Value Analysis [Value Engineering Sample Clauses
The Value Analysis or Value Engineering clause establishes a process for systematically reviewing a project's design, materials, or methods to identify opportunities for cost savings or improved efficiency without compromising quality or performance. Typically, this clause allows either party—often the contractor—to propose alternative solutions or modifications that achieve the same functional objectives at a lower cost or with added benefits. Its core practical function is to encourage innovation and cost-effectiveness during project execution, helping to control expenses and optimize resource use while maintaining project standards.
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Value Analysis [Value Engineering. (“VAVE”) and Productivity Improvements. Medtronic and Supplier intend to work together throughout the term to reduce prices. Supplier shall at the request of Medtronic or a Business Unit form a team at its cost to work on VAVE and/or productivity improvement projects to support any cost down initiatives. If the cost improvement opportunity is identified by Medtronic, the savings will apply 100% to the Product associated with the reduction. If the cost improvement is identified by the Supplier, Supplier may apply fifty percent (50%) of the savings towards the Products associated with the reduction in the first year and the balance in the second year. Unless otherwise agreed upon by Medtronic, cost savings that are identified by Medtronic are in addition to the annual price reduction while cost savings that are identified by the Supplier can be applied towards the annual price reduction initiative set forth above.
Value Analysis [Value Engineering. Supplier agrees to participate fully with TMI, and/or TMI's customers or other suppliers, with respect to value analysis and/or value engineering or other continuous improvement programs or initiatives related to the Products or its processes. Supplier shall use all reasonable efforts to reduce costs through product standardization and rationalization. All cost reductions achieved as a result of this Section 10, shall serve to reduce the total cost for the Products to the extent mutually agreed upon in the Order. TMI has the right to audit Supplier's books and records to document any cost reductions that are achieved through efforts implemented as a result of this Section 10.
Value Analysis [Value Engineering. If and as requested by Owner, Construction Manager will provide on-going value analysis studies on construction systems and major construction components, including but not limited to the mechanical system, exterior envelope, structural system, roofing system, lighting and power service. The value analysis will be summarized in report forms and distributed to the Owner and Architect.