The LCC Model

This model was designed to determine the Life Cycle Cost (LCC) of a piece of equipment. The costs for R&D, Acquisition, In-Service and Disposal are considered with particular emphasis placed on the support activity costs during the In-service phase. The allocation of spares recommended by the Sparing model can also be taken into consideration. The LCC model will determine cost variance over a number of years. The Cost Breakdown Structure is configurable and can be modified to meet user needs.

Life Cycle Costs

Life Cycle Cost Analysis is used to determine the overall cost of an equipment with respect to supportability. By considering R&D, acquisition, in-service and disposal costs, the analyst can identify the least cost support solution for the equipment. At different times in the equipment support process varying depths of analysis are required. OmegaPS Analyzer allows for different LCC analysis modes.

Complete LCC

Provides the Life Cycle Cost of the project along with details in the form of a breakdown of recurring costs, a tally sheet of all fixed and recurring costs with the cost categories directly captured by the module and an annual expenditure summary. It also provides information on manpower i.e. the number of direct maintenance man-hours required by repair site and repair echelon. This helps to define the number and skill levels of equipment maintainers. Also, the annual cost of maintaining each item in the system is provided. Costs are evaluated per annum and per failure. The model makes use of the number of spares per site recommended by Sparing. It accounts for acquisition costs of the spares and cost of transporting the spares to their maintenance or storage site.