level of collaboration needed for energy efficiency investments. This is done by using risk analysis tools, pull planning and rapid estimating processes. Healthcare Target costing and target value design have applications in building healthcare facilities including critical components such as Neonatal Intensive Care Units (NICUs). The process is influenced by unit locations, degree of comfort, number of patients per room, type of supply location and access to nature. According to National Vital Statistics Reports, 12.18% of 2009 births were premature and the cost per infant was $51,600. This led to opportunities for NICUs to implement target value design for deciding whether to build a single-family room or more open-bay NICUs. This was achieved using set-based design analysis which challenges the designer to generate multiple alternatives for the same functionality. Designs are evaluated keeping in mind the requirements of the various stakeholders in the NICU including nurses, doctors, family members and administrators. Unlike linear point-based design, set-based design narrows options to the optimal one by eliminating alternatives simultaneously defined by user constraints. Construction About 15% construction project in Japan adopted target costing for their cost planning and management as recognized by Jacomit (2008). In the U.S., target costing research has been carried out within the framework of lean construction as target value design (TVD) method and have been disseminated widely over construction industry in recent years. Research has proven that if being applied systematically, TVD can deliver a significant improvement in project performance with average reduction of 15% in comparison with market cost. TVD in construction project considers the final cost of project as a design parameter, similar to the capacity and aesthetics requirements for the project. TVD requires the project team to develop a target cost from the beginning. The project team is expected not to design exceeding the target cost without the owner's approval, and must use different skills to maintain this target cost. In some cases, the cost can increase but the project team must commit to decrease and must try their best to decrease without impacting on other functions of the project. See also Design-to-cost References External links Management Accounting Quarterly 12 Winter 2003 Japanese Target Costing DRM Associates Target Costing Implementing Target Costing Management accounting Lean manufacturing Design for X