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Mohammed A. Berawi, Ph.D.
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VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®
Improving Productivity and
Performance to Deliver More Value
M. A. Berawi, Ph.D., Editor
Many industrial firms expend a great amount of ef-
fort to increase the customer value of their project/prod-
uct development and services. This edition shows how
the methods of improving value are demonstrated with
industrial examples from construction and manufactur-
ing industries.
The project/product value is a function of, among
others, how well the end-product satisfies the require-
ments by having excellent planning and design, con-
ducting necessary and efficiency processes, and then
transforming those needs into product attributes. Fur-
thermore, the need to have a better performance of indi-
viduals/groups to learn new skills and develop new capa-
bilities is considered as a way to boost the performance
level. This scenario is created to reduce the project/prod-
uct development times, production costs and improve
product quality, in which the source of value added can
be invested. Undoubtedly, value is the key element in any
project, product or services success story.
Adding Customer Value in
Project/Product Development
Creating value into product or project development is
conducted by understanding the underlying factors that
influence value creation. The value of a project/product
can be evaluated if it is taken into an agreed context with
the attributes for project/product which are clearly iden-
tified, quantified, and managed over the life of the proj-
ect/product. Focusing on project/product value through-
out the product lifecycle assures unlocking the hidden
potential in the project/product design and processes.
There are commonly many factors, both internal and
external, that can influence the project/product value. In
this role, value engineering provides a method of creat-
ing value by constructing innovative ideas from under-
standing where the value lies by considering the various
constraints existing in project/product/services develop-
ment. Responding to this issue, the edition of Value World
presents four selected papers to stimulate debate and to
1
explore the application of value engineering in improv-
ing project/product development performance.
The first paper, written by Melvin R. Candelario,
tries to find alternatives to scarce materials, the diver-
gent and convergent techniques as well as the creativity
of value engineering that turn to develop the function-
oriented problem-solving team approach as a tool for
quality assurance. The case study of King Abdullah Finan-
cial District is discussed to determine the contribution of
VE method in avoiding non-conformance, constructabil-
ity success and quality improvement in the project.
The second paper, written by Hatem El-Mansy,
describes the application of VE method and ARCHATEM
design to develop structural systems in order to over-
come any disadvantages existing, such as reducing costs
and vibration. The paper further compares the proposed
model with steel truss and traditional concrete frame in
terms of efficiency of resources. The VE workshop was
conducted to define an alternative method in designing
structural system in a project to support a roof of 42m
span and to be sufficiently capable to support the as-
signed loads.
Furthermore, Anupama Kumari, outlines the use
of VE method to create value through functional analy-
sis, which includes improving cost effective design and
redesign of products and processes. A case study for
one of India’s largest, leading steel producing companies
highlights the use of VE techniques to achieve an im-
provement in the Shear functioning leading to increase
in yield. She argues that the VE workshop has achieved
an improvement in design, waste elimination, economic
efficiency and intangible benefits, including improved
working place and a motivated workforce. Having ways
to improve the products values, the author argues that
this process will help the company to increase their com-
petition level and market share.
The last paper, written by Khaled Medallah, outlines
the use of value engineering method to improve training
programs in an oil company. The training program con-
sisted of on-the-job training, seminars and workshops,
and off-the-job training, both in-house and outsourced.

2 PUBLISHED BY SAVE INTERNATIONAL®
Function analysis, creative, evaluation and development
as part of the methodology of value engineering were
conducted to collect and create ideas and developed
further into a training process map. As a conclusion, the
author states that the training program is improved and
ways of making the program more effective have been
identified.
I hope this edition of Value World conveys some new
insights in the way we conduct our Value Methodology
studies. I can be contacted at maberawi@eng.ui.ac.id and
would be pleased to accept and respond to any comment
and inquiry you may have on the direction and content of
Value World.
With warmest regards from editorial desk.
Dr. M.A. Berawi
Faculty of Engineering
University of Indonesia
16424 Jakarta
Indonesia
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
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VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®
Quantifiable Quality in Value
Improvement
Melvin R. Candelario
Abstract
Though it originated from finding alternatives to
scarce materials, the divergent and convergent tech-
niques as well as the creativity that value engineering
(VE) develops turn the function-oriented problem-solv-
ing team approach into a tool for quality assurance (QA).
In construction projects and facility designs, the good
leverage that this tool gives shall be recognized and used
not only for the benefit of the owner or client, but also
for the designers as well as the contractors.
Key Words
Value Engineering, Quality, Cost-cutting, Quality Assur-
ance
Introduction
While VE initially evolved from finding alternatives
for materials (PICE, Manual on Value Engineering, 2008), of
which shortage in the 1940s cleverly lead to finding ways
to accomplish necessary functions, for years even long af-
ter VE’s creation the methodology has been misconstrued
as merely of cost-cutting.
Justifying Savings
A clear cost-reduction idea in a VE workshop is
normally given a good rank so as to elevate it to a value
engineering proposal [VEP] to be developed; whereas
observations and findings pertaining to compliance with
codes are being ranked as recommendations.
In a VE workshop of a Ministry of Water & Electric-
ity building facility for instance, one important piece of
structural information was found missing and the closest
architectural details of it could be misleading as possibly
endangering a long façade deep beam to frame into two
columns while crossing over a supposed expansion joint
location.
3
Quantifying the savings so as to qualify the idea as a
proposal could have been tedious for it would have been
estimating the costs of repair or rework; nonetheless, a
recommendation to revisit such design philosophy and
relay it clearly on the drawings would at least be revert-
ing back to its preventive communication action, as the
ASCE Manual 73 emphasizes and deals extensively on
how the owner, design professional, and constructor
communicate.
Improved
function + quality
value Value =
cost
(1)
Quantifiable only by its hefty costs of non-confor-
mances, which may turn out to be a major design disaster
that will have been avoidable during the reviews intrinsic
in VE, quality increases value.
Since quality is also a ratio of work effort to cost, the
new value definition results in the life-cycle cost being
inversely exponentially proportional to it; but not to
overshadow the wearyingly quantifiable benefit of qual-
ity.
Quality improvement takes away costs of corrective
actions.
Knowing the requirements positively results in less
cost; just as knowing where to go does away with taking
unnecessary turns and taking the closest path. It lowers
the preventive action action costs and does without the
more expensive costs of corrective actions.
A welcome added value is the signficant increase in
pertinent market share as historically learned from the
Japanese whose intensive programs paid off in two de-
cades from the consistent drive of the Union of Japanese
Scientists and Engineers (JUSE) in the 1950s.
Requirements
Quality is conformance to requirements. Unless the
 A welco ome added d value is the significaant increasse in pertin
nent markett share as historicallyy
learned
d from the Japanese whose inttensive pro ograms paid d off in tw
wo decadess from thee
VALUE WORLD | in
consisteent drive off the Union of Japanesee Scientists and Engine
eers [JUSE]] VOL
the35 |0s.
1950NO 1 | SPRING 2012
4 PUBLISHED BY SAVE INTERNATIONAL®
REQUIR
IREMENTS
S

Figu
ure 1. FAST D
Diagram
Figure 1. FAST diagram.
Qualityy is conform mance to reequirementss. Unless th he owner fa avorably reequires or changes
c thee
owner favorably requires or changes the requirements, Being able to restudy the project requirements anew
require ment, non- compliance e with
non-compliance with them constitutes lack of quality.thosee constitutes s lack of quaality.
with the VE professionals thus reassuring himself of his
Requirements
Requireements are either clients’ clients’
aree either cwants or wa
those
antsman- or th hosedecisions,
mand the owner
datorily im takes benefi
mposed by t approving
from VE at g an early
datorily imposed by approving authorities/stakeholders stage. This is beneficial to the designer because approval
authorities/stakeh holders such h as objectivves, specifications, or th hose of the codes.
such as objectives, specifications, or those of the codes. of his next efforts will have been given.
Wants,
Wants, onon oneone
hand,
han areare
nd, erratic—may change
errattic – may ch all ofall of a sudden.
hange In a conceptual
M
Making design
use of thephase wVE workshop
VE workshop o of a Gen-
to
a sudden. Making
pin own use of the VE workshop
ners’ requireements dow to pin owners’ eral Authority of Civil Aviation
wn will be beneficial to the design consultant or contracttor. (GACA) airport facility for
requirements down will be beneficial to the design con- instance, it has been brainstormed that designers verify
sultantItoriscontractor.
liikewise equ ually impo ortant to reeconfirm criteriac the GACA for requirement
the all-th for an additional
he-time funnctions fllike
oore provi-
It comply
is likewise
yingequally
with coimportant
des (Figure to reconfi
e 1). rm good
A very criteriaexample sion
of mentioned
this would
w in
bethe
in criteria while
n electrical e as per top
engineering g GACA
for thefrom
all-the-time
w
which functions like complying with codes
discipline VE all started (O’Brien, 1976 management’s
6); the Com directive new
mpact Fluorrescent Lam facilities
mps [CFLs],, to exceed
are not
(Figure 1). A very
which for good example
f a long timet of this
used to would be in elec- the existing building
t be great in life cyclle cost saviings, are no heights,
ow tremendthus negating
dous health hsuch criteria
trical engineering
hazardss known fromaswhich
dirty discipline
electriicity.of VE all started provision and giving potential savings for columns and
(O’Brien, 1976); the compact fluorescent lamps (CFLs), footings. The designers nonetheless took their chance to
which for a long time used to be great in life cycle cost have their planned scheme approved at least in principle
after modifications per the VE study.
Project Project
Objectives Project VALUE
Strategy
Program Functionality
Design Const. Project The King Abdullah Financial
Operations
District—A Case Study
2|Page�
�
Envisioned to be a place where companies meet to
do business, where the King Abdullah Financial Academy
students will come to learn and where the best technol-
ogy will serve the brigthest minds, the King Abdullah
savings, are now tremendous health hazards known as Financial District (KAFD) will house a large community
dirty electricity. of professionals working within the financial sector and
related industries, the headquarters of the Capital Market
Figure 2. Application of VE—the lever of value.
Authority, the Stock Exchange, banks, financial institu-
tions and other service providers such as accountants,
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®�
5
� M. Candelario
� � � � � M. M. Candelario
Candelario
� �

Figure 3. The KAFD

Figure
Figure 3. The
3. The KAFD
KAFD
Figure 3. The KAFD.

Figure 4. The Challenge - Very Crowed 160 Hectares

Figure 4. The challenge—very
Figure
Figure 4. The
4. The Challengecrowded
Challenge - Very
- Very 160 160
hectacres.
Crowed
Crowed 160 Hectares
Hectares

auditors, lawyers, analysts, rating

The infrastructure agencies,
Contract consultants,
Package contractors
C01C comprises the came when construction
construction begun in
of the ground 2007, sup-
and
The The infrastructure
infrastructure Contract
Contract Package
Package C01C
C01C comprises
comprises thethe construction
construction ofthe of
the the ground
ground andand yet ex-
and IT providers. It will provide the next generation of posedly in phases. Of
subterranean level roads around the Financial Plaza (Figures 5 & 6), bridges (Figure 8), walls,over-100 stakeholders
subterranean
subterranean
development andlevellevel
ensure roads
roads
the around
around
sustained the the Financial
Financial
dominance Plaza
ofPlaza (Figures
(Figures &56),
5 the & 6), bridges
bridges (Figure
of(Figure 8), 8), walls, than 30 are
walls,
ramps, entry and exit vehicular tunnels, and any cluding
annexed hundreds
rooms as well subcontractors,
as the utilitiesmore
tunnel
ramps,
ramps,
Saudi Arabia entry
entry
as and
the and
exitexit
largest vehicular
vehicular
economy and tunnels,
tunnels,
fi and
nancialand
any any
center annexed
annexed rooms
rooms as as well
well as
architectural/engineering as
the the utilities
utilities
(A/E) tunnel
tunnel
design and supervision
underneath the subterranean level along with their branches, inclusive of all civil, structural,
withinunderneath
underneath thethe
themechanical
region. subterranean
subterranean level
level along
along with
with their
their branches,
branches, inclusive
inclusive
consultants; the of all
of all
rest are civil,
civil, structural,
structural,
specialty contractors/consul-
and electrical aspects, in addition to the landscape elements (Shankland Cox Asia
mechanical
mechanical
KAFD is to and
be aand electrical
electrical
custom-built fiaspects,
aspects, in addition
in addition
nancial community to the
to the landscape
landscape elements
elements
tants, geotechnical (Shankland
(Shankland
companies, CoxCoxAsiaAsia building
pre-engineered
Ltd., Master Plan Validation, 2006).
with aLtd.,
Ltd.,state-of-the-art
Master
Master PlanPlan working environment
Validation,
Validation, 2006). in over
2006). (PEB) manufacturers, precast (PC) suppliers, post-ten-
300 hectacres of floor space within easy reach of the city sioning (PT) companies, vendors, banks, and third party
center and airport. developers.
Thousands of construction and related jobs and so The Infrastructure Control Package C01C comprises
many contract packages distributed among few general the construction of the ground and subterranean level
4|Page�
� P |aPg ae g� e �
4|4
� �
 VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
6 PUBLISHED BY SAVE INTERNATIONAL®
Figure 7. Roads
� � M. Candelario
�

� � M. Candelario
� � � M. Candelario
�
The bridge structural system is generally of a single (Figure 14) or multi-span conventionally
reinforced concrete or post-tensioned concrete slab bridge, some of which are having PT in the
webs only that are either along the bridge’s axis (Figure 11) or along its transverse (Figures 10 &
14), PT in the diaphragms only, or with both PT webs and PT diaphragms.

