value stream mapping is a key tool to identify and eliminate process waste
and improve throughput.

An Agile flowchart is useful for illustrating the process flow.

Spaghetti diagram is a graphical tool that uses a continuous flow line,

tracing the path of an item, or activity through a process.

Spaghetti diagram gets thicker with more lines as more wasteful or

redundant trips are made.

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Copyright 2014, Simplilearn, All rights reserved.

THANK YOU

PMI & ACP are the registered marks of Project Management Institute, Inc.

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Copyright 2014, Simplilearn, All rights reserved.

Copyright 2014, Simplilearn, All rights reserved.