Value engineering, also known as value analysis, is a competitiveness enhancing method that focuses on maximizing the value of a product (process, project) by making sure it fulfills the clients’ needs, at the lowest cost possible. The approach is systematic and includes a multi-step job plan, which in turn uses many tools to do product or process analysis. The training provides an overview of the whole job plan, including each phase of the job plan and uses a case study approach to assist participants to learn the methodology. The training explains the different uses of the methodology, what possible goals can be achieved, and when value engineering is useful. Finally, the instructor outlines how to implement a value management program in an organization.
By the end of this course delegates will be able to:
- Acquire in-depth knowledge on value engineering
- Introduce the overview of value engineering consisting objectives, methodology and techniques
- Classify the practical applications of value engineering using the project scope budget, CIAPB and preparation of cost
- models, planning for value engineering services, function analysis, etc.
- Apply value engineering to products, processes as well as projects
- Identify and measure the needs that products and processes have to fulfill
- Identify the solution with the best value for all stakeholders
DAY 1
Introduction: A Briefing
- The Objectives of Value Engineering
- The Reasons for Unnecessary Costs
- When to Apply Value Engineering
- VE Methodology and Techniques
- Interface with Other Programs
- Demonstrated Impact of VE
Value Engineering: Practical Applications
Project Scope and Budget
- Elements of the Project Budget
- Prevalent Budgeting Techniques
- Cost Control
- Defining Project Scope
- Parameters and Parameter Cost
The Capitalized Income Approach to Project Budgeting (CIAPB)
- CIAPB Objectives
- Measuring Property Value
- The Meaning of Capitalization
- The Capitalization Process
- The Need for Cost Control
DAY 2
Preparation of Cost Models
- Making Models
- Construction Cost Models
- Other Resources
- Types of Models
Planning for Value Engineering Services
- VE Objectives
- Level of Effort
- VE and Total Project Management
- Team Selection
- The VE Job Plan
Function Analysis
- Classifying Function
- Defining Functions
- Project Level Function Analysis System Techniques (FAST) Diagram
DAY 3
Creativity and Interpersonal Skills
- Creativity and Fixation
- Interpersonal Skills
- Human Factors
- Creativity throughout the Job Plan
- The Generation of Ideas
- Delphi Technique
- Value Engineering—A Crafted Strategy
Life Cycle Costing
- Decision Makers' Impact on LCC
- LCC and Total Building Costs
- LCC Terminology and Examples
- LCC Methodology
- Application of LCC to Buildings
DAY 4
Integrating VE into the Construction Industry
- Planning and Design
- Construction
- Maintenance and Operations (M&O)
VE Applications to Risk Assessment and Analysis
- Risk Assessment
- Risk Analysis
Day 5
Case Studies
- Case Study One: Corporate Office Building
- Case Study Two: Hospital and Staff Housing Complex
- Case Study Three: Refinery Facility
- Case Study Four: Master Planning Competition
- Case Study Five: Application to Design Review Government Headquarters/Complex
- Case Study Six: Highway Project: South Interchange
- Case Study Seven: Wastewater Treatment Plant
VE Workbook
- Introduction
- List of Forms
- Phase 1: Information Phase
- Phase 2: Function Phase
- Phase 3: Creative Phase
- Idea Stimulator Checklist
- Phase 4: Analysis/Judicial Phase
- Analysis/Judicial Phase: Analysis/Development
- Analysis/Judicial Phase: Analysis/Evaluation
- Phase 5: Recommendation
Phase 6: Presentation & Implementation
This course is intended for product engineers, manufacturing and continuous improvement engineers, industrial and general managers, operations and product development managers and technicians.