Assessor Resource
MSS405031A
Undertake value analysis of product or process costs in terms of customer requirements
Assessment tool
Version 1.0
Issue Date: March 2024
This unit applies to an individual who undertakes the value analysis of a product or service, establishing the features/benefits obtained by customers from the cost components relating to those benefits. From this appropriate or waste cost will be determined and actions taken to either reduce waste or improve saleability.
This unit differs from MSS405030A Optimise cost of a product or service, in that it requires costs to be measured against customer features/benefits and is designed to contribute to value stream costing. MSS405030A Optimise cost of a product or service complements this unit by allowing detailed analysis of all costs, including overheads.
This unit primarily requires the application of skills associated with communication in gathering, analysing and applying information. Problem solving, initiative and enterprise, and planning and organising are required to determine cost-efficiencies. This unit also requires aspects of self-management and learning to ensure feedback and new learning is integrated into costing methods.
This unit of competency covers the skills and knowledge required by an employee who is required to analyse products and processes to determine the value-adding factors, including design and processing costs that most impact on meeting customer requirements and which may also include competitor benchmarking. The unit also includes implementing identified changes that increase cost-efficiency. The unit may be applied individually or in a team environment.
In this unit an employee uses an analysis of the benefits/features which a customer perceives to be in a product or service as a basis for determining appropriate or unnecessary cost and so identifying and reducing waste.
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