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The Complete Lean Shop
Glossary - V

Validation - The act of confirming a product or service meets the requirements for which it was intended.

Validity -
The ability of a feedback instrument to measure what it was intended to measure; also, the degree to which inferences derived from measurements are meaningful.

- "Worth in usefulness or importance to the possessor; utility or merit." (American heritage dictionary) "price without a measure of quality is meaningless" (Deming) value is a combination of attributes, including quality. Some writers include price in the definition of value.

Value Added
- A customer-based perspective on quality that is used by services, manufacturing, and public sector organizations. The concept of value-added involves a subjective assessment of the efficacy of every step in the process for the customer. OR a term used to describe activities that transform input into a customer (internal or external) usable output.

Value Analysis -
Analyzing the value stream to identify value added and nonvalue added activities.

Value Based
- A definition of quality relating to the social benefit from a product or service.

Value Chain Activities
- Porter’s chain of activities, including inbound logistics, production, and outbound logistics.

Value Chain -
 A tool, developed by Michael Porter, that decomposes a firm into its core activities.

Value Engineering -
Analyzing the components and process that create a product, with an emphasis on minimizing costs while maintaining standards required by the customer.

Value Stream Loops -
Segments of a value stream with boundaries broken into loops to divide future state implementation into manageable pieces.

Value Stream Manager -
Person responsible for creating a future state map and leading door-to-door implementation of the future state for a particular product family. Makes change happen across departmental and functional boundaries.

Value Stream Mapping (VSM) -
(1) Value Stream Mapping is used to illustrate the flow and relationship between work processes. A key component of VSM is differentiating value adding activities from non-value adding activities. Reducing or eliminating non-value adding activities is of paramount importance and a principle goal of Lean Manufacturing. Upon careful and detailed examination of your processes through VSM, it soon becomes obvious where improvement opportunities lie. (2) A pencil and paper tool used in two stages. First, follow a product’s production path from beginning to end and draw a visual representation of every process in the material and information flows. Second, draw a future state map of how value should flow. The most important map is the future state map.

Value Stream -
All activities, both value added and nonvalue added, required to bring a product from raw material state into the hands of the customer, bring a customer requirement from order to delivery and bring a design from concept to launch. Also see “information flow” and “hoshin planning.”

Value Streams -
The value stream is all the steps and processes required to bring a specific product from raw materials to finished product in the hands of the customer. Analyzing the entire flow of a product will almost always reveal enormous amounts of waste and non value-added sequences.

Value System -
 A network of value chains.

Value-Added -
 A customer-based perspective on quality that is used by services, manufacturing, and public sector organizations. The concept of value-added involves a subjective assessment of the efficacy of every step in the process for the customer.

Value-Adding (VA): (a.k.a. Value-Added, Value-Add)
- Any activity that makes a product more like what a customer is willing to pay for.  Lean Manufacturing is about eliminating waste which is "Non-Value-Adding" (NVA), in order to strictly and consistently focus on Value-Adding activities which customers are more than happy to pay for.

Value-Based -
 A definition of quality relating to the social benefit from a product or service.

Values -
The fundamental beliefs that drive organizational behavior and decision making.

Variability - Variability refers to the differences among individual outputs of a process. In control chart pairs, it refers to the differences between individual observations and is analyzed in range, sigma, and moving range charts.

Variable - A characteristic that may take on different values. OR a measurement

Variable Data -
Measurement information. Control charts based on variable data include average (X-bar) chart, range (R) chart, and sample standard deviation (s) chart (see individual listings).

Variables Data
- (1) Data arising by obtaining a quantitative measure of a characteristic on an individual item or event. Often used to describe continuous data. (2) Variables data is data that is acquired through measurements, such as length, time, diameter, strength, weight, temperature, density, thickness, pressure, and height. X-bar and range, X-bar and sigma, and individuals and moving range charts are used to analyze variables data.

- The mean of squared deviations of individual values from the average. Is a measure of spread.

Variation -
(1) A change in data, characteristic or function caused by one of four factors: special causes, common causes, tampering or structural variation (see individual entries). (2) Any difference(s) that exist between design specifications and actual output. (3) Any quantifiable difference between individual "items". In business variation is often concerned with the differences between actual outcomes and what is expected by the customer. All variation is caused which can be classified as being due to common causes (random) or special causes (assignable). (4) Variation is the inevitable differences that occur among individual outputs of a process. Sources of variation may be grouped into two major categories: common causes and special causes.

Variety -
 The range of product and service choices offered to customers.

Verification -
The act of determining whether products and services conform to specific requirements.

Vertical Deployment -
 A term denoting that all of the levels of the management of a firm are involved in the firm’s quality efforts.

Virtual Prototyping
- Software-based engineering process that includes the use of modeling in multiple dimensions and in software simulated "normal operating conditions" in order to discover weaknesses, design improvement opportunities, and general refinement before physically building a tangible prototype.

Virtual Team -
Remotely situated individuals affiliated with a common organization, purpose or project, who conduct their joint effort via electronic communication.

Virtual Teams - 
Teams that do not physically meet but are linked together through intranets and the Internet.

Vision -
An overarching statement of the way an organization wants to be; an ideal state of being at a future point. OR picturing something as it ought to be or as you would want it to be in its ideal state.

Visual Controls -
Any devices that help operators quickly and accurately gauge production status at a glance. Progress indicators and problem indicators help assemblers see when production is ahead, behind or on schedule. They allow everyone to instantly see the group’s performance and increase the sense of ownership in the area. Also see “andon board,” “kanban,” “production board,” “painted floor” and “shadow board.”

Vital Few, Useful Many -
(1) A term Joseph M. Juran used to describe the Pareto principle, which he first defined in 1950. (The principle was used much earlier in economics and inventory control methods.) The principle suggests most effects come from relatively few causes; that is, 80% of the effects come from 20% of the possible causes. The 20% of the possible causes are referred to as the “vital few;” the remaining causes are referred to as the “useful many.” When Juran first defined this principle, he referred to the remaining causes as the “trivial many,” but realizing that no problems are trivial in quality assurance, he changed it to “useful many.” Also see “eighty-twenty (80-20). (2) These are the few (20%) independent variables, which contribute to maximum (80%) of the total variation. These are identified through Pareto Charts and Design of Experiments.

Voice of the Customer
- (1) A term that refers to the wants, opinions, perceptions, and desires of the customer. (2) The needs and wants of the customer (or aggregate of customers) for a service or product that typically is expressed as a "target", but in the past was usually expressed as a set of tolerances (a "target" with acceptable deviations in either direction). This information provides the basis for designing and managing the process. A process sometimes used to translate the customer voice into product and process planning is [[Quality Function Deployment (QFD). (3) The expressed requirements and expectations of customers relative to products or services, as documented and disseminated to the providing organization’s members.

Voice of the Process
- Whatever the process is producing (the outcomes). How this gets reported will depend on the sampling and measurement methods used. How the reported information gets translated will depend on the knowledge the interpreter has about that process, about variation and about systems.

Voluntary Standard -
A standard that imposes no inherent obligation regarding its use.

Voting and Ranking - To use a group’s expertise to select from among options. Used with a team and when there are limited data to help select an option or a solution to a problem. This technique provides more discrimination between options than the Nominal Group Technique. Like the Nominal Group Technique, this technique is only as good as the skills and knowledge of the team that is using it.