The Value Stream Owner is the individual or team responsible for the performance of an entire value stream. Usually this means a consolidation of functions and functional reporting. This may sound simple, but in practice it is extremely difficult to achieve. This is because most operations are set up with a bias toward functional performance: procurement, production, logistics and transportation, human resources, finance, etc.
Even so, it is possible to describe and implement a value stream owner concept in a matrix organization where there is a mix of solid and dotted-line reporting between functions and the value stream organization.
Optimizing value streams is a key competitive advantage and assigning an owner is a significant opportunity for enterprises that are willing to work at it.« Back to Glossary Index