Symptom: Although actual costs may be fair, clients expect lower prices and are disappointed when the actual bills arrive (i.e., projects over-run their expected budgets).
When an organization bids a project, it tells clients in advance (in some cases, guarantees) the initial purchase cost, and should estimate the comprehensive life-cycle cost of ownership.
If estimates are lower than realistic, clients will be misled. Unless the project is contracted at a fixed price (versus the more common time and materials), the final bill will be higher than the client was led to expect. This appears as an over-run, and clients become upset with the price. It doesn't help to explain that, in spite of the apparent over-run, they still got a good deal.
Another (more generic) way to state the problem is as follows:
