Symptom: Clients are unclear about the life-cycle costs of proposed projects.
It is the organization's responsibility to provide clients with clear cost estimates. These estimates should include a very accurate forecast of the initial purchase cost, plus a rough estimate of the life-cycle cost of ownership. Both numbers are essential to make a fiscally-responsible investment decision.
If those in the organization who produce its products are having trouble estimating costs, training in methods may be in order.
Root cause: Methods and tools, full-life-cycle cost estimating copyright 2024 N. Dean Meyer and Associates Inc. All rights reserved.
