Life Cycle Costing (LCC) is an official business definition used in procurement to evaluate the total cost of ownership of a product or service over its lifespan. By examining all associated costs from acquisition through usage and eventually disposal, LCC helps organizations identify ways to minimize overall expenditure. It takes into account items such as purchase price, maintenance fees, transportation costs, and estimated repairs – then weighs them against benefits like performance, efficiency, and reliability. Organizations that make use of LCC have an advantage when making informed purchasing decisions that drive cost reductions and maximize operational efficiency.