VM Training

The objective of this workshop is to introduce the concept of Value Management and demonstrate its application and techniques. It is directed to those new to the discipline with emphasis placed on the practical application of Value Methodology techniques to improve the value of any project.

Project managers in public and private organizations will find this course particularly useful. Upon successful completion the participant will have achieved the following:

• Accurately use the terminology to describe and define VM, its uses, benefits, and characteristics
• Demonstrate an understanding of the history, development, and tools of Value Methodology
• Explain in detail the key concepts of value, cost, and performance; identify how these concepts affect projects in their area of expertise; apply techniques to define and improve the value of their project
• Develop a thorough understanding of the Value Methodology Job Plan and the application of value metrics to each phase of the Job Plan including: preparation, information, function, speculation, evaluation, development, presentation, and implementation
• Use VM’s technical tools and techniques applicable to each of the above stages. These include: function analysis and FAST diagramming, costing methods and approaches, communications and facilitation techniques for multi-disciplinary teams, creativity techniques, evaluation techniques, alternative analysis, presentation techniques, and change management techniques
• Perform as a member of a VE team
• Receive a SAVE® MOD 1 Certificate & sit for the VMA exam.This course is offered in both a 4 day and a 5 day 40 hour version. Both versions are SAVE® approved courses.

The objective of this seminar is to provide advanced training to people who can lead value engineering workshops, therefore, the course deals with facilitation skills to ensure group effectiveness during VE studies. The course focuses on the key areas that cause failure of the CVS exam, which typically are FAST diagramming and Life Cycle Costing.

Course description: This course reviews the financial aspects of a VM study and the objective of the development phase to select and prepare the best alternatives for value improvement. It is presented as a mixture of foundational lectures with an application portion.

• The review of project feasibility and the concept of risk are discussed. A review of cost terminology is included
• The time value of money and the concept of net present value are discussed with various examples presented. A discussion of the techniques of life cycle cost analysis and various formats for presentation
• Real vs. paper cost savings, and the pitfalls of claimed savings in various environments
• 2 Day

Function Analysis/FAST Diagramming (Course #10)
Course description: This course is designed to provide an advanced foundation in the concepts of Function Analysis and FAST diagramming. It is presented as a mixture of advanced lectures and discussion of industry applications.

• The technique of identifying the active verb and measurable noun are discussed and the difficulties encountered in function identification
• The link between function analysis and creativity is discussed and individual experiences are highlighted
• The six questions of function analysis are discussed
• Function cost /function worth are reviewed along with the value index concept and the technique of paired comparisons
• The link between function identification and FAST diagramming is discussed
• An in-depth discussion of function models and their application, specifically the classical, technical and customer/task versions and the various rules and components required to create a FAST diagram
• When to use the various diagrams
• Incorporating cost and schedule data into the FAST diagram
• The role of the facilitator
• 3 Day

VE for Contracting Officers
Contractual Aspects of Value Engineering (CAVE: Course #12)
Course description: A description of the application of Federal Value Engineering Program (FVEP) to Government contracts as described in OMB A-131, FAR Part 48: Value Engineering, and FAR part 52: Solicitation Provisions and Contract Clause. This workshop discusses the FVEP process in detail, including the various options to utilize the VE process and the application of each.

• Federal Value Engineering Program (FVEP) components
  • Formal Value Engineering Studies (VA/VE)
  • Value Engineering Program (VEP)
  • Value Engineering Change Proposal (VECP)

The workshop covers formal VE/VA studies for one-time capital expenditures, the Value Engineering Program (VEP) option to require a formal VE workshop(s) funded by the Government and the VECP contract clause for a contract to generate identified savings ideas that would be split between the Government and the contractor. Also presented are several voluntary VECP application examples of how to calculate the savings split and typical applications.

Course Description: This course is the equilivent of the SAVE Mod 1 training without the VMA certification exam focus and tailored to meet the needs of the Government project professionals and Contracting Officers that need to understand how to effectivly apply the VE requirement in Circular A-131. As with the SAVE Module 1 workshop, the training focus is on understanding the application of the Value Methodology. Function Analysis and the SAVE value engineering Job Plan are the building blocks.

• 5 day 40 hour version

Example projects are presented that allow the participant to experience the application of the Value Methodology for use with existing and future projects and programs. A major team project is utilized to simulate a real VE study for the participants that follows the SAVE Job Plan.
The workshop covers formal VE/VA studies for one-time capital expenditures, the Value Engineering Program (VEP) option to require a formal VE workshop(s) funded by the Government and the VECP contract clause for a contract to generate identified savings ideas that would be split between the Government and the contractor. Also presented are several voluntary VECP application examples of how to calculate the savings split and typical applications.

The formal VE workshop is a powerful tool to generate a large number of immediate savings ideas at any time during the life of a contract that will benefit both the contractor and the Government. It is the best option to generate a substantial improvemnet in project value. The workshop discusses the application of the VEP to traditional contract delivery methods and the newer delivery models of Design-Build (DB), and Performance Based Acquisition (PBA).