What is value engineering?

Here is a quick history lesson: Lawrence Miles was responsible for purchasing raw materials for General Electric during World War II when manufacturing was at its peak. Sounds like a great gig, but the war caused extreme material shortages. This left Miles searching for suitable alternatives that functioned similarly. He discovered that some substitutes weren’t only cost-effective, they were actually better. This realization was the origin of a new

technique called “value analysis,” more commonly known today as value engineering.

Value engineering is a process that seeks to maximize budget without sacrificing quality. It has been adopted by engineering companies and spread to industries more than that for over 70 years. In being able to offer this service, you can have full trust in us in delivering our promises to the highest potential, stress free for our customers. 

There’s no wrong time to value engineer. Planning and designing are two stages of the building lifecycle where value analysis creates the most value. Value engineering moves from presenting a financial gain to financial loss. There is one area where the design team should never compromise: safety. Any change that would result in a violation of building code or otherwise jeopardize the health and well-being of the people who use the facility should be rejected immediately. Value engineering is a methodology that ensures the owner is not over-paying for quality when an equally effective, less expensive option exists. Product quality is the ultimate prize.

It is an essential part of our company to provide this service. Working and creating the most efficient and high quality projects for our customers is our ultimate goal. We strive for our excellence, and without offering the most innovative and modern methods for our customers, we cannot achieve that. Working hand-in-hand with customers is key. Value Engineering is the new path for thriving in this industry. 

When you come to us with an idea or project plans, we will be fully transparent in informing you about value engineering. This service is what all customers dream about. We offer our services for the satisfaction of our customers. Working on the renovation you require while applying and implanting the correct approaches of value engineering is the correct route. Take the first step for your renovation with complete confidence and don’t worry about being disappointment.

1. Information gathering

Identify the material makeup and scope of a project. This step is all about collecting data and getting a clear understanding of the project. Materials, schedule, costs, drawings, and specifications are studied until the team is familiar with the project concept, who will be using the product and what the expectations entail. Once you know what you’re dealing with, you can begin to talk function.

2. Function analysis

 Analyze the functions of the elements identified in the previous step and evaluate their necessity to the goals of the project. There are two forms of functions; “primary functions,” vital to the existence of the final product, and “secondary functions,” notable but not critical to the core of the project. Once these are identified, the team can get creative and investigate solutions. 

3. Creative speculation

 Develop alternative solutions for delivering necessary building functions. The value engineering team brainstorms to generate potential design solutions to reach the project functions. It’s smart to focus on the big-ticket items because they have the most opportunity to deliver value. At this stage of the game, no viable options are eliminated, even those with serious flaws. Next, designers and their teammates will eliminate the weak plays to present only their strongest options on game day. 

4. Evaluation

Assess the alternative solutions. By turning to subject matter experts and questioning the available options, the team can begin weighing alternatives against one another. The primary focus of this discussion should be how well  each alternative can perform the function of the original solution. The evaluation may include where the facility will be built, how it will be used and the weather in the area. The details matter. Owner expectations matter too, so those must be discussed. Delivering value is tremendous but if the facility does not do what the owner intends and falls short of the owner’s vision, the team has missed the mark. Remember

that every choice has consequences. A change in one area of a facility can affect any or all other areas of the facility. The team must discuss the holistic effects of every alternative.

5. Cost analysis

One of the key strengths of value engineering lies in its ability to unearth cost-effective material alternatives. It scrutinizes the suitability of materials for various project functions, often revealing that a single material, such as tiles, can serve not only as an aesthetic element but also as a durable, cost-efficient flooring solution in large projects. Allocate costs to the alternative solutions. The design team’s best tool in this step of the process is accurate construction cost data. Historical pricing is great for a rough projection of costs for known materials, equipment, and tasks, but it may prove inadequate in the value engineering process. Project estimates need to be detailed, down to assembly or unit costs. To help get to this level of detail and assess feasible alternative solutions, many architects, owners, engineers, and other preconstruction professionals rely on accurate cost data from a reliable industry expert. Input from the maintenance team and lifecycle cost products help answer how much the alternative solution will cost over the long-term. This step will likely conclude with 2 options to choose from the original design, foe the price that costs a little more, and Alternative solution that costs a less.

6. Development

Develop the alternatives with the highest likelihood of success. Project timeline and available resources will influence the actions taken during this step. The team may create sketches, digital square foot models, verify cost estimates and/or validate other decisions during this time. At the very least, the team needs to assemble all recommendations, their advantages and disadvantages, and implementation plans to present to project owners.

Reach out to us! Send us an email or call  our phone. We are happy to answer any further questions or inquiries you might have.