Life Cycle Costing: Assessing Value Creation Across the Entire Life Cycle
WeLOOP applies this approach to identify major cost drivers, anticipate future expenditures, and support investment decisions within a framework of sustainable performance.
Calimero
Moxy
Bio4human
Terra Nova Développement (TND)
cedaci
Abbott
What is a Life Cycle Costing (LCC) analysis?
The Life Cycle Costing (LCC) analysis assesses all costs associated with a product or service over its entire life cycle: sourcing, production, transport, use, maintenance, and end-of-life. It takes into account both direct and indirect costs, borne by the company, its customers, or society at large, in order to provide a comprehensive view of the economic performance of a system.
By integrating hidden costs, resource dependencies, and sustainability considerations into the analysis, Life Cycle Costing (LCC) enables companies to secure their decision-making processes, optimise their investments, and build more resilient and competitive models over the long term.
Anticipate Future Costs
Consider operating, maintenance, and end-of-life costs from the decision-making stage onward.
Support Investment Decisions
Integration of a whole-life cost perspective to support long-term strategic decision-making.
What Can Life Cycle Costing Help My Business Achieve?
Identify the main cost drivers
Analysis of the costs incurred throughout the life cycle of a product or service, beyond the initial acquisition cost.
Compare Multiple Scenarios
Evaluation of different alternatives to identify the most economically relevant solution.
What costs are included in a Life Cycle Costing (LCC) analysis?
A product or service generates different types of costs throughout its life cycle stages. Life Cycle Costing (LCC) makes it possible to identify, quantify, and analyze these costs in order to support investment and optimization decisions.
Types of Costs
throughout the entire life cycle
and innovation
and processing
energy and labor
and replacement
recycling or disposal
Our support in LCC
We support companies in assessing the economic performance of their products, services, and systems across the entire life cycle. Our Economic Life Cycle Assessments (LCCAs) help objectify actual costs, anticipate financial risks, and secure strategic decision-making.
Full Life Cycle Cost Perspective
Analysis of direct, indirect, and future costs associated with the different stages of the life cycle: sourcing, production, use, maintenance, logistics, and end-of-life.
Analysis of dependencies and economic risks
Identification of sensitive cost drivers related to raw materials, energy, suppliers, or regulatory changes, in order to improve the economic resilience of activities.
Scenario Comparison and Decision Support
Economic evaluation of different design, investment, or transition options to guide choices toward the most robust and sustainable long-term solutions.
How does a Life Cycle Costing (LCC) assessment work at WeLOOP?
Definition of objectives and scope
Determine the product, service, or project being studied.
Define the economic indicators to be analyzed: production costs, energy costs, internal logistics costs, hidden costs, indirect expenses, and added value created.
Collection of Economic Data
Identify and gather the necessary financial data.
Collect information related to raw materials, manufacturing, energy, transport, and indirect costs.
Analysis of Economic Impacts
Assess the profitability and return on investment of the product or service. Identify critical cost drivers, financial risks, and opportunities for economic optimization.
Interpretation and Recommendations
Analyze results to compare different economic scenarios. Formulate concrete recommendations to optimize costs, improve economic performance, and support strategic decision-making.
Why choose WeLOOP for your LCC ?
+50 Life Cycle Assessments completed
Decision-oriented results
A systemic life cycle approach
multi-criteria analyses and a 360° approach
Our additional services
Focus on selected projects
As part of the European BIO4HUMAN project, the environmental results of the LCA were cross-referenced with social, economic, and governance dimensions in order to assess the real feasibility and replication potential of the solutions studied. The project thus incorporates an economic dimension through the Life Cycle Costing (LCC) methodology.
Unlike an economic analysis limited to purchase cost, this LCCA provides a comprehensive view integrating operational, logistical, and usage costs. This methodology thus makes it possible to objectively compare conventional solutions and bio-based alternatives in complex humanitarian contexts, particularly in the DRC and South Sudan.
This analysis made it possible to develop a decision-support tool to guide the transition strategies of humanitarian aid toward more sustainable and resilient systems, better adapted to field constraints and financial limitations.
Our Life Cycle Costing (LCC) experts
Naeem Adibi
Dr. Carolina Szablewski
Noura Rhabani