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VSM glossary of terms

Diagram Defined Custom Properties with entered values

NameCustom Data TypeDefinition
Availability %PercentThe percentage of time operators are available for this step in the process.
Changeover TimeDurationThe time taken to change from producing one type of product to another type of product. Assumed to be the average accumulated Change Over (C/O) time per shift.
Defect %PercentThe percentage of flawed products discarded at a step. Used to calculate Timeline data type Rolled Throughput Yield.
Inventory timeDurationThe amount of time spent in inventory. Combined with Inventory Amount on the Timeline if Inventory Amount is also entered.
Non-value Add TimeDurationThe time in a process step that a customer is not willing to pay for. Usually defined for steps that do work.
OperatorsNumberThe number of workers per shift, working in parallel at a step.
Percent Complete and AccuratePercentThe percent of products completed with perfect quality in a process step.
Pieces (Inventory Amount)NumberThe number of pieces (e.g., a part) between or at a process step.
Processing TimeDurationThe time for one product to move through a process step. The sum of Value Add Time and Non-value Add Time at the step.
Uptime %PercentThe percentage of time that needed equipment is available for this step in the process.
Value Add TimeDurationTime in a process step that a customer is willing to pay for.

VSM Diagram Settings

NameCustom Data TypeDescriptionCalculation
Available work timeNumbers

Multiple field entries for the following:

  • Hours per shift
  • break minutes per shift
  • shifts per day
  • days per week
  • days per month

Used to calculate fields like Takt Time or Lead Time

Takt TimeDurationA concept used to synchronize production or service delivery with customer demand. It represents the available time divided by the customer demand rate, setting the pace at which products or services need to be produced or delivered to meet customer requirements.Based on Diagram Settings. Calculated as Available Time / Customer Demand.

Timeline Custom properties

NameCustom Data TypeDescriptionCalculation

Processing Time

(This is also known as lead time)

DurationThe total amount of time needed to produce one piece of work through the value streamThe sum of all processing time and inventory time

Rolled Throughput Yield

(This is also known as Percent complete and accurate (% C&A))


Product of Yield at each step.

% C&A: The percent of products completed with perfect quality in a process step.

The product (multiplication) of Yield (100% - Defect %) for all steps

The product of % C&A for all steps. This takes priority over Defect % if both are entered

Total Value Add Time

DurationThe total time that a customer is willing to pay for.The sum of all Value Add Time

Value-Added Ratio

PercentThe percentage of total lead time that was spent in value-added work.(Value Add / Lead Time) * 100
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