IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v3y2011i11p2268-2288d14875.html
   My bibliography  Save this article

Life Cycle Costing in Sustainability Assessment—A Case Study of Remanufactured Alternators

Author

Listed:
  • Erwin M. Schau

    (Department of Environmental Technology, Technische Universität Berlin, Office Z1, Strasse des 17. Juni 135, Berlin D-10623, Germany)

  • Marzia Traverso

    (Department of Environmental Technology, Technische Universität Berlin, Office Z1, Strasse des 17. Juni 135, Berlin D-10623, Germany)

  • Annekatrin Lehmann

    (Department of Environmental Technology, Technische Universität Berlin, Office Z1, Strasse des 17. Juni 135, Berlin D-10623, Germany)

  • Matthias Finkbeiner

    (Department of Environmental Technology, Technische Universität Berlin, Office Z1, Strasse des 17. Juni 135, Berlin D-10623, Germany)

Abstract

Sustainability is on the international agenda, and is a driver for industry in international competition. Sustainability encompasses the three pillars: environment, society and economy. To prevent shifting of burden, the whole life cycle needs to be taken into account. For the environmental dimension of sustainability, life cycle assessment (LCA) has been practiced for a while and is a standardized method. A life cycle approach for the social and economic pillars of sustainability needs to be further developed. This paper investigates the application of life cycle costing (LCC) as part of a wider sustainability assessment where also social life cycle assessment (SLCA) and LCA are combined. LCA-type LCC is applied on a case study of remanufactured alternators. Remanufacturing of automobile parts is a fast growing important business with large potential for cost and resource savings. Three design alternatives for the alternator and three locations for the remanufacturing plant are evaluated. The remanufacturer perspective and the user perspective are investigated. The results for the LCA-type LCC show that the largest cost for the remanufacturer is the new parts replacing old warn parts. However, the user cost, and therein especially, cost for fuel used for the alternator’s power production dominates and should be the focus for further improvement. In conducting the case study, it was revealed that the connection between the LCA-type LCC results and the economic dimension of sustainability needs to be further investigated and defined. For this purpose, areas of protection for life cycle sustainability assessment and LCA-type LCC in particular need further development.

