Egypt’s economy is unstable, marked by high unemployment, low incomes, and safety concerns, which impede its rapid development. One crucial sector that faces difficulties is construction, dealing with issues like funding shortages, payment disputes, and ineffective project management. Conventional project success criteria strongly emphasize efficient resource use and waste minimization. These criteria are symbolized by the iron triangle of cost, time, and quality. A key instrument for obtaining value for money in building projects is value engineering (VE). Even though VE is acknowledged in theory, its application is still limited in most developing countries, including the Egyptian construction industry. Therefore, to bridge the gap between theory and practice, this paper attempts to investigate the current state and application of VE in Egypt. The study further outlines strategies for integrating VE into construction practices and identifies obstacles to their implementation. This study employed both qualitative and quantitative research approaches to attain the research aim, beginning with a thorough literature review to assess the application of value engineering (VE) in both local and international construction industries. Then, a web-based survey was conducted to gather diverse perspectives on VE’s role and its current practice in Egyptian construction projects. The gathered data were analyzed mainly using descriptive and thematic analysis approaches. The paper’s findings revealed that there is a large gap between VE in theory and practice in Egypt. Reasons include lack of awareness and understanding, time and financial constraints, and resistance to change. Bridging the gap to enhance VE in Egypt includes a focus on the role of educational institutions and training, public awareness and recognition, and early project lifecycle integration. This research has gained insights about VE environment, process, duration, types of projects applied, and effectiveness, aiming to get a comprehensive overview of VE in Egypt. Furthermore, this research has identified a significant gap between VE theory and practice in Egypt. To bridge this gap and enhance the implementation of VE in Egypt, strategies such as focusing on the role of educational institutions, increasing public awareness and recognition, and integrating VE approach early in the project lifecycle are suggested. These findings will guide construction industry practitioners to deeply understand the current state of VE in Egypt and practically integrate VE in the construction industry to minimize unnecessary costs, enhance functionality requirements, and achieve value for client’s money.