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Elements and Performance Criteria

1. Analyse the existing operations
   • Identify organisation capability for products and processes
   • Identify the major processing steps in meeting customer order or orders
   • Consult with employees, managers and other major stakeholders on major expected benefits from a move to a competitive systems and practices strategy
   • Identify lead times, throughput times and waiting times throughout process of meeting a customer order
   • Identify variations within the process
   • Identify causes of the variations

Required Skills

Required skills

Required skills include identifying and draw current state maps for jobsprocesses analysing current targets for jobs eg quality time and cost and identifying variations from targets analysing current processes used in the organisation including appropriateness of strategy operations and internal and external relationships including value stream members identifying waste proposing changes and determine costbenefit of each change selecting and adapting appropriate competitive systems and practices tools and techniques for a jobbing environment such as value stream mapping S Just in Time JIT mistake proofing process mapping kaizen and kaizen blitz setting of key performance indicatorsKPIsmetrics identification and elimination of waste communicating at all levels in the organisation and value stream and to audiences of different levels of literacy and numeracy developing future state maps

Required knowledge

Required knowledge includes competitive systems and practices principles and tools including value stream mapping S JIT mistake proofing process mapping kaizen and kaizen blitz setting of KPIsmetrics identification and elimination of waste establishing customer pull standardisation processes used in jobbing manufacture and other nonrepetitive operations businesses capabilities of equipment methods of estimating costsbenefits acceptable benefitcost ratios continuous improvement principles abilities and skills of personnel in organisation

Evidence Required

The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria required skills and knowledge range statement and the Assessment Guidelines for the Training Package
Critical aspects for assessment and evidence required to demonstrate competency in this unit	A person who demonstrates competency in this unit must be able to provide evidence of their ability to analyse existing operations and draft virtual flow process determine improvements that deliver the greatest overall benefit plan the implementation of competitive systems and practices strategy techniques and tools produce a current state value stream map draft possible future state value stream map monitor a continuous improvement strategy
Context of and specific resources for assessment	Assessment of performance must be undertaken in a workplace using or implementing one or more competitive systems and practices Access may be required to workplace procedures and plans relevant to work area specifications and documentation relating to planned currently being implemented or implemented changes to work processes and procedures relevant to the assessee documentation and information in relation to production waste overheads and hazard controlmanagement reports from supervisorsmanagers case studies and scenarios to assess responses to contingencies
Method of assessment	A holistic approach should be taken to the assessment Competence in this unit may be assessed by using a combination of the following to generate evidence demonstration in the workplace workplace projects suitable simulation case studiesscenarios particularly for assessment of contingencies improvement scenarios and so on targeted questioning reports from supervisors peers and colleagues thirdparty reports portfolio of evidence In all cases it is expected that practical assessment will be combined with targeted questioning to assess underpinning knowledge Where applicable reasonable adjustment must be made to work environments and training situations to accommodate ethnicity age gender demographics and disability
Guidance information for assessment	Assessment processes and techniques must be culturally appropriate and appropriate to the oracy language and literacy capacity of the candidate and the work being performed

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Range Statement

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.
Competitive systems and practices	Competitive systems and practices may include, but are not limited to: lean operations agile operations preventative and predictive maintenance approaches monitoring and data gathering systems, such as Systems Control and Data Acquisition (SCADA) software, Enterprise Resource Planning (ERP) systems, Materials Resource Planning (MRP) and proprietary systems statistical process control systems, including six sigma and three sigma JIT, kanban and other pull-related operations control systems supply, value, and demand chain monitoring and analysis 5S continuous improvement (kaizen) breakthrough improvement (kaizen blitz) cause/effect diagrams overall equipment effectiveness (OEE) takt time process mapping problem solving run charts standard procedures current reality tree Competitive systems and practices should be interpreted so as to take into account: the stage of implementation of competitive systems and practices the size of the enterprise the work organisation, culture, regulatory environment and the industry sector
Variations	Variations are deviations from desired targets and may cover variations in: quality time cost occupational health and safety (OHS)
Waste	Waste (also known as muda in the Toyota Production System and its derivatives) is any activity which does not contribute to customer benefit or features in the product. Within operations, categories of waste include: excess production and early production delays movement and transport poor process design inventory inefficient performance of a process making defective items activities which do not yield any benefit to the organisation or any benefit to the organisations customers
Stakeholders	Stakeholders may include: managers supervisors employees shareholders OHS mechanisms/representatives Industrial relations mechanisms/representatives suppliers customers service providers
Infrastructure needs	Infrastructure needs may include: physical infrastructure, including plant, equipment, tools, systems and processes information and control infrastructure work organisation, including numbers of employees work structure and skills and knowledge held by employees workforce development and, where required, training
Value stream	The value stream begins with the customer and includes all actions (both value adding and non value added) by both internal sections/departments and external organisations to meet a customer requirement. Depending on the operations and the customer requirement stages where value stream actions may occur include: sales outlet/representative information gathering, data analysis and research product design raw material sourcing intermediate processing final assembler/ collation/preparation support (services e.g. accounting, finance and legal) storage and delivery to customer after market support

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