THE PROBLEM

Such tall order to concretize the KAFD vision over an originally intense three year period posed
a big challenge especially when each of the influential general contractor wanted and got some
head start, ending up simultaneously starting; thus logistics, neighbors’ overcut (Figure 9) and
coordination among contractors turned out to be a daunting problem affecting planning and
actual works (Saudconsult, Monthly Executive Report for September 2010). Building facilities
started much earlier than that of the infrastructure (Figure 7).

Figure 5. Zoning Usage
An early VE Study would have foreseen such logistical and constructability problems of tight
work space, short construction contract duration, structural systems and methodologies (Figure
15) matching the fast track duration, planning and cost loadings thereof. Such workshop with a
VE team, the supervision consultants, design consultants, owners’ representatives and the
clients would have sorted out and laid the issues on the discussions table and immediately
Figure 8. C01C Bridges
thereafter reconfirmed or redefined requirements or revisions thereof and plans for compliance

Figure 5. Zoning usage. Figure 8. C01C bridges.

Figure 5. Zoning Usage
therewith and thus ensuring quality foremost of which is of being on time.
| P a g eso�
As in the example of these bridges or raised roads in the KAFD, with the design effort6already
�
much, a VEP at a later stage sometimes guised as a Design Field Change [DFC] is very less likely
to be accepted.

Figure 6. C01C Roads & Bridges

Figure 9. Overcut and Cramped Space

Figure 6. C01C Roads & Bridges

Figure 9. Overcut and cramped space.
Figure 6. C01C roads and bridges. 7|Page�
�
� � M. Candelario � � M. Candelario
�
5 | P a g�e �
�
5|Page�
�

Figure 10. Fouling Substructures

Figure 10. Fouling substructures.

Figure 7. Roads

Figure 7. Roads.
 VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®
7

roads around the Financial Plaza (Figures 5 and 6),

bridges (Figure 8), walls, ramps, entry and exit vehicular
tunnels, and any annexed rooms as well as all utilities
tunnel underneath the subterranean level along with
Figure 10. Fouling Substructures
their branches, inclusive of all civil, structural, mechani-
cal, and electrical aspects, in addition to the landscape
elements (Shankland Cox Asia Ltd., Master Plan Validation,
2006).
The bridge structural system is generally of a single
(Figure 14) or multi-span conventionally reinforced
concrete or post-tensioned concrete slab bridge, some
of which are having PT in the webs only that are either
along the bridge’s axis (Figure 11) or along its transverse
(Figures 10 and 14), PT in the diaphragms only, or with
both PT webs and PT diaphragms.
Figure 11. Webs Parallel to the Longitudinal
Figure 11. Webs parallel to the longitudinal. Problem Definition
Such a tall order to concretize the KAFD vision over
an originally intense 3-year period posed a big challenge
especially when each of the influential general contrac-
tors wanted and got some head starts, ending simultane-
� � M. Candelario ously starting; thus logistics, neighbors’ overcut (Figure
�
9) and coordination among contractors turned out to be
8|Page�
� a daunting problem affecting planning and actual works
(Saudconsult, Monthly Executive Report for September 2010).
Bulding facilities started much earlier than that of the
infrastructure (Figure 7).
An early VE study would have foreseen such logistical
and constructability problems of tight work space, short
construction contract duration, structural systems and
methodologies (Figure 15) matching the fast track dura-
tion, planning and cost loadings thereof. Such a work-
shop with a VE team, the supervision consultants, design
consultants, owners’ representatives and the clients
would have sorted out and laid the issues on the discus-
sion table and immediately thereafter reconfirmed or
redefined requirements or revisions thereof and plans for
compliance therewith and thus ensuring quality foremost
of which is being on time.
As in the example of these bridges or raised roads in
the KAFD, with the design effort already so much, a VEP
at a later stage sometimes guised as a design field change
(DFC) is very less likely to be accepted.
Such non-conformance to planned duration and the
Figure 12. Bridge B-03
many other non-conformances that ensued with the
Figure 12. Bridge B-03. cramped site and rushed works have been taxing the con-
tractor immensely through the costs of program recovery
that include increased crews and shifts.
The DFC (PC prestressed beams on pier crossroads)
9|Page� that would have been better considered had it been
�
through a much earlier VEP, now has all the more
 VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
8 PUBLISHED BY SAVE INTERNATIONAL®
� � M. Candelario
�
� � M. Candelario
�

BRIDGE NO. LENGTH (m) AREA (m2)

B-01 67.34 990.66
B-02 54.75 757.03
B-03 56.02 1,092.44
B-05 46.60 894.38
B-06 16.52 300.67
B-07 66.98 1,005.57
B-08 30.84 560.16
B-09 31.42 368.75
Figure 13. Constructability Considerations B-10 50.98 903.37
Figure 13. Constructability considerations.
Figure 13. Constructability Considerations
B-11 29.92 445.37
B-12 49.25 932.84
B-13 30.24 591.50
B-14 47.56 821.31
B-15 31.65 600.13
B-16 33.26 328.05
B-17 77.29 834.06
B-18 13.24 213.75
B-19 34.00 844.14
B-20 31.50 645.64
B-21 49.42 1,086.18
B-22 31.45 598.03
B-22a 31.71 455.97
B-23 40.30 672.26
Figure 14. Bridge B-05
B-24 29.10 416.37
10 | P a g e �
Figure 14. Bridge B-05
� B-24a 12.39 159.24
Figure� 14. Bridge B-05. 10 | P a g e �
B-25
M. Candelario
30.36 441.34
�
B-26 41.74 643.30
B-27 30.07 477.86
B-28 69.74 894.33
B-29 75.74 1,036.86
B-30 65.63 857.48
B-31 76.64 479.11
B-32 99.20 1,295.41
B-33 26.17 438.31
B-34 81.12 1,660.11
TOTAL 1,590.14 24,741.98
Figure 16. Bridges Summary

Figure 15.Figure 15. VE VS Mock-up

VE vs. mock-up.

ce to planned duration and the many other non-conformances that ensued

VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®
constraints with the ongoing substructure concret-
ing, further narrowing the already limited options. The
process of the bridge engineer designing and contractor,
subcontractor and vendor implementing is now reversed;
instead, the latter now try to retrofit with current dimen-
sions and constraints bereft of proper design.
Original Plan
 Duration is 218 days.
 Underestimated total cost is SR 37,920,385 (contrac-
tor’s bid).
 Overlooked (not provided for) cell infill is around SR

23M.
Pot bearing plates have been underestimated (very
big cost item.
Conclusion
A great win-win opportunity among client, designer,
and contractor—VE through its team of professionals can
ensure value for the owner’s money, would be a chance
to gather confirmation of requirements which is better
when at an earlier phase (Figure 2) to avoid non-con-
formance, and to chart out constructability success and
quality.
References
ASCE Manuals and Reports on Engineering Practice No.
73, Quality in the Constructed Project, 2011, ISBN 978-0-
7844-1.
Shankland Cox Asia Ltd., Master Plan Validation, DMG, Ur-
ban and Landscape Detail Design, King Abdullah Finan-
cial District, October 2009.
Lawrence D. Miles, Techniques of Value Analysis and Engi-
neering, 3rd Edition, NY: McGraw-Hill, 1972.
James J. O’Brien, Value Analysis in Design and Construction,
McGraw Hill, 1976.
Philippine Institute of Civil Engineers, Inc. (PICE), Manual
on Value Engineering, 1st Edition, October 2008.
Saudi Consulting Services (Saudconsult), Monthly Execu-
tive Report for September 2010, King Abdullah Financial
District Package C01C - Subterranean Roads and As-
sociated Underneath Utilities Tunnels.
9
About the author
Melvin Candelario serves as a principal structural engineer for
Structures Unlimited Realty and Engineering Consultancy. He is
an Associate Value Specialist and is a member of the Association
of Structural Engineers of the Philippines, the National Capital
Region Chapter of the Geodetic Engineers of the Philippines, the
Project Management Institute, the Saudi Council of Engineers,
and SAVE International. Candelario is licensed by the Philippine
Regulation Commission as a civil engineer, geodetic engineer,
and real estate broker.
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Associate Value Specialist (AVS)
This entry level certifi cation attests that the individual
has completed basic training in practice of the Value
Methodology and has mastered the basic concepts.
Value Methodology Practitioner (VMP)
A journeyman level certifi cation, the VMP signifies that
the bearer has intermediate level experience in serving
on value study teams and can lead a value study. The
VMP is suitable for individuals who use value engineer-
ing, but for whom value engineering is not their primary
career focus.
Certified Value Specialist (CVS)
This highest level of certification testifies that the bearer
is a professional expert in the application of value engi-
neering. The CVS best suits the individual whose career
focuses primarily on leading value studies or managing
value engineering programs.
Learn About the Certification Program
Call SAVE International at (937) 224-7283. Email your
inquiry to cao@value-eng.org. Or go to the SAVE Inter-
national Web site — www.value-eng.org — and click
on “Education & Training” in the navigation menu. Or
download the Certification Manual, which is the officcial
guide to the certification program.

