Macogep

Blog

Value Analysis Provides the Solution to your Issue

In this period of budget cuts and economic hardships, low profit margin and cheap prices are common. It may be attracting, but it is also dangerous. Moreover, it is simplistic as if the price itself – as low as possible – defines the value of a project. In fact, the value of a project must exceed the margin of economic viability to achieve organizational, political, societal, environmental results or else. Still, needs and goals must be identified and defined. Through a good value analysis, this is possible.

Ask the Right Questions to the Right People

Project stakeholders’ real needs and goals both internal and external – governments, public, media and else – must be identified and determined first. This exercise is more complex than it seems. Unfortunately, it is not just a matter of making all the stakeholders sit around a table, asking them what they want and then, get an extensive list of personal opinions. They must be prepared and pushed outside their comfort zone; they must feel connected. To do so, you need to ask the right and relevant questions. The provided answers lead to common needs and goals that will be properly prioritise.

Balance between Needs and Cost Satisfaction

Once the needs and the goals have been properly defined and prioritised, we identify as many ideas as possible as part of a creative workshop. There are multiple techniques, however the same goal remains: generate the best solutions for everyone, not the best ones for each stakeholder. Then again, a good preparation and supervision will generate adherence to common solutions. This will help to balance the project needs and cost satisfaction.

Keep the connection

Although the value analysis is crucial in the early stage of the project, it remains important partway through, especially in a long term project. In this context, it is easier to verify whether the needs and the goals formerly identified are still relevant.

To summarize, the value analysis allows:

1)      To identify key stakeholders and gather them around a joint project,

2)      To define and prioritise the common needs and goals of the project,

3)      To achieve a consensus and get support from stakeholders,

4)      To complete a valuable project that meets the needs identified.