Impact of Efficient SnppIyChaim Management (ESCM) on Life Cycle Cost (LCC

Abstract

Purpose - The main objective of the study was to realize/ evaluate the Impact of Efficient Supply Chain Management on Life Cycle Cost. As in Efficient Supply Chain Management, product is developed/ delivered in right quality, right quantity, in right time and at place with minimal overall system cost whereas, Life cycle costing is also cost minimization technique/ mathematical model and helps in financial decision making. The research topic has strategic importance as impact of Efficient Supply Chain Management on Life Cycle Cost is substantial cost reduction due minimization of chain cost through efficient management of chain elements and integration of stakeholders. Methodology/ Sample - This study is based on mathematical model to see impact of supply chain management on life cycle cost. It is further augmented with the use of questionnaire filled by 100 respondents for analysis. The respondent individuals are mainly from forces having officer cadre and civilians officers with knowledge of Supply Chain Management and Life Cycle Cost. Data has been analyzed and graphical presentation has been shown to conclude the study. Findings - The analysis and comparative results suggest that with the evolution of Supply Chain Management, product development processes has been re-engineered and innovated to shred unnecessary processes in order to minimize development, warehousing, and transportation and consumption costs. This minimization in product development, transportation and consumption costs results in drastic reduction in life cycle cost. Practical Implication - Understanding the impact of Efficient Supply Chain Management on Life Cycle Cost might help the shipbuilding &'ship repair industry, construction business, corporate sector, government procurement agencies and relevant other segments of government to improve life cycle cost of product.