Quasco construction workers on the job

Value Engineering

Tap into our Industry-leading Value engineering services

Value engineering isn’t just thinking differently. It’s thinking ahead.

Design Services

Value Engineering (VE) is not a design/peer review or a cost-cutting exercise. VE is a creative, organized effort, which analyzes the requirements of a project for the purpose of achieving the essential functions at the lowest total costs (capital, staffing, energy, maintenance) over the life of the project. Through a group investigation, using experienced, multi-disciplinary teams, value and economy are improved through the study of alternate design concepts, materials, and methods without compromising the functional and value objectives of the client.

Our Approach

Value engineering is an exercise that involves most of the project team as the project develops. It is about taking a wider view and looking at the selection of materials, plant, equipment and processes to see if a more cost-effective solution exists that will achieve the same project objectives.

OUR VALUE ENGINEERING PROCESS

Design Services

1. Information Phase

At the beginning of the VE Study, it is important to:

  • Understand the background and decisions that have influenced the development of the design through a formal design presentation by the design A/E.
  • Analyze the key functional issues governing the project. The functions of any facility or system are the controlling elements in the overall VE approach. This procedure forces the participants to think in terms of function, and the cost and impacts associated with that function.
  • Define the owner's objectives and key criteria governing the project.
  • Determine the owner's definition of Value.
Design Services

2. Speculation (Creative) Phase

This step in the VE study involves the listing of creative ideas.

  • VE Team explores numerous ways to deliver required functions with reduced initial or life-cycle costs for better client value.
  • Judgment of the ideas is prohibited.
  • The focus is on generating a large number of ideas for screening in the next phase.
  • Creative ideas often stem from function analysis and may be evaluated for design use.
Design Services

3. Evaluation (Analysis) Phase

In this phase of the Project, the VE Team, together with the Client and/or Users,

  • Defines the criteria to be used for evaluation.
  • Analyses and judges the ideas resulting from the creative session. Ideas found to be impractical or not worthy of additional study are discarded. Those ideas that represent the greatest potential for cost savings and value improvement are developed further. A weighted evaluation is applied in some cases to account for impacts other than costs (such as schedule impacts, aesthetics, etc.).
Design Services

4. Development Phase

During the development phase of the VE study, many of the ideas are expanded into workable solutions. The development consists of:

  • Description of the recommended design change.
  • Descriptive evaluation of the advantages and disadvantages of the proposed recommendation.
  • Cost comparison and LCC calculations.
  • Each recommendation is presented with a brief narrative to compare the original design method to the proposed change.
  • Sketches and design calculations, where appropriate, are also included in this part of the study.

5. Presentation Phase

The last phase of the VE Study is the presentation of the recommendations in the form of a written report. A briefing/oral presentation of results is made to the Client and Users, as well as the Design Team representatives. The recommendations, the rationale that went into the development of each proposal, and a summary of key cost impacts are presented at that time so that a decision can be made as to which Value Management proposals will be accepted for implementation and incorporation into the design documents.

During this phase value engineering is still possible through the use of Value Engineering Change Proposals (VECP). Contractors can be provided monetary incentives to propose solutions that offer enhanced value to the owner, and share in the financial benefits realized. Clearly the owner must consider contractor-generated proposals very carefully, from a life-cycle perspective and a liability perspective. The A/E team must be brought into the decision-making process to agree to the proposed change as not having any negative impact on the overall design and building function. The evaluation of a VECP is treated similarly to any change order during construction, with issues such as schedule and productivity impacts being considered along with the perceived cost savings generated.



Value Engineering is not only beneficial, but essential.

  • The functionality of the project is often improved as well as producing tremendous savings, both initial and Life-Cycle Cost.
  • A "second look" at the design produced by the architect and engineers gives the assurance that all reasonable alternatives have been explored.
  • Cost estimates and scope statements are checked thoroughly assuring that nothing has been omitted or underestimated.
  • Assures that the best value will be obtained over the life of the building