Business leaders are challenged to maximize output while minimizing resources. They must simultaneously control costs, accelerate fulfillment, advance sustainability goals and strengthen customer loyalty. The key to turning this complex challenge into an attainable goal is evaluating total cost of ownership as a strategic approach.
What is Total Cost of Ownership?
Sourcing decisions often emphasize the upfront purchase price yet overlook the costs beneath the surface that can reduce profitability. Total Cost of Ownership (TCO) captures the complete cost of a product or service across its life cycle, looking beyond the initial investment to include direct and indirect expenses in the short and long term.
Why TCO Matters?
TCO strengthens decision making by breaking down silos and evaluating purchasing decisions from an organization wide perspective. This broader approach helps organizations uncover true cost drivers, reduce redundancy and align on solutions that improve efficiency and long-term profitability.
5 Levers of TCO
This e-book lays out the key considerations for implementing a TCO approach to decision-making and provides practical steps you can put into action today. It explores five essential areas where smarter packaging choices can deliver measurable results.
1. PRODUCT SELECTION
How to make strategic material and structural choices that optimize cost, protection and sustainability.
2. OPERATIONAL EFFICIENCY AND LABOR
Ways to improve throughput and reduce worker strain with streamlined, ergonomic packaging operations.
3. FOOTPRINT OPTIMIZATION
Guidelines for freeing up valuable warehouse space with right-sized and on-demand packaging formats.
4. SOURCING AND LOGISTICS
The playbook to streamline freight and boost supply chain agility through smarter sourcing and supplier strategies.
5. CUSTOMER EXPERIENCE AND BRAND IMPACT
A roadmap to delivering protection and elevating brand perception with packaging that enhances the customer experience.
Get the full eBook!
Use the form to the right to receive a full copy of our Total Cost of Ownership eBook.