Value Engineering
Value Engineering
Presentation Outline:
1. Value Engineering (VE)
1.1 Definitions
1.2 History
1.3 Objectives
1.4 Concepts
1.5 Philosophy
1.6 Methodology
1.6.1 Process of value engineering
1.7 Value Engineering (VE) Advantages and disadvantages
1.8 Value Engineering (VE) Job Plan
1.9 Value Engineering (VE) Principals, Team work and Relationships
1.10 Performance based value engineering
1.11 Value Analysis and Value Engineering (VAVE)
2. Conclusion
3. References
10.3 Value Engineering
(VE)
1.1 What is Value Engineering?
Origin during World War II, when innovation was required because of
“material shortages and skilled labor shortage”.
1.3 VE Objectives
An improvement systematic
Focused on cost system or service in any kind of business or economic sector,
including industry, government, construction and service.
Benefits to reducing overall life-cycle costs and it can find ways to utilize our
resources better.
• People
• Time
• Money
• Material
1.6 VE Methodology
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1.6.1 Value Engineering (VE) Process
VE-1 VE-2
VE-3
Orientation/ Information
Creativity
Preperation gathering
VE-7
Implementation
Advantages:
Disadvantages:
Function analysis
Specific creative effort to develop design alternatives
Not degrading the required performance
Cost assignment for each function
1.9 VE Principals, Team work and Relationships
A fundamental principal of VE is teamwork.
The quality of human relations can relate directly to success or failure of the project.
The effectiveness of VE effort depends upon the amount of cooperation the Engineer
receives from managers, engineers, designers, and other involved in the project.
1.10 Performance based VE
Performance attributes an integral part of the VE process as represent those
aspects of a project’s scope and schedule that possess a range of potential
values, as shown below:
Maintainability
Operations
Construction Impacts
Environmental Impacts
Project Schedule
1.11 Value Analysis and Value Engineering (VAVE)
Value Engineering “VE” Value Analysis “VA”
Describe the application of the techniques Describe the application of the techniques
to new products to an existing product or service
Applies the principles and techniques to Applies the principles and techniques to
pre-manufacturing stages such as concepts manufacture, after sales
development, design and prototyping
Thank You