As part of a broader initiative to optimise capital investment and align design outcomes with long-term business goals, this document outlines a two-day Value Management (VM) and Value Engineering (VE) agenda for a proposed commercial office and warehouse facility. The study demonstrates a practical application of value management in commercial construction, designed to promote early-stage strategic decision-making, cost-efficiency, and stakeholder alignment.

The ideal timing for this study is during the feasibility or early design stage of the project. Conducting the VM process at this phase enables the project team to explore flexible options before locking in final design and procurement decisions.

Value activities are needed to be undertaken by different stakeholders to satisfy the full benefits of the study. These activities should be considered within the context of business objectives and sustainability goals.

Stakeholder Engagement Framework

To ensure a productive and holistic value study, participation from a range of functional groups is essential. The study will involve:

• Client Representative / Project Sponsor – ensuring alignment with investment goals and operational vision (e.g., Scotland Gas Networks).
• Programme Development / Development Director – verifying that programme objectives align with business needs.
• Project Manager – driving innovation and validating project-specific actions within programme expectations.
• Main Contractor / Project Team – delivering on-site implementation of value activities.
• Engineering Consultants – exploring technical alternatives and optimising design solutions.
• Facilities Operator or User Group Representatives – voicing operational requirements and end-user needs.
• Value Study Facilitator – moderating sessions and ensuring consistency with best practice frameworks.

Value Management Agenda

Foundations and Exploration

Orientation and Objective Setting

• Strategic briefing and team introductions.
• Presentation of baseline costs and functional requirements.
• Overview of business needs and design constraints.

Expected Outcome: Shared understanding of project context and stakeholder priorities.

Preparation Phase

• Brainstorming session with all stakeholders.
• Review of business drivers, constraints, and existing design options.
• Stakeholder presentations to establish priorities.

Expected Outcome: Alignment on project goals and high-level opportunities for value.

Workshop – Innovation and Group Work

• Presentation of scope and identification of key issues.
• Breakout group discussions on proposed subjects.
• Collection of alternative ideas, feedback, and key observations.

Expected Outcome: A catalogue of potential value improvements and opportunities.

Prioritization, Development and Action Planning

Workshop Continuation and Evaluation

• Prioritisation of ideas using multi-criteria assessment (cost, risk, environmental impact).
• Recording conclusions and validation by subject matter experts.

Expected Outcome: Final list of value proposals for development.

Reporting Phase and Close-Out

• Summary of the study’s process, key results, and recommendations.
• Development of implementation plan with action owners.
• Compilation of stakeholder list and outcomes from the discussions.

Expected Outcome: Stakeholder-approved report ready for integration into the design process.

Value Activities and Impact Categories

The value opportunities are grouped under four core impact areas:

• Social: New employment opportunities for the local community; attracting skilled workers; improving the workplace experience.
• Environmental: LEED certification; environmentally responsible design and material choices.
• Economic: Prefabricated modular elements (e.g., external walls, doors, windows); reduced waste; structural system optimisation.
• Physical: High-performance insulation; double-glazed windows; smart control systems for HVAC and lighting.

The structured application of value management in commercial construction supports prioritising alternatives that meet these impacts efficiently. Several proposals address multiple categories simultaneously, improving both capital and operational performance.

Quantified Value Outcomes

Key financial and functional outcomes include:

• Structural system redesign: Reducing the contingency factor from 1.52 to 1.35, leading to cost savings on the structural frame.
• HVAC efficiency: Savings through insulation and smart systems.
• Prefabrication: Lower waste, faster installation, and lifecycle savings without increasing envelope cost.
• Roof upgrade: Higher upfront cost justified by operational savings and environmental gains.

These results showcase how early-stage value management in commercial construction projects can deliver measurable cost and performance improvements.

This value-focused study provides a structured opportunity for the project team to align functionality, cost-efficiency, and stakeholder needs at a critical stage of project planning. Through clear coordination of value activities, early collaboration, and open dialogue, the study supports the delivery of a future-ready, cost-effective facility with improved operational performance and social impact—firmly demonstrating the value of applying value management in commercial construction.

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