What Does That Really Cost?
If I buy product “A” for $50 is that cheaper than buying Product “B” for $60? Well, that depends.
The concept of Total Cost of Ownership, usually abbreviated as TCO, helps us evaluate the true cost of the purchases we make for our companies, and for ourselves.
I would like to add another cost as well. I call it the “pain in the neck cost.” In other words, you need to look not only at the purchase price of the item and not only at the total cost over the life of the product, but also at the potential for problems and trouble and turmoil that the product will simply cost your sanity. This cost is intangible — you cannot necessarily assign dollars to it — but is just as real.
These days, when time is the new scarcity, the pain in the neck cost is more important than ever.