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Public works sector programs such as highway construction and infrastructure projects are increasingly being criticized for delivering projects that fail to meet the following objectives: 1) Achieving expected project goals, 2) Achieving project delivery within a reasonable amount of time, or 3) Costs within their budgeted amounts. Performance based value engineering methodology can help to find ways to improve solutions to these problems by providing a measured balance in cost, schedule, and scope via the generation of a large quantity of innovative alternatives. This requires a motivated team of multi-disciplined professionals in cooperation with well-established project stakeholders who are stimulated and guided by the appropriate process. This study shows the performance measurement based value engineering method and process, and case study applications. The authors found that the project can significantly save cost and improve performance of project functions by using the appropriate VE process at the appropriate time. In addition, this study shows an example of a VE case study that applies the performance measurement process, which led to a very innovative, less expensive way to provide innovative toll plaza modification project. Finally, this study summarizes the benefits and effectiveness of the proposed methodology with recommendations.

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