Importance Of Value Management

INTRODUCTION:

Value Management is a process through which the efficient advantages of a project are made explicit and evaluated reliable with value system determined by the client. (John Kelly, Steven Male & Drummond Graham, July 2003). The theory of value depends on the connection concerning the satisfaction of numerous contrasting needs and the resources utilised in satisfying them. That is the satisfaction of numerous contrasting needs must be maximised and the use of resources must be minimised (Maximum benefit at minimal cost). Value Management and Value Engineering are strategies concerned with characterising, maximising and attaining to "value for money". At the starting phases of a project, value management gives an uncommonly capable

During the start of a project we have to identify the requirements and purpose of the project. The second step in timing of a typical project is perception and this where strategy is improved, the feasibility stage where viability is improved, execution stage to exploit cost effectiveness and the final stage where the project becomes operational where process can be improved. During these stages each and every works should be monitored closely, resources should be well analysed and feasibility studies should be carried out according at each stages where needed.

PROCESSES:

Value management is broken into three different categories, mainly Value Planning, Value Engineering and Value Analysis. Value planning is involved during the preparation of the project and at design stage that is at pre-contract stages. During the preparation stage assessment of the project is done where possibilities for use of residual calculations are forecasted. While preparation is on and assessment is done a brief design can be done for a cost estimate for confirmation of budget which can be based on past projects etc... As mentioned before Value Planning is also involved in part of the design stage. The design stage has three steps Concept, Design Development and Technical Design. Value