10
Applying VM Basics on ARCHATEM
as an Innovative Beam Versus
Traditional Alternatives
Hatem El-Mansy, AVS
Abstract
Nowadays, Saudi Arabia undergoes a constructional
revolution which allows individuals and groups to con-
tribute by their creative ideas to develop existing struc-
tural systems to overcome their disadvantages and to
gain new characteristics to improve the behavior thereof,
as well as increase the resources efficiency and cut costs
and CO2 emissions. However, one of the creative ideas is
ARCHATEM the function of which is the same function of
steel truss; but without such a problem of high cost and
vibration concerns, and similar to traditional concrete
frame; without its bulky sections and high long term
crack deflections.
ARCHATEM was proposed for the first time in 2010
to support a free standing roof of 42 m span of one of
the landmark buildings in KSA. During a VE workshop it
raised inquiries about the feasibility of using ARCHATEM
and if it is more feasible to be used rather than other con-
ventional system such as steel truss or concrete frame.
This paper presents VE workshop literatures that
proved the feasibility of the use of ARCHATEM; by which,
40% of the cost and 50% of CO2 emission was eliminated
compared to the usage of steel truss or traditional con-
crete frame.
Figure 1. Tensil, balloon, and spatial structural systems.
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®
Introduction
For a long time, the world knew different types of
structural systems for long span halls.
Types of structural systems comprise two technique
divisions:
1. Techniques that achieve long span and carry no
gravity loads except self weights of the construction
materials like tensile element structures, balloon
structures, and spatial systems.
2. Techniques that achieve long span and carry heavy
gravity loads like frame and truss systems besides
ARCHATEM, the subject of this paper.
ARCHATEM is related to the second technique divi-
sion as an innovative simply supported beam that looks
like a concrete truss, the lower chord of which is para-
bolic to benefit extremely from PT strands developed
therein, then; pressures generated by PT make the beam
middle moving up countering its natural dead and live
loads; which open the door for concrete designers to roof
ballrooms of longer spans regardless how heavy the ap-
plied loads above.
ARCHATEM Versus VM Basis
The Value Methodology (VM) is a function oriented
systematic technique conducted by team of specialists to
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®
Figure 2. Truss, frame and ARCHATEM structural systems.
eliminate and prevent unnecessary costs.
Value Methodology demonstrates a 5-step job plan
model for any problem-solving:
1. Information Phase
2. Function Analysis Phase
3. Creativity and Idea Generation phase.
4. Evaluation and Development Phase.
5. Recommendation/Presentation Phase.
Information Phase
The collected data about the problem was concluded
in a task to propose and design a girder in a project con-
sidered as a landmark in Riyadh to support a roof of 42 m
span and to be capable enough to support the assigned
loads.
Steel truss and concrete girder have many disadvan-
tages; nevertheless, they are typically used as traditional
systems for such jobs.
The decision was to break the mold and go to a new
system.
But before that we had to knock all doors trying all
systems including Traditional systems; we prepared con-
ceptual design of every system of the same span length
and to carry the same loads in order to compare between
them properly. Two of the conceptual proposals are dem-
onstrated below.
Steel Truss Concept
The steel option is a basic alternative for such spa-
cious spans. (See Figure 3.)
Figure 3. Truss proposal extracted from Etabs
structural model.
In the preliminary stages of the design, structural
steel model has been prepared to ensure the capability of
steel truss for the subject.
11
Steel truss showed acceptable structural behavior
when it was designed from assemblies of W- profiles.
The section heights were found 1500 mm for col-
umns, 600 mm for the lower cord and 1000 mm for the
top chord.
The depth of the truss including flooring is approxi-
mately 4.00 m.
The computed deflection of the truss was 88 mm.
Air conditioning ducts can be designed to pass
through truss diagonals and chords in openings approxi-
mately 1.5x1.5 m.
The steel truss system had undergone many ad-
vanced studies to reach the optimum solution.
Steel structure has disadvantages with respect to cost
and vibration.
Cost of steel structures is generally higher in Saudi
Arabia compared to the U.S. for the lack of skillful steel
technicians.
Vibration concerns remain valid in this system for its
spacious span and for using the roof above as a park; A
specialist shall be consulted to confirm that the vibration
acceleration is within 20 mg for the users’ comfort.
Concrete Frame Concept
The behavior of the structural frame was good in
general but the column sizes are found huge of almost
the same dimensions of the girder. (See Figure 4.)
Figure 4. Concrete frame proposal extracted from
Etabs structural model.
It was required that massive girder depth of about 4
m to control long term deflection and strength require-
ments. Column sizes may be optimized in advanced
design stages to be tapered and PT strands may be used.
 VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
12 PUBLISHED BY SAVE INTERNATIONAL®

The following quality model points to the need to an- Sustainability

other alternative as not one of the steel truss or concrete
For concrete and steel structures a key environmen-
girder achieves the overall expectations of the system.
tal impact is the production of CO2 during the production
Quality Model of Portland cement and steel. Approximately 0.65 ton of
Based on the analysis of both of truss and frame we CO2 is produced during the production of each one ton of
could know different information about their strength, cement and 3.0 tons of CO2 is produced during the pro-
deformation and we could estimate quantities of different duction of one ton of steel. Cement and steel manufactur-
materials and then the cost of construction of one single ing produce about 12% of the global CO2 emissions. The
unit of each. All information we could gather are tabu- minimizing of CO2 is the minimizing of the use of steel
lated in the following tables.
and cement.
Table 1. Cost Comparison between Steel Truss
Table 5. Sustainability Comparison between Steel
and Concrete Frame
Truss and Concrete Frame
Steel Truss Concrete Frame
Quantity (m3) N/A 200 Steel Truss Concrete Frame
Estimated Cost US$140,000 US$80,000 Quantity (m3) N/A 200
Quality Index 50% 80% Steel Weight (ton) 62 35
Cement Weight (ton) N/A 75
Table 2. Strength Capacity Comparison between CO2 Emission (ton) 3x62 3x35 + 0.65x75
Steel Truss and Concrete Frame Total CO2 (ton) 186 154
Steel Truss Concrete Frame Quality Index 50% 60%
Quality Index 100% 80%
Table 6. Accessibility Comparison between Steel
Table 3. Sagging Resistance Comparison between Truss and Concrete Frame
Steel Truss and Concrete Frame
Steel Truss Concrete Frame
Steel Truss Concrete Frame Quality Index 80% 50%
Quality Index 100% 50%
Table 7. Aesthetics Comparison between Steel
Table 4. Vibration Resistance between Steel Truss
Truss and Concrete Frame
and Concrete Frame
Steel Truss Concrete Frame Steel Truss Concrete Frame
Quality Index 50% 100% Quality Index 80% 50%

Table 8. Material Recycling Comparison between

Steel Truss and Concrete Frame
A

H
Steel Truss Concrete Frame
H

Quality Index 100% 50%

G C G C
Quality Model Conclusions
Incorporating all above information into the quality
F model diagram we can conclude the following (Figure 5):
D

D
F
E

 The steel frame has better quality than the concrete

frame.
Steel Truss Concrete Frame
 There are large un-shaded areas in both quality mod-
Figure 5. Quality model of steel truss and con- els which reflect the fields of improvement potential
crete frames. for each.
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®
13

HOW ? WHY ?

APPLY EQUIVALENT RESIST AXIAL

APPLY STEEL TRUSS
BASIC FUNCTIONS AXIAL FORCES STRESSES

TRANSMIT LOADS
SUPPORT ROOF RESIST FLEXURE RESIST STRESSES APPLY CONCRETE GIRDER
TO COLUMNS

APPLY CREATIVE CREATE INNOVATIVE

CARRY LOADS SYSTEM SYSTEM

SUPPORTING FUNCTIONS

iii. Creativity and Idea Generation phase.

ASSURE CONVENIENCE

Concrete as a material to steel is mostly common in construction in Saudi Arabia for its relative c
ASSURE DEPENDABILITY
availability of labor.
That is why the developer chose to direct his effort to improve the characteristics of the concrete fra
SATISFY USER
originated a creative structure extruded from the concrete frame womb.

ATTRACT USER
In this stage two questions stick out in the mind of the developer:
� Can we cut from the bulky frame section to reduce the self weight and cut from the cost?
� What
PRIMARY FUNCTIONS canSECONDARY
we do to overcome cracked
FUNCTIONS 3RDdeflection concerns?
LEVEL FUNCTIONS

The answer
Figure 6. Function Analysis System of those questions
Technique recalled Oriented
- Customer restoring of FAST
the following basis of the design of concrete sections:
At small loads when the tensile stresses are less than the modulus of rupture (the bending tensile stress at
Function Analysis Phase the concrete begins to crack), the entire cross section of
begins to crack), the entire cross section of the beam resists bending, with compression on one side and t
as shown in Fig 6. the beam resists bending, with compression on one side
In this stage, the task was clear to propose and design and tension on the other as shown in Figure 7.
a girder whose highest order function is defined clearlyFig 6: Concrete Section (Non-cracked Stage):
to support a roof of 42 m span and to be capable enough
to support the applied loads. (See Figure 6.)

Creativity and Idea Generation Phase

Concrete as a material compared to steel is mostly
common in construction in Saudi Arabia for its relative
cheap cost and the availability of labor.
That is why the developer chose to direct his effort to
improve the characteristics of the concrete frame. Even-
tually, he originated a creative structure extruded from
the concrete frame womb.
In this stage two questions stick out in the mind of
the developer:
 Can we cut from the bulky frame section to reduce
the self weight and cut from the cost?
 What can we do to overcome cracked deflection
concerns?
The answer of those questions recalled restoring of
the following basis of the design of concrete sections: At
small loads when the tensile stresses are less than the
modulus of rupture (the bending tensile stress at which
Figure 7. Concrete section (non-cracked stage).
As the load is increased after modulus of rupture
of the concrete is exceeded, cracks begin to develop in
the bottom of the beam and the concrete in the cracked
zone cannot resist tensile stresses-the steel must do it as
shown in Figure 8.
As the load is increased further so the compression
stresses are greater than 0.5fc’ the tensile cracks moves
further upward, as does the neutral axis, and the con-
crete compression stresses begin to change appreciably
from straight line as shown in Figure 9.
Actually, the cracked concrete in the cracked stages
cannot resist tensile stresses and the concrete section can
be replaced by equivalent one named transformed sec-
tion as shown in Figure 10.
er modulus of rupture of the concrete is exceeded, cracks begin to develop in the bottom of the
se the load zone
cracked is increased
As the load isfurther
cannot increased so
resist afterthe
tensile compression
modulus of rupture of stresses
stresses-the steel the concreteare
must do itis asgreater
exceeded,
VALUE
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es the neutral axis, and the concrete compression stresses begin to change appreciably from straight line as show
PUBLISHED BY SAVE INTERNATIONAL®
ncrete in the
racked cracked
Fig 7:zone
Stage): cannot
Concrete resist(Cracked
Section tensile stresses-the
Stage): steel must do it as shown in Fig 7.
Section (Cracked Stage): Fig 8: Concrete Section (Ultimate Stage):
In the same direction we could save about 50% of the
concrete quantity of the frame girder when replaced by
upture of the concrete is exceeded, cracks begin to develop in the bottom of the ARCHATEM as shown in Figure 11.
annot resist tensile stresses-the steel must do it as shown in Fig 7.
To keep the integrity of the system, reserving it from
cracking, PT is developed in the lower chord. PT has the
great impact in mitigating stresses on upper and lower
chords and increasing the strength and serviceability
capacity
As the load is increased further so the compression stresses are greater of ARCHATEM.
than 0.5fc' the tensile cracks moves further upward, as
does the neutral axis, and the concrete compression stresses begin to change appreciably
Shaping the lowerfromchord
straight
asline as shown in
a parabola wasFigan
8. excel-

