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February 1970 Vol: 2 No: 4 February 1970 VALUE ENGINEERING In this issue Editorial - A Decade of Unparalleled Opportunity for Value Engineers What is Value Analysis? by R. Perkins Cost-per-pound Formula Helps Procurement 'Pound' Costs by F. P. Lalonde Behavioral Science in Management by Cameron Fincher The Interaction of Linear Programming and Value Analysis by Shaul P. Ladany Checklist - New Product Development Sensitivity Training by L. K. McLaughlin The Suicide Club by J. Douglas Cole Value Engineering - Not Valve Engineering by Joseph Sherry Rolled Shaped Wire and the Value Engineer by B. W. Cordon How to Sell Ideas by Bill Gove The Value Engineer's Bookshelf Selected Abstracts of Recent Literature on Value Analysis/Engineering Pergamon Press VALUE ENGINEERING it's lost wax-but it's Extrusion-style gained profit with INVESTMENT CASTINGS in a wide range of steels* and non-ferrous materials from a few ounces to 100 lb. weight cast to ±0.005 in/in and 125 micro-inches surface finish finish machined when required as prototypes or long production runs fully inspected on site - facilities for magnetic crack detection, dye or fluorescent flaw detection, mechanical, This chemical and X-ray inspection Significant cost reductions have been achieved for components previously sand-cast, cast-fabricated, or forged but you can gain FREE book contains maximum advantage from investment casting by taking us into consultation at the design stage. *vacuum cast for highest grade alloys the whole I I Send me your new publication money-saving story | I Have your sales engineer call * practical examples * hints on die design Name * application case histories ^ financial pointers Position _ Aluminium extrusions can mean easier manufacture, Company. important savings. Send for this Free James Booth Aluminium Extrusions Booklet today. UAIVIES BOOTH WESTLAND HELICOPTERS LIMITED NORTH HYDE ROAD James Booth Aluminium Ltd., Dept. VE2/ST2 Kitts Green. WESTLAND HAYES, MIDDLESEX Birmingham, 33 England. Telephone: 021-783 4020 NAME _ TITLE BRITAIN'S PRECISION COMPANY I CASTING FOUNDRY ADDRESS I CASTINGS SERVING EUROPE I VE2/ST2 .J VCllue In this issue Engineering Editorial - A Decade of Unparalleled Opportunity Vol. 2 No: 4 February 1970 f°r Value Engineers What is Value Analysis ? This paper outlines the basic concepts of Value Analysis and, after covering the theory of the by R. Perkins subject, the author discusses the future of V.E. Four case histories are cited. Cost-per-pound Formula Helps Does the design represent good value to the customer? After asking this question the Procurement 'Pound' Costs author explains how to apply the technique of by F. P. Lalonde. , V.E. to the work of the buyer. Behavioral Science in Dr Fincher discusses efficiency in education - a way of getting value for money spent. He de­ Management scribes 'Institutional Research' and outlines an by Cameron Fincher interesting investigation currently proceeding on the R.O.I, from university education. The Interaction of Linear The author states that V.A. and linear program­ ming are optimising techniques for the alloca­ Programming and Value Analysis tion of resources. In a thought-provoking by Shaul P. Ladany article the author discusses these two tech­ niques and states the need for combining them both. Sensitivity Training High- and low-level visibility are discussed in relation to output and morale. The author talks by L. K. McLaughlin about sensitivity training and organising to get the job done. In his view, V.A. is a very effective tool in the solution of logical, rational problems. The Suicide Club Service, Quality Control and V.E. are discussed t I /•»-,,,„/__ fnla in this article. The author believes that the chief oy UOUgias l*Oie problem in these sections of business is one of establishing effective communication. Value Engineering—Not Valve This article will be of considerable value to the newcomer to V.E. The newcomer should follow Engineering the Job Plan, the author explains, and not In future issues by Joseph Sherry proceed along the lines of his previous special­ The Resource Stewards — A Survey ity, whether it be design, manufacturing or of Value Analysts and Engineers purchasing. by Antipodean (Parts 1-6) The Challenge of Change - Value Rolled Shaped Wire and the Rolled Shaped wire lends itself to material Engineering Development saving, increased tensile strength, improved by Frank R. Bowyer, Consultant, Value Engineer surface finish and close tolerancing. The author Value Engineering Ltd. by B. W. Cordon goes on to discuss other advantages of shaped Value Engineering -A Challenge to Management by L. W. Crum This article may at first seem unusual for this How to Sell Ideas journal, but the author contends that if every Value Engineering - Integration of by Bill Gove Value Engineer could master the technique of Education, Training and Application selling his idea there would be more V.E.C.P.s by Frank X. Pesuth and Joseph J. accepted. Kaufman Introduction to Value Engineering by W. M. Thompson and V.E. Checklist A. R. Tocco Value Engineering by Scientific and Technical Personnel in Government The Value Engineer's Bookshelf by Everett J. Hodapp, Jnr. The V.A. Programme and the Construction Industry Abstracts [121] to [126] by Nigel Pearson Value Engineering, February 1970 193 Regional Editors Canada Western United States Mr C. Bebbington, Mrs Patricia B. Livingston, Value Program Coordinator, Management Systems Analyst, United Aircraft of Canada Ltd., North American Rockwell Inc., P.O. Box 10, Longueuil, Quebec. Space Division, Downey, California. North Eastern United States United Kingdom Lt.