Total cost of ownership in the services sector: a case study.: An article from: Journal of Supply Chain Management

This digital document is an article from Journal of Supply Chain Management, published by Thomson Gale on January 1, 2006. The length of the article is 7533 words. The page length shown above is based on a typical 300-word page. The article is delivered in HTML format and is available in your Amazon.com Digital Locker immediately after purchase. You can view it with any web browser.

From the author: Few detailed studies exist of the trade-offs to be made when developing a comprehensive, strategically focused total cost of ownership (TCO) model. Moreover, most studies of TCO have been conducted in manufacturing firms, with little or no TCO research directed toward service organizations. This research presents the results of a study conducted at a leading vehicle glass repair and replacement organization. The results show how TCO information can be used for strategic decision making regarding the allocation of volumes. This information can also be used in the identification of improvement areas for preferred suppliers by introducing a limited number of key performance indicators that have a significant impact on the TCO of supplier offerings. The paper highlights some of the trade-offs required in designing such a model. It fills an existing literature gap that allows service organizations to better understand the development and implementation of total cost measurement systems.

Citation Details
Title: Total cost of ownership in the services sector: a case study.
Author: Krisje Hurkens
Publication:Journal of Supply Chain Management (Magazine/Journal)
Date: January 1, 2006
Publisher: Thomson Gale
Volume: 42 Issue: 1 Page: 27(11)

Distributed by Thomson Gale