To be truly effective, the Value Engineering process must begin in the early design stages and continue on through final working drawings and course of construction.
Input into analyzing and making suggestions as to more cost-effective methods of construction, materials, equipment, staging and scheduling is instrumental in realizing and maintaining budgetary constraints. We have been involved in a substantial amount of value engineering programs over the years. Our relationship with design entities has always been excellent as they work together for the best interest of the project. This General Contractor / Architect Relationship is of utmost importance in realizing an effective value-engineering program.
Of utmost importance in terms of commitment to value engineering is our top-down management approach. Your project will not be handled just by middle management. With Burke Construction Group, the value engineering, cost containment approach and construction services start with the principals of the company. There is no timeline for value engineering as this is an ongoing process. As such, you will receive commitment from company principals throughout the design and construction process.
The key to success in the value engineering process lies in cost containment. The following is a brief discussion of each cost area and Burke Construction Groups method of containment:
Value engineering can directly reduce labor costs. Burke Construction Group, throughout the course of the project will make value engineering suggestions in order to reduce labor hours while maintaining a high standard of quality. There are two variables which comprise labor costs: labor cost per hour and the labor hours expended to accomplish a given task (i.e. efficiency). Labor rates vary dependent upon each trade and particular Subcontractor and are addressed during the bid stage. However, the most predominant factor influencing labor cost is labor efficiency. Labor efficiency can be greatly increased through proper planning and scheduling. Planning and scheduling begin in the Burke Construction Groups pre-construction meetings where all facets of the project are discussed. These problems are discussed and resolvedl The specific sequence in which task are to commence and be completed are scheduled.
Value Engineering can greatly influence material costs. Once again, throughout the course of the project, we make value engineering suggestions to the Architect, proposing alternate materials and equipment in order to reduce materials costs while maintaining the same standard of quality. Materials are competitively bid to suppliers in order to receive the most competitive pricing. Proper procurement of all materials is imperative in order to maintain an aggressive construction schedule and avoid labor cost waste. All materials deliver dates are closely monitored by the subcontractors through Burke Construction Group.
Major subcontract work is competitively bid under a fixed price contract.
It is important to note that Burke Construction Groups stature and experience within the marketplace comined with our significant purchasing power, is invaluable in terms of cost savings as we are capable of drawing the best pricing from local material suppliers, subcontractors and vendors.
In summary, our specific model of value engineering procedures has been proven time and again to reduce costs both in the design stage and during the course of construction.