48.000
Scope of part
FAR 48.000 sets the foundation for using value engineering techniques in government contracts to improve value and reduce costs.
Overview
- FAR 48.000 establishes the scope for Part 48, outlining the policies and procedures for incorporating value engineering (VE) techniques into government contracts. The section clarifies that the part governs how VE is to be used and administered, setting the stage for detailed requirements in subsequent sections.
Key Rules
- Value Engineering in Contracts
- This section mandates the use of value engineering techniques, which are systematic approaches to improving the value of products or services by examining function, cost, and performance.
- Policy and Procedure Framework
- It establishes that the following sections will provide the specific policies and procedures for implementing VE in contracts.
Responsibilities
- Contracting Officers: Must understand and apply the policies and procedures for value engineering as detailed in Part 48.
- Contractors: Should be aware that value engineering requirements may be included in solicitations and contracts, and be prepared to participate in VE activities if required.
- Agencies: Responsible for ensuring that value engineering is properly administered and that its benefits are realized in contract performance.
Practical Implications
- This section exists to promote cost savings, improved performance, and innovation in government contracting through value engineering.
- It impacts daily contracting by requiring both government and contractors to consider and potentially implement VE techniques.
- Common pitfalls include failing to recognize when VE applies or misunderstanding the procedures for submitting and evaluating VE proposals.