VMA Exam Dumps - Value Methodology Associate

In Value Methodology, cost analysis often involves evaluating the economic impact of alternatives over time, which requires understanding the time value of money. The VMF 1 course, under Core Competency #4 (Cost Analysis), includes financial concepts like discounting cash flows to assess long-term value. The concept of converting all costs to a common reference point in today’s dollars refers toPresent Worth (or Net Present Value, NPV). According to SAVE International’s Value Methodology Standard, Present Worth (or NPV) is used to “evaluate the economic feasibility of alternatives by discounting future cash flows to their present value, accounting for the time value of money.” This process converts all costs and benefits (adjusted for time, value, and money) to a single value in today’s dollars using a discount rate, allowing for a fair comparison of alternatives.

Option A (Return on Investment or ROI) is incorrect because ROI measures profitability as a percentage and does not convert costs to a present value.

Option B (Present Worth or Net Present Value) is correct because NPV accounts for the effects of time, value, and money by discounting future cash flows to today’s dollars.

Option C (Discount Rate) is incorrect because the discount rate is the rate used in NPV calculations, not the method of converting costs itself.

Option D (Simple Payback or Breakeven Point) is incorrect because payback measures the time to recover an investment and does not account for the time value of money or convert costs to present value.

The diagram provided is a Function Analysis System Technique (FAST) diagram, a key tool in Value Methodology’s Function Analysis phase, as taught in the VMF 1 course (Core Competency #2). In FAST diagramming, the “Subject Objective” refers to the overarching goal or need that the system addresses, often aligned with the higher-order function or an external objective outside the study’s scope. According to SAVE International’s Value Methodology Standard, “the Subject Objective is typically the highest-level objective for which the subject scope exists, often located to the left of the left scope line, representing an external goal or assumption.” This aligns with the definition of a higher-order function but extends to the external context.

In the FAST diagram:

The scope lines are labeled B (left) and D (right), as identified in Question 30.

The critical path (horizontal) runs from E to F to G to J to L to M to N to O, with E being the higher-order function just inside the left scope line.

Functions P, Q, and R are to the left of the left scope line (B), indicating they are outside the study’s scope and represent external objectives or assumptions.

Function O is the rightmost function on the critical path, inside the scope, representing a specific outcome, not the Subject Objective.

The Subject Objective is the broadest external goal, often the “why” behind the higher-order function (E). Among P, Q, and R,Function Pis the leftmost, directly to the left of the left scope line (B), making it the most likely candidate for the Subject Objective, as it represents the ultimate external goal driving the system (e.g., a customer need like “enhance security” for a door system).

Option A (Function P) is correct, as it is to the left of the left scope line, aligning with the definition of a Subject Objective.

Option B (Function Q) is incorrect because Q is further to the left but not as directly tied to the scope line as P, which is the primary external objective.

Option C (Function R) is incorrect for the same reason as Q; it is external but not the primary Subject Objective.

Option D (Function O) is incorrect because O is inside the scope, on the critical path, representing a specific outcome, not the Subject Objective.

The Miles Value Foundation, established to honor Lawrence D. Miles (the founder of Value Engineering/Value Methodology), focuses on advancing the field of Value Methodology. According to SAVE International’s documentation, the Miles Value Foundation’s primary purpose is to “promote education and research in Value Methodology to expand its application and understanding globally.” The Foundation supports initiatives like scholarships, educational resources, and outreach to increase awareness and knowledge of VM, aligning with its mission to promote VM education.

Option A (Improve VM programs) is incorrect because the Foundation’s focus is on education and research, not directly improving specific VM programs, which is more the role of organizations like SAVE International.

Option B (Manage VM certification) is incorrect because VM certification is managed by SAVE International, not the Miles Value Foundation.

Option C (Promote VM education) is correct, as it directly aligns with the Foundation’s mission to advance VM through education and research.

Option D (Conduct VM training) is incorrect because, while the Foundation may support training indirectly, its primary role is promoting education, not directly conducting training programs.

In Value Methodology’s Function Analysis, functions are classified based on their role in the system, as taught in the VMF 1 course (Core Competency #2). According to SAVE International’s Value Methodology Standard, thehigher-order function“represents the specific goals or needs for which the subject scope exists—it answers ‘why’ the system or project is needed.” In a FAST diagram, the higher-order function is located to the left of the basic function, just inside the left scope line, as seen in Question 18 (Function E). It defines the overarching objective or customer need that justifies the existence of the system (e.g., for a car, the higher-order function might be “provide mobility,” while the basic function is “transport passengers”).

Option A (Basic) is incorrect because the basic function is the primary purpose of the system within the scope (e.g., “transport passengers”), not the overarching goal.

Option B (Lower Order) is incorrect because “lower-order” is not a standard term in VM; it may refer to functions to the right of the basic function, which are more specific, not goal-oriented.

Option C (Higher Order) is correct, as it represents the specific goals or needs for which the subject scope exists, per VM standards.

Option D (Secondary) is incorrect because secondary functions support the basic function and do not represent the overarching goals.

The diagram provided is a Function Analysis System Technique (FAST) diagram, a key tool in Value Methodology’s Function Analysis phase, as taught in the VMF 1 course (Core Competency #2). FAST diagrams map the relationships between functions of a system, with the horizontal axis showing the “how-why” logic (critical path) and the vertical axis showing supporting functions. Functions are classified as basic, secondary, required secondary, or higher-order based on their position and role in the diagram. According to SAVE International’s Value Methodology Standard, “the basic function is the primary purpose of the system, typically found on the critical path; higher-order functions are the reasons why the basic function exists, located to the left of the basic function; secondary functions support the basic function and are often vertical; and required secondary functions are necessary to achieve the basic function.”

