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Development of Industrial Internet-Related Asset Management Services with Customers Read chapter Read first chapter

2016 | OriginalPaper | Chapter

Life Cycle Cost Calculations Supporting Service Offering; Case Study of Air Conditioning Systems

Authors : Susanna Kunttu, Tero Välisalo, Outi Kettunen, Sakari Aulanko

Published in: Proceedings of the 10th World Congress on Engineering Asset Management (WCEAM 2015)

Publisher: Springer International Publishing

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Abstract

The benefits of services, in terms of life cycle cost, can be challenging to prove to a customer making service purchase decisions. To support the buyers’ decision-making, the service provider can highlight all the benefits achieved by services and compare those to the service costs. In this paper, we will describe a practical case study the aim of which was to develop a method and a tool for estimating life cycle costs with or without service. The case company is Chiller Ltd. which is the largest manufacturer of air conditioning equipment in Finland.

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previous chapter Fleet Service Generation—Challenges in Corporate Asset Management
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Literature
IEC 60300-3-3. (2004). Dependability management—Part 3-3: Application guide—Life cycle costing (2nd ed.).
Korpi, E., & Ala-Risku, T. (2008). Life cycle costing: A review of published case studies. Managerial Auditing Journal, 23(3), 240–261.CrossRef
Niazi, A., Dai, J. S., Balabani, S., & Seneviratne, L. (2006). Product cost estimation: Technique classification and methodology review. Transactions of the ASME. Journal of Manufacturing Science and Engineering., 128(2), 563–575.CrossRef
Woodward, D. G. (1997). Life cycle costing—Theory, information acquisition and application. International Journal of Project Management, 15(6), 335–344.CrossRef
Metadata
Title
Life Cycle Cost Calculations Supporting Service Offering; Case Study of Air Conditioning Systems
Authors
Susanna Kunttu
Tero Välisalo
Outi Kettunen
Sakari Aulanko
Copyright Year
2016
Book
Proceedings of the 10th World Congress on Engineering Asset Management (WCEAM 2015)

Print ISBN: 978-3-319-27062-3

Electronic ISBN: 978-3-319-27064-7

Copyright Year: 2016

DOI
https://doi.org/10.1007/978-3-319-27064-7_36