The City of Ulsan has achieved tangible results by applying Design Value Engineering, successfully improving the quality of public facilities while significantly reducing construction costs. The initiative shows that cost efficiency and high standards in public infrastructure can coexist when careful planning begins at the design stage rather than during construction.
According to Ulsan City, a total of 18 public construction projects were reviewed through Design Value Engineering in 2025. This marks a sharp increase from just seven projects in 2022, reflecting the city’s expanded commitment to systematic design review. As a result, 653 optimized design proposals were developed, leading to a total budget reduction of approximately KRW 156 billion.
 [The Korean Today] Results and Proposals from Design Value Engineering (VE) Implementation © 정소영 기자 |
Design Value Engineering is a structured process in which experts analyze key functions and performance elements during the design phase of large-scale public construction projects. The review focuses on economic feasibility, constructability, safety, and user convenience, aiming to eliminate unnecessary costs while enhancing overall facility value. Unlike conventional cost-cutting approaches, this method emphasizes functional improvement alongside financial efficiency.
Major savings were recorded across several high-profile projects. The hydrogen tram project connecting Taehwagang Station and Jangsaengpo reduced costs by more than KRW 40 billion. The Hydrogen Electric Vehicle Safety Certification Center project saved KRW 14 billion, while the Daebok District river improvement project in Ulju County achieved savings of KRW 12 billion. The Jung-gu District Office expansion also reduced expenditures by over KRW 10 billion without compromising safety or usability.
One of the most notable cases involved the Munsu Indoor Tennis Center. During the design review, experts identified that diagonal members in the roof truss structure reduced openness and usability. Rather than simply cutting costs, the city approved an additional KRW 20 million investment to revise the structure. The adjustment significantly improved spatial openness and user comfort, demonstrating how Design Value Engineering prioritizes long-term value over short-term savings.
Ulsan City has also expanded the scope of mandatory design reviews. While the process was previously required only for public construction projects exceeding KRW 100 billion, it has been extended since July 2023 to include projects over KRW 50 billion. This policy shift has increased both the number and quality of design proposals, while reducing the likelihood of costly changes during later construction stages.
The benefits of Design Value Engineering extend directly to citizens. Higher-quality public facilities improve safety and convenience, while saved budgets can be reinvested into additional public services. Ulsan City views this approach as a key mechanism for strengthening public trust and reinforcing responsible governance.
A city official stated that Ulsan plans to further strengthen Design Value Engineering in 2026, ensuring that residents can continue to experience safer, more efficient, and higher-quality public facilities. The city emphasized that the goal is not simply to cut costs, but to maximize value through thoughtful and accountable design decisions.
Ulsan’s experience illustrates how strategic planning at the design stage can enhance urban competitiveness. By embedding quality and efficiency into the earliest phases of public projects, the city is setting a benchmark for sustainable and value-driven public infrastructure development.
[ By Soyoung Jeong | Ulsan Gangbuk | ulsangangbuk@thekoreantoday.com ]
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