Value engineering in construction industry and applications

Scarcity of natural resources has led all enterprises dependent on these recourses to increase the productivity with minimum resource. Construction industry aims to produce efficient projects by optimizing quality cost and time factors. However, one or more of these factors may not meet the desired results. Fundamentals of Value Engineering is a powerful methodology for solving problems and/or reducing costs while maintaining or improving performance and quality requirements. Value engineering can be defined as an organized effort directed at analyzing designed building features, systems, equipment, and material selections for the purpose of achieving essential functions at the lowest life cycle cost consistent with required performance, quality, reliability, and safety. Value engineering reviews new or existing products during the design phase to reduce costs and increase functionality in order to increase the value of the product. The first chapter of this study is the introduction of the literature summary, thesis purpose and hypothesis concepts. In the second chapter, the definition of VE, the definition of value, the outcome and historical development of VE, the concept of value and function, the aims of VE, the comparison with conventional method, benefits and implementation time of VE, selection of areas, VE team members and effects on the decision, relationship of VE with other methods, VE work areas according to design stages and DM work plan. The third chapter is the application of VE techniques to construction projects. Work plan stages and applications of these techniques are explained with help of tables and figures. This chapter includes the information gathering, function analysis, creativity and idea development, creative problem solving techniques, evaluation and presentation stages in which different models related to structure are formed. In the fourth chapter, VE practice examples applied in real life are included. VE applications and value analysis applied in different stages of the project and different work items are explained. In the fifth chapter, namely the conclusion section, the benefits of the VE system are analyzed, the environment for the VE applications and the importance of the early application are explained and the benefits of the VE to the Turkish Construction Companies and the Turkish Economy are mentioned.