Total Cost of Ownership (TCO) is an estimate of the total costs of goods, services or construction works over the whole of their life. It’s the combination of the purchase price plus all other costs you will incur, less any income you receive. For example: the initial purchase price plus installation costs, operating costs and ongoing maintenance less the residual value on disposal.

Contributors: New Zealand Government
Categories: SIG U Resource, Whitepaper
SRC Type: Category Management, Realization, Sourcing, Sourcing Management