laptop selection using value engineering by mazen a. al-juaid august 13, 2005 cem 512 value...

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LAPTOP SELECTION Using Value Engineering By Mazen A. Al-Juaid August 13, 2005 CEM 512 Value Engineering

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Page 1: LAPTOP SELECTION Using Value Engineering By Mazen A. Al-Juaid August 13, 2005 CEM 512 Value Engineering

LAPTOP SELECTIONUsing Value Engineering

By Mazen A. Al-Juaid

August 13, 2005

CEM 512Value Engineering

Page 2: LAPTOP SELECTION Using Value Engineering By Mazen A. Al-Juaid August 13, 2005 CEM 512 Value Engineering

Job PlanJob Plan Information PhaseInformation Phase Speculation PhaseSpeculation Phase Evaluation PhaseEvaluation Phase Development PhaseDevelopment Phase Implementation PhaseImplementation Phase

Page 3: LAPTOP SELECTION Using Value Engineering By Mazen A. Al-Juaid August 13, 2005 CEM 512 Value Engineering

Information Information PhasePhase

What is the project?What is the project?To select a Laptop among the available To select a Laptop among the available brands for personal usebrands for personal use

Page 4: LAPTOP SELECTION Using Value Engineering By Mazen A. Al-Juaid August 13, 2005 CEM 512 Value Engineering

Information Information PhasePhase

Consultation records:Consultation records:

Jarir bookstoreJarir bookstore

Compu meCompu me

Page 5: LAPTOP SELECTION Using Value Engineering By Mazen A. Al-Juaid August 13, 2005 CEM 512 Value Engineering

Information Information PhasePhase

Performance criteria:Performance criteria: Provide a laptop with the following Provide a laptop with the following

features:features: Processor type: Intel CentrinoProcessor type: Intel Centrino Processor speed: 1.7 GHzProcessor speed: 1.7 GHz System memory: 512 MB RAMSystem memory: 512 MB RAM Hard drive capacity: 60 GBHard drive capacity: 60 GB Operating system: Windows XP ProfessionalOperating system: Windows XP Professional

Page 6: LAPTOP SELECTION Using Value Engineering By Mazen A. Al-Juaid August 13, 2005 CEM 512 Value Engineering

Information Information PhasePhase

What is the function?What is the function?VerbVerb NounNoun

processprocess personal datapersonal data

Why

Process personal data

Purchase a laptop

Function How

To make any job easier

Page 7: LAPTOP SELECTION Using Value Engineering By Mazen A. Al-Juaid August 13, 2005 CEM 512 Value Engineering

Speculation Speculation PhasePhase

Generated ideas:Generated ideas: Toshiba Toshiba DellDell HPHP SiemensSiemens AcerAcer SonySony

Page 8: LAPTOP SELECTION Using Value Engineering By Mazen A. Al-Juaid August 13, 2005 CEM 512 Value Engineering

Evaluation Evaluation PhasePhase

IdeaIdea AdvantageAdvantage DisadvantageDisadvantage

Toshiba Toshiba Low maintenance costLow maintenance cost Heavy weightHeavy weight

DellDell Nice lookingNice looking Short battery lifeShort battery life

HPHP Low maintenance costLow maintenance costNice lookingNice looking

Heavy weightHeavy weightShort battery lifeShort battery life

SiemensSiemens Low initial costLow initial costLight weightLight weight

High maintenance costHigh maintenance cost

AcerAcer Low initial costLow initial cost Not nice lookingNot nice looking

SonySony Light weightLight weightLong battery lifeLong battery life

High initial costHigh initial cost

Page 9: LAPTOP SELECTION Using Value Engineering By Mazen A. Al-Juaid August 13, 2005 CEM 512 Value Engineering

Evaluation Evaluation PhasePhase

A. Initial Cost B. Maintenance Cost

C. Battery life D. Weight

E. Aesthetic F. Obsolescence

1. Minor preference

2. Medium preference

3. Major preference

A-2 A-2 A/D A-2

B/C D-2 E-1

D-2 C/E

D-2

A

B

C

D

B C D ERaw scoreRaw score Average weightAverage weight

AA 1010 1010

BB 33 33

CC 44 44

DD 99 99

EE 44 44

FF 11 11

A-3

B-2

C-2

D-2

E-2E

F

Page 10: LAPTOP SELECTION Using Value Engineering By Mazen A. Al-Juaid August 13, 2005 CEM 512 Value Engineering

Evaluation Evaluation PhasePhaseObsolescence

Aesthetic

Weight

Battery life

Maintenance Cost

Initial Cost

1. Toshiba

2. Dell

3. HP

4. Siemens

5. Acer

6. Sony

10 3 4 9

2 5 4 1

3 3 1 3

3 4 2 2

TotalWeight

73

90

87

1

5

4

3

Ranking

6

4

5

4

2

4

4

5 1 5 4

4 3 4 4

1 2 4 5

119

114

100

2

1

3

1

2

3

2

3

5

1. Toshiba

2. Dell

3. HP

4. Siemens

5. Acer

6. Sony 3

Page 11: LAPTOP SELECTION Using Value Engineering By Mazen A. Al-Juaid August 13, 2005 CEM 512 Value Engineering

Development PhaseDevelopment Phase

Siemens:Processor type: Intel Centrino

Processor speed: 1.7 GHz

System memory: 512 MB RAM

Hard drive capacity: 60 GB

Drives included: DVD-Dual

Screen: 15.1” LCD XGA color

Modem speed: 56 Kbps

wireless communications: wireless LAN 802.11b/g

Operating system: Windows XP Professional

Warranty: 3 Years

Page 12: LAPTOP SELECTION Using Value Engineering By Mazen A. Al-Juaid August 13, 2005 CEM 512 Value Engineering

Development PhaseDevelopment Phase

0

SR 4,399

SR 600

(SR 800)

63

SR 300/year

Life Cycle Cost

Initial Cost: SR 4,399

Replace Battery (3 years): SR 600

Annual Maintenance: SR 300

Salvage: (SR 800)

P = SR 4,399 + SR 600 (P/F, 5%, 3) + SR 300 (P/A, 5%, 6) – SR 800 (P/F, 5%, 6) = SR 4,379

Page 13: LAPTOP SELECTION Using Value Engineering By Mazen A. Al-Juaid August 13, 2005 CEM 512 Value Engineering

Implementation PhaseImplementation Phase

The decision was made to buy the The decision was made to buy the Siemens laptopSiemens laptop

Page 14: LAPTOP SELECTION Using Value Engineering By Mazen A. Al-Juaid August 13, 2005 CEM 512 Value Engineering