Life cycle costing in spare parts procurement: a decision model.
Lamm, David V.
Moore, Thomas P.
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Life cycle costing methods can be applied to the procurement of some, but not all, spare parts. As a result, a decision model is needed to determine which spare parts should be considered for life cycle costing. This thesis discusses a decision model for determining the applicability of life cycle costing to spare part procurement. The thesis briefly reviews the application of the life cycle costing concept to the acquisition of major systems and associated spare parts. It then reviews current spare parts acquisition techniques and identifies critical criteria to be considered during the acquisition of spare parts using life cycle costing techniques. Finally, the thesis uses the identified characteristics to develop the decision model.
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