Life Cycle Costing as a Strategic Approach for Achieving Firm Performance: Evidence from Software Businesses in Thailand

Abstract

          This study aims at investigating the relationships among life cