U.S. Department of Transportation
Federal Highway Administration
1200 New Jersey Avenue, SE
Washington, DC 20590
202-366-4000


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Design

Job Plan

VE Job Plan

The Federal Highway Administration defines Value Engineering as "the systematic application of recognized techniques by a multi-disciplined team which identifies the function of a product or service; establishes a worth for that function; generates alternatives through the use of creative thinking; and provides the needed functions, reliably, at the lowest overall cost."

The "systematic application of recognized techniques," referred to in the above definition is embodied in the VE Job Plan. The Job Plan is an organized plan of action for accomplishing VE studies and assuring the implementation of the recommended changes. The Job Plan contains eight phases, five of which are performed by the VE team. The other three phases are carried out in accordance with the policies stated in the agency's VE program.

Each phase of the Job Plan includes several tasks. It is the melding of the various tasks and techniques, coupled with finesse in their application that makes the VE process work.

Value Engineering Job Plan
PhaseObjectiveKey QuestionsTechniquesTasks
Selection Select
Project
  • What is to be Studied?
  • Who is Best Able to Study Problem?
  • What Must be Known to Start Study?
  • Solicit Project Ideas
  • Identify High Cost / Low Value Areas
  • Plan the Project
  • Obtain Authorization to Proceed
  • Allocate Resources
  • Speculate on Project Sources
  • Develop Plan to Identify Projects
  • Evaluate Projects for Potential
  • Present Projects to Management
  • Select Projects for VE Studies
  • Implement Study Plan
Investigation Investigate
Project
  • What is the Project?
  • What is the Problem?
  • What is the Cost?
  • What is Accomplished Now?
  • What Must Be Accomplished?
  • Get Information From Best Sources
  • Get all Facts & Available Costs
  • Work with Specifics
  • Identify the Functions
  • Challenge Everything
  • Speculate on Data Sources
  • Develop Plans to Gather Data
  • Implement Data Search Plan
  • Investigate Project - Audit Data
  • Speculate on Functions Performed
Analyze
Function
& Cost
  • What is the Basic Function Worth?
  • What are Secondary Functions Worth?
  • What are the High Cost Areas?
  • Can any Functions be Eliminated?
  • Evaluate by Comparison
  • Put $ on Specs. & Requirements
  • Put $ on Key Tolerances & Finishes
  • Put $ on Key Standards
  • Analyze Costs
  • Analyze Functions
  • Evaluate Function Cost / Worth
  • Evaluate Project Potential
  • Select Specific Study Areas
Speculation Speculate
on
Alternatives
  • What Else Will Perform the Function?
  • Where Else may Function be Done?
  • How Else may Function be Done?
  • List Everything - Be Imaginative
  • Use Creative Techniques
  • Defer Judgement - Do Not Criticize
  • Be Courageous
  • Select Techniques to be Used
  • Speculate on Alternatives
  • Speculate on Parameters
Evaluation Evaluate
Alternatives
  • How Might Each Idea Work?
  • What Might Be the Cost?
  • Will Each Idea Perform Basic Function?
  • Weigh Alternatives
  • Choose Evaluation Criteria
  • Refine Ideas
  • Put $ on Each Main Idea
  • Evaluate by Comparison
  • Speculate on Evaluation Criteria
  • Evaluate Alternatives
  • Select the Best Alternative
Development Develop
Alternatives
  • How Will the New Idea Work?
  • How Can Disadvantages be Overcome?
  • What Will Be the Total Cost?
  • Why is the New Way Better?
  • Will it Meet all the Requirements?
  • What are the Life-Cycle Costs?
  • Get Information from Best Sources, Specialists & Suppliers
  • Consider Specialty Material, Products & Processes
  • Consider Standards
  • Use New Information
  • Compile Costs - Work with Specifics
  • Speculate on Information Needed
  • Speculate on Information Sources
  • Develop a Plan of Investigation
  • Develop Selected Alternatives
  • Select Preferred Alternatives
  • Develop Implementation Plan
  • Audit Data
Presentation Present
Alternatives
  • Who Must Be Sold?
  • How Should Idea Be Presented?
  • What was the Problem?
  • What is the New Way?
  • What are the Benefits? / Savings?
  • What is Needed to Implement Idea?
  • Make Recommendations
  • Use Selling Techniques
  • Be Factual
  • Be Brief
  • Give Credit
  • Provide an Implementation Plan
  • Develop a Written Proposal
  • Speculate on Roadblocks to Acceptance
  • Present VE Study Alternatives
Implementation Implement
Alternatives
  • Who is to Implement Change?
  • How will Plans / Contract be Amended?
  • Have all Resources Been Allocated?
  • Translate Plan into Action
  • Overcome Problems
  • Expedite Action
  • Monitor Project
  • Develop Change Document
  • Implement Approved Alternatives
  • Evaluate Process
Audit Audit
Results
  • Did the New Way Work?
  • What did it Cost?
  • What was Saved?
  • Did the Change Meet Expectations?
  • Who is to Receive Recognition?
  • Verify Accomplishments
  • Make Awards
  • Report to Management
  • Audit Implementation Results
  • Evaluate Project Results
  • Present Project Results
  • Present Awards
Updated: 10/08/2014
Federal Highway Administration | 1200 New Jersey Avenue, SE | Washington, DC 20590 | 202-366-4000