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Application Areas – CATLOC

CATLOC is used around the world in different industries and for different systems – from cargo aircrafts, air defence systems and submarines to signaling systems, aero engines and nuclear power plants.

Briefly described, CATLOC makes it possible to calculate and aggregate costs and revenue from all phases of the life cycle of a technical system. Furthermore, you can break down and distribute costs and revenue across different dimensions, and perform in-depth analysis to understand what it is that drives costs and how cost and revenue are impacted by different decisions.

Here is a more detailed description of some of the most common areas of application:

Life cycle cost analysis

LCC analysis (Life Cycle Cost) is the primary application area for CATLOC. The analysis can include both revenue and costs. Usually, the goal is not determine an exact cost but rather to compare different options from an economic perspective. Already in early conceptual design, CATLOC can be used to predict how different system designs or support concepts affect costs over the system life cycle. Similarly, in the development and procurement phase, alternative solutions can be evaluated and compared from a life cycle perspective. In subsequent phases, such as production, operations, and termination, CATLOC continues to provide the ability to make decisions based on how costs are impacted during the remaining system life cycle.

Since there is no predefined cost structure in CATLOC, you can start with a simple, preliminary model based on default values, then gradually expand and refine the model with formulas and parameters and increase the level of detail as the needs and data access change.

Continuous Improvement

In CATLOC, you decide entirely which costs to include in your analysis, how to break them down, how to distribute them across different dimensions, and what level of detail to use. This means an almost unlimited opportunity to scrutinise a solution and evaluate different alternatives against each other. One obvious use is to identify cost drivers or find the areas with the greatest potential for savings. Another use is to evaluate a proposed modification from a cost perspective.

Budgeting and planning

CATLOC is also the perfect tool for budgeting and forecasting costs and revenue to be expected given for example the planned operation and maintenance of a certain technical system during a certain time period. You might want to predict the total costs of a maintenance contract or understand how costs will be distributed across different departments during the next five years.

Sensitivity and risk analysis

The quick calculations and user friendly Analysis View in CATLOC makes it easy to examine how changes in the input data affect the total cost. CATLOC also features powerful support for identifying and quantifying uncertainty of estimated costs and revenue. Let one or more parameters vary according to any statistical distribution and analyse how this will impact results and risks.  It is also possible to determine which parameters will have the greatest impact on results, which cost types are affected when they vary, and how much.

Cost/revenue analysis based on results from SIMLOX and OPUS10

For many of our clients, CATLOC is an important component of Opus Suite. Both input data and results from optimisations and simulations can be imported to CATLOC for more comprehensive analysis of costs and revenue.