Value Engineering and Value Analysis

1. What is value engineering and value analysis?

    Among the tools and techniques of "defining the scope" of the scope management process group, there is "product analysis", and its specific methods include product decomposition, system analysis, requirements analysis, system engineering, value engineering and value analysis.
    The two activities of Value Engineering (VE) and Value Analysis (VA) are to further think and explore the value, function and cost of commodities, and use group activities to brainstorm the best solutions in various directions. Then use the method of system division of labor to achieve the goal of value enhancement or cost reduction, in order to achieve the method of maximizing value.
　　Value Engineering is a value and cost analysis activity that is carried out in the product development and design stage. Because it is still in the engineering design stage, it is called value engineering. Once mass production begins, it is often not carried out for cost or profit pressure. A detailed value analysis makes it difficult to identify improvements that can reduce costs or increase value. After this stage, continuous analysis is the main method to reduce costs, which is called Value Analysis.
    The main difference between the two methods is that they appear at different times in the product life cycle. VE means that the product has not yet appeared, and it is carried out before the product is manufactured; VA means that the product has been completed and needs to be optimized and improved.
    The "value" in value engineering is different from the value of commodities in political economy. It is not how much it is worth, but is proposed as a "scale", that is, the scale for "evaluating the degree of usefulness of things (products or operations)." Relatively speaking, a high value indicates a high degree of benefit, a large benefit, and many benefits; a low value indicates a low degree of benefit and little benefit.

   2. Representation of

　　value The general expression of value is V=F/C
　　, where V represents the value coefficient: F represents the valued function: C represents the life cost.

　　As you can see from the formula above, the ways to increase the value are:
　　(1) The function remains unchanged, and the value is increased by reducing the cost: V↑=F/C↓
　　(2) The cost is unchanged, and the value is increased by improving the function: V↑=F↑/C
　　(3) Both the function is improved It also reduces the cost, which is the best way to increase the value V↑=F↑/C↓
　　(4) The method to increase the cost by a small amount and greatly increase the function to increase the value V↑= F↑↑/C↑
　　(5) Slightly reduce functions and greatly reduce costs to increase value V↑ = F↓/C↓↓