creased further so the compression stressesFig are8:greater

Concrete Section
than 0.5fc'(Ultimate lent
Stage):
the tensile ideamoves
cracks and appropriate to increase
further upward, as the efficiency of the
her
axis,so
andthethecompression
concrete compressionstresses are greater
stresses begin to than
change0.5fc' post
the tensile
appreciably tensioned
cracksline
from straight strands
moves
as shown inside.
further
in Figupward,
8. as
e concrete compression
Figure
Fig 8.Concrete
8: Concrete stresses begin
section
Section toStage):
(cracked
(Ultimate change appreciably from straight line as shown in Fig 8.
stage).
ession stresses are greater than 0.5fc' the tensile cracks moves further upward, as
ression stresses begin to change appreciably from straight line as shown in Fig 8.
Evaluation and Development Phase
Fig 8: Concrete Section (Ultimate Stage):
e Section (Ultimate Stage): ARCHATEM shown in Figure 12 has undergone many
aspects of analysis and detailing which confirm its high
capability of strength and serviceability.
Based on 42 m ARCHATEM model, concrete section of
1.00 x 1.00 m has been chosen for lower, upper, and verti-
cal cords.
ctually, the cracked concrete in the cracked stages cannot resist tensile stresses and the concrete section can
The PT was effective enough and the long term de-
be r
uivalent one named transformed section as shown in Fig 9.flection is expected to be within the acceptable limitation
and will not exceed 80 mm.
Actually, theFig 9: concrete
cracked Concretein the Section and
cracked stages Transformed
cannot Section:
resist tensile stresses and the concrete section can be replaced by
equivalent one named transformed section as shown in Fig 9. ARCHATEM Constructability
The method statement for the construction of
Fig 9: Concrete Section and Transformed Section:
ARCHATEM can be summarized in the following steps:
d stages cannot resist tensile stresses and the concrete section can be replaced by
acked concrete in the cracked stages cannot resist tensile stresses and
s shown in Fig 9.
the concrete
A. Thesection can beshall
form work replaced
start by
by installing one vertical
amed transformed section as shown in Fig 9. side in addition to the bottom side of the form; the
Figure 9. Section:
tion and Transformed Concrete section (ultimate stage).
Fig 9: Concrete Section and Transformed Section: other vertical side to be movable.
B. Surveyor to mark the location of the voids as shown
in Figure
ete in the cracked stages cannot resist tensile stresses and the concrete 13. can be replaced by
section
ormed section as shown in Fig 9. C. The steel fixer to fix lower chord steel and PT sup-
plier to extend PT ducts as shown in Figure 14.
9: Concrete Section and Transformed Section: D. The
In the same direction we could save about 50% of the concrete quantity of formwork to bewhen
the frame girder resumed toby
replaced shape and strength-
ARCHATEM
as shown in Fig 10: en the marked voids as shown in Figure 15.
Fig 10:
the same direction weDerivation
could saveof ARCHATEM from of
about 50% Frame
theGirder Using
concrete Concrete
fixerCrack
quantity
E. Steel toof Concept:
the frame
continue girder
steel work when in
as shown replaced
Figure by AR
0% of the Figure 10. Concrete
concrete quantity of the framesection and
girder when transformed
replaced sec-
by ARCHATEM
16.
shown in Fig 10:
tion. F. After finishing steel work and the coordination with
rom Frame Girder Using Concrete Crack Concept:
ctionFig 10: Derivation
we could ofofARCHATEM
save about 50% from
the concrete quantity of theFrame Girder
frame girder whenUsing
replacedConcrete Crack Concept:
by ARCHATEM
10:
erivation of ARCHATEM from Frame Girder Using Concrete Crack Concept:
To keep the integrity of the system, reserving it from cracking, PT is developed in the lower chord. PT has the great impact in
mitigating stresses on upper and lower chords and increasing the strength and serviceability capacity of ARCHATEM.

g it from cracking, PT is developed in the lower chord. PT has the great impact in
ds and increasing the strength and serviceability capacity of ARCHATEM.

uld save about 50% of the concrete quantity of the frame girder when replaced by ARCHATEM
Figure 11. Derivation of ARCHATEM from frame girder using concrete crack concept.
ogrity
keep thesystem,
of the integrity of the
reserving system,
it from reserving
cracking, it from
PT is developed cracking,
in the PTPT
lower chord. is has
developed in theinlower chord. PT has the grea
the great impact
ARCHATEM
tigating
es on upperstresses from
and loweron Frame
upper
chords and andGirder
lower
increasing Using
thechordsConcrete
strength and Crack Concept:
increasingcapacity
and serviceability the strength and serviceability capacity of ARCHAT
of ARCHATEM.
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®
15

Figure 12. ARCHATEM developed structural details.

Figure 13. Formwork outlining.

Figure 14. Shaping void places.

 VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
16 PUBLISHED BY SAVE INTERNATIONAL®

other disciplines, the movable side to be fixed.

G. Forms to be strengthened and then the concrete can
be poured after the approval of the engineer.
H. During the hardening of concrete the PT stressing
can be developed as per the approved schedule; and
then the removal of forms.
Table 9. Cost Acceptability Comparison between
I. Stressing may be continued after removing of the
ARCHATEM, Steel Truss and Concrete Frame
forms gradually with the development of loads and
the maturity of concrete. Concrete
ARCHATEM Steel Truss Frame
Quantity
ARCHATEM Rationalization (m3)
100 N/A 200

Estimated
The ARCHATEM has been validated by hand calcula- Cost
US$65,000 US$140,000 US$80,000
tion and computerized analysis; Analysis includes the
Acceptance
following aspects: Level
Very Good Fair Good
 Serviceability.
 Strength efficiency. Table 10. Strength Acceptability Comparison
 Elasticity. between ARCHATEM, Steel Truss and Concrete
 Pre-stressing schedule dependence on elastic stabil- Frame
ity. Concrete
 Specialist PT suppliers like Freyssinet & Minard and ARCHATEM Steel Truss Frame
MK4 have been informed and they emailed their Acceptance
Very Good Very Good Good
agreements on the constructability and the valida- Level
tion of ARCHATEM; Moreover, they conveyed their
desire to contribute in the construction process. Table 11. Sagging Acceptability Comparison
between ARCHATEM, Steel Truss and Concrete
Frame
Weighted Evaluation Matrix
Concrete
Weighted matrix evaluation (Figure 15, next page) ARCHATEM Steel Truss Frame
assures optimum decisions. Good decisions are made by Acceptance
placing the proper emphasis on all criteria. During evalu- Very Good Very Good Fair
Level
ation it was important to discuss and weight the follow-
ing areas:
Table 12. Vibration Acceptability Comparison
 Needs versus desires.
between ARCHATEM, Steel Truss and Concrete
 Importance versus unimportance.
Frame
 Design trade-offs versus required functions.
The procedure for weighted evaluation has been Concrete
ARCHATEM Steel Truss Frame
divided into two processes, the criteria weighing process
and the analysis matrix. Acceptance
Very Good Fair Very Good
The weighted criteria process is designed to isolate Level
important criteria and establish their weights or relative
importance.
Based on the following schedules, the weighted ma-
trix procedure has been conducted. Schedules have been
prepared based on the comparison between three models
include the ARCHATEM and other two alternative girders
of 42 m span at 9.00m.
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®
17

A. Cost 4- Major Preference

A-B
B. Strength Capacity 3- Medium Preference
A-C
B-C A-2 2- Minor Preference
C. Deformation Control B-2 A-4 1- No Preference
C-2 B-4 A-4
D. Vibration Control C-3 B-4 A-4
D-3 C-3 B-4 A-4
E. Sustainability D-3 C-3 B-4
F-2 D-3 C-3
F. Accessibility E-G D-3
F-2 E-H
G. Aesthetics F-2
G-H
H. Recycling
H G F E D C B A

Row Score 2 2 6 2 12 16 20 20

Weight of
1 1 3 1 6 8 10 10
Importance
(0 - 10) Total

2 4 12 4 24 32 40 40
ARCHATEM 158
2 4 4 4 4 4 4 4

4 3 9 2 12 32 40 20
Steel Truss 122
4 3 3 2 2 4 4 2

2 2 3 2 24 16 30 30
Concrete Frame 109
2 2 1 2 4 2 3 3

Excelent (5); Very Good (4); Good (3); Fair (2); Poor (1)

Figure 15. Weighted evaluation matrix.

 VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
18 PUBLISHED BY SAVE INTERNATIONAL®

Conclusion
Table 13. Sustainability Acceptabiilty Comparison From the weighted evaluation matrix above we can
between ARCHATEM, Steel Truss and Concrete conclude that ARCHATEM is the best alternative which
extremely fulfills the overall expectations of the system;
Frame
the steel truss comes second; whereas the traditional
Concrete concrete frame comes third.
ARCHATEM Steel Truss Frame ARCHATEM is the most earth friendly amongst the
Quantity other alternatives, its resources are the most efficient
100 N/A 200
(m3) and the cost thereof is the minimum.
Steel Weight It is accessible enough for cabling and ducting and
20 62 35
(ton) can be used as an aesthetic feature; on the other hand,
Cement ARCHATEM is a promising product with a wide range of
40 N/A 75
Weight (ton) improvement potential that need the participation of
CO2 Rate interested practitioners and researchers.
3 0.65 The internet site www.archatem.blogspot.com has
(ton/ton)
CO2 Emission 3x20 + 3x35 + been recently established for interested users all over the
3x62 world and its being developed and expected to launch in
(ton) 0.65x40 0.65x75
Total CO2 few weeks.
86 186 154
(ton)
Acceptance
Level
Very Good Fair Fair References
McCormac, Jack C. & Nelson, James K., Design of Reinforced
Table 14. Accessibility Acceptability Comparison Concrete.
between ARCHATEM, Steel Truss and Concrete
Nilson, Arthur H., Design of Prestressed Concrete.
Frame
Concrete SAVE International®, (2005) Value Methodology Standard.
ARCHATEM Steel Truss Frame
World Commission on Environment and Development
Acceptance (WCED) (1987) Our Common Future, Oxford University
Very Good Good Poor
Level
Press, Oxford.

Table 15. Aesthetics Acceptability Comparison Shublaq, Emad W. 2005, “Value Methodology; (Analysis,
Engineering & Management)”, SAVE International,
between ARCHATEM, Steel Truss and Concrete
USA, PP331.
Frame
Concrete
ARCHATEM Steel Truss Frame
Acceptance
About the Author
Very Good Good Fair
Level Hatem El-Mansy is a chief struc-
tural engineer in Omrania and
Table 16. Material Recycling Acceptability Associates. Since his graduation in
Comparison between ARCHATEM, Steel Truss and 1990, he has worked in the struc-
Concrete Frame tural design of commercial, resi-
dential and industrial buildings.
Concrete For 15 years, being in Saudi Arabia,
ARCHATEM Steel Truss Frame he has designed and reviewed sev-
Acceptance
Fair Very Good Fair eral structural designs of low and
Level high rise buildings and other types
of structures.
 2012 SAVE International Conference
June 12-14, 2012 in Orlando, Florida

You’re invited to attend the 52nd Annual SAVE International Conference in Orlando, Florida at
the Renaissance at SeaWorld. By attending the 2012 SAVE International Conference you’ll gain
access to over 50 VE presentations, distinguished keynote speakers, a premier tradeshow, the new
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opportunities with nearly 400 VE professionals from over 15 different countries. Need we say more?

Attention Members! Want to $AVE? What are the costs to attend?

We’d like to announce a new opportunity for
Members to SAVE BIG on their conference
registration costs. If you secure a new sponsor
$645 �������������������������������

or exhibitor for 2012, we will give you $200 off for Non-Member
your SAVE Conference registration. Help us $795 (Includes 1 year of SAVE Membership)
enhance the conference by growing our exhibit
hall participation and sponsorship support. per person, for Groups of 5+
(Restrictions apply; visit the conference website
for details.) Sponsor and exhibitor registration
$516 (Receive 20% off Member Rates)

is open now. Above rates are only valid if registered and paid by May 11, 2012.

Maximize Your Experience with these Value-Added Opportunities.

�� Attend Module I or Module II ������������� �������� �������� Continuing Education Initiative (CEI)
courses, or other pre-conference workshops held on June 7-11. (Additional fees apply.)
�� Attend the Government VM Conference on June 15. If you provide—or want to provide—value analy-
sis and/or value engineering services for a government agency at the local, state, or federal level, then
this event is for you. ($150 per person.)
�� Participate in the 1st Annual SAVE Storyboard Competition with a chance to win $500! This is an
opportunity to share and be judged on real world applications and benchmark strategies of the Value
Methodology. ($100 entry fee; limit of one entry per contestant.)
�� Be a Conference Sponsor and help support this annual event. Sponsorship packages range from $500
to $5000 that includes a number of perks and plenty of company exposure.
owcase the launch of new products, meet new customers, or build brand awareness.

Visit www.value-eng.org
and click on the
SAVE Conference tab
or contact CMC & Associates
at (850) 224-7775
for more information.

