Incentives and other variables include tax credits, common language, expedited delivery, and customer-oriented supplier visits.
TCO, when incorporated in any financial benefit analysis, provides a cost basis for determining the total economic value of an investment.
APPA 1000-1 provides financial officers, facility professionals, architects, planners, construction workforce, and operations and maintenance (O&M) personnel the foundation of a standardized and holistic approach to implementing TCO key principles.
APPA 1000-2, slated for publication in 2019, will focus on implementation and application of key TCO principals in facility management.
The TCO concept is easily applicable to the transportation industry and to motor vehicle ownership, for example, the TCO defines the cost of owning an automobile from the time of purchase by the owner, through its operation and maintenance to the time it leaves the possession of the owner.
Comparative TCO studies between various models help consumers choose a car to fit their needs and budget.