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Why You Should Care About Your Employee Value Stream

The term Value Stream is commonly associated with the manufacturing and distribution of products and services. It is a series of tasks and activities that produce a desired result satisfying an end customer. While this definition certainly applies, we have come to use Value Stream to apply to any series of business processes that produce a desired result for any stakeholder, such as business management, customers, employees, business partners and shareholders. For example, every company has an Employee Value Steam.


The Employee Value Stream (EVS) is a series of business processes that begin with a plan to hire a new employee and end with the off boarding of that employee. While it can vary greatly, depending upon services provided such as Learning and Development, the core EVS typically will contain somewhere between 8-12 business processes.


The Main Goal of the EVS is to deliver and develop a satisfied, effective and high performing employee that fulfills a corporate need.


The Main Supplier to the EVS is Corporate Resource Planning, which provides a staffing plan with a new employee requirement that must be satisfied by the EVS.


The Main Customer of the EVS is the business unit that the employee serves. The main product delivered by the EVS is a satisfied, effective and high performing employee throughout the employee’s career.


Shown below are 10 common business processes that comprise the Employee Value Stream and their general purpose.


1. Workforce Planning

Develops company staffing and recruiting requirements.


2. Recruiting

Delivers qualified candidates ready to receive an offer to fill new hire requirements.


3. Hiring

Delivers candidate offers, negotiates compensation and terms, and either hires or not.


4. On-Boarding

Sets-up and assimilates new employees into the company.


5. Compensation

Administers employees’ compensation accurately, timely, and complete.


6. Benefits

Educates enroll and administer employees’ enrollment in available insurance benefits.


7. Performance Management

Provides knowledge, direction, measurement, and feedback to deliver and maintain satisfied, effective, and high performing employees.


8. Succession Planning

Develops and maintains a plan for employee replacement of key leadership and management positions.


9. Development

Develops employee to their fullest capability throughout their careers with the company.


10. Off Boarding

End employee’s employment with the company.


Why You Should Care About Your Employee Value Stream

By approaching management and development in terms of a Value Stream that can be proactively managed throughout an employee’s career, a company can better align the business processes to more effectively meet the needs of both employees and the company. In addition, metrics can be synced up with workflow management and improvement efforts to target overall value stream performance. While improving a task is good, improving a process is better, and improving the total value stream will yield the best overall results.


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