News
June 26, 2025
What Is Product Lifecycle Costing – And Why It’s Critical for Cost Excellence
Discover what Product Lifecycle Costing (PLC) is, why it matters for cost excellence, and how to use it for smarter product development decisions.
Discover what Product Lifecycle Costing (PLC) is, why it matters for cost excellence, and how to use it for smarter product development decisions.
In today’s hyper-competitive global market, managing costs isn't just a financial concern. It's a strategic imperative. This is where Product Lifecycle Costing (PLC) becomes a game changer.
Product Lifecycle Costing is the methodology of estimating and managing all costs associated with a product throughout its entire lifecycle - from concept and development through production, service, and end-of-life disposal.
Unlike traditional cost management, which often focuses on manufacturing or procurement costs, PLC provides a comprehensive view of total product cost ownership. It ensures early design decisions are made with full visibility into their long-term cost impacts.
Implementing PLC is not without its hurdles:
To effectively implement Product Lifecycle Costing, leading organizations rely on structured processes and modern tools:
True product cost excellence happens when cost becomes a design parameter, not a financial afterthought. This requires:
Product Lifecycle Costing is a powerful tool that drives smarter decisions, better products, and stronger financial outcomes.
🔗 Let’s start viewing cost not as a constraint, but as a strategic lever.
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