Utilizing MEP Value Engineering for Optimum Cost Savings

If your enquired construction project costs are soaring considerably higher than the planned expenses, MEP value engineering is a proven method that can create potential cost savings in your MEP projects.

Value engineering is a crucial process that if utilized competently, will cut costs, enhance quality and increase efficiency. It can be applied to all aspects of construction including mechanical, electrical and plumbing (MEP) systems.

Value engineering involves the analysis of the functions of a project, system, equipment, product, or service to improve reliability, performance, safety, quality and lifecycle costs. The aim of the analysis is to determine the best value, by establishing a relationship with value and cost. In short, value engineering ensures that systems and equipment perform their basic function in the lowest lifecycle cost.

The application of value engineering helps to approach construction in a way that it integrates environmentally-sound and energy-efficient materials and best practices. Value engineering is not just cost reduction; its objective is to improve value through alternative design and construction approaches. The process also helps in selecting the right equipment based on market and local conditions.

Value engineering doesn’t mean changing a whole lot of equipment for inferior or cheap products. It is the process of reviewing the entire engineering approach to find out if there are better ways of accomplishing the same goals.

The value engineering process reveals applicable approaches to integrate technology in the building which can convert to real savings. A great amount of skill and experience is needed to wisely cut costs without compromising performance or quality employing value engineering.

When should you go for value engineering?

The major goal for any project manager or property owner is to complete their project within the budget and on time. Value engineering is a handy tool to ensure the feasibility of the project and assist the managing team to stay on track. When is the correct time to utilize value engineering?

You can go for MEP value engineering any time before construction, but the proper time is as early in the game as possible in a project. In other words, value engineering should be carried out before approval of systems, essential services, or allocation of funds to provide the optimum outcomes.

The potential for cost reduction is much higher during the initial stages of the project. You can face various problems if you opt for value engineering during the later stages. You may need to spend more to implement changes if value engineering is not done at the outset of the project. If introduced late, there can be challenges to changes that ultimately overwhelm the goal of the cost-saving approach.

A good example can be the sizing of MEP plant rooms. You can face multiple negative consequences in case of oversized equipment like additional electrical infrastructure, the requirement for bigger rooms and inefficiencies. Negative consequences can be greatly avoided, and successful outcomes ensured by assessing your project plans for valued engineering points of view in the correct stage of your project.