IDEAS home Printed from https://ideas.repec.org/a/ids/ijpqma/v30y2020i1p72-91.html
   My bibliography  Save this article

Cost value stream mapping as a lean assessment tool in a small-scale industry

Author

Listed:
  • B. Rajesh Menon
  • P.R. Shalij
  • K.R. Kiron
  • J. Sreejith
  • P. Sajeesh

Abstract

Value stream mapping (VSM) is a lean tool which addresses the non-value added activities in time domain. But, it fails to address it in a cost domain. In this work, a new tool called cost value stream map (CVSM) is proposed, which addresses the problems encountered in conventional VSM and cost-time profile (CTP) and maintaining the advantages of both. The determination of work in process inventory and non-value added costs incurred by using CVSM are demonstrated by presenting a case study. An SME in Kerala, India is selected for this. Lean techniques applied on the various non-value added activities in the order of their cost investments 27% reduction in lead time, 27%-32% reduction in WIP inventory and 40%-42% reduction in cost investment while manufacturing the product. The reductions when accounted annually there is a saving of INR.2,17,728 in the value added cost.

Suggested Citation

  • B. Rajesh Menon & P.R. Shalij & K.R. Kiron & J. Sreejith & P. Sajeesh, 2020. "Cost value stream mapping as a lean assessment tool in a small-scale industry," International Journal of Productivity and Quality Management, Inderscience Enterprises Ltd, vol. 30(1), pages 72-91.
    • Handle: RePEc:ids:ijpqma:v:30:y:2020:i:1:p:72-91
    as

    Download full text from publisher

    File URL: http://www.inderscience.com/link.php?id=107274
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ids:ijpqma:v:30:y:2020:i:1:p:72-91. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sarah Parker (email available below). General contact details of provider: http://www.inderscience.com/browse/index.php?journalID=177 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.