Value Analysis (VA) for Guaranteed Cost Reduction
VA is the study of the function of anything. It can be a part, assembly or process.You have to retain the function, and reduce the cost, without jeopardizing quality in any way.
Let’s take a complex ball point pen, as an example. The pen has a housing, spring assembly, pen housing with ink, retractor mechanism and a clip to hold it to your shirt pocket. Next is the process of elimination. Do we need the housing, spring assembly, pen housing with ink and clip?
The function is to write in ink. Let’s eliminate all the parts, and use a simple non-retracting pen housing filled with ink.
We have retained the function, and reduced the cost of the complex pen assembly.
VA can be more complex. There is a VA Job Plan, supplier involvement questionnaire, and the art of brainstorming. The cross-functional team approach to VA is the most effective.Value Engineering can be used on new product development.
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