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    What is Value Stream Management (VSM)?

    Understanding Value Stream Management

    At its core, Value Stream Management (VSM) is the practice of optimizing the flow of value from idea to delivery by mapping and analyzing the end-to-end process. VSM brings together people, processes, and technologies to ensure that work moves efficiently through every stage — from planning to execution, delivery, and feedback.

    By adopting VSM, organizations can eliminate waste, reduce inefficiencies, increase visibility, and enhance collaboration. It empowers teams to focus on delivering value faster while aligning business goals with operational outcomes, creating a seamless value delivery cycle.

    Whether you’re striving for faster time-to-market, improving operational efficiency, or enhancing cross-team collaboration, VSM provides the tools and insights needed to make it happen.

    Benefits of Value Stream Management

    VSM enables organizations like yours to deliver value more efficiently, adapt to changing markets, and be more successful. 95% of companies that adopt VSM practices experience improvements in visibility, alignment and efficiency.

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    Increase Visibility

    Gain a real-time view of plans, funding, and progress which allows your team to identify risks, dependencies, and opportunities for improvement over time.

    • Achieve near real-time end-to-end visibility into project status, resourcing, and capacity
    • Get a consolidated view of all processes that are part of the customer value of delivery cycle
    • Reduce risk through analysis for ongoing improvement and improved situational awareness
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    Reduce Time to Market

    Improve operational efficiency so your company can deliver products and services more quickly to satisfy customer demand.

    • Make the most of every stage in product development
    • Accelerate delivery of products and services to customers
    • Improve product quality to enhance customer experience and satisfaction
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    Lower Operational Costs

    Allocate resources more effectively to reduce expenses associated with inefficiency

    • Reduce wasted efforts, phantom projects, and overproduction
    • Optimize capacity planning for smooth-running teams
    • Reduce management, reporting, and funding inefficiencies
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    Create Alignment

    Align your organization’s goals with outcomes by prioritizing efforts, resources, and initiatives.

    • Close the gap between business goals and their realization
    • Keep on top of progress and outcomes with the right metrics
    • Streamline team (and teams of teams!) management and enterprise portfolios
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    Encourage Collaboration

    Encourage collaboration among teams involved in value delivery for better coordination and a shared understanding of goals.

    • Share visibility between departments through a single source of truth
    • Improve interdepartmental collaboration with better communication channels
    • Reduce friction through better resourcing and capacity planning
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    Mitigate Risk

    Identify potential risks and vulnerabilities in processes to avoid errors and interruptions to operations.

    • Maximize risk management across your organization
    • Improve team responsiveness to changes in strategy
    • Increase delivery quality to reduce downtime and breaches

    Why Value Stream Management Matters to Your Enterprise

    Experience Digital Transformation with Value Stream Management (VSM)

    Digital transformation is here. If your business is one of the eight in 10 facing these challenges, it’s time for a better solution:

    • cross-mark Lack of actionable data
    • cross-mark Inefficient processes
    • cross-mark Siloed departments
    • cross-mark Frustrated technology teams

    There’s a reason 86% of businesses are turning to Value Stream Management to mitigate the risks of their transformation. The statistics are undeniable: VSM is the way to set your digital transformation up for success.

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    VSM Use Cases and Business Challenges

    Businesses generally face three main challenges in digital transformation: visibility, alignment, and efficiency. Over 80% of executives believe these are critical factors for driving value. Fortunately, Value Stream Management provides multiple ways to solve visibility, alignment, and efficiency challenges. Some of the most common use cases include:

    • tick-mark Enhance decision-making: gain access to accurate, real-time data
    • tick-mark Improve trust: remove silos and create a single source of truth
    • tick-mark Minimize risk: get quick, accurate performance and impact measurements
    • tick-mark Align planning: utilize intent and delivery outcomes to address
    • tick-mark Reduce friction: streamline movement from value definition to realization
    • tick-mark Foster collaboration: help teams plan and work together
    • tick-mark Eliminate waste: prioritize work by optimizing resource management
    • tick-mark Improve speed to market: help the entire enterprise accelerate
    • tick-mark Drive continuous improvement: accelerate across multiple cycles by fostering a shared understanding

    What's Your Value Stream Management Maturity Level?

    Is your business squeezing every opportunity out of Value Stream Management, or is there room for improvement?

    Take our quick quiz to uncover ways to boost visibility, alignment, and efficiency within your organization.

     
    Start the Quiz

    VSM Resources

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    End-to-End Value Stream Management with ValueOps
by Broadcom

    ValueOps® by Broadcom, the industry’s only complete solution for end-to-end value stream management, is built to drive digital transformation by bringing visibility, alignment, and efficiency to the value stream lifecycle.

    ValueOps by Broadcom seamlessly converges Clarity®Rally®, ValueOps ConnectALL®, and ValueOps Insights in one platform, empowering leaders at every level to plan, fund, manage, track, and optimize their work efforts.

    Frequently Asked Questions

    What is Value Stream Management, and Why is it Important for Businesses?

    Value Stream Management is a technology-enabled business practice that focuses on delivering customer value by planning for and managing it throughout the complete project life cycle. It helps businesses achieve successful digital transformation.

    How Do You Implement Value Stream Management?

    Implementing Value Stream Management requires establishing clear goals, collecting and analyzing data, identifying specific areas to improve, and integrating new processes.

    What Tools and Software Can Assist in Value Stream Management?

    ValueOps by Broadcom is the most effective cloud-based solution to help businesses foster collaboration, align business and delivery, accelerate the software delivery process, and increase efficiency across the board.

    Are There Specific Case Studies or Examples of Organizations That Have Benefited From Value Stream Management?

    Yes. Global aerospace giant Boeing used Value Stream Management to eliminate wasted effort and reduce its technology budget by 30%, saving hundreds of millions of dollars in two years. Fast-casual restaurant chain Chipotle boosted its development productivity by 25%.

    What are the Principles of Value Stream Management?

    Value Stream Management aims to increase the value being delivered to customers, boost product quality, and optimize for better business results.

    VSM Customer Success Stories

    Check out our success stories to see how real organizations are using Value Stream Management to cut costs, speed up their transformations, and enhance efficiency.

    “We always thought we were doing a good job producing value until we started to work through this … in our first two years, we saved hundreds of millions of dollars.”

    Lynda Van Vleet, Boeing, Inc., Portfolio Management Systems

    “Value Stream Management lets people do the work they’re supposed to do instead of getting caught up in work about work.”

    Sr. Manager of Systems Engineering, Verizon

    “We always thought we were doing a good job producing value until we started to work through this … in our first two years, we saved hundreds of millions of dollars.”

    Lynda Van Vleet, Boeing, Inc., Portfolio Management Systems

    “We always thought we were doing a good job producing value until we started to work through this … in our first two years, we saved hundreds of millions of dollars.”

    Lynda Van Vleet, Boeing, Inc., Portfolio Management Systems

    About Our VSM Info Hub

    Broadcom created this Value Stream Management Info Hub to promote efficient and innovative approaches to software development and delivery.

    Our Value Stream Management Platform helps you see, measure, and automate end-to-end software delivery processes.

    Get in Touch

    Have a question? Our team is ready to help. Speak to one of our VSM experts today to accelerate your success and become an industry leader.