Extended Model for Integrated Value Engineering

Manufacturing firms have to design products for global competitive markets that provide a distinct cost-value-ratio. Literature provides approaches like target costing and value engineering to counter this challenge from different angels. Combining benefits and summarize any immediate information during the application of both approaches within a comprehensive model this paper presents a model for integrated value engineering. This model is extended by the consideration of manufacturing processes as well as supply chain networks, as those factors emerge as drivers for costs and values in manufacturing firms, while the original model already considers requirements, functions and physical components of a product.