Life Cycle Costing (LCC)

Life Cycle Costing (LCC) is a method of assessing the total cost of a product, project, or asset over its entire lifespan. It considers not only the initial purchase or investment cost but also ongoing expenses like maintenance, operation, repairs, and eventual disposal or replacement. The goal is to provide a comprehensive view of all costs involved, enabling better decision-making by comparing options based on long-term value rather than just upfront price. This approach helps organizations choose the most cost-effective solution over the lifetime of the asset.