A value-added step in a process is defined by three characteristics. First, the step must be something that the customer is willing to pay for. Second, the step must directly change the form, fit, or function of something to produce a product or service. The final characteristic of a value-added step is that it is so important that it must be done right every time to successfully produce the intended product or service. . Anonymous
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The three characteristics of value-added processes are that they must be something that customers are willing to pay for, that the steps must directly change the form, fit, or function of something to produce a product or service. When production is done by hand, for example, the steps are simple and straightforward. However, when production is automated, the steps are more complex and there are more opportunities to make mistakes. It is these mistakes that can lead to unsatisfied customers and lost sales.

Source: Continuous Improvement; Values, Assumptions, And Beliefs For Successful Implementation: Its All About The Culture

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