Optical Character Recognition and E-Invoicing
Automation of business processes has become the single objective of every multinational corporation. Automation saves a lot of money in the long run. It also streamlines the process and makes it more robust. In the recent past, two technologies have helped companies automate their accounts payable departments. These two technologies are optical character recognition and […]
Process Design and Analysis
Introduction The objective of organization is to provide service and product, which satisfy customer and create value for them. A product and service designed is based on the customer feedback and requirement of the market. Process design is where the product is broken down into parts, which further can be helpful in the actual manufacturing […]
Disaster Recovery and Business Continuity Plan
Modern day world is extremely complex and interwoven with a lot of variables and uncertainties. Managing businesses is extremely tricky and requires one to be ahead of times all the while. With the evolution of technology, the business processes and management philosophies on how to nurture and safeguard one’s business have been the subject of […]
Effect of Business Process Outsourcing (BPO) on the Workforce
The previous articles have discussed the impact that the BPO phenomenon has had on the economies of the home and the target countries. This was essentially a macro level perspective about how the BPO sector has impacted these countries. In this article, we drill down and look at the effect that the BPO sector has […]
Disadvantages of the BPO Phenomenon
In previous articles, we looked at the humungous benefits that the BPO phenomenon brings to the economies of the host and the target nations. Mainly, we focused on how cost savings for the companies outsourcing their back office work and increased revenues for the companies doing the outsourced work have been actualized leading to a […]
All organizations strive to create value for their customers. This value creates mind space for product and services. Value analysis, therefore, is a scientific method to increase this value.
Value is a perception hence every customer will have their own perceptions on how they define value. However, overall at the highest level, value is quality, performance, style, design relative to product cost.
Increasing value necessarily does not mean decrease in all-inclusive cost of production but providing something extra for which a premium can be charged.
The objective and benefits of value analysis can be summarized as below:
Activities for value analysis are separated into following activities:
The process of value analysis is carried out by value analysis team. So it becomes paramount that team selection for value analysis also follows a structured process.
Value analysis team consists of trained and qualified team members who have background and knowledge about the project. Team leader is selected by the project manager. Team size for value analysis is 5 to 8.
Value analysis process can be divided into three phases of mainly - pre-analysis, analysis and post analysis.
Function analysis is required to transform the project elements from design of product towards function of product. The main categories are Basic, Secondary, Required Secondary Aesthetic, Unwanted, Higher Order and Assumed.
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