20
Creating Business Sustainability
with Value Engineering as a Tool
Anupama Kumari
Abstract
Business sustainability is often defined as managing
the triple bottom line—a process by which firms manage
their financial, social and environmental risks, obliga-
tions and opportunities. VE is defined as the ratio of func-
tion to cost. Increased global competition and complexity
within the steel sector has led companies to find ways
to maximize their products’ values, processes, projects
or services within a total system. VE maximizes value
through functional analysis which include improving,
making cost effective design, and redesign of products,
processes, projects or services. VE also helps identify and
eliminate unnecessary cost so that minimum cost could
be achieved without sacrificing the safety or the reliabil-
ity of the system. The following case study highlights the
use of VE techniques to achieve an improvement in the
shear functioning leading to increase in yield. Bhilai Steel
Plant is a major unit of SAIL. SAIL is India’s largest steel
producing company. With a turnover of Rs. 48,681 crore,
the company is among the top five highest profit earning
corporate of the country and a Maharatna.
Despite the grim global market scenario for steel,
Bhilai Steel Plant ended the year 2010-11 with capacity
utilization of 121.4% in hot metal, 135.8% in crude steel
and 144.8% in saleable steel. The component of special
steel and value added products in saleable steel grew by
64.5% registering a growth of 8.3% over last year. All the
mills operated above the rated capacity.
A value engineering project was undertaken by
the team to study and identify the factors which could
improve the yield of the mill. After data analysis, it was
found that the front end cutting at flying shear was one
of the major factors, which if optimized could increase
the coil weight and in turn the yield. The study came out
with the recommendation that number of cuts at the
flying shear should be ensured to single cut and the cut
length should be optimized. As a result of this, the coil
weight has increased which has resulted in gain of Rs 9.54
crores per annum.
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®
Introduction
Value engineering (VE) is a systematic method to
improve the “value” of goods or products and services by
using an examination of function. Value, as defined, is the
ratio of function to cost.
Business sustainability is often defined as managing
the triple bottom line—a process by which firms manage
their financial, social and environmental risks, obliga-
tions and opportunities. These three impacts are some-
times referred to as profits, people and planet.
According to the World Council for Economic Devel-
opment (WCED), sustainable development is development
that “meets the needs of the present without compromis-
ing the ability of future generations to meet their own
needs.” So, for industrial development to be sustainable,
it must address important issues at the macro level, such
as: economic efficiency (innovation, prosperity and pro-
ductivity), social equity (poverty, community, health and
wellness, human rights) and environmental accountabil-
ity (climate change, land use, biodiversity).
The pressure for ever-increasing profits is intense
and unrelenting today. Coping with local competitors and
thriving in the global economy make bottom-line effi-
ciency an absolute day-to-day business essential. Profit-
ability is a function of productivity, price and volume
expressed as:
Profitability = f (Productivity, Prices, Volume)
Value Engineering &
Productivity
Increased global competition and complexity within
the steel sector has led companies to find ways to maxi-
mize their products’ values, processes, projects or ser-
vices within a total system.
VE maximizes value through functional analysis
which include improving, making cost effective design,
and redesign of products, processes, projects or services.
VE also helps identify and eliminate unnecessary cost so
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®
Figure 1. Layout of wire rod mill, BSP.
that minimum cost could be achieved without sacrificing
the safety or the reliability of the system.
The value engineering job plan consists of eight
phases:
 Orientation phase: select project.
 Information phase: collect data.
 Function phase: analyze function & cost & worth.
 Creative phase: speculate on alternatives & param-
eters which will add to the value of the existing func-
tion.
 Evaluation phase: evaluate alternatives from the
point of view of implementation. Select the best
alternative.
 Recommendation phase: develop alternatives.
 Implementation phase: translate the plan into action.
 Audit phase: verify accomplishments.
Bhilai Steel Plant, the flagship unit of Steel Authority
of India limited (SAIL), is an integrated steel plant which
has been consistently producing world–class steel for
general construction as well as special steel for engineer-
ing, power, railways, automotive and defense sectors.
21
The value engineering checklist when applied to
manufacturing process puts forth the following ques-
tions:
 Can any alternative operation be adopted to reduce
cost or eliminate waste?
 Can a different economic process be used?
 Can any operation be eliminated?
 Can the duplication of any operation be avoided?
 Can any operation be combined?
 Can the process be changed to reduce rejection?
Productivity can be increased by increasing the yield
or reducing the rejection and waste. While answering the
questions in the above list during the selection of project,
it was felt that the maximum benefit of VE techniques
could be derived if the team worked on improvement in
yield which has enough potential savings to make the
study worthwhile.
It is essential to understand the process and have a
detailed knowledge of the equipment and the process
flow (Information phase) function analysis of each and
every component related to the process flow and the
functioning of item in terms of two words “Verb & Noun”
 VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
22 PUBLISHED BY SAVE INTERNATIONAL®

is what helps the team to really determine the true need. Problem Definition
Determination of the required function(s) is vital to the
team for its successful application of the VE job plan. Wire rod mill is a 4-strand mill with solid hearth re-
Creative phase is marked by brainstorming sessions heating furnace, the yield of the mill is low 95.7%. As per
for the basic function. Brainstorming sessions are unin- customer feedback, they liked to have a coil which weighs
hibited where many ideas are generated of which few are 1 ton. Our billet size is 105x 105 Sq.mm with billet weight
viable and others are not. Here the basic VE technique of 967 kg and finished coil weight is around 936 -940 kg. It
forming a cross functional team helps in generation of was felt that shop should try and increase the coil weight
many innovative ideas. as far as possible. This will not only make the customer
Ideas thus generated in the creative phase are evalu- and wire drawers happy but at the same time would
ated based on ranking and decision matrix. For this increase yield.
criteria & objectives are defined and each alternative is The factors which are affecting yield are:
weighed against a chosen set of criteria or objective. The 1. Cutting at flying shear
best possible alternative is chosen. TheCobbles
2. factors which are affecting yield are:
Thus we have seen that for creating a sustainable 1) Scale
3. Cutting
loss at Flying shear
business at a macro level it must address the economic 2) Trimming
4. Cobbles at back end in rod finishing - 2 areas
efficiency which is nothing but innovation and produc-
tivity and VE as a tool helps to identify the waste and
3) As can
Scale lossfrom the pie chart above (Figure 2)
be seen
that
4) Trimming at during
for the production April-September,
back end 2010,
in Rod Finishing -
eliminate the duplication of operation.
the yield percentage is most affected by cuttings at flying
2 area
shear (1.9% of the total production in tonnes).
Application of VE to Increase
Productivity Cutting at F/shear
The following case study highlights the use of VE Cobbles
techniques to achieve an improvement in the shear func- Scale loss
tioning leading to increase in yield. Backend trimming
Fig.1 Layout of Wire Rod Mill, BSP
The 250mm, 4-strands continuous wire rod mill of 1. 0 2

Bhilai Steel Plant was commissioned in the year 1967,

In the year 1995, the ‘C’ and ‘D’ strands 1. 9 7

with a maximum rolling speed of 26.0 meter/second and

of wire
rated rod mill
production wereof 0.4
capacity modernized
MT per annum to with
rollRus-
the technology.
sian sections from 5.5mm to 10mm plain
1. 3
wireTherods
mill isand
divided into roughing
8.0mm & 10.0mmgroup (stands
TMT1-9),
1st intermediate group (stands10-15),
ribbed bars with the maximum rolling 2nd intermediate 1. 0 2

group (stands16-19) and the finishing group. After stand

speed
no. 15, theofmill55.0 meter/sec
gets divided into fourand the A,mill
strands: B, C &
capacity
D. There is a was
flyingenhanced
shear in eachto 0.42
stand, MT
after per
stand no. 9, Fig.2 : Pie Chart for factors affecting Yield
for cutting In
annum. the 2006
front endtheand back end of
B-strand ofthethebillet.
millIt also Figure 2. Pie chart for function affecting yield.
operates during cobble and cuts
was also modernized with technology the billet (rolling stock) As can be seen from the pie chart above that
into small pieces to avoid accumulation downstream. Preliminary
for the production Scope during Apr-Sep’2010, the
fromIn theM/s MorgardsHammer
year 1995, the C and D strands of wire & rod themill
capacity
were modernizedbecame 553,500
to roll the T. For
sections from 5.5 mmtheto 10 yield percentage
Billet is fed to the is most affected
re-heating furnace ofby
theCuttings
mill. The
mm plain wire rods and 8.0 mm and 10.0Rod
mm TMT ribbed average billet weight is 960 kg and cross section
at Flying shear (1.9% of the total production is 105 X
financial year 2010-11 Wire Mill
bars with the maximum rolling speed of 55.0 meters/sec- 105 mm, length -11.8 m. Billet is heated to a temperature
operated at 119.14 % of the rated in Tonnes).
of 1070 to 1100oC and discharged into the 4 strand mill.
ond and the mill capacity was enhanced to 0.42 MT per
capacity
annum. andtheproduced
In 2006, B-strand of the 6,59,484
mill was also T modern-
of Each billet passes through the roughing group of stands
wirewith
ized rods. This from
technology is anM/s old mill operating
MorgardsHammer and Preliminary
and then its frontscope
end is cut at the flying shear which is
with
the Solidbecame
capacity hearth553,500
Re-heating
tons. For furnace
the financial andyear situated after stand no.9. At flying shear 3-4, pieces are
2010-11, wire rod mill operated at 119.14% of the rated cut at the front end. Metal is rolled through the stands
the yield is low. Billet is fed to Re heating furnace of the mill.
capacity and produced 6,59,484 tons of wire rods. This is and no-twist block and laid in the form of convolutions at
Thelaying
the average billetconvolutions
head. These weight isare960 kg &
collected cross
in the
an old mill operating with solid hearth re-heating furnace
ThetheProblem
and yield is low. section
pallets afteristhey
105areXcooled
105while
mm, Length
traveling -11.8
on the con- m.
Wire Rod Mill is a 4 strand mill with veyors.
billet Each pallet carries
is heated to aone coil. Before compacting
temperature of 1070 to
Solid hearth Re- heating furnace, the 1100oC and discharged into the 4 strand mill.
yield of the mill is low 95.7 %. As per Each billet passes through the roughing group
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®
23

Working: Metal is sensed by the hot metal detec-

tor (HMD) situated after stand no. 9. This signal is sent
to the PLC which gives command to the thyrister panel
which in turns sends current to the motor to start after
certain fixed (pre-decided) time interval. Once the shear
starts rotating it makes a cut in the incoming metal and
is stopped by the encoder sensing the zero position of
the shear blade. The metal piece which is cut is about
1000-1500mm in length and this falls into the chute.
Simultaneously, the rest of the metal is fed into the lap-
ping valve, which travels further to stand 10 for further
reduction and rolling.
Function: The function of the flying shear is
A. To cut the metal in front end
B. To cut the metal at back end
Figure 3. Flying shear in movement. C. To cut the metal in small pieces during cobble.
and strapping, trimming of coil is done to eliminate fin at It was observed that:
the backend. In the total rolling process, approximately  2-3 pieces of avg.1m length is cut at the flying shear
8-10 kg is lost in weight per coil.  Sometimes the number of cuts increases to 4 to 5
A cross-functional team was formed which included pieces
members from the industrial engineering department,
The team made a thorough study of process of flying
production, mechanical, electrical. The team was given
shear functioning at wire rod mill and various process
the task of coming up with a value engineering proposal
functions were listed out for functional analysis.
for increasing the yield of the WRM by optimizing the
shear operation so that minimum cut can serve the tech-
nological requirement of rolling and at the same time the Function Phase
coil weight increases.
Based on the functional analysis of the process com-
ponents, a FAST diagram was made. (See Figure 4.)
VE Job Plan
Orientation Phase
A cross functional team was selected FUNCTION
consisting of persons from IED, shop, proj- EQUIPMENT VERB NOUN TYPE (B/S)
ects and mechanical group. Basis of selec- Flying Shearing Eliminate Cobbles Higher Order Function
tion of the project was optimization oppor- Process Remove Cold Part Basic
tunity. Shear Ends (Billet) Basic
Sense Temperature (Billet) Secondary
Information Phase Send Message (PLC) Secondary
Flying shear is important equipment in Transfer Message (Thy.) Secondary
our rolling process. It consists of: Send Signal (Motor) Secondary
Operate Motor Secondary
1. Shear blades
2. Motor Rotate Flying Shear (Blade) Secondary
3. Encoder Increase Slip Secondary
4. Lapping valves Shear Extra Length Secondary
5. Thyrister drive Decrease Production Secondary
6. PLC Shift HMD (After Std. 09) Design Objective
7. Panel view (Man machine interface)
8. Solenoid. Figure 4. Function Analysis
 VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
24 PUBLISHED BY SAVE INTERNATIONAL®

HOW WHY

Shift HMD
Send
(after WHEN
Signal
std.09)

Eliminate Remove Shear Rotate Operate Transfer Sense

Use HMD
Cobble Cold Parts Ends Blade Motor Message Temp

Send
Message

Shear Extra Increase

Length Slip

Decrease
Production

Scope of Project

Figure 5. FAST diagram.

