TCO (Total cost of ownership) is total cost of ownership

Lifecycle in this case includes:

• the term of work of the automated system existing at the enterprise;
• term of design and implementation of the alternative solution;
• life of the alternative solution taking into account its updates;
• the period of return of the investments enclosed in an ACS.

All costs the mentioning TCO can be shared on:

• Direct (capital) costs - include all accounting costs, such as:
  • cost of the equipment and software;
  • payment of services in the field of consulting;
  • salary of employees, etc.

• Indirect costs - are connected with payment of the actions which directly are not working functions. Carry to them:
  • costs of idle times of a system;
  • costs for prevention of risks and elimination of their effects;
  • personnel training costs, etc.