Affordability is the extent to which something is affordable, as measured by its cost relative to the amount that the purchaser is able or willing to pay. It represents a conclusion drawn from an analysis of the “total life cycle cost” of a product/system that its purchase will cost-effectively meet the long term requirements of the customer.

Reliability: Costly, or Cost Effective?

October 26th, 2004

There are those who would argue that the costs of reliability activities associated with developing new products have little payoff. Whether we’re talking about commercial products or military systems, we don’t agree. Concepts like Life Cycle Costs, Total Ownership Costs, Reliability-based Maintenance, Performance-Based Logistics, and others clearly recognize the contribution of reliability activities in reducing…  Read More

Warranty Cost: An Introduction

April 26th, 2004
Whether your company is marketing commercial products or selling to the Government, warranties are an important ingredient to competitive success. Effective warranty planning can ensure success, but lack of attention to cost analyses can spell disaster. This article is intended to introduce the basics of warranties and to identify sources for more information.   Read More

System Spares – What’s the “Right” Answer?

December 26th, 2002
Manufacturers are often faced with questions such as: How often will my system fail? How many spare parts should I stock? How confident am I that I will have enough spare parts?   Read More