DESIGN SAVINGS CAN RESULT FROM EFFICIENCY REVIEW AND VALUE ENGINEERING
EFFICIENCY REVIEW involves reorganizing areas to maximize accessible living space, improve traffic flow within the building envelope, and minimize wasting (throwing away) materials.
For example, the fewer dumpsters leave a project that are filled with unused material, the more profit for the Builder and the less cost per square foot of the finished structure. Although this is an easy concept to understand, not all designers consider the standard shapes and sizes of materials when they design, resulting in buying and then throwing away thousands of dollars worth of material.
Inside the building envelope, fewer corridors and corners adds up to more living space for less cost. Few designers consider this principal of efficient design, resulting in overly wide and long corridors and unnecessary corners that steal space from living areas and drive up all material and labor costs.
Architects design according to form, fit and function. Engineers design to support weight, reduce heat loss and gain, manage water and to withstand the forces of nature. Neither discipline focuses on internal traffic flow and the perceived feelings of people while they occupy or move through the built spaces.
When I review or conceive of a design, I consider these design criteria. Let us look at your design together from this point of view.
Additionally, when we review, we can keep in mind opportunities to apply the principals of "value engineering," as discussed next.
VALUE ENGINEERING Did you know that all Federal Contracts and AIA (American Institute of Architects), Contracts give Builders a way to make extra money by using Value Engineering?
On average, value engineering can save between 5% and 15% of total project costs. The Builder is entitled to keep nearly half of those savings. That extra savings can significantly boost a Builder's bottom line. This means that a Builder can get a big payoff by proposing ways to meet the performance specificatons with less costly methods.
Use me to review the plans and specifications to suggest changes the get the Owner what they want for less money. If the Owner accepts our value engineering cost proposals, then the Contract lets you keep a stipulated percentage of the savings. This is a very low risk way to make money. It is also good for the Owner, who sometimes uses their part of the savings to add extra work they thought they could not afford. That extra work can add up to even more total profit for the Builder. Value Engineering can truly be a win-win for both sides of the Contract.
In 1984 my lobbying with the late Senator William Roth was instrumental in passing a Federal value engineering law that still saves tax payers an estimated $4+ billion every year. Why not try my value engineering logic on your project? Add some of the savings to your bottom line. If you would like to discuss this process, let me hear from you as soon as you are awarded the contract, so we can maximize the chance to find those savings. I can work against a minimum fixed fee plus a portion of what you gain from value engineering change orders.