Improving the cost performance of green buildings based on soft system methodology and value engineering

The rising demand for sustainable construction practices has prompted a focus on optimizing the cost performance of green buildings. This study investigates enhancing green cost performance by employing the Soft Systems Methodology (SSM), Value Engineering (VE), and Lifecycle Cost Analysis (LCCA) within the framework of the GREENSHIP concept. By utilizing Structural Equation Modeling through Smart PLS, this research constructs a robust structural model that provides insights into cost dynamics over the building’s lifecycle. Implementing the GREENSHIP concept entails evaluating initial and long-term lifecycle costs associated with green buildings. The initial investment required to convert conventional buildings to green standards is relatively modest and tends to decrease operational costs significantly over time. This research highlights that, over eight years, operational costs constitute the largest proportion of total expenses. Through the integrated approach of SSM and VE, the study captures diverse stakeholder perspectives and identifies key cost drivers and savings opportunities. The LCCA method further substantiates the financial viability of green buildings by quantifying cost savings over their operational lifespan. The findings indicate that a comprehensive understanding of lifecycle costs, coupled with targeted value engineering, can substantially improve the cost efficiency of green buildings. The results emphasize the necessity for developers and property owners to prioritize lifecycle costs over initial expenditures. By adopting this holistic approach, stakeholders can achieve significant long-term savings while promoting environmental sustainability. This study demonstrates that integrating SSM, VE, and LCCA within a structural model effectively enhances the cost performance of green buildings, thereby supporting their broader adoption in the construction industry.