What is the focus of total life cycle management in supply chain operations?

Total life cycle management in supply chain operations emphasizes optimizing overall performance and cost across all phases of a product's life cycle. This approach goes beyond just focusing on initial acquisition or short-term cost savings. Instead, it considers the full range of factors that impact the supply chain, including design, production, delivery, use, and eventual disposal of products.

This holistic perspective ensures that decisions are made with an understanding of their long-term implications on both performance metrics and costs. By optimizing across all stages, organizations can achieve efficiencies and sustainability, leading to better resource utilization and reduced waste over time. Such an approach aligns with industry best practices that prioritize lifecycle sustainability and performance improvement.

Focusing exclusively on short-term cost reduction strategies or limiting management to just the acquisition stage may lead to inefficiencies and increased costs in other areas of the lifecycle, which are not sustainable. While frequent supplier audits can enhance supplier relationships and compliance, they do not encapsulate the broader and more strategic goal of total life cycle management.