Function Basis
S. Component/ Existing of Value Value
No. Process Verb Noun Cost Worth Worth Gap Index
1 Flying Shear Process Shear Ends 374.4 124.8 1 Cut 249.6 3.00
Cost of
2 F/shear Motor Rotate Blade 20 20 0 1
Motor

Figure 6. Function Cost-Worth Analysis

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VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
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25

Criteria Weightage I II III IV V

Size of Crop Length 20 5 100 2 40 5 100 4 80 4 80
Safety 13.67 3 41.01 3 41.01 4 54.68 3 41.01 3 41.01
Cost Effectiveness 19.33 4 77.32 4 77.32 4 77.32 2 38.66 3 57.99
No Obstruction in Rolling (Cobble) 23 3 69 4 92 5 115 3 69 3 69
No Accumulation at Std. 09 & 15 12.67 4 50.68 3 38.01 4 50.68 2 25.34 2 25.34
Falling of Crop End in Bucket 11.33 3 33.99 2 22.66 4 45.32 2 22.66 2 22.66
TOTAL 100 372 311 443 276.67 296
Rank 2 3 1 5 4
Poor + 1, Average = 3, Excellent = 5

Figure 7. Ranking Matrix

 Monitor shear speed.
 Monitoring of metal size at stand no. 09.

Evaluation Phase
These alternatives were evaluated based on the crite-
ria as shown in the following diagram and ranked as per
the matrix shown below

Figure 8. Evaluation matrix.
Creative Phase
Brainstorming was done and various alternatives
were recorded for achieving the functions without af-
fecting the quality and the rolling process. The ideas are
listed below:
 No front end cutting at Flying shear.
 Synchronizing the time of billet ejection from fur-
nace with the time of back end leaving stand 15.
 Decreasing the length of first crop end to 100-150
mm.
 Ensuring only single cut.
 Matching actual material speed with set speed and
optimizing the crop length.
 Monitoring group voltage of roughing group.
 Reduce fast feeding.
 Ensuring proper coupling between encoder & drive.
 Verifying actual distance between hot metal detector
(HMD) and shear.
 Checking the software.
Implementation Phase
After the tuning was done the implementation plan
was made. The parameters were modified in the software
and the results were taken in each strand. The number of
cuts at flying shear was restricted to one by explaining &
talking to all operators of Pulpit-3 and the shift manager
and the rollers. All experiments were done during G shift
hours with the whole team monitoring the results and at
the same time ensuring that there are no undue stop-
pages in the mill on our account.
Results Achieved
The performance of the equipment has been moni-
tored and is still under daily observation. This was first
implemented in D strand only. After successful trial dur-
ing mill check up, shutdown software modification was
carried out in the shears of B, C and D strand.
 The front end cut is ensured to one.
 The cut length is optimized to 300 mm + 30mm.
 The fast feed gap time has been reduced from 5.8
seconds to 4.6 seconds in all the strands.
 The average coil weight has gone up from 935 kg to
940 kg.
 VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
26 PUBLISHED BY SAVE INTERNATIONAL®

Conclusion
This value engineering initiative has optimized the
SAVE 2012
crop cut length at shear from 1000 mm to 300 mm. It has
increased the coil weight by 5-6 kg. This has led to a net Storyboard Competition
gain of 9.54 crores.
The intangible benefits include improved working life Showcase Success Stories and
and a motivated workforce. The workforce is enthused
and upbeat about the direct contribution this project is Win $500!
able to generate in terms of surplus for the company. See real world applications of the Value Methodology
When the competition is stiff, we look for methods and through SAVE International’s NEW Storyboard Compe-
tools to increase the existing productivity. VE here has tition.
tition
helped eliminate the waste and increase the economic
efficiency of a mill which is already operating at 120% of A storyboard is an opportunity for value professionals to
its rated capacity. showcase a particular project. Contestants will demon-
strate the use of function analysis to target the best value
for application of the Value Methodology; use of creativ-
Acknowledgements ity in developing alternative solutions; and the results
and impacts, both anticipated and unexpected, from the
The authors are grateful to their employers, Bhilai implementation of value engineering proposals.
Steel Plant and the management of wire rod mill for giv-
Entries will be displayed in the exhibit hall for attendees
ing us the opportunity to work in value engineering proj- to see and read.
ect and for allowing us to present it at the INVEST 2011
National Conference. We also thank the industrial engi- A select panel of leading value professionals will evalu-
neering department of BSP and Shrikant Dilip Gowaiker, ate each storyboard for innovation, success of applica-
CVS, for guiding us throughout the project. tion, and cost savings to the client.All
client.All contestants must
be present at the SAVE International 2012 Annual
Conference for judging. Contestants will give a 2-minute
References presentation of their storyboards and answer questions
from the judges. They must also provide a 1-page sum-
1. R. Chandrashekar and H. Raghvendra Rao (2011) mary to be included in attendee registration packets.
”Value engineering- A Sure Step towards Product
Only conference attendees can participate in the story-
Innovations”, SAVE International Annual Conference
board competition. The entry fee for contest is $100.
Proceedings. The competition is limited to one entry per contestant.
2. Anil Kumar Mukhopadhyaya, value engineering con-
cepts, techniques and applications. SAVE INTERNATIONAL® WILL AWARD $500
FOR THE WINNING STORYBOARD, WHICH
3. Value engineering guide: Module I workshop.
WILL BE ANNOUNCED AT THE AWARDS
BANQUET ON WEDNESDAY, JUNE 13.
About the Author
Anupama Kumari is a senior
manager at Bhilai Steel Plant of
the Steel Authority of India, Ltd. Project Selec�on Imp
le
Informa�on, Func�on ta� men-
Kumari presented this paper at the pan
y
Analysis Informa�on, on a
2011 National Conference of the Com ma- Imp nd
Info act
r and Solu�on Develop-
Indian Value Engineering Society Info on
n
�o Panel
ment Informa�on on �on rma-
and received the award for “Best s This Panel on T
Thi Pan his
Manufacturing Paper”.She can be el
reached at anupamakumari@sail.
bhilaisteel.com. This paper is re-
produced here with permission of the author. © 2011 Bhilai Steel
Plant, SAIL
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®
Using Value Engineering to Improve
Training Programs
Khaled Medallah, Ph.D., CVS, CCE, PMP
Abstract
A value engineering study conducted to review the
Training Program at a large Engineering Company. For
the session a review of the training status conducted us-
ing questionnaires presented during the study informa-
tion phase. The Value Analysis methodology followed.
The training program consisted of On-the-Job Train-
ing, Seminars and Workshops, and Off-the-Job Training
in-house and outsourced. The paper outlines reviews of
the literature that focus on the main subject the On-the-
Job Training together with literature discussing Value
and training. Function analysis, creative, evaluation and
development as part of the methodology of value engi-
neering were conducted to collect ideas, developed into
proposals to enhance the training program. An Imple-
mentation plan is presented based on the suggested ideas
summarized into a Training Process Map to simplify
implementation.
Key Words
Value Engineering, Training, On the Job Training, OJT.
Introduction
Training, quality assurance and project management
has in the last three decades developed significantly.
Many organizations are meeting this challenge by follow-
ing new concepts developed internationally. The main
training tool is a structured mentoring program on-the-
job training (OJT) that is designed to close an existing
educational gap and adequately prepare the graduate for
what he may encounter in his carrier.
A value engineering (VE) study conducted at Com-
pany X1 to review a two years training program. The
objective of the VE study is to identify areas of strength
and weaknesses in the training program by implement-
1.
Please note the author is using the term Company X to preserve the confidentiality of the company.
27
ing the selected VE proposals. The selected proposals are
presented together with the implementation plan in the
paper. The author is the creator of the existing training
program and is the facilitator of the study. The author al-
lowed the team, which consist of 21 members who affect
or may be affected by the program, to review and sug-
gest ideas for improvement. The team was independently
participating not disturbed by the facilitator thoughts
before, during and after the study. The team included
trainers, trainees and company management.
The author’s opinion is given on occasion, but the
summary, the implementation plan and the conclusion
may have more of the author input which is presented
illustrating the author vision in establishing the basis of
the updated training program for the following two years
training period.
Company X is an oil and gas engineering and procure-
ment contractor (EPC) established as a joint venture with
an international engineering contractor. The contract
is expected to transfer technology through a structured
training program emphasizing on-the-job (OJT) training
and enhanced by establishing a strong base of knowledge.
The company’s objective is to develop competent person-
nel in all disciplines such as engineers, schedulers, CAD
operators, designers and administrators of the local na-
tionals. This will improve performance and enhance the
national economy by providing local jobs and increasing
national’s knowledge and expertise.
The author included numbers of citations emphasize
OJT. Starting with Ms. Walter, a specialized OJT trainer,
discussed what makes an effective OJT trainer? (1). Ms.
Walter implied that OJT may not succeed just because
the trainer is an expert on the subject as he may not be
trained with communications skills to train, not inter-
ested to train or so good that he has built short cuts that
are too difficult to train. She listed interesting train-
ing attributes that are essential to helping OJT succeed.
Those in summary are; interest to train, communications
skills, positive attitude, able to listen attentively, patient,

