The Value Engineering and Cost Estimating training course by The British Academy For Training and Development provides practical knowledge for professionals responsible for project cost planning, financial control, technical evaluation, and value improvement. The programme integrates Value Engineering, estimating, value analysis, budgeting, and engineering economics to support informed project decisions from early planning through implementation.

Participants learn how to prepare reliable cost estimates, evaluate project functions, identify cost drivers, compare alternatives, and establish effective cost control mechanisms. The course connects technical requirements with financial objectives, enabling participants to improve cost predictability, optimise project resources, and maintain the required quality and functionality. It is part of Project Management Courses Training Courses under the Management category.

• Understand the principles of Value Engineering and Cost Estimating.
• Develop practical skills in project estimating and cost forecasting.
• Apply value analysis to evaluate project functions and cost relationships.
• Develop accurate project budgets based on scope, resources, quantities, and assumptions.
• Apply cost control techniques throughout the project lifecycle.
• Use engineering economics to compare technical and financial alternatives.
• Identify cost drivers and opportunities for cost optimisation.
• Evaluate design and procurement alternatives based on cost, quality, functionality, and performance.
• Understand direct, indirect, fixed, variable, and lifecycle project costs.
• Improve estimate accuracy through structured estimating methods and assumptions.
• Support project decision-making through integrated value and cost analysis.

Target Audience

• Project Managers
• Cost Engineers and Estimators
• Quantity Surveyors
• Project Controls Professionals
• Civil, Mechanical, Electrical, and Project Engineers
• Construction Managers
• Cost Controllers
• Procurement and Contract Professionals
• Financial and Budgeting Professionals
• Design and Technical Managers
• Professionals responsible for project cost estimation, budgeting, value engineering, and cost control

Module 1: Fundamentals of Value Engineering and Cost Estimating

• Principles of Value Engineering and Cost Estimating
• Relationship between value, function, cost, and performance
• Project cost structure
• Purpose of cost estimating
• Value-driven project decision-making
• Role of estimators and value engineering teams

Module 2: Project Cost Estimating Principles

• Project cost estimating
• Types and purposes of estimates
• Preliminary, conceptual, budgetary, and detailed estimates
• Cost estimating processes
• Estimating assumptions and constraints
• Sources of cost data
• Estimate documentation and validation

Module 3: Estimating Methods and Techniques

• Estimating techniques
• Analogous estimating
• Parametric estimating
• Bottom-up estimating
• Unit-rate estimating
• Quantity-based estimating
• Comparative estimating
• Selecting appropriate estimating methods

Module 4: Quantity Take-Off and Cost Breakdown

• Cost breakdown structures
• Quantity identification and measurement
• Labour, material, equipment, and subcontractor costs
• Direct and indirect costs
• Developing cost breakdowns
• Unit costs and productivity rates
• Supporting estimate accuracy through detailed cost analysis

Module 5: Budgeting and Cost Baselines

• Project budgeting
• Developing project budgets
• Cost allocation and resource planning
• Establishing cost baselines
• Budget assumptions and contingencies
• Budget approval and control
• Managing budget changes

Module 6: Value Analysis and Functional Evaluation

• Value analysis
• Functional analysis
• Identifying essential and non-essential functions
• Function-cost relationships
• Analysing cost drivers
• Generating value improvement alternatives
• Evaluating functionality against cost

Module 7: Engineering Economics for Cost Decisions

• Engineering economics
• Economic evaluation principles
• Cost-benefit analysis
• Comparing project alternatives
• Present and future value concepts
• Investment decision-making
• Economic assessment of technical solutions

Module 8: Cost Control and Variance Management

• Cost control
• Monitoring actual versus planned costs
• Cost variance analysis
• Forecasting final project costs
• Earned Value Management principles
• Corrective and preventive cost actions
• Managing cost overruns

Module 9: Value Engineering for Cost Optimisation

• Value Engineering
• Value improvement study process
• Identifying cost reduction opportunities
• Alternative materials and technical solutions
• Design optimisation
• Balancing cost, quality, performance, and risk
• Evaluating value engineering proposals

Module 10: Risk, Contingency, and Estimate Accuracy

• Cost estimating risk
• Identifying cost uncertainties
• Contingency and allowances
• Escalation and inflation considerations
• Risk-based estimating
• Sensitivity analysis
• Improving cost estimate reliability

Module 11: Cost Estimation for Procurement and Contracts

• Procurement cost estimating
• Preparing cost estimates for tendering
• Supplier and contractor cost evaluation
• Bid comparison and analysis
• Cost implications of contract terms
• Change orders and variations
• Supporting procurement decisions through cost analysis

Module 12: Integrated Value Engineering and Cost Management

• Integrated cost and value management
• Linking estimates, budgets, and value objectives
• Establishing cost and value performance indicators
• Monitoring cost and project value
• Communicating cost recommendations
• Implementing value improvement decisions
• Continuous cost control and value optimisation