Lifecycle Cost Affordability and Performance-Based Contracting – A Managerial Decision Framework Based on Literature Review

Author(s):

  • Saba Pourreza (University of North Carolina Wilmington, USA)
  • Rebecca Scott (College of Business, New Mexico State University, USA)
  • Brian Sauser (University of North Texas, USA)
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Abstract:
This manuscript reviews and synthesizes the product service system, lifecycle affordability, and performance-based contracting (PBC) literature across supply chain management, operations management, and logistics discipline. The study is based on 128 peer-reviewed articles published between 2005 and 2023 in journals related to the supply chain, logistics, and operations management field. The study proposes a framework for lifecycle affordability (LCA) and key aspects of performance-based strategy design and management, performance specification, and cost elements. This study is a robust literature review of lifecycle affordability and performance-based contracting. It proposes a framework to assist in business-to-business managerial decision-making to reduce lifecycle costs.
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@article{sabapourreza-2024-1632,
  title={Lifecycle Cost Affordability and Performance-Based Contracting – A Managerial Decision Framework Based on Literature Review},
  author={Saba  Pourreza and Rebecca  Scott and Brian  Sauser},
  journal={Operations and Supply Chain Management: An International Journal},
  year={2024},
  volume={17},
  number={1},
  pages={164--181},
  doi={10.31387/oscm0560420}
}
Saba  Pourreza, Rebecca  Scott, Brian  Sauser (2024). Lifecycle Cost Affordability and Performance-Based Contracting – A Managerial Decision Framework Based on Literature Review. Operations and Supply Chain Management: An International Journal, 17(1), 164-181. https://doi.org/10.31387/oscm0560420