MOVING F ROM A MANDAT E D E NVIRONME NT T O A VAL UE - - - PowerPoint PPT Presentation

MOVING F ROM A MANDAT E D E NVIRONME NT T O A VAL UE

• ORINE

T E D CUL T URE T HROUGH E NHANCE D PE RF ORMANCE OF VE

By: Kyle Schafersman, PE, CVS John Robinson, PE, CVS-Life, FSAVE Ryan Robinson, EIT, AVS

USACE Special Initiative Workshop “What is the function of VE?”

Jeffery Hooghouse, AIA, DBIA, CVS – USACE Chief Value Officer Benjamin Robertson, PE, CVS – USACE Louisville VEO Kyle Schafersman, PE, CVS – SVS John Robinson, PE, CVS-Life, FSAVE – SVS Ryan Robinson, EIT, AVS – SVS

Mandate Environment = Negative

Why do we have to do value engineering?

PM, Managers, and Designers

• Why is VE required when the

planning and design process already:

– Generates alternatives – Meet stakeholder needs – Within available budget – Multiple reviews throughout design

• Isn’t intent of VE already being

accomplished?

Several Questions to Contemplate

• What makes VE uniquely different from other

planning, design, and technical review process?

• What distinguishes VE from other problem

solving techniques

• What has to be done for “IT” to be considered

VE?

• How does someone substantiate “IT” was

accomplished properly?

What makes VE uniquely different from other planning, design, and technical review process?

According to SAVE & ASTM E1699-14

• Specific 6-step job plan
• In a workshop format
• Multidisciplinary team
• Lead by qualified team leader (i.e. CVS)

FUNCTION ANALYSIS & FAST DIAGRAMMING

Or iginal De sign Solution- Se t

CONSTRAINTS DESIGN CRITERIA

Solution- Se t E xpande d by VE Cr e ative Ide a Ide a De ve lope d into VE Alte r native

Expanding Solution-Set

What distinguishes VE from other problem solving techniques?

Total Quality Management (TQM)

• Adopted in late 1980’s to early 1990’s
• Stakeholders referred to as “customers”
• Customer is king

– Request are irrevocable – Give them what they want

Assumptions become constraints,

• ften self-imposed

MYTH: Consultants are hired to provide the best solution

• Pressure on fee & schedule (proceed

with first solution that meets criteria)

• Biased toward past experience
• Give customer what they want

VE Challenges Everything

• No other consistent

review approach challenges like VE

• Most reviews search for:

– Technical errors – Verify compliance – Minor tweaks and adjustments

What has to be done and/or accomplished for “IT” to be considered VE?

6-step Job Plan In Workshop Format Multidisciplinary Team Qualified Facilitator

=

Sc o pe / Dur atio n/ E xpe r tise

Value Outc o me

PM Attitude

Budge t

Expectations for VE - Team

• Team is appropriately sized and configured

–Multiple disciplines and Subject Matter Experts –Disciplines necessary for all key aspects –Level of experience equal to or greater than design team

Expectations for VE - Information

• Design Team is present

– What is design doing – Why it was configured as proposed (rationale)

• Key assumptions and

constraints

– VE Team questions or challenges design

Expectations for VE - Function

• Appropriate amount of time
• Identified functions create greater clarity
• Generated functions stimulate creativity
• Unique and meaningful

Expectations for VE - Creativity

• Unconstrained brainstorming
• Brainstorm on functions
• Bring new ideas & solutions

to design team

• Challenge assumptions,

constraints, decisions, and status quo

Expectations for VE - Evaluation

• Encourage consensus without being unduly

influenced by strong personalities

• Bring new ideas & solutions to Design Team

(at least some)

• Strive to challenge assumptions, constraints,

decisions, and status quo (at least some)

Expectations for VE - Development

• Adequately documents to allow decision

making

• Explain context/rationale, why it’s a good idea
• Clearly narrate proposed change
• Comparative analysis with original
• Sketches, calculations, cost impact (1st & LCC)

Expectations for VE - Presentation

• Engage expertise of the team
• Communicate succinctly and

effectively

• Professional, courteous, and

respectful

• Avoid debating merits of

alternatives (audience has not reviewed VE team’s work)

How does someone substantiate “VE” was accomplished properly?

“If yo u c an’t me asur e it, yo u c an’t manage it” Pe te r Dr uc ke r

Substantiate VE

• Criteria/grading scale not included in paper
• Functions that must be accomplished:

– Understand Objectives – Expand Solution-Set – Supplement Knowledge-Base

Substantiate – Understand Objectives

• Extract knowledge & analyze functions:

–Was project-specific knowledge shared from Design Team? –Did function analysis communicate clear understanding of project? –Did functions stimulate creative thinking? –Do functions describe what project must do, not how it is doing it?

Substantiate – Expand Solution-Set

• Did VE contest project criteria?
• Were constraints examined and deemed

valid?

• Did VE challenge status quo?
• Were assumption tested and validated?
• Have design decisions been challenged?
• Did VE endorse the solution being studied?

Substantiate – Supplement Knowledge-Base

• Infuse expertise & expand knowledge:

– Did VE represent independent thinking from design team? – Was team comprised of experts not just practitioners? – Did VE team composition broaden base of knowledge? – Did VE team bring new set of experiences? – Was team well versed in different types of solutions?

Conclusion

• Mandated environment (negative perspective)

– Caused by “check the box” mentality – Leads to poor performance – Results in least painless execution of VE (i.e. short, cheep, and sloppy)

• Value-oriented culture (positive perspective)

– Understand objectives, expand solution-set, supplement knowledgebase – Real and measurable accountability of VE – Industry needs to raise the bar on performance

T HANK YOU

K yle Sc ha fe rsma n Stra te g ic Va lue So lutio ns, I nc . 19201 E . Va lle y Vie w Pa rkwa y, Suite H I nde pe nde nc e , MO 64055 816-795-0700 K yle @ SVS-inc .c o m www.svs-inc .c o m