How Procurement Teams Use Total Cost of Ownership

Episode 18 of The Buyer's Side goes beyond price negotiation to explore Total Cost of Ownership (TCO) — the hidden costs that inflate supplier expenses by 20-40%. Lucas and Luna break down real-world examples, including a mid-sized manufacturer that saved $2 million annually by switching from lowest-cost to TCO-based sourcing. They discuss categories like maintenance, downtime, training, and disposal costs, and offer a simple framework for procurement teams to calculate TCO before signing contracts. Perfect for buyers, category managers, and supply chain professionals who want to move beyond unit price and make smarter long-term purchasing decisions. #TotalCostOfOwnership #Procurement #Sourcing #B2B #SupplyChain #CostManagement #HiddenCosts #SupplierSelection #BusinessStrategy #Manufacturing #Logistics #Purchasing #CostReduction #SpendAnalysis #BusinessPodcast #FexingoBusiness #TheBuyersSide #ProcurementTips Keep every episode free: buymeacoffee.com/fexingo