Life cycle cost analysis at scale: a reference architecture-based approach

Abstract

PurposeThis research demonstrates the theoretical merit of a reference architecture-based approach to life cycle cost (LCC) analysis system provision in the built environment. LCC insight is considered fundamental to sustainable decision making by asset managers; however, the current capabilities in practice do not align with the political ambition and the scale of competencies required to realise sectoral emissions–reduction targets.Design/methodology/approachIn pursuing practical outcomes, the study employs a custom design science research-inspired methodology. Domain requirements are gathered via literature research as an initial top-down software reference architecture which is refined, bottom-up, through testing and implementation in a representative case study. A prototype IT system and reference architecture artefact are developed and used to evaluate the concept qualitatively through broad practitioner focus groups.FindingsSentiment analysis of the expert opinions is broadly positive and helps to substantiate the proposal’s theoretical suitability in addressing the scalability challenge. Additionally, constructive feedback provides guidance towards this trajectory, highlighting the importance of aligning with existing communities and standards, broadening future research scope to consider further scenarios and prioritisation of efforts to build trust around contracts and data quality.Originality/valueThe novelty of the work is the provision of the reusable LCC reference architecture development methodology.Practical implicationsThe concept has the potential to provide LCC capabilities to industry at scale while the artefacts developed herein can be appended to existing LCC standards as implementation guidance to support IT system developers. Furthermore, the developed methodology can be employed in harmonisation efforts between policy and practice.