-Col. Bert J. Decker, USAFR (Ret.), Mr R. Perkins, Director, Project 3000, Technical and Works Director, Millard Fillmore College, Barfords of Belton Ltd., State University of New York at Buffalo, Belton, Grantham, Lines. Hayes A, Buffalo, N.Y. 14214. Europe Mr P. F. Thew, Southern United States Manager - Industrial Engineering, Mr F. Delves, I.T.T. Europe Inc., Lockheed-Georgia Company, 11 Boulevard de I'Empereur, Marietta, Georgia. Brussels 1, Belgium. Aims and Scope A Profile of a Value Engineer The aim of Value Engineering is to en­ courage the wider use of Value Analysis/ The value engineer has a love to expend energy, to argue, to fight and cajole as well as to Engineering techniques throughout compromise, retreat and be convinced. He has to have a broad background, yet be narrow- industry. minded in terms of achieving value objectives. He is forceful but openminded but above all a logical thinker. He has the gift to use his creativity to the fullest, and an innate ability Value Engineering provides a link to visualise, to bring into existence many possible solutions that have not been present between those who are practising and before. This he does either by influencing or modifying that which already exists, or by studying the subject all over the world. starting anew from the foundation. He recognises poor value at a glance, and how to It is the policy of the journal to contain improve value at a second glance. He has the ability to make decisions, and plan a course information which promotes the wider of action, thru or around the skeptics, much like a chess player. He has a knack of being and more efficient application of Value able to utilise others to achieve his objectives. His is an effort of providing ideas and Analysis/Engineering methods. Its dynamic thoughts and persistent pressure for accomplishment. Teaching and selling abstracting service will draw attention in experience are most helpful in convincing others that his ideas and opinions are valuable a conveniently summarised form to the and should be considered. His experiences include substantial design and manufacturing main publications on the subject activities over a wide range of products and services and managerial positions. He throughout the world. understands organisational structures and the politics prevalent in large and small companies. He has an ability to recognise intrinsic values in people and products. Value Key-word Index Engineering is the breeding ground for Program Managers and Company Directors. Titles sometimes do not cover all the Therefore, the value engineer must be a good mixer, with stature and appearance but above aspects of the subject referred to in an all he must understand that his efforts are a service to a better life for all at a reduced article, book review or abstract, and in cost. - Ralph P. Halloran order to assist readers with their infor­ mation retrieval problem key-words have been placed at the top of each item in the journal. Editor Subscription Enquiries Bruce D. Whitwell Subscription Orders, preferably accompanied To illustrate-the article 'The Challenges by a cheque, should be sent to the following that Lie Ahead' covers both Basic Con­ addresses: cepts and Management Appreciation yer* Editorial Offices these subjects were not specifically 20 Pelham Court, U.K., Europe, Africa and Asia: indicated in the title. Hemel Hempstead, Herts., England. Pergamon Press Ltd., Telephone: Hemel Hempstead 3554. Attention Mr B. Cox, Headington Hill Hall, By referencing the article to two cards Oxford, England measuring 5" x 3", arranged alphabeti­ Publishing Offices cally the value engineer can build up a Pergamon Press Ltd., The Americas: system of reference to articles on Training & Technical Publications Division, Pergamon Press Inc., Applications and Basic Concepts. Headington Hill Hall, Attention Mr R. Miranda, Maxwell House, Oxford, England. Fairview Park, Elmsford, The list of key-words will be built up Telephone: Oxford 64881 New York 10523, U.S.A. issue by issue until a useful list of key­ Australasia: words covering Value Engineering sub­ Advertisement Manager Pergamon Press Pty Ltd. jects can be published in a future issue R. Barber 19A Boundary Street, Rushcutters Bay, of the journal. New South Wales 2011, Australia Advertisement Offices Reprint Service Pergamon Press Ltd., Annual Subscription Rates Reprints of the articles and checklists Pergamon House, £3 10s.
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