Value Stream Constraints: Variation
Analyzing our Value Stream we identify a number of constraints that limit its effective capacity. The most visible constraints are the capacity of the different steps. But there are other, not so obvious, constraints such as the capacity variation of some steps. Process variation has been described as a virus infecting the value stream: it causes chaos and it is often undetected. Dice Throwing Exercise A bottleneck limits the effective capacity of the whole line. Bottlenecks caused by variation are more subtle and difficult to detect and act upon. Process simulation can help us experience the effects of different types of constraints, try solutions and detect possible side effects. Process simulation helps us understand the value stream dynamic behavior: how variation affects key process metrics such as WIP, Lead time, Throughput, Cycle time, On Time Delivery, etc. Understanding these dynamic effects will enable us to get to the root cause of problems implementing def...