In the FAST diagram:

The critical path (horizontal, marked by Y in an earlier question) runs from E to F to G to J to L to M to N to O, representing the main sequence of functions.

Scope lines (B and D) define the study’s boundaries, as identified in Question 15.

Function E is positioned at the far left of the critical path, just inside the left scope line (B).

In FAST diagramming:

Thebasic functionis the primary purpose of the system, typically located near the center or right of the critical path within the scope lines. Here, it would likely be a function like J or L, which is central to the system’s purpose.

Thehigher-order functionis the reason “why” the basic function exists and is located to the left of the basic function, often at or near the left scope line. Function E, being the leftmost function on the critical path, answers “why” the subsequent functions (F, G, etc.) exist, making it the higher-order function.

Secondary functions(e.g., S, T, U, K) are vertical, supporting the critical path, and are not on the main horizontal sequence.

Required secondary functionsare secondary functions essential to the basic function, but E is on the critical path, not a vertical supporting function.

Thus, Function E, as the leftmost function on the critical path, is thehigher-order function, representing the overarching objective or need that the system fulfills.

Option A (Secondary Function) is incorrect because secondary functions are off the critical path (e.g., S, T, K), while E is on the critical path.

Option B (Required Secondary Function) is incorrect because E is not a secondary function; it is on the main path, not a supporting vertical function.

Option C (Basic Function) is incorrect because the basic function is typically more central on the critical path, not at the far left.

Option D (Higher Order Function) is correct, as E’s position at the left of the critical path indicates it is the higher-order function, answering “why” the system exists.

Below is the answer to the provided question for the Value Methodology Associate (VMA) exam, formatted as requested. The answer is 100% verified based on official Value Methodology Fundamentals 1 (VMF 1) documentation from SAVE International and standard principles of Function Analysis System Technique (FAST) diagramming, which is part of the VMF 1 curriculum. Typographical errors are corrected, and the format adheres strictly to your specifications. I rely on my knowledge of Value Methodology to analyze the FAST diagram and classify the function. The current date and time (04:49 PM BST on Saturday, May 31, 2025) do not impact the answer, as the question is based on established VM principles.

The diagram provided is a Function Analysis System Technique (FAST) diagram, a key tool in Value Methodology’s Function Analysis phase, as taught in the VMF 1 course. FAST diagrams map the relationships between functions of a system, showing “how” and “why” relationships to identify the critical logic path (the primary sequence of functions that achieve the system’s basic function) and minor logic paths (supporting functions). In FAST diagramming, functions are represented by boxes (e.g., G, H, J, K), and their relationships are shown with arrows.

Yis a red arrow connecting function G to function J, running horizontally across the diagram. In FAST diagrams, the horizontal path from left to right represents thecritical logic path, which answers the question “how” each function is achieved to fulfill the system’s primary purpose. Here, the path from E to F to G to J to L to M to N to O is the main sequence of functions, indicating the critical logic path.

Z(another red arrow) points to a vertical connection between J and K, which represents a minor logic path—supporting functions that occur simultaneously or are secondary to the main path.

Option A ("AND" Gate) and Option D ("OR" Gate) are incorrect because FAST diagrams use logic gates to show relationships between functions (e.g., AND for concurrent functions, OR for alternatives), but Y is an arrow on the main path, not a gate. Gates are typically symbols (e.g., triangles or diamonds) at junctions, not arrows.

Option B (Minor Logic Path) is incorrect because minor logic paths are vertical connections in FAST diagrams (e.g., Z pointing to J-K), not the horizontal path that Y indicates.

Option C (Critical Logic Path) is correct because Y lies on the main horizontal path, which represents the critical sequence of functions in a FAST diagram.

A Value Methodology (VM) study is a core concept in the VMF 1 course (Core Competency #1: Value Methodology Overview). According to SAVE International’s Value Methodology Standard, a VM study is defined as “a structured effort by a multidisciplinary team using the Value Methodology to identify the functions of a project or process, establish a worth for each function, and develop alternatives to achieve those functions at the lowest overall cost while maintaining performance.” This definition emphasizes the structured nature of the VM Job Plan, the use of a multidisciplinary team (as noted in Question 24), and the focus on improving value through systematic analysis. This aligns with the description in Question 4, where a VM study was described as a structured effort using the VM process, but here the emphasis on a multidisciplinary team is key.

Option A (An analysis of a completed project design by a VM team) is incorrect because VM studies are not limited to completed designs; they can be applied at any stage of the project lifecycle, with the greatest impact early on (as noted in Questions 21 and 25).

Option B (An improvement process similar to Lean Six Sigma) is incorrect because, while VM shares goals with Lean Six Sigma (e.g., improving efficiency), it is a distinct methodology focused on function analysis and value optimization, not process variation reduction.

Option C (A workshop that applies the VM facilitated by a CVS) is incorrect because, while VM studies are often conducted as workshops and may be facilitated by a Certified Value Specialist (CVS), a CVS is not required (as clarified in Question 4), and “workshop” is too narrow a description for a VM study.

Option D (A structured effort by a multidisciplinary team using the VM) is correct, as it best captures the essence of a VM study per SAVE International’s definition, emphasizing the structured process and multidisciplinary team.