Life cycle costing is a methodology for calculating the whole cost of a system from inception to disposal. The system will vary from industry to industry and could for instance be a building, a ship, a weapon system or a power station. Whatever the system, the life cycle costing technique will be the same, the major items of cost will be defined through its life. These items could include research and development, construction, operation and maintenance and disposal. The items may be further subdivided until the cost of each element can be defined as a mathematical equation. At a simple level this may be the number of man-hours multiplied by a cost rate. The elements of cost will then be added together to give the total cost for each item and a grand total for the system through its full life. As the project develops you will want to alter your life cycle cost analysis model accordingly and you will also want to carry out sensitivity studies and cost trade off studies. Each of these will be require a recalculation of the model. lccWare gives you the power to create and develop a life cycle cost model in a familiar interactive visual environment. lccWare also provides you with professional quality reports.
