What are some examples of successful value engineering projects or case studies?

As a value creation consultant in the B2B software sector, in my experience value is assessed and communicated most effectively in a compelling business case hypothesis. Few software vendors have the skilled talent to accomplish the process of compiling an assessment of anticipated realized value relative to a client's desired business outcome. This development is part art and part science. It always includes a detailed value story that accompanies the ROI financials. Investing the time and effort to articulate the whole value attained will pay significant growth-related dividends over time.

It's important to have the right perspective when you start this journey. Typically, the stated goal for VE is to "save money", or "reduce the Cost" of the project to get it back to the Budget. By starting with the mindset that the real goal here is to allow the Project goals to be met with lowering cost, thus creating better value, it helps all understand the real goal is not just cutting things from the Project, rather finding new ways to provide the same Value for the client at a lower cost.

The main function of Value Engineering (VE) is to enhance value for money without compromising or even improving quality, which can further enhance time and cost efficiency. In a project, time is also very precious, and the main aim is to save the client money, as the client's funds are very important.

The key to these processes is the creativity phase, where the options for increasing value come from. I have never seen a project that was not improved through this part of the process. By having an open discussion to quickly evaluate each idea the real value can be presented. Most often, solutions are simple in nature by discussing the site, systems, materials, and how each are used in the design. Having a open mind here is key for the team.

The benefits of VE far outweigh the challenges. A good leader with a collaborative attitude and a continuous improvement mindset is the key. If all team members are committed to the "best" solution, VE is easy. If any single team member is protecting "their" strategy, whether it be time, cost, or design intent, VE outcomes will be difficult to achieve.

Understanding that VE is about looking for the best solution is the key. Design teams today are under very tight time constraints, and can't possibly come up with all of the "best" solutions through a short design period that may not allow for the proper collaboration with other team members. Some of the best examples I've seen are the simplest. Lowering a building 12" once to eliminate extra fill on a project saved over $250,000, and reduced the project schedule by several weeks. This allowed the introduction of a canopy at the entrance. There was no compromise for the use of the building or it's function, it fact the building function was enhanced.

We used Professional VE's on a $25 M water treatment plant in the early '90s. Their insight was amazing. Of their 163 VE suggestions, we used about 40 of them. I've used VE on all of my design-build projects since that project.

During the design phase of the Sydney Opera House, VE was applied to improve functionality and reduce costs. The original design involved complex structural elements that were expensive to construct. Through a series of VE workshops, the design team identified simpler alternatives that maintained the building's iconic appearance while reducing construction costs significantly.

From my experience, successful VE involves engaging a multidisciplinary team early in the project, focusing on both function and cost, and maintaining clear communication with stakeholders. Regularly reviewing project goals and involving experts in brainstorming sessions can also lead to innovative solutions and effective cost management.

When considering value engineering projects, it's essential to highlight the importance of monitoring and evaluating the outcomes of implemented changes. Tracking performance against initial objectives can provide insights for future projects and reinforce the value of the VE process. Additionally, documenting lessons learned can serve as a valuable resource for future VE initiatives. By examining these successful case studies and applying best practices, I’ve witnessed firsthand how value engineering can lead to substantial improvements in project performance and cost-effectiveness.