Life Cycle Cost

Example of the calculator

What is life cycle costing?

Life cycle costing (LCC) is a technique developed for identifying and quantifying all costs, initial and ongoing, associated with a project or installation over a given period. LCC uses the standard accountancy principle of discounted cash flow, so that total costs incurred during a life cycle period are reduced to present day values. This allows a realistic comparison to be made of the options available. As far as material selection is concerned, LCC enables potential long term benefits to be assessed against short term expediency.

Material costs are assessed with their implications, for example, initial outlay, maintenance and its frequency, downtime affects, production losses, repair, replacement and other operationally related costs such as manpower and energy consumption.

Why life cycle costing?

A full life cycle cost analysis enables the materials specifier to consider the full implications of future costs, in terms of both actual monetary value and inconvenience of future maintenance and replacements. Experience has show that future maintenance and associated downtime costs can far outweigh the initial material costs.

Why stainless steel?

The many unique properties provided by stainless steels make them powerful candidates in the routine materials selection. Engineers, specifiers and designers have, in the past, often disregarded these properties because of what is viewed as its high initial cost.
The use of LCC shows, however, that stainless steel is in fact a most cost effective material for many applications.

What is stainless steel?

Stainless steel is essentially a low carbon steel to which chromium has been added. It is this addition of chromium, usually in amounts from 100 to 28% by weight, that gives the steel its unique 'stainless', corrosion resisting properties.

The chromium content of the steel allows the formation of a tough, adherent, invisible, corrosion-resisting chromium oxide film on the steel surface. If damaged mechanically or chemically, this film is self-healing, provided that oxygen, even in a very small amounts is present. The corrosion resistance as well as other useful properties of the steel are enhanced by increased chromium content and the addition of other elements such as molybdenum, nickel and nitrogen.

Benefits of different stainless steels

Corrosion Resistance
Lower alloyed grades resist corrosion in atmospheric and pure water environments, while high-allowed grades can resist corrosion in most acids, alkaline solutions, and chlorine bearing environments, properties which are widely utilized in process plants.

Heat Resistance
Special high chromium- and nickel-alloyed grades resist scaling and retain strength at high temperatures.

Hygiene
The easy cleaning ability of stainless makes it the first choice for strict hygiene conditions, such as in hospitals, kitchens, abattoirs and other processing plants.

Strength
The work-hardening property of austenitic grades, that result in a significant strengthening of the material from cold-working alone, and the high strength duplex grades, allow reduced material thickness over conventional grades, therefore cost savings.

Ease of fabrication
Modern steel-making techniques mean that stainless steels can be cut, welded, formed and fabricated as readily as traditional steels.

Impact resistance
The austenitic micro-structure of the 300 series provides high toughness, from elevated temperatures to far below freezing, making these steels particularly suited to cryogenic applications.

Aesthetic appearance
The bright, easily maintained surface of stainless steel provides a modern and attractive appearance.

For more information on the correct selection for your application, please contact your nearest Sassda representative.