Target Value Delivery: A Simulation

Question: How can a facilitator teach the fundamental principles of Target Value Delivery (TVD) using a simulation emphasizing the importance of integrating contextual information from project partners along the value chain to establish target costs, select design solutions, and improve the delivery of value for owners? Purpose: The purpose of this paper is to provide practitioners and academics with a simulation to help illustrate the difference between traditional siloed project delivery and an integrated approach using Target Value Delivery principles during the design phase of construction projects. The simulation was developed in response to industry practitioners who expressed the need to demonstrate the value of engaging contractors early in the delivery process and to illustrate the value they bring to the Target Value Delivery (TVD) process. Method: The simulation presented was developed from an existing simulation, i.e., the Silo Game (Alves 2022) and the first author’s experience in playing the Silo Game and contrasting it with his own experience. A literature review of similar simulations was conducted to identify gaps and improve relevancy. The Simulation was tested with practitioners for relevancy, ease of comprehension, and process outcomes. Findings: The Target Value Delivery simulation is useful for teaching the principles of collaborative decision-making versus siloed decision-making in design. This simulation enhances the experience of participants by showing the value brought to the design process by constructors, integrating their understanding of market conditions, risks and other project contextual information. Limitations: The simulation emulates a process based on the experiences of the first author and the structure provided by the Silo Game. The simulation goes beyond design work; it incorporates constructors’ input and construction context knowledge but does not include building operators, maintenance, and decommissioning as a part of Whole Life Target Value Design (Tommelein et Ballard 2016). This paper is one additional step towards the creation of further Target Value Delivery simulations. Implications: The simulation is documented to be broadly used to teach key principles of Target Value Delivery and should be used to develop future simulations. Value for practitioners: The simulation offers a hands-on and simple way to engage participants to address questions, trade-offs, and procedural elements involved in Target Value Delivery. It can be added to a training workshop or classroom. Keywords: Target Value Delivery (TVD), Target Value Design (TVd), collaboration, integrated project delivery, value, simulation, game, Target Costing Paper type: Full paper