TCO Analysis

Get the best ROI as our accurate Total Cost of Ownership (TCO) predictions help look beyond purchase price and gives detailed insights on the true ownership cost, including maintenance and repairs.

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How your business benefits

Identify hidden costs to improve savings

 

• Understand what drives the overhead expenditure of the vendors to identify cost-saving initiatives through gaining complete visibility into cost elements such as up-front costs, ongoing costs, costs to run etc.,

• Spot additional benefits such as tax claims, rebates, energy savings, etc., that can be used to select the most optimal solutions

Know what’s best for you through Total Cost of Ownership (TCO) Analysis

 

• Choose the solution that provides you maximum benefit. For example, a product requiring high initial investment or up-front costs may still be beneficial due to low maintenance cost over the ownership period compared to alternatives with lower initial investment

• Conduct value engineering to replace high-cost items with alternatives that are cost effective and to achieve continuous improvement and align with best cost sourcing philosophy

Make informed make vs buy decisions

 

• SpendEdge’s insights help you figure out if making or outsourcing a product or service is better. We also help you choose between global sourcing and low/best cost country sourcing strategies

• Our detailed  cost engineering techniques for TCO supplemented with granular insights will aid in decision making and improve operational efficiency

 

Why choose SpendEdge?

Featured Case Study

How We Helped a Global Telecom Client Enhance Cost Efficiency Through Cost-Benefit Analysis

Challenge: The client faced declining market shares due to intense competition and needed to improve their negotiation strategies with suppliers to ensure low-cost raw material procurement.

Solution: Our cost-benefit analysis (CBA) provided insights into the cost structure across the supply chain, enabling the client to develop superior negotiation strategies and implement a low-cost mix model.

Result: The analysis led to a projected reduction of approximately 5% in material costs and 5-10% in supplier management costs, significantly enhancing the client’s overall economic benefit and decision-making capabilities.

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Talk to One of Our Experts

At a time when cost transparency is key, we can offer a thorough TCO analysis that will help find alternatives that are not only cost effective but also add business value.

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