What is Value Engineering? Definition and meaning

Value Engineering

Definition: Value Engineering is a function-oriented method by Miles and Erlicher ('47) to analyze and improve the value of a product, facility design, system or service. It is a powerful method for problem solving and/or reducing costs while improving performance/quality requirements. Value, as defined, is the ratio of Function to Cost, and can therefore be increased by either improving the function or by reducing the cost.
VE takes place in 4 man steps:
1. Information Phase - Gathering information
2. Speculative Phase - What are alternate ways of meeting requirements?
3. Analytical Phase - Compare alternatives
4. Proposal Phase - Presentation
Also called Value Control, Value Analysis.

Learn more about Value Engineering

More on quality control and management: 14 Points of Management, Configuration Management, Failure Mode and Effects Analysis, Quality Assurance, Quality by Design, more...

You may also like: Full-time MBA, Executive MBA, Executive Education, Online MBA.

MBA Brief offers concise, yet precise definitions of concepts, methods and models as taught in a study Master of Business Administration.

We like to keep things short, and provide links to learn more about your subject.

Add MBA Brief to your desktop / iPad