Building a road or highway project already provides a lot of value to a community by making it possible for people and goods to get from one place to another. However, the amount of value a project delivers over its lifespan can vary a lot depending on how well it was managed. If, for example, a road is built for a low price but requires a lot of maintenance and repair, it may not provide the same kind of long-term value as one that cost a little more to build but holds up much better under everyday use. For builders and contractors, it’s important to bear this in mind during the planning phase.
This is where the concept of value engineering can be extremely helpful. More than just a means of cutting costs during construction, value engineering ensures teams are thinking about how much benefit the finished project will deliver for the client over the long haul. It’s an important concept and smart contractors factor it into their design and planning process to make sure the work they do offers the best possible results for their clients. The benefits of value engineering in construction extend far beyond keeping costs low, and it’s critical for any contractors working on road and highway projects to keep in mind before bidding.
What is Value Engineering?
At its core, the idea behind value engineering is finding ways to enhance the overall quality of a project without necessarily spending more on it. This means taking an extremely close look at every aspect of the project, from the methods used on the jobsite to where materials are sourced to any design elements that could be changed. The goal is to find a balance between lowering costs and increasing the advantages the project provides for the client. In some cases, this may not result in a lower overall price tag for the work. However, the improvements made across the board can lead to a longer lifespan and lessened maintenance requirements that mean stronger results for the client.
Another important aspect of the value engineering process is that it is a collaborative one. Architects, engineers, and contractors come together at the onset of the project to share information and discuss ways to improve the project. Not only does this mean that each stakeholder can work together to find alternatives the others may not have considered, but this also helps foster stronger communication at the beginning to eliminate potential bottlenecks.
The Value Engineering Process, Step-by-Step
The principles of value engineering were first established at General Electric in the late 1940s. They consisted of six distinct stages:
1. Information Gathering
The first step of value engineering is collecting as much information as possible concerning every phase of a project. This includes the costs associated with each element of the work as well as how much time and labor will be needed to complete it.
2. Brainstorming
During this phase, the stakeholders get together and discuss ways to make the project more cost-effective and efficient. This is where the expertise of each member of the value engineering team can be most valuable, as engineers will be able to identify potential issues with materials or site conditions that architects may not have considered, for example. This helps streamline the work because it means potential obstacles can be spotted and resolved before the project is even shovel-ready. The main purpose of this phase is to find any ways the team can reduce costs without having a negative impact on the final quality.
3. Evaluating
In the evaluation phase of the process, the project team discusses the feasibility of the ideas proposed during the brainstorming session. If a proposal is determined to be beneficial to the project’s value, it may be carried forward into the final plan.
4. Plan Development
After the initial evaluation of all options is complete and the general plan is sketched out, the next step is to build out those plans further into something that can be used by the teams working out in the field. This phase is when the project team develops the ideas that were deemed worthy of inclusion into the actual designs and specifications for the project. The core philosophy of this stage is the maximize the ROI for the client.
5. Plan Presentation
The project team then takes the plans they have developed and fleshed out to the owners and other key stakeholders. These presentations typically include detailed breakdowns of how each proposed change or alternative idea brings added value to the project, either in terms of cost savings, operational efficiency, or reduced lifetime costs.
6. Implementation
From there, all that’s left to do is execute the plans as presented and approved by the stakeholders. Throughout this phase, it’s critical for the members of the project team to maintain the same commitment to collaboration and communication that brought them to this point. All parties need to be involved and invested to ensure the plans are being implemented in the most effective way.
How Value Engineering Increases ROI for Project Owners
Implementing value engineering at the earliest phases of a project can be extremely helpful in preventing many of the obstacles teams face. The value engineering process is tailor-made for boosting efficiency, lowering costs, and enhancing the bonds between team members. Some of the most important ways value engineering increases ROI on a highway construction project include:
Lowering Costs
With value engineering, architects and engineers have the opportunity to find areas of the project that could be changed to lower spending without impacting the quality of the finished product. This helps prevent cost overruns that often plague construction projects.
Boosting Collaboration
By its nature, value engineering in the construction industry requires all members of the project team to come together as early as possible to discuss the project. This helps break down silos and build the type of collaboration that usually leads to better results on a project.
Creating Efficiency
It stands to reason that the more problems with a project are solved in the planning phase, the smoother and more efficient the execution of the work becomes. Under the value engineering philosophy, professionals work together to streamline their plans as much as possible before setting foot on the jobsite to keep disruptions to a minimum.
Increasing Value
In the grand scheme of things, value engineering ensures projects are built as efficiently as possible while also delivering the highest performance over their entire lifecycles. This means the total value of the project is maximized.
Understanding the Benefits of Value Engineering
Applying the principles of value engineering to a roadway construction project can lead to significant benefits for the project team as well as the client. The most important of these benefits are:
- Higher Quality: Thanks to the core concept of enhancing performance as well as curbing costs, value engineering results in projects that are optimized for maximum quality. Materials, techniques, and subcontractors are selected based on how well they will perform in the application as well as how much they cost. The end result is a road that lasts longer, requires less upkeep, and ultimately provides the highest possible ROI for the client.
- Reduced Costs: Finding alternatives to standard materials and methods often means project teams can lower their spending as well as enhance the quality of what they build. This makes value engineering especially valuable in building infrastructure, where the main resources are taxpayer dollars and fiscal responsibility is of the utmost importance.
- More Innovation: Baked into the main ideas behind value engineering is thinking outside the box to find innovative solutions to common problems. By having project team members working together from the onset of the project, forward-thinking ideas can be brought to the forefront much easier.
- Reduced Risk: With experienced architects, engineers, and builders combing through every detail of the project before work begins, they can spot potential problems before they’re encountered on the jobsite. This means risks can be found and mitigated as early as possible, resulting in a project that goes as smoothly as it can without unfortunate surprises.
- Greater Efficiency: Value engineering helps create a smoother project with less risk. This means the work can be complete faster and with fewer disruptions, leading to a higher degree of efficiency than if the project had been planned without value engineering.
Rock Solid’s Value Engineering Expertise
Rock Solid Stabilization & Reclamation, Inc., is a leader when it comes to soil stabilization, pavement recycling and full-depth reclamation. Part of what makes us a trusted partner for general contractors when working on road and highway projects is our commitment to value engineering.
We’ve successfully used the principles of value engineering to help countless projects achieve stronger, more efficient, and longer-lasting results. We have a dedicated team of professionals who tailor our processes to each client’s individual needs. With our extensive expertise and proven procedures, Rock Solid takes a close look at every aspect of the projects we serve to find opportunities for improvement.
Working with Rock Solid for value engineering means clients benefit from our detailed site analysis and cost-benefit assessments. Our experts offer their recommendations in the design phase for the most effective construction management to ensure a successful project. Throughout every step of the process, we work hand-in-hand with the other key stakeholders on the project team to ensure close collaboration and cooperation. If you’d like to find out how Rock Solid can apply our value engineering know-how to your next project, give us a call today to learn more about our processes.