Suggested Citation

  • Erwin M. Schau & Marzia Traverso & Annekatrin Lehmann & Matthias Finkbeiner, 2011. "Life Cycle Costing in Sustainability Assessment—A Case Study of Remanufactured Alternators," Sustainability, MDPI, vol. 3(11), pages 1-21, November.
    • Handle: RePEc:gam:jsusta:v:3:y:2011:i:11:p:2268-2288:d:14875
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/3/11/2268/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/3/11/2268/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Simeon Djankov & Caroline Freund & Cong S. Pham, 2010. "Trading on Time," The Review of Economics and Statistics, MIT Press, vol. 92(1), pages 166-173, February.
    2. Eric Korpi & Timo Ala-Risku, 2008. "Life cycle costing: a review of published case studies," Managerial Auditing Journal, Emerald Group Publishing, vol. 23(3), pages 240-261, March.
    3. Vanessa M. Smith & Gregory A. Keoleian, 2004. "The Value of Remanufactured Engines: Life‐Cycle Environmental and Economic Perspectives," Journal of Industrial Ecology, Yale University, vol. 8(1‐2), pages 193-221, January.
    4. Matthias Finkbeiner & Erwin M. Schau & Annekatrin Lehmann & Marzia Traverso, 2010. "Towards Life Cycle Sustainability Assessment," Sustainability, MDPI, vol. 2(10), pages 1-14, October.
    5. Annik Magerholm Fet & Erwin M. Schau & Cecilia Haskins, 2010. "A framework for environmental analyses of fish food production systems based on systems engineering principles," Systems Engineering, John Wiley & Sons, vol. 13(2), pages 109-118, June.
    6. World Commission on Environment and Development,, 1987. "Our Common Future," OUP Catalogue, Oxford University Press, number 9780192820808.
    7. Liang, Yijiong & Pokharel, Shaligram & Lim, Geok Hian, 2009. "Pricing used products for remanufacturing," European Journal of Operational Research, Elsevier, vol. 193(2), pages 390-395, March.
    8. Teunter, Ruud H. & Flapper, Simme Douwe P., 2011. "Optimal core acquisition and remanufacturing policies under uncertain core quality fractions," European Journal of Operational Research, Elsevier, vol. 210(2), pages 241-248, April.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Anna Schulte & Daniel Maga & Nils Thonemann, 2021. "Combining Life Cycle Assessment and Circularity Assessment to Analyze Environmental Impacts of the Medical Remanufacturing of Electrophysiology Catheters," Sustainability, MDPI, vol. 13(2), pages 1-22, January.
    2. Nuri Cihat Onat & Murat Kucukvar & Anthony Halog & Scott Cloutier, 2017. "Systems Thinking for Life Cycle Sustainability Assessment: A Review of Recent Developments, Applications, and Future Perspectives," Sustainability, MDPI, vol. 9(5), pages 1-25, April.
    3. Le Thanh Tiep & Ngo Quang Huan & Tran Thi Thuy Hong, 2020. "The Impact of Renewable Energy on Sustainable Economic Growth in Vietnam," International Journal of Energy Economics and Policy, Econjournals, vol. 10(6), pages 359-369.
    4. Malaquias Zildo António Tsambe & Cássio Florisbal de Almeida & Cássia Maria Lie Ugaya & Luiz Fernando de Abreu Cybis, 2021. "Application of Life Cycle Sustainability Assessment to Used Lubricant Oil Management in South Brazilian Region," Sustainability, MDPI, vol. 13(24), pages 1-16, December.
    5. Dong-Jun Yeom & Eun-Ji Na & Mi-Young Lee & Yoo-Jun Kim & Young Suk Kim & Chung-Suk Cho, 2017. "Performance Evaluation and Life Cycle Cost Analysis Model of a Gondola-Type Exterior Wall Painting Robot," Sustainability, MDPI, vol. 9(10), pages 1-18, October.
    6. Mendecka, Barbara & Tribioli, Laura & Cozzolino, Raffaello, 2020. "Life Cycle Assessment of a stand-alone solar-based polygeneration power plant for a commercial building in different climate zones," Renewable Energy, Elsevier, vol. 154(C), pages 1132-1143.
    7. Meylan, Grégoire & Ami, Helen & Spoerri, Andy, 2014. "Transitions of municipal solid waste management. Part II: Hybrid life cycle assessment of Swiss glass-packaging disposal," Resources, Conservation & Recycling, Elsevier, vol. 86(C), pages 16-27.
    8. K. Koppiahraj & S. Bathrinath & V. G. Venkatesh & Venkatesh Mani & Yangyan Shi, 2023. "Optimal sustainability assessment method selection: a practitioner perspective," Annals of Operations Research, Springer, vol. 324(1), pages 629-662, May.
    9. Groenewald, Jakobus & Grandjean, Thomas & Marco, James, 2017. "Accelerated energy capacity measurement of lithium-ion cells to support future circular economy strategies for electric vehicles," Renewable and Sustainable Energy Reviews, Elsevier, vol. 69(C), pages 98-111.
    10. Rafael Ninno Muniz & Stéfano Frizzo Stefenon & William Gouvêa Buratto & Ademir Nied & Luiz Henrique Meyer & Erlon Cristian Finardi & Ricardo Marino Kühl & José Alberto Silva de Sá & Brigida Ramati Per, 2020. "Tools for Measuring Energy Sustainability: A Comparative Review," Energies, MDPI, vol. 13(9), pages 1-27, May.
    11. Jozef Švajlenka & Mária Kozlovská, 2018. "Houses Based on Wood as an Ecological and Sustainable Housing Alternative—Case Study," Sustainability, MDPI, vol. 10(5), pages 1-20, May.
    12. Mohamed Abubakr & Adel T. Abbas & Italo Tomaz & Mahmoud S. Soliman & Monis Luqman & Hussien Hegab, 2020. "Sustainable and Smart Manufacturing: An Integrated Approach," Sustainability, MDPI, vol. 12(6), pages 1-19, March.
