Historically the approach is to think of capital spend (CAPEX) and operational spend (OPEX) as separate buckets, without necessarily tying these together in a whole-of-life total expenditure (TOTEX) view. A (TOTEX) approach considers the whole life cost of an asset, not just the initial outlay. Decisions must be made based on quantitative measures in order to optimize the total cost of ownership. A prerequisite of any TOTEX reduction initiative must be the acquisition of data that is reliable, accurate and current. This move away from experience and intuition to data and analysis is a fundamental evolution delivered by digital acceleration. Schneider Electric and AVEVA bring together energy management and automation tools with leading-edge industrial software that spans engineering and operations to maximize value from industrial assets.
