Exploring the Carbon Footprint's Effect on Life Cycle Cost with Digitalization's Support

This study addresses the integration of life cycle cost (LCC) analysis with the carbon footprint of assets, emphasizing the importance of environmental sustainability in decision-making. A formula is proposed to incorporate carbon emissions costs into traditional LCC analysis, providing a comprehensive view of the total costs of an asset. A step-by-step digitalization approach is proposed, involving asset identification, data monitoring, LCC calculation, carbon footprint costing, cost integration, and identification of optimization opportunities. The Digital Twin concept is introduced for tracking the carbon footprint at the asset level. The document underlines the benefits of digitalization, such as increased data accuracy, real-time monitoring, predictive analytics, optimized reporting, lifecycle optimization, support for circular economy principles, and stakeholder engagement. Digitalization can be seen as a tool for monitoring and reporting and also for achieving substantial changes that affect the environment. The critical role of effective asset management and maintenance in reducing the carbon footprint in organizations is highlighted, with digitalization emerging as an enabler for better decision-making toward environmental and financial sustainability.