Bitterness vs. Sweetness - what is the driver?

Bitterness vs. Sweetness - what is the driver?

Most people agree that "the Bitterness of Poor Quality (or in my world Poor Efficiency) long outlasts the Sweetness of Low Price", but why is Lowest Initial Cost still the major driver in many organizations?  

  • Is it lack of knowledge?  
  • Is it a lack of understanding?  
  • Is it total misinformation on what is available, what is being offered or simply what is needed?

Even many organizations who talk out Total Cost of Ownership (including initial cost, maintenance cost and energy cost) don't actually practice what they profess to do.....WHY?   

How do we change this culture?  Please comment with your thoughts on this subject!

Andre Patenaude, CET

Leader in sustainable HVACR solutions at Copeland

9 年

I totally agree Darren. Lowest initial cost option is most often the lowest efficiency coupled with highest maitenance costs. The stark reality is that purchasers are tasked to buy at the lowest price with little regard for energy and maintenance because those areas are managed by other "silos" within their organization with separate sets of objectives. Until Total Cost of ownership is considered from the start we will continue to face resistance for the higher value solution. We often use the value equation V=Q/P to make our case that over time paying a fair price for a high quality solution yields tremendous value over the life of the equipment. There may be hope at the end of the tunnel. In recent years as energy rates have soared and refrigerant regulation kick in were hearing and increased number of end users carefully studying the Total Cost of Ownership of #CO2 #Supermarket systems for example.

Andre Patenaude, CET

Leader in sustainable HVACR solutions at Copeland

9 年

I totally agree Darren. Lowest initial cost option is most often the lowest efficiency coupled with highest maitenance costs. The stark reality is that purchasers are tasked to buy at the lowest price with little regard for energy and maintenance because those areas are managed by other "silos" within their organization with separate sets of objectives. Until Total Cost of ownership is considered from the start we will continue to face resistance for the higher value solution. We often use the value equation V=Q/P to make our case that over time paying a fair price for a high quality solution yields tremendous value over the life of the equipment. There may be hope at the end of the tunnel. In recent years as energy rates have soared and refrigerant regulation kick in were hearing and increased number of end users carefully studying the Total Cost of Ownership of #CO2 #Supermarket systems for example.

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