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Total Cost of Ownership (TCO)

Purpose -

Provides a comprehensive view of all costs associated with procurement.

Operational Definition -

Acquisition Cost + Operating Cost + End-of-Life Cost

Type of Metrics -

KPI

Function -

Finance

Associate Function -

Finance

Desired Trend -

Lower the better

Recommended Frequency - 

Annually

External References -

https://www.pipefy.com/blog/procurement-kpis/

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