28
have hands on experience of the task trained, demon-
strate willingness and desire to share job knowledge
and experience, and respected by peers. Ms. Walter also
suggests that OJT should be made of tasks not exceeding a
half hour and, if the task require more than a half hour, it
should be divided into subtasks.
Alghamdi (2) presented their experience of OJT
at Saudi Electrical Company where they standardized
training in the workplace as an induction program. The
program is balanced between academic and being task
oriented emphasizing safety. Aldossary (3) gave his opin-
ion of what is a successful mentor and his definition of
technology transfer. Nancy Ann Orser (4) in a paper titled
“On-the-Job Training System at Alias PCB Technologies”
discussed the steps in establishing a structured system
of on-the-job training for manufacturing employees. She
reviewed structured OJT vs. unstructured, and use of
certifications, training materials, and performance stan-
dards in on-the-job training. She conducted surveys and
interviews at supervisory level and discussed the impact
of training, or lack thereof, on organizational effective-
ness and individual performance.
Robert Steinbach et., al. (5) wrote a book titled On-the
–Job-Training Preparing Employees for Success. The book’s
objective is to explain benefit of OJT, help give new em-
ployees a positive experience, guide trainers in using the
tell-show-do cycle, and encourage employers to provide
OJT and assessing progress.
Vast literature addresses training and value, but
specifically the use of VE in evaluating a training pro-
gram was not found. Kimikazu Hashimito (6) promotes
the engineer thinking while designing to consider VE
by balancing function, cost, and address design orderly,
systematically and operability. Vast literature addresses
training of VE such as Donald Hannan (7) discusses the
requirement for approval competency based VM training
with emphasize for other then US and similar cultures,
and Emad Shublaq (8) who described the history of value
engineering training in Saudi Arabia with emphasis on
an accreditation program at MOMRA. The incorporation
of VE in the curriculum, Scott Amos (9), Rosa Mezlenyl
(10) used VE in improving institutional learning or pro-
gram in Hungary she addressed the application of value
analysis to establish modular training at the institutions
of (higher) education and to help students and teachers
to cope with the requirement in the training process.
James Crawford (11) highlights how continuing education
in VE can help employer and employee. Patrick Fong (12)
presented the use of value management to improve team
learning for the benefit of the organization verses the
learning particularly in construction where knowledge
goes to the individual rather than the organization. Many
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®
books discuss mentoring and coaching such as (13,14).
Methodology
VE methodology implemented for the review in-
cluded activities for the pre-study period, the study
period and the implementation phase. In planning for
the study, it was considered that the more one gets the
stakeholders involved in the review and in the planning
of the program the better are the results and the greater
the chances of getting stakeholders to commit to the
study recommendations hence during the pre-study the
team was selected of 21 members of trainees and trainers
(mentors).
The VE study phases which were comprised of the
information, function analysis, creative (brainstorming),
evaluation, and development phases, served as the frame-
work for several of the meetings that were held during
the study. Brainstorming technique was used during the
creative phase. The study lasted in total for two months
including the questionnaires, the data collection and the
data analysis, and the VE study. These two months were
the last two months of the second year of the training
program period.
A questionnaire as a tool was prepared and distribut-
ed to all the trainees at this company. The questionnaire
should establish the status of the training program and
the data is presented to the team as part of the informa-
tion phase. This information provided to the team to
establish the individual needs and interest of the train-
ees. It is important to emphasize that on-the-job training
(OJT) is the main objective of the program which was the
focus of the paper and during the study.
The trainees are divided into two groups. A group of
trainees is at the company location in Saudi Arabia and a
group sent outside the country to the offices of the joint
venture company. The questionnaires were distributed to
the in Kingdom and to the out of Kingdom groups sepa-
rately. Discussion of the questionnaire and its result is
included in the following section.
The VE Study
The Information Phase
The facilitator presented the training program in
brief as explained here in section 3.1.1. The questionnaire
responses analysis was performed during the pre-study
period and the results were presented to the team during
the information phase. The training program was pre-
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
PUBLISHED BY SAVE INTERNATIONAL®
sented to the team to assure that all the teams are at the
same level of understanding of the base case.
The Training Program
The training program which is implemented for
almost two years at this company is explained here as
the existing base case. The training program is designed
and implemented by the author. The presentation of the
training program included the training objective, con-
cept, path, modes and methods, topics and locations. In
the following the training program is discussed in details.
The Training Program Objective
The training program of Company X is established
with a specific objective. The objective is transferring
technology and knowledge from out of the country to in
the country through a structured OJT (mentoring) pro-
gram. The program is designed to support the economy
by opening job opportunities to local personals.
Technology transfer is defined as basic project execu-
tion process, technical skills and knowledge and encom-
passing knowledge transfer at a discipline specific level
using specific design methods and tools.
This objective is an innovative idea suggested by a
senior manager from one of the company’s clients that
resulted in this joint venture with the emphasis of train-
ing local personal.
The Training Concept
The program focuses on OJT training but not forget-
ting all other possible areas that builds the successful
individual. Company X has satisfied this balanced pro-
gram with different curriculum addressing general needs
as the base then went vertical addressing specific goals
and objective of each discipline. The training concept is
illustrated in Figure 1.
Project Support
Engienering
CAD
GENERAL
Figure 1. The training concept.
Training Path
The training path defines the relation between all the
training stakeholders within the organization. Those are
specifically; the trainees, the trainers, the mentors, the
project managers’, the training manager. Figure 2 illus-
29
trates the training overall cycle and the structure of the
organization with respect to training. It also shows the
training process where it starts and what is its aim. The
ultimate objective is obviously building a sound working
force that is dependable. It also shows that Company X is
targeting different disciplines such as university gradu-
ates, those coming from the industry interested in chang-
ing for a better position or those coming from vocational
institutes aiming for secretarial positions, CAD or other
clerical or administrative positions.
Training Methods
To maximum training benefits and to increase excite-
ments with training at the same time cover different ar-
eas of important training aspects different methods and
modes are used to enhance training including:
Structured on-the-job training (OJT)
A structured OJT is the main aim and the most impor-
tant method of training. Hopefully avoiding the tradition-
al sit by “Joe or Jane” type of training and rather satisfies
the “plan-show-do-evaluate” method of training. In a
way the training is structured with a specific goals and
objectives building trainable tasks and manageable train-
ing modules that are easy to train and ultimately evaluate
the training process and the training results.
Short courses in-house and out-sourced
These courses are courses built in-house for the
trainees, engineers, designers, administrators and CAD.
Company X took advantage of excellent courses offered
by the client and vendors both inside the country and
outside the country.
Seminars and workshops
The Monday seminar is a weekly program offered for
30 minutes to one hour (lunch and learn) covers general
training and general information in the form of a lecture
for 20 minutes, a simple presentation or a general discus-
sion meeting. Lunch is served if the meeting extended to
one hour. Company X invited senior personnel from the
society, the client, or speakers from within the company.
These one hour meetings may be used as management
training meetings, introduction to the joint venture, mo-
tivations or general directions. Sometimes the Monday
seminar is offered by the trainees too. Topics of impor-
tance are selected such as safety, communications, how
to manage a meeting and so. Selected interested staff
members (mentors) are welcomed to the program as at-
tendance to encourage interaction.
Workshops are programs usually organized to allow
the trainee to participate in selecting the topic, form
two or three teams, and select a leader for each team.
 VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
30 PUBLISHED BY SAVE INTERNATIONAL®

Engineering Manager The Trainees Question-

Project Support Department
University
Mentors
Graduate
General
Training
Industrial &
Topics:
High School OJT
Graduate Orientation,
English,
Safety
CAD
Operators
School
Figure 2. The training path.
The leader divides the selected topic into sub-topics and
prepares a plan to help the team work together in study-
ing the topic by each member of the team and arrange
presentations by the team members practicing. They
spend time together working as team like if they were in
a workshop to prepare for the competition. Ultimately a
competition day is announced where each team comes to
the day and present what they learned during the period.
Self development
The training program encourages self learning
through the internet, e-learning courses, reading, video
courses. A training room with a training station, access to
the e-learning and access to the internet is made avail-
able under supervision. A training station is a work-sta-
tion dedicated for training loaded with media training
material.
Training Location
The training took place in the country and in the
offices of the international joint venture. The experi-
ment of sending trainees to the joint venture office in the
beginning was taken lightly but the quality of the result
turn out to be quite successful and encouraging. The
number of trainees sent out of the country exceeded 20
in total. This success was referred to the challenge those
went outside were exposed to and the established set up
that provided quality training.
naire
The questionnaire
addressed several issues,
namely; Tasks assigned to
the trainees, the short cuts
used by the trainers, goals
and objectives, competency
program, evaluation, semi-
nars and workshops, and off-
the Job training in the form
of in-house and outsourced
Regular
courses.
Workforce In the following discus-
sion of the responses to the
Questionnaire is presented
which is summarized hereaf-
ter:
Tasks
The response to the
questionnaires for both the in
Kingdom group and the out
of Kingdom group to the questions about tasks came that
the task was given to the trainee weekly on average. The
task is for at least 30 minutes some time the task are giv-
en biweekly or even monthly. It is important to indicate
that the trainees are employees and may confuse training
tasks with work assignments. Tasks are given mostly with
clear instructions although on occasions instructions are
not so clear both the in kingdom and the out of Kingdom
group. Trainees do receive comments on the performed
tasks and the in Kingdom group received more than the
out of Kingdom group.
Short Cuts
Short cuts are techniques developed by experienced
designers tailored to their use to achieve fast results
meeting design requirements. Trainees are often trained
on short cuts without enough explanation and worse if
they tend to be different from time to time. When we
asked the trainees whether the trainer is suggesting
short cuts to perform a task the answer came for both
the in Kingdom and out of Kingdom as 50% between yes
and often combined. The remaining said rarely and no
one responded with never as a response. When we asked
whether enough time is given for the trainees to learn
these short cuts the answer were scattered between yes,
often and rarely with rarely higher among the out of
Kingdom group. When we asked if the short cuts were
different from time to time the answers came with some
yes, often and rarely. When we asked whether short cuts
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
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are difficult we started seeing more of never and rarely,
like if the trainees are adjusting to short cuts and accept-
ing them.
It seems that short cuts are used and the trainees
are given some time on occasion to learn them but there
are cases of short cuts given without enough explana-
tion how it works. This could be dangerous if trainees are
taught to use things they know it works but not necessar-
ily understand how and why it works.
Goals and Objectives
When we asked the trainees whether they had an
established set goals and objectives the answers came yes
unanimously with few answers came as often and one
response both in Kingdom and out of Kingdom trainee
answered with rarely. Similar responses came when the
question was who should set those objectives indicating
that both trainers and trainees should participate in set-
ting these oObjectives. When we asked whether the Ob-
jectives are clear and obvious the responses were divided
between yes and often with one rarely. When we asked
whether the trainer did discuss those objectives with the
trainee we started getting 3 never in the out-of-Kingdom
and one in-Kingdom, 2 rarely out-of-Kingdom and 3 in-
Kingdom and the rest divided between yes and often.
Competency Program
The essence of any structured OJT is having a struc-
tured competency program. We asked the trainees
whether they had a competency program with the defini-
tion of the competency program as “a training program
with timed tasks in sequence including a specific period
for each task.” The larger response came in never with
few yeses, often and rarely.
Evaluation
The response when we asked the trainees whether
the trainer is conducting an evaluation for you came very
scattered with little more weight on never and rarely.
When the trainee is asked whether the trainer did review
the evaluation with you the response even came little
worse with little increase in the never.
Off-the-Job Training
Off-the-job training is when the trainee takes a spe-
cific course either in-house or out-sourced at a vendor
office, the client, at any institute or a contractor. The
question was, “Did you receive any off the job training?”
and the answer came almost 50% yes. Of course some of
the trainees may not have courses available for them ei-
ther because of location or specialty such as trained CAD
operators. When we asked the trainee “how they value
off-the-job training?” we received an agreement that
31
such program is very beneficial.
Seminars
When the trainees were asked whether we should
cancel seminars, the typical response was “never” or
“rarely”. It was suggested not to have the seminar every
week but it should be broken once or twice a month.
When the trainee were asked to rank the Seminar based
on the presenter the response came for the in-Kingdom
in order as: 1) meeting with the client, 2) meeting with
management, 3) technical presentation, and 4) recog-
nized members of the society. The out of Kingdom group
response came as: 1) technical presentation, 2) meeting
with management, 3) meeting with client seniors, and 4)
meeting with members of the society. The trainee were
also asked to rank the Seminar based on subject and
the response came for both the in Kingdom and out of
Kingdom groups as: 1) technical meetings, 2) skills and
knowledge, and 3) general information.
Workshops
Company X uses workshops as a form of self training
were trainees work on a topic for specific period in the
form of a competition with a leader selected among them
and a topic selected by the training committee formed by
the company from the trainees, the training manager and
the management.
When the trainees were asked if the workshops did
improve their skills and knowledge, the response came
yes. When the question were which skills does the work-
shop improve the response came in the following order;
leadership, teambuilding, management and presentations
skills.
Monthly Report
The response with the monthly report required by
the company came as expected very low.
The Function Analysis Phase
During the function analysis phase, the main objec-
tive of creating company X was raised in the beginning
which affected positively the function analysis phase.
This company (or the contract with the client) objec-
tive is a result of one of the clients senior management
wish to come up with a contract that gives a chance to
generate or produce young trained local engineers by
interacting with western expats working in a consor-
tium between local companies and foreign experienced
companies. This idea enhances the country economy by
utilizing ongoing contracts, in the oil and gas sector, and
help in transferring knowledge from experienced engi-
neers to fresh or young engineers with little or no experi-

