Elements and Performance Criteria

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
Just in Time (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
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
Value-added
Value-added is measured against its contribution to the customer benefits/features and may be in the form of:
technical benefits/features
location benefits/features
aesthetic benefits/features
information benefits/features
Map value stream
The map of the value stream can be completed using:
hard copy (e.g. paper or whiteboard)
appropriate software tools
The map should show all participants and stages of materials and information flow and the value creating and non-value adding steps and processes
JIT
JIT refers to:
a production scheduling concept that calls for any item needed at a production operation (whether raw material, finished item, or anything in between) to be produced and available precisely when needed, neither a moment earlier nor a moment later
Waste
Waste (also known as muda in the Toyota Production System and its derivatives) is any activity which does not contribute to customer benefit/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

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:
review activities of organisations to determine:
their place in value stream
value added by each organisation
non-value added steps within each organisation
determine methods of measuring value added
prepare a map of a value stream that includes all value creating and non value adding steps.
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 control/management
reports from supervisors/managers
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 studies/scenarios (particularly for assessment of contingencies, improvement scenarios, and so on)
targeted questioning
reports from supervisors, peers and colleagues (third-party 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.