What does Value Analysis involve?

Value Analysis is a systematic approach that aims to improve the value of a product or process by evaluating and analyzing its functions in relation to its cost. It is typically conducted by a team or committee that brings together various stakeholders to assess the lifecycle of a product or process, identifying areas for improvement in terms of efficiency, effectiveness, and cost savings. By focusing on the entire lifecycle, the team can determine how to maintain or enhance the quality of the product while effectively managing costs. This collaborative evaluation promotes innovative solutions and better resource allocation, aligning with the principles of value management.

Other options represent aspects of operational or financial management but do not encompass the comprehensive and function-oriented analysis characteristic of Value Analysis. For example, individual product reviews based solely on cost lack the broader perspective of lifecycle assessment, while cost audits and annual performance assessments focus on specific areas rather than a holistic evaluation of value throughout the product's existence.