    13. Qianwang Deng & Xiahui Liu & Haolan Liao, 2015. "Identifying Critical Factors in the Eco-Efficiency of Remanufacturing Based on the Fuzzy DEMATEL Method," Sustainability, MDPI, vol. 7(11), pages 1-21, November.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Timothy Jena & Sakdirat Kaewunruen, 2021. "Life Cycle Sustainability Assessments of an Innovative FRP Composite Footbridge," Sustainability, MDPI, vol. 13(23), pages 1-20, November.
    2. Julian Gaus & Sven Wehking & Andreas H. Glas & Michael Eßig, 2022. "Economic Sustainability by Using Life Cycle Cost Information in the Buying Center: Insights from the Public Sector," Sustainability, MDPI, vol. 14(3), pages 1-28, February.
    3. Gernot Lechner & Marc Reimann, 2013. "The effect of active used product acquisition on manufacturing and remanufacturing strategies," Working Paper Series, Social and Economic Sciences 2013-01, Faculty of Social and Economic Sciences, Karl-Franzens-University Graz.
    4. Peng Ma & Yeming Gong & Mingzhou Jin, 2019. "Quality efforts in medical supply chains considering patient benefits," Post-Print hal-02312386, HAL.
    5. Thies, Christian & Kieckhäfer, Karsten & Spengler, Thomas S. & Sodhi, Manbir S., 2019. "Operations research for sustainability assessment of products: A review," European Journal of Operational Research, Elsevier, vol. 274(1), pages 1-21.
    6. Zhu, Xiaoxi & Wang, Miaomiao & Chen, Guofu & Chen, Xiaoshan, 2016. "The effect of implementing trade-in strategy on duopoly competition," European Journal of Operational Research, Elsevier, vol. 248(3), pages 856-868.
    7. Rafael Horn & Hanaa Dahy & Johannes Gantner & Olga Speck & Philip Leistner, 2018. "Bio-Inspired Sustainability Assessment for Building Product Development—Concept and Case Study," Sustainability, MDPI, vol. 10(1), pages 1-25, January.
    8. Cheng-Han Wu, 2021. "Production-quality policy for a make-from-stock remanufacturing system," Flexible Services and Manufacturing Journal, Springer, vol. 33(2), pages 425-456, June.
    9. Sabrina Neugebauer & Silvia Forin & Matthias Finkbeiner, 2016. "From Life Cycle Costing to Economic Life Cycle Assessment—Introducing an Economic Impact Pathway," Sustainability, MDPI, vol. 8(5), pages 1-23, April.
    10. Ma, Peng & Gong, Yeming & Jin, Mingzhou, 2019. "Quality efforts in medical supply chains considering patient benefits," European Journal of Operational Research, Elsevier, vol. 279(3), pages 795-807.
    11. Forbes Kabote & Patrick Walter Mamimine & Zororo Muranda, 2017. "Domestic Tourism For Sustainable Development In Developing Countries: A Conceptual Paper," Revista de turism - studii si cercetari in turism / Journal of tourism - studies and research in tourism, "Stefan cel Mare" University of Suceava, Romania, Faculty of Economics and Public Administration - Economy, Business Administration and Tourism Department., vol. 23(23), pages 1-3, June.
    12. Möller, Jasmin & Daschkovska, Kateryna & Bogaschewsky, Ronald, 2019. "Sustainable city logistics: rebound effects from self-driving vehicles," Chapters from the Proceedings of the Hamburg International Conference of Logistics (HICL), in: Jahn, Carlos & Kersten, Wolfgang & Ringle, Christian M. (ed.), Digital Transformation in Maritime and City Logistics: Smart Solutions for Logistics. Proceedings of the Hamburg International Conference of Logistics, volume 28, pages 299-337, Hamburg University of Technology (TUHH), Institute of Business Logistics and General Management.
    13. T.E.T Dantas & S.R Soares, 2022. "Systematic literature review on the application of life cycle sustainability assessment in the energy sector," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(2), pages 1583-1615, February.
    14. Xiong, Yu & Li, Gendao & Zhou, Yu & Fernandes, Kiran & Harrison, Richard & Xiong, Zhongkai, 2014. "Dynamic pricing models for used products in remanufacturing with lost-sales and uncertain quality," International Journal of Production Economics, Elsevier, vol. 147(PC), pages 678-688.
    15. Paolo Prosperi & Iuri Peri, 2014. "Concepts and methods for sustainability assessment: Insights from food security," RIVISTA DI STUDI SULLA SOSTENIBILITA', FrancoAngeli Editore, vol. 2014(1), pages 23-34.
    16. Natalia Muñoz López & Jose Ignacio Valero Martín & Anna Biedermann & Jose Luis Santolaya Sáenz & Aranzazu Fernández-Vazquez, 2021. "Projecting More Sustainable Product and Service Designs," Sustainability, MDPI, vol. 13(21), pages 1-20, October.
    17. Sebastjan Lazar & Dorota Klimecka-Tatar & Matevz Obrecht, 2021. "Sustainability Orientation and Focus in Logistics and Supply Chains," Sustainability, MDPI, vol. 13(6), pages 1-20, March.
    18. Zanete Garanti & Aysen Berberoglu, 2018. "Cultural Perspective of Traditional Cheese Consumption Practices and Its Sustainability among Post-Millennial Consumers," Sustainability, MDPI, vol. 10(9), pages 1-15, September.
    19. Benedetta Nucci & Fabio Iraldo & Maria Rosa De Giacomo, 2016. "The relevance of Life Cycle Costing in Green Public Procurement," ECONOMICS AND POLICY OF ENERGY AND THE ENVIRONMENT, FrancoAngeli Editore, vol. 2016(1), pages 91-109.
    20. Adam Sulich & Adam Grudziński, 2019. "The Analysis of Strategy Types of the Renewable Energy Sector," Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis, Mendel University Press, vol. 67(6), pages 1643-1651.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:3:y:2011:i:11:p:2268-2288:d:14875. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.