Value and Risk Management Essay Example | Topics and Well Written Essays - 4000 words

Value and Risk Management - Essay Example This maximizes the potential use of the project. Value management focuses on the functions to provide maximum benefit. It aims for simplification without disregarding quality. Value engineering is synonymous with value management but the former focuses on the technical aspect. These two however could be interchanged. Value management (VM) is now a regular feature in the construction industry. A VM Team conducts a meticulous process of inspection and monitoring, brainstorming and analyzing the functions with respect to the entirety of the project. After that, it will provide the necessary recommendations to the client. The first part of the study focuses on value management which includes the four stages of the workshop. There are recommendations on the budget constraints of SBE Innovations, so that the amount could be maximised while reducing unnecessary costs. The VM study determines how construction can be simplified as quality remains. Functional analysis in value engineering aims to reduce the cost. Value engineering will be conducted to perform the following activities: Value engineering will focus on the engineering and technical aspects. Value management is more on the management and administrative side of the study, but both will be conducted simultaneously to attain greater results. In most cases, VM and VE are considered synonymous. Our consultancy firm has been in the forefront of value management in construction. We have conducted VM and VE for various clients, while our aim is to increase the value of any project. This new project with SBE Innovation is another major milestone and a challenge. Each and every part of the project is important, therefore, this should be given value by conducting a thorough analysis to determine whether a part is an important element of the whole. If it is not too important, the team will