32
ence. OJT was the principle training method to achieve
this objective. Company X main purpose and the aim of
the contract with the client were the first issue raised
when discussing the higher order function (HO) and the
basic function (BF). Based on this the HO was suggested to
be [Produce Engineers] and the basic function was [Train
On-The-Job] as shown in Figure 3.
Produce Engineer Train On-the-Job
Figure 3: Higher order and basic function.
If the basic function (BF) is [Train On-The-Job] it was
emphasized by the team that designing tasks and get the
OJT tasks executed in modules to facilitate OJT was essen-
tial to the success of the training program this made the
function [Modulate Tasks] critical to the success of the BF
as a Required Secondary Function (RSF) or how to [Train
On-The-Job] by [Modulate Tasks], see Figure 4 the Func-
tion Analysis System Technique (FAST) diagram.
It was also important to build the tasks in activities
that are clear to both the trainee and the trainer on the
job so the function [Execute Activities] were also sug-
gested to be RSF. Those activities that are well defined as
part of the day to day work, so the function selected to be
on the critical path [Perform Work] is also RSF. The com-
pany is the facilities that provided the means to perform
the work so the Lower Order function (LO) is [Establish
Facilities].
How
Maintain
Safety
Comply
Standards
Produce Train Modulate
Engineers On-the-Job Tasks
Evaluate Give
Performance Instructions
Scope of Study
Figure 4. FAST Diagram representing function analysis.
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
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The training program included workshops and
seminars to enhance activities but was not critical to the
OJT so the two functions [Conduct Workshops] and [Give
Seminars] were suggested as secondary functions. To
enhance the OJT programs the training activities were
frequently evaluated so it was suggested as another sec-
ondary function to use [Evaluate Performance] and tasks
were given as 30 minutes weekly sessions so the second-
ary function [Give Instruction] were suggested. A Func-
tion Analysis System Technique [FAST] diagram is drawn
as a summary of the function analysis of the training
program as may be seen in Figure 4.
The Creative Phase
The objective of the creative phase is to generate
ideas that shall enhance the existing OJT program as a
whole. It was also suggested to the team to use the idea
generation to highlight areas of strength and focus on
areas of weakness of the training program and improve
it. Definition of creativity was given to the group. Brain-
storming the method used for the creative phase as a
technique which was explained together with its objec-
tives and obstacles of creativity. No criticism, discussion
or evaluations of ideas were allowed during this phase.
The team divided the training program into three
areas namely:
 On-the-job training
 Monday seminars and workshops
Why
Conduct
Workshops
Give
Seminars
Execute Perform Establish
Activities Work Facilities
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
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 Off-the job training.
The team was given a chance to generate ideas on
each subject. The total number of ideas generated in the
OJT (Section A) was 51 ideas. The number of ideas gener-
ated in the Monday Seminars and Workshops (Section B)
was 13 ideas and the number of ideas generated in the
Off-The-Job training was 10 ideas. With those ideas col-
lected the team closed the creative phase and started the
evaluation phase.
The Evaluation Phase
The objective of the evaluation phase is to select the
best ideas suggested by the team during the creative
phase, rank them, classify them and then select only
those ideas that shall contribute to the enhancement of
the training program. The selected ideas will be integrat-
ed into the program and become part of it.
For the purpose of evaluating the ideas the train-
ers and the trainees were asked to first eliminate 50 %
of the ideas by selecting the best first 50 %. Then they
were asked to identify the best 10 ideas in the OJT area
and were asked to rank them in an order from 1 to 10. A
weighing system was used to rank the ideas in an order
based on the number of times the idea was selected and
the ranking of the idea was allocated for the idea by the
team member. A similar system was used for the two
other areas namely the seminars and the workshops and
the off-the–job training. The listings were kept separate
for the trainers and the trainees.
The Development Phase
The selected ideas to improve the training program
are divided in three main parts and each part was dealt
with separately. OJT is the first part and the focus of the
study. Ideas for the OJT are divided into best and second
best ideas. The best selected ideas were three ideas and
the second best idea was 14. Similarly with the other two
parts of the training program. The ideas were reviewed
for practical implementation and were combined and
formalized into proposals that will be used as the basis of
the training program in Company X for the coming two
years training period.
The focus of the development phase is to develop a
Training Program more than just the ideas one by one.
The ideas as a result of the evaluation phase were divided
per area of the Training Program and each area was dis-
cussed separately as follows:
33
On-the-Job Training
The best three selected ideas that were selected by
the team are:
 Plan tasks for the trainees at the beginning of the job.
 Make an annual training plan.
 Have structured plan for training.
And the second choice ideas are:
 Prioritize training subjects.
 Proficiency test for each module for the trainee.
 Monitor the mentor/trainer.
 Make trainers responsible for review of trainee.
 Set daily time for training.
 Have a competency program for trainees.
 Evaluation and reward to trainee.
 Motivate trainer for transfer of knowledge.
 Reward for trainer to be the best.
 Define the supplier and the client.
 Establish best practices for training.
 Provide work ethics training.
 Define areas of improvement for trainees and plan.
 Have set goals and objectives.
Those ideas were combined and summarized into
eleven proposals and ranked in order to facilitate the de-
velopment of the Enhanced Training Program for practi-
cal implementation as follows:
 Have set goals and objectives and define the supplier
and the client.
 Have an annual structured competency plan for
trainees.
 Plan tasks for the trainees at the beginning of the job.
 Prioritize training subjects and set daily time for
training.
 Establish best practices for training and provide work
ethics training.
 Evaluate and structure proficiency tests for each task
module for the trainees.
 Define areas of improvement for trainees and adjust
training plan.
 Reward trainees.
 Motivate trainer to transfer of knowledge.
 Monitor the Mentor and the trainer.
 Make trainers responsible to review trainee perfor-
mance and reward trainer to be the best.
The selected eleven proposals are depicted in a train-
ing process map shown in Figure 5. The process map
summarizes the training process.

34
Seminars and Workshops
The best three ideas as selected by the team are:
 Get input from trainees about the subject of seminars.
 Instead of every Monday have seminar when we have
good topic and good presenter.
 Invite vendors.
The second choice ideas are:
 Be selective in who gives the Monday seminars.
 Divide long topics into series of lectures.
 Participate in Vendor presentation.
Those ideas will be left as suggested and will be
implemented in the training program.
Off-the-Job Training
 Would the company pays for short courses.
 Encourage attending courses offered by vendors.
 Encourage out of Kingdom Seminars based on perfor-
mance.
 Utilize people inside the company for training.
Those ideas will be left as suggested and will be
implemented in the training program
Adjust
1. Adjust training plan.
Evaluate Training
1. Evaluate and structure
proficiency tests.
2. Define areas of
improvements.
3. Monitor mentors and
trainees.
Figure 5. The training process map.
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
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The Implementation Plan
As a result of the development phase an implementa-
tion plan were initiated consists of the following phases;
Phase I - Updating The Training
Program
The training program is ought to be updated and be
in a form ready for the new training period. This update
takes in account the result of the questionnaires and
the brainstorming session. A training process diagram is
drawn based on the proposed ideas, see Figure 5.
Phase II - Presentation
A general presentation is made to let everybody
know the results of the questionnaire and the brain-
storming session. It is important to have everybody know
what the plans are and hopefully takes ownership of the
training program and to start developing templates for
the training in the future based on the enhanced Training
Program.
Set Goals
1. Have set goals and
objectives.
2. Establish a structured
competency program.
3. Plan tasks for trainees at
the begining of the job.
4. Establish training best
practices.
Do Training
1. Prioritize training subjects.
2. Set daily time for training.
3. Motivate mentors to
transfer knowledge.
4. Execute training.
VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
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Phase III - Meeting With The Trainees
As part of implementation and moving into execution
a meeting is held with the trainees to update the trainee
individual plan and update their record and data. Make
sure that they are assigned a mentor and that the rela-
tion between the trainee and the mentor is sound and
continuous. Each trainee was asked to start immediately
defining his short and long term goals and objectives.
Phase IV - Meeting with Both the
Trainees and the Trainers
Groups by disciplines were forms. The idea is to try to
identify the trainer that has the attributes of training and
focus with him on establishing a training plan that suit
the group. Start implementing the plan as discussed in
section 8 and motivate the trainees to start the training.
Auditing
It is quite important to make sure that audits are
carried out to be sure that the plan is implemented in
the form planned and if there is a need to adjust the plan
it should be done on continuous bases. Establish lesson
learned as much as possible. The area of training mea-
surement and trainee achievement is going to be visited
later to establish a better system for training achieve-
ment and measurement.
Summary and Conclusion
A review of the training program was conducted at
Company X using value engineering analysis. A literature
review conducted to compare the existing program with
the international market and to learn from other people
experience. A data collection using a questionnaire was
performed to obtain some input of the training program
in preparation for the information phase. The ideas that
resulted from the brainstorming session together with
the literature review are presented.
In brief the training program was a good program
there were concern with the effectiveness of the imple-
mentation. The literature review, the brainstorming and
the questionnaire helped to enlighten the knowledge of
those working with the program. The value study en-
hanced the program new ideas were suggested which
will be implemented as suggested in the training process
map. The program is improved and ways of making the
program more effective is introduced.
35
Acknowledgement
The author acknowledge the opportunity extended
to him by the management to be part of Company X OJT
program and is quite thankful to the management, the
mentors, the trainees who worked with him to make this
study successful. The author extend his gratitude to the
client for awarding such an interesting and challenging
contract and the guidance given to him by the program
supervisor and all others directly or indirectly assessed in
the establishment of the program and its success. Special
thanks to Marshal Mullen for his continuous support and
suggestions.
References
Alghmdi, Majed., “Training On The Job as Methodol-
ogy for the Rehabilitation of National Staff”, Future
Prospects of Training in the Kingdom of Saudi Arabia
Seminar, The Chamber of Commerce, Dammam, Saudi
Arabia, Jan 3 2012.
Aldossary, Thieb, “Capacity of Specialized National Train-
ing Centers in the Kingdom of Saudi Aarabia and
the potential to develop them”, Future Prospects of
Training in the Kingdom of Saudi Arabia Seminar,
The Chamber of Commerce, Dammam, Saudi Arabia,
Jan 3 2012.
Amos, Scott. “VE in College Curriculum”, SAVE Interna-
tional Conference Proceeding, 1996. pp 18-20.
Crawford, James. “The Professional Degree Program for
the New VE Kid on the Block”, SAVE International Con-
ference Proceeding, 1992.
Fong, Patrick Six-wah. “Team Learning and Value Man-
agement Team”, SAVE International Conference Proceed-
ing, pp 94 to pp 102, 1999.
Hannan, Donald. “Truncated Training for Value Manage-
ment Team Leaders:10 Week Program or a One Day
Seminar”, SAVE International Conference Proceeding,
1996, pp 82-99.
Hashimito, Kimikazu.”VE Application to the Determina-
tion of Training Programs to Reinforce Design Tech-
nology Capabilities”, SAVE International Conference
Proceeding, pp 111 to 120, 1999.
Lawson, Ken. Successful Coaching & Mentoring, New Holland
Publishers Ltd, London, 2009.
 VALUE WORLD | VOL 35 | NO 1 | SPRING 2012
36 PUBLISHED BY SAVE INTERNATIONAL®

Mezlenyl, Rosa. “Supporting the Credit-Based Modular

Training with Value Methodology”, SAVE International
Conference Proceeding, 2002.
SAVE members
McAdam, Stuart. Executive Coaching: How to Choose, Use and
Maximize Value for Yourself and Your Team, Thorogood
benefit through
Publishing Limited, London, 2005.
affinity programs
Orser., Nancy A., “An On-the-Job Training System at Alias
PCB Technologies”, A research paper submitted in Being a member of SAVE International confers all the
partial fulfillment of the partial requirement for the usual benefits one expects from affiliation with a profes-
Master of Science in Training and Development, Uni- sional association: subscriptions to publications pro-
versity of Wisconsin-Stout, December 2001. duced by the association, discounts to association events,
and discounts to merchandise sold by the association.
Shublaq, Emad W. “Value Engineering Training in Saudi
But SAVE International members get more than the
Arabia with Special Reference to MOMRA’s Program”, usual.
SAVE International Conference Proceeding, 1999., pp 276-
283. Value engineers travel. A lot.
Fare Buzz lets SAVE mem-
Steinbach., Robert, “On-the-Job Training Preparing Em- bers in business class accom-
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Thomson Place, Boston, MA, 2005. Fare Buzz can also hook you up with great deals on car
rentals, hotel accommodations, and vacation packages.
Walter., Diane. “What Makes an effective On-the-Job
Organizations of all sorts
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� Promotional Handout (8.5x11 Flyer in PDF). Provides members an overview of t
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� Email Communications. After the GiftBridge program has launched you will wan
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THE JOURNAL OF SAVE INTERNATIONAL®

VOL. 35 | NO. 1 | SPRING 2012 © 2012 SAVE INTERNATIONAL®

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