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Life Cycle Costing

Sustainable acting requires the combination of ecological and economical criteria in process and product development, comparison of scenarios etc. Therefore the method of Life Cycle Costing (LCC) qualifies for the support of sustainable decision making because of its ability to analyze economic aspects within the same system boundaries and constraints as ecological life cycle assessments. Thereby the definition of the life cycle is both times the same – the product life cycle.

Using this method it’s possible to calculate total costs of a product or service. Therefore you gather and structure all costs of the product or service along the expected lifespan. Results of a LCC analyses primarily serve as:

By using the LCC method, it’s possible to calculate the total costs of acquisitions more precisely. This allows better decisions in each stage, e.g. for big investments or the implementation of rules to support cost effective development.

Industrial decision support

The advantage of LCC consists of the industrial decision support in sustainability and especially in following fields:

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Dipl. oec. Hannes Krieg

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