tco Flashcards
whats TCO?
All companies costs during the lifetime
purchasing costs
it just a tip of the iceberg
Acquicition costs
Purchase cost, planning cost, quality costs,Taxes, Financing costs
Ownership costs
Maintenance costs, Repair
Energy uses(consumption), Ease of use(increase productivity), ergonic(pleasing to the eye) Downtime, risk costs, cycle time (number of items produced in an hour, conversion costs , supply chain, non value added costs
Post-ownership costs
Disposal, Liability, Salvage, Environmental, Warranty, customer dissactication costs
Leverage
Beast deal, computers, low supply risk, high impact on profit
Routine
efficiency; pens, low supply risk, low impact on demand
Strategic
corporation, high, high supply and demand impact;