lifecyclecost
Lifecycle cost, often abbreviated as LCC, refers to the total cost of owning, operating, maintaining, and disposing of an asset or system over its entire lifespan. Unlike initial purchase or acquisition costs, LCC provides a comprehensive view of financial expenditures associated with an asset from procurement through retirement. This approach is widely used in engineering, finance, business, and public policy to make informed decisions about investments.
The concept of lifecycle costing involves several key phases, including capital costs (such as purchase, installation,
Lifecycle cost analysis is particularly valuable in long-term planning, where short-term savings may lead to higher
The methodology behind lifecycle costing typically involves estimating future costs, applying discount rates to account for
Organizations across industries, including manufacturing, construction, transportation, and energy, utilize lifecycle costing to optimize resource allocation,