Value analysis is a collection of methodologies, knowledge, and abilities for increasing the value of a product by removing needless expenses or improving its functionalities while maintaining its quality, dependability, and performance. It entails comprehending a product’s components and the associated price.
Value Engineering is a term used to describe the process. New goods are the focus of Value Engineering (VE). It is used during the creation of a product. Through teamwork-based product review and analysis, the aim is on lowering costs, enhancing function, or both. This happens before any money is spent on tooling, plant, or equipment.
This is crucial since many estimates claim that up to 80% of a product’s expenses (for the remainder of its life cycle) are locked in during the design development stage. This makes sense when you realize that the design of any product influences a variety of aspects, including tooling, plant and equipment, labor and skills, training expenses, materials, shipping, installation, maintenance, and decommissioning and recycling costs. As a result, value engineering should be viewed as a critical task late in the process. It is strongly advised that you use value engineering in your new product development process to make it more robust and profitable.
Existing products are the subject of Value Analysis (VA). It entails a team analyzing and evaluating an existing product in order to cut costs, enhance functionality, or both. Value Analysis is a process of evaluating a product in a number of categories step by step and carefully. Costs, function, alternative components, and design considerations like the simplicity of production and assembly are all factors to consider.
A method called Functional Analysis, which breaks down and reviews the product as a series of assemblies, is an important aspect of VA. This is where each product assembly’s function is recognized and specified. Each one has its own set of costs. This is aided by perceiving goods as assemblies and designing them accordingly (or modules). Value Analysis is a group activity, similar to Value Engineering.
Using Value Engineering in conjunction with other world-class manufacturing techniques to reduce costs.
It’s worth noting that some of the industry’s finest performers frequently combine value analysis with other world-class manufacturing strategies like Lean Manufacturing. They use this to cut costs not only in product development but throughout the company, notably in production.
Reasons for Analyzing Existing Products for Value:
The majority of the material on this page is focused on new product development and introduction. In contrast, as previously indicated, VA is based on things that you currently sell. On the surface, the benefits of valuing current items may appear self-evident. You may, however, find yourself in a position where you must persuade others and make a case for a VA exercise. Senior management may need proof that the time and effort invested are worthwhile. Here are some suggestions that may be useful. Consider putting them to use in your own scenario.
Value Analysis lowers costs (in all areas, including materials, components, and manufacturing) while also enhancing product functionality. As a result, the product’s value to the client is boosted.
Product cost reductions boost sales and profit per product. As a result, your firm will have the option of lowering prices in order to sell more or investing in R&D.
Design and engineering, material selection, testing, production, assembly, shipping, installation, customer usage, service, maintenance, and recycling are just a few of the areas where VA allows for product enhancements. Rather than being the outcome of strategic planning, many manufacturing companies’ product ranges have grown through time as a collection of solutions to fulfill new client demands.
Value Analysis Services:
Our Value Engineering and value analysis services are:
Optimization of Engineering Design:
Engineering design optimization solutions from Rheomold are of the highest quality. Our specialists can assist you to enhance the design of your product, providing you with a competitive advantage. To find design defects, decrease performance risk, and increase product efficacy, we use 3D modeling, simulation, and analysis.
Product Weight and Cost Reduction:
We optimize product design in terms of weight and cost reduction using the most up-to-date approaches and tools. Using cutting-edge engineering analysis processes, all product designs are confirmed and verified. There are low chances of design failure since they are verified in the early phases of the design process, saving both money and time.
Modular Design Strategy:
At Rheomold, we adopt a modular design approach for your products, which lowers complexity and improves technical interchangeability. This method also reduces the number of production faults and the diversity of components used in manufacture. Our team also assesses the design’s possible dangers and ensures that the complicated activities in design are executed effectively, lowering manufacturing costs.
Part/Feature Library & Configurator:
At Rheomold, we assist our clients in the creation of parts and feature libraries, allowing them to focus on their core manufacturing activities. We provide best practices and approaches for library organization and provide the optimal configuration for your current libraries. Multiple versions of your models, library pieces and settings can be created by our team.
Integration of suppliers, localization, and low-cost sourcing:
At Rheomold, we provide product localization, low-cost sourcing, and supplier integration services that successfully meet our clients’ needs. Our value analysis services & Value Engineering services adhere to regulatory rules and fulfill the new market’s cost expectations and feature needs.