Editor’s Voice – February 2017

By Muthiah Kasi, PE, SE, CVS-Life, FSAVE – Editor, Value World

Measurement of Organizations

Organizations that practice Value Engineering should measure their progress and map future program. Larry Miles expressed his thoughts on measurement of organization in his book Techniques of Value Analysis and Value Engineering. He expressed his thoughts on Motivation, Measurements and Tests for organizations in the 16th chapter. Following is his introduction to Measurement of Organization:

The following Value Analysis Organization Study and Measurement Guide illustrates a good approach to the important problem of measuring organizations. It is meant not only to cover measurement questions but also to contain some of the significant answers for the indoctrination of management people who are performing the study and measurement.

VALUE ANALYSIS ORGANIZATION STUDY AND MEASUREMENT Guide

(Mark on scale of 5, 4, 3, 2, 1: 5 indicates highest merit, 1 lowest)

Areas of study:

1. How well is value analysis understood?
2. How well is the value analysis organization suited to the business involved?
3. How correctly is the value analysis operation set up?
4. How effectively are the value analysts operating?
5. Do miscellaneous factors aid the value analysis operation?

The above five areas of questioning as described by Larry Miles is a guide to the enhancement of the VE program. We at Alfred Benesch started the measurement and find it valuable to improve our program. Mr. Miles has expanded his approach to organization in chapter 16 of his book. I encourage every organization to read this chapter and customize to their philosophy.