1998-11-30

The Extended Enterprise: Life Cycle Cost Management of Environmental, Health, Safety and Recycling/End of Life as a Business Decision Process 982165

Business decisions are based on carefully developed target costs and profits for autos or any other manufactured products. However, when it comes to environmental management, occupational health and safety, recycling and end of life of vehicles, significant costs associated with these activities are typically hidden in overhead, or are undocumented, including costs that may come back to a company at the end of the vehicle's life.
Life Cycle Cost Management (LCCM) is a business decision process that integrates any or all of the environmental, health, safety and recycling (EHS&R) phases of product life with a full range of functional costs to provide a business focus on design decisions.
The concept of the extended enterprise is now a reality. LCCM is a process for identifying true environmental, health and safety (EHS) costs as they relate to automobile parts, materials, and manufacturing processes. Coupled with customer requirements and end-of-life recycling and disposal goals, the auto industry and its component makers and suppliers can drive down costs and increase profits while truly benefiting the environment.

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