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

Job Plan Information Phase Information Phase Speculation Phase Speculation Phase Evaluation Phase Evaluation Phase Development Phase Development Phase Implementation Phase Implementation Phase

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

Information Phase Consultation records:  Jarir bookstore  Compu me

Information Phase Performance criteria:  Provide a laptop with the following features:  Processor type: Intel Centrino  Processor speed: 1.7 GHz  System memory: 512 MB RAM  Hard drive capacity: 60 GB  Operating system: Windows XP Professional

Information Phase What is the function? What is the function? VerbNoun processpersonal data Why Process personal data Purchase a laptop FunctionHow To make any job easier

Speculation Phase Generated ideas:  Toshiba  Dell  HP  Siemens  Acer  Sony

Evaluation Phase IdeaAdvantageDisadvantage Toshiba  Low maintenance cost  Heavy weight Dell  Nice looking  Short battery life HP  Low maintenance cost  Nice looking  Heavy weight  Short battery life Siemens  Low initial cost  Light weight  High maintenance cost Acer  Low initial cost  Not nice looking Sony  Light weight  Long battery life  High initial cost

Evaluation Phase A.Initial CostB. Maintenance Cost C. Battery lifeD. Weight E. AestheticF. Obsolescence 1.Minor preference 2.Medium preference 3.Major preference A-2 A/DA-2 B/CD-2E-1 D-2C/E D-2 A B C D BCDE Raw score Average weight A1010 B33 C44 D99 E44 F11 A-3 B-2 C-2 D-2 E-2 E F

Evaluation Phase Obsolescence Aesthetic Weight Battery life Maintenance Cost Initial Cost 1.Toshiba 2.Dell 3.HP 4.Siemens 5.Acer 6.Sony Total Weight Ranking Toshiba 2.Dell 3.HP 4.Siemens 5.Acer 6.Sony 3

Development 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 b/g Operating system: Windows XP Professional Warranty: 3 Years

Development Phase 0 SR 4,399 SR 600 (SR 800) 6 3 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

Implementation Phase The decision was made to buy the Siemens laptop