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Value Management In Construction

By: JoannC

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The construction industry is one of the leading and continuously growing industries in the country nowadays. But there may have something missing to keep it always on the top-Value Management. Generally, Value Management is a method of management particularly dedicated to motivating people, developing skills, and promoting synergies and improvement with the aim of maximizing the overall performance of an organization. However, Value Management in construction industry plays a very important role in terms of its quest for continuous improvement and innovation. And because Value Management is a method of management, particularly dedicated to motivating people, developing skills, and promoting synergies and innovation, therefore it aims in maximizing the overall performance of an organization. In other words, the idea of Value Management in construction industry can be applied to the strategic planning of the business and improvement in performance on top of delivering Best Value. But, how will Value Management in construction industry are achieved? Well, it is crucial that to be able to provide the best value management in construction projects to clients in the construction industry is to keep and maintain a tight workforce with higher management supervision and clear direction. To be more specific, you have to make sure that project teams have: An understanding of the essential business needs and success criteria of clients, users, and stakeholders A clear performance concise in terms of value objectives. The skills, expertise, and knowledge needed No areas of ambiguity with respect to policy issues and expected outcomes. An effective team with good communications. The determination to eliminate unnecessary costs and to seek innovative solutions Value management in construction can be applied through the following: Value Management throughout the project cycle - normally, a project has a planned series of workshops incorporated with the project program beginning at project description- strategic level, and continuing through to construction technical level. During the operations stage, lessons learned workshops and post
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technical level. During the operations stage, lessons learned workshops and post occupancy evaluation studies assist in improving future projects in addition to the utilization of the new facility. Cost Cutting Versus Value Improvement is for the past many years, value analysis and value engineering were associated with cost cutting. But through applying value methods on projects, it became clear that best value ws not about cost cutting, but rather improving the understanding of the clients requirements and business needs. This is now important to the present concept of Value Management in Construction industry. Understanding the clients needs if there is a poor understanding of the client need or if it is not clearly stated in the clients instructions, usually, the result is poor value all the way through the project lifecycle with wasted resource in management time, production time, design time, and the cost of change. Having clear client directions will need skilled facilitation in order to change whatever misconceptions there is. External challenge is important in achieving improvement in the construction industry. To date, all strategic and tactical workshops, facilitators who are external to the project team are involved. This is to make sure that there is no undue political or commercial pressure taken to bear on the project team. Additionally, this will also ensure that areas of uncertainty are identified and dealt with.

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