Department of Defense
INSTRUCTION
NUMBER 4245.14
October 26, 2012
Incorporating Change 2, October 15, 2018
USD(R&E)
SUBJECT: DoD Value Engineering (VE) Program
References: See Enclosure 1
1. PURPOSE. In accordance with the authority in DoD Directive 5134.01 (Reference (a)), this
Instruction:
a. Implements section 1711 of title 41, United States Code (Reference (b)) and Office of
Management and Budget Circular No. A-131 (Reference (c)) by establishing policy, assigning
responsibilities, and defining authorities for the effective administration of the DoD VE Program.
b. Implements the reporting requirements of Reference (c).
c. Establishes and maintains the VE Executive Steering Group (ESG).
d. Establishes and maintains the VE Management Advisory Group (MAG).
2. APPLICABILITY. This Instruction applies to OSD, the Military Departments, the Office of
the Chairman of the Joint Chiefs of Staff and the Joint Staff, the Combatant Commands, the
Office of the Inspector General of the Department of Defense, the Defense Agencies, the DoD
Field Activities, and all other organizational entities within the DoD (hereinafter referred to
collectively as the “DoD Components”).
3. DEFINITIONS. See Glossary.
4. POLICY. It is DoD policy that:
a. DoD Components shall implement a VE program to improve military worth or reduce
acquisition and ownership costs pursuant to References (b) and (c) wherever it is advantageous.
The Component VE senior management official or construction agency VE senior management
official (in the case of construction projects) can decide to not require VE in cases deemed not
