MSS405009
Manage a value stream


Application

This unit describes the skills and knowledge required to manage an overall value stream, a supply chain or a demand chain, including close liaison with suppliers and customers. It may be applied to managing the chain internally and externally within an organisation.

This unit applies to a person in a senior role in an organisation, such as a manager, technical specialist or similar, who needs to manage the value, supply and/or demand chain on an ongoing basis to achieve the best overall contribution of valued added to their product in terms of customer benefit and features. The unit can be applied to value streams of large or small organisations and to internal and external value streams or a combination value stream.

This unit assumes that the value stream has been mapped and that the mapping is available.

No licensing or certification requirements exist at the time of publication. Relevant legislation, industry standards and codes of practice within Australia must be applied.


Elements and Performance Criteria

Elements

Elements describe the essential outcomes.

Performance Criteria

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Evaluate the value stream

1.1

Identify all members in the value stream for products in area of responsibility

1.2

Identify value added by each member of the chain

1.3

Identify non-value adding steps in the value stream

1.4

Identify acute and chronic issues which impact on the value stream

1.5

Develop priority list of items for improvement

2. Liaise regularly with chain members

2.1

Establish and maintain regular communication with all chain members

2.2

Identify current and forecast issues with each member

2.3

Work with members to help them address their issues

2.4

Build trust and confidence in the relationship

2.5

Develop with each chain member a priority list of items for improvement

2.6

Negotiate with all chain members to ensure improvements benefit chain members and improve the benefits and features perceived by the ultimate customer

3. Monitor the value added at each step

3.1

Identify changes in value added by each chain member

3.2

Identify areas where value adding changes are required

3.3

Develop a priority list of required value adding changes

3.4

Work with chain member to implement improvements

4. Continue to reduce muda (waste)

4.1

Identify muda (waste) in value stream

4.2

Work with chain members to continually reduce muda

Foundation Skills

This section describes those required skills (language, literacy and numeracy) that are essential to performance.

Oral communication skills to liaise with stakeholders and keep them informed.

Other foundation skills essential to performance are explicit in the performance criteria of this unit of competency.


Range Statement


Sectors


Competency Field

Competitive systems and practices