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VALUE ENGINEERING in This Issue Page Vol: 1 No: 1 April 1968 VALUE ENGINEERING In this issue Page Editorial - L. D. Miles - Rules of the Game 5 Low Cost Design in the Aircraft Industry 7 by G. P. Jacobs, Manager, Value Engineering, British Aircraft Corporation {Operating) Ltd., Weybridge Division. Value Engineering, its Contribution to Profitability 11 by Rex Ferguson, Engineering and Industrial Consultant The Value Engineering Association 13 Sharpen up your Selling Power with Value Analysis 15 by K. W. Hiles, Lecturer, St Helens School of Management Studies The Product Development Process illustrated with reference to Domestic Appliance 19 Development by A. R. C. Morphy, Development Manager, Portable Appliance Division, British Domestic Appliances Ltd. Value Engineering in Rolls-Royce Aero Engine Design 23 by L. W. Crum, Chief Value Engineer, Rolls-Royce Ltd., Aero Engine Division Purchasing's Contribution to Value Analysis 27 by Dennis C. Simpson, Purchasing Controller, The Rank Organisation Economic Production and its Disciplines 29 by Anthony R. Tocco, Director of Value Assurance, TR W Systems Value Assurance Checklist for Product Design 37 The Value Engineering Functional Approach Techniques 43 by Frederick S. Sherwin, Value Engineering Co-ordinator, The Plessey Company Ltd. The Importance of Search Techniques in Solving Problems of Value 49 by J. Harry Martin, Manager of Value Engineering and Cost Improvement Program, General Electric Company Ordnance Department, Defense Electronics Division The Technique of Value Engineering as an Aid to Profit Improvement 51 by J. Burnside, Value Engineer, Lindustries Ltd. On Catching the Fleeting Thought 53 by C. Hearn Buck, Lecturer, University of Aston in Birmingham The Value Engineer's Bookshelf 57 Selected Abstracts on Value Analysis/Value Engineering 61 Pergamon Press 4 f The AIM of Value Engineering is to encourage the wider use of value analysis/engineering techniques throughout industry. Value Engineering provides a link between those who are practising and studying the subject all over the world. It is the POLICY of the journal to contain information which promotes the wider and more efficient application of value analysis/engineering methods. Its ABSTRACTING SERVICE will draw attention in a conveniently summarised form to the main publications on the subject throughout the world. * * * Information Retrieval To assist with the retrieval of information on various subjects keywords (shown in italics) have been given to the articles, book reviews and abstracts in this journal. Keyword cards, 5" x 3", arranged in alphabetical order, may have the reference to the page on which the article, etc., appears entered upon them. In this way the value engineer may build up a summary of references to articles, books and abstracts touching upon a particular subject. * * * Reprint Service Reprints of the articles and checklists appearing in Value Engineering may be ordered in multiples of fifty copies and detachable ordering forms are provided opposite. * * * Value Engineering is published bi-monthly by Pergamon Press Ltd. The Editor is Bruce D. Whitwell, 20 Pelham Court, Hemel Hempstead, Herts., England. Telephone: Hemel Hempstead 3554. Advertisement Offices Pergamon Press Ltd., 4 Fitzroy Square, London W1. Telephone: 01 -387 4455 Production Offices Pergamon Press Ltd., T. &T. Journals, Headington Hill Hall, Oxford, England. Telephone: Oxford 64881. Subscription Enquiries Pergamon Press Ltd., Headington Hill Hall, Oxford, England. Pergamon Press Ltd., 44-01 21st Street, Long Island City, New York. NY. 11101, U.S.A. Annual Subscription £3.10.0 (U.K. only) post free. U.S.A. and Canada $9.00. Overseas £3.10.0 post free. Advertisers' blocks will be retained for two years; if they are not claimed within that time the blocks will be destroyed. FOR U.S.A. USE ONLY (UNLESS IN ENVELOPE) -p CO FOR USE BY U.K. OR OVERSEAS READERS Please send Value Engineering Please send Value Engineering every second month to: every second month to: r' C/> > 2 Name a 3. Name Position Position Firm/College etc Firm/College etc CD a. a 3 Address Address Q. O 3 until for 12 months of f~] until for 12 months o • countermanded • beginning L_J countermanded • beginning 0) remittance please invoice 2> o remittance please invoice herewith • herewith 3 • • • a 03 cd S- Q. 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The subscription rates are: fi) CD The subscription rates are: £3.10.0. post free for 12 months £3.10.0. post free for 12 months 03 Canada and USA $9.00 post free C/) "* Canada and USA $9.00 post free Overseas £3.10.0. post free Overseas £3.10.0. post free Affix Affix postage postage Value Engineering, Value Engineering, Subscription Department, Subscription Department, Pergamon Press Inc., Pergamon Press Ltd., 44-01 21st Street, Headington Hill Hall, Long Island City, Oxford, New York 11101, England. U.S.A. No postage stamp Postage necessary if FIRST CLASS will be posted in paid by Great Britain Permit No. 663 licensee or Northern Long Island City, N.Y. Ireland BUSINESS REPLY SERVICE BUSINESS REPLY MAIL Licence No. OF.234 No Postage Stamp Necessary if Mailed in the United States Value Engineering, Value Engineering, Subscription Department, Subscription Department, Pergamon Press Ltd., Pergamon Press Inc., Headington Hill Hall, 44-01 21 st Street, Oxford, Long Island City, England. New York 11101 U.S.A. In this issue: Low Cost Design Value engineering as 'organised effort directed at identifying the necessary in the Aircraft functions to be performed, and for achieving those functions for least cost Industry commensurate with performance and time-scale' avoids the assumption that, G. P. Jacobs by defining the function, the performance of the product can be defined. 'Cost correction' or 'having a second go' at the design is a relatively expensive Manager, Value Engineering at the process. Weybridge Division of the British After 'Cost correction' there is 'Cost avoidance' which is the achievement of Aircraft Corporation (Operating) Ltd. the best value solution before excess cost is committed by determining the correct alternatives during the design stage. Value Engineering, There is need for recognition by top management that a Value Engineering its Contribution Department is a top-level activity. to Profitability In management the accent is often too much on Cost Reduction and too little Rex Ferguson on Profit Improvement. Engineering and Industrial Consultant. Sharpen up Value Analysis can be fashioned by marketing managers into a useful 'tool' for your Selling Power improving the penetrating power of their salesmen. with Value Analysis Salesmen who are familiar with the analytical methods applied in using this K. W. Hiles technique can be of considerable assistance to their customers in helping them to arrive at a better, more functional, more reliable design for a lower cost. Lecturer, St. Helens School of Management Studies. The Product Development Process Seven objectives before development work begins are outlined, and practical illustrated with reference to methods for obtaining optimum design solutions are set forth. Domestic Appliance Development The results of the application of this approach to the 'Classic' iron are described. A. R. C. Morphy Value engineering best comes in at the stage where a firm definition of the pro­ posed product design has been reached. Development Manager, Portable Ap­ pliance Division, British Domestic 'A badly conceived design cannot be retrieved by good work in the later stages.' Appliances Ltd. Value Engineering The company has proved Value Engineering to be 'a well-organised approach to in Rolls-Royce cost reduction' and a worthwhile level of savings have been achieved. L. W. Crum The organisation of Value Engineering in Rolls-Royce is described. Training is now provided for all staff who are in a position to influence costs. Chief Value Engineer, Rolls-Royce Ltd., Aero Engine Division Purchasing's Contribution Special reference is made to the value of gaining the co-operation of the specialist to Value Analysis supplier. Dennis C. Simpson The help which may be obtained from the construction of comparative cost and technical data is described. Purchasing Controller, The Rank Organisation It is essential that Purchasing does much of the ground-work prior to Value Analysis workshop sessions. Economic Production The increasing complexity of products and systems has forced management and towards the development of new approaches for the management of resources. its Disciplines The writer describes four methodologies - Quality, Reliability, Standardisation Anthony Tocco and Value Engineering - which provide management with the 'tools' required Director of Value Assurance, TWR to meet the challenge of domestic and international competition. Systems The Value Engineering Value Engineering does not concentrate in depth in any one area (Design, Functional Approach Production or Purchasing) to the exclusion of others. It starts with the definition Techniques of the customer's needs and then proceeds through an organised and systematic Frederick S. Sherwin programme to create the optimum design. An optimum of cost/value ratios is the aim. Value Engineering Co-prdinator, The Plessey Company Ltd. Value Engineering, April 1968 1 The Importance of A similarity in problem-solving methodology between Descartes in the 17th Search Techniques century and Miles in the 20th century is referred to and the need for Value Analysts in Solving Problems - if they wish to be successful - to master search skills is stressed.
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