The Benefits of Value Engineering

Value engineering is part of the design process and it is intended to reduce the overall cost without affecting the quality of the design.

Through data collection and evaluation, engineers and subcontractors can enhance designs or substitute lower-cost materials and methods that maintain equivalent performance standards.

Research suggests that when performing MEP value engineering correctly, it can save 10–15% in costs and can reduce 20–25% in energy consumption.

Key Benefits of Value Engineering

1. Value Engineering = Quality Assurance

When evaluating design elements, component selection, and installation procedures, value engineering ensures design quality and equipment reliability. This systematic approach reduces MEP-related requests for information (RFIs).

2. Value Engineering Mitigates Risks

By identifying and correcting design deficiencies early, value engineering reduces expensive rework scenarios for general contractors and subcontractors. This preventative approach protects project schedules and financial performance.

3. Value Engineering Reduces MEP Costs

Selecting superior design alternatives, installation methods, and materials enables informed procurement decisions and cost savings on parts and components. Decreased RFIs and rework prevention translate to improved profit margins.

4. Value Engineering Promotes Energy Efficiency

Thoroughly evaluating energy consumption relative to cost often leads to selecting sustainable solutions that balance performance with long-term savings.

The Reality Gap

Though value engineering originated during World War II with documented advantages, current industry conditions—workforce shortages, compressed timelines, and thin margins—result in underutilization of this powerful methodology.

Have you put time, effort, and resources into VE lately?