Value Engineering / Value Analysis

A planned approach and problem solving sheet, focusing on the design of specific products and process features. When value analysis is used to improve the value after production has begun, Value Engineering is used to maximize value prior to facility expenses and tooling money.

Value Engineering (VE) is a systematic method to improve the "value" of goods or products and services by using a function study. Value, as defined, is the ratio of the cost function. The value can therefore be increased either by improving the function or reducing the cost. It is a primary principle of value engineering that core functions are retained and not reduced as a consequence of the pursuit of value enhancement.

In the United States, Value Engineering is specifically stated in the Public Law 104-106, which states that "Every executive agency shall establish and maintain efficient value engineering processes and processes."

Value Engineering is sometimes taught in Project Management or an Industrial Engineering Knowledge Organization as a technique in which the value of outputs from a system is optimized by developing a mix of performance (function) and the costs. In most cases this practice identifies and removes unnecessary expenses, which increases the value for the manufacturer and / or their customers.

VE follows a structured thought process that relies exclusively on "function", ie, that something "does not" what it is. For example a screwdriver that is used to stir a paint can has a "function" of mixing the contents of a paint can and not the original connotation of securing a screw into a screw hole. In engineering value "functions" are always described in an abstract of two words of an active verb and measurable noun (what is done - the verb - and what it is done for - the noun) and to do it in most non-normative ways possible. In the screwdriver and can for example paintings, the most basic function would be "liquid mixture", which is less prescriptive than "brew the paint"

Value Engineering uses rational logic (a unique "how" - "why" questioning technique) and function analysis to identify relationships that increases value. It is considered a quantitative method similar to the scientific method, which focuses on the hypothesis-finding approaches to test relationships, and operational research, which uses the construction of predictive models to identify relationships.

Value engineering is also called "value management" or "value method" (VM), and "value analysis" (VA). VE is primarily a structured problem-solving process based on the analysis function-to understand something with such clarity that it can be described in two words, the verb active and abbreviated substantive measurable. For example, the function of a pencil is to "make marks". This then makes it easier to consider what else can make brands. From an aerosol, lipstick, diamond on the glass of a stick in the sand, one can then clearly decide which alternative solution is more appropriate.

began at General Electric Co. during the Second World War. Due to the war, there were shortages of skilled labor, raw materials and components. Laurent Miles, Jerry Leftow, and Harry Erlicher at GE searched for acceptable substitutes. They have noticed that these substitutions often reduce costs, improve the product, or both. What began as an accident of necessity has been transformed into a systematic process. They called their "value analysis" technique.

The 

Value Engineering Job Plan is often subsequently made into a multi-step work plan. Larry Miles' original system was a six-step procedure that he called the "Work Value Analysis Plan". Others have varied in terms of jobs to meet their constraints. Depending on the application, there may be stages of four, five, six or more. A modern version has the following eight steps:

Preparation 

Information 

Analysis 

Creation 

Evaluation 

Development 

Presentation 

Monitoring 

Four basic steps in the work plan are:

Information gathering - This application what are the requirements for the object. Functional analysis, an important technique in value engineering, is usually done at this initial stage. It tries to determine which functions or performance characteristics are important. He asks similar questions; What is the object? What should be done? What should he do? What could he do? What should not be done? 

Alternative Generation (Creation) - In this stage of value engineers ask; What are the alternative ways of meeting different requirements? What will the desired function do?

Evaluation - At this point, all alternatives are evaluated by evaluating how well they meet the necessary functions and how great will the cost reduction be. 

Presentation - In the final step, the best alternative will be chosen and presented to the client for final decision. 

How it works 

VE follows a structured thought process to evaluate the options as follows.

Collect information

Who is it? 

What could he do? 

What should not be done? 

Measured

What are the requirements of other ways of meeting? 

What can the desired function do? 

Analyze

What is the cost? 

Generate

Assess

What are the impacts? 

What is the cost? 

What is the performance? 

Sell ​​alternatives 

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