Product Life Cycle Costing Applied to Manufacturing Systems

Life Cycle Costing (LCC) supports the adaptation of product features, both consumer and capital goods, to their life cycle. The costs of production, installation, usage and disposal are analyzed and allocated, aiming at the minimum of the total cost. A new method to calculate the life cycle costs of capital goods, such as machines and manufacturing systems, is presented to anticipate the life cycle costs. Single processes connected to the product's life cycle are represented and described in a potential-, program- and process-related way by the above mentioned life cycle costing method. Aiming on a redesign of current product structures, it is possible to derive approaches from the cost structures of the life cycle and also to create possibly new operational and maintenance concepts, as well as new financing models and cooperation forms.