Value Analysis / Value Engineering (VA/VE)
The value methodology coined by SAVE International (the premier society of value analysis), is an umbrella term for value analysis, value engineering, value management, and value control.
VA/VE is a standardized value improvement method. This means that each workshop goes through six known steps. When it is planned right and an experienced facilitator leads the workshop, the right creative proposals are generated on time. AVG’s staff has been in more than 900 workshops and the average cost reduction for these proposals are no less than 20%. But VA/VE is not only a cost reduction tool, but a value improvement method by focusing on achieving the right functions at the right cost, therefore quality is never at risk.
Traditional Cost reduction focuses on the obvious excessive cost and it is part oriented, while VA/VE asks the question “What does it do?” When we think about what a product, process or service does, rather than what it is, we begin to unravel self-imposed constraints on our thinking. We remove the blinders of our sub-conscious and have the mental freedom to expand our thoughts to boundaries we have never imagined before.
Another key ingredient to the power of VA/VE is the use of multi-disciplined teams that are carefully shaped and nurtured by an experienced facilitator. By utilizing people from different backgrounds, education and even cultures we expand the potential of the positive unexpected.
Value analysis is the most adaptable methodology known to man. In many cases, it integrates other methodologies like lean principles, six sigma tools, design for assembly/manufacturability, TRIZ, 5S, quality function deployment (QFD) and others, into its job plan to enhance results. Value analysis is commonly used to improve product designs, manufacturing processes, administrative procedures and heavily used on construction design projects.
Value analysis has also been used throughout hospitals, law enforcement agencies, non-profit organizations, corporate boardrooms and oil and gas fields. As stated in Circular A-131, The US Federal Government and many state and local governments require the use of value analysis.
The proper way to use value analysis is to follow the Job Plan.
The job plan defines the methodology and is the step-by-step process that when used properly leads to the powerful results.
The steps of the job plan are:
- Information Phase;.
- Function Analysis Phase;
- Creative Phase;
- Evaluation Phase;
- Development Phase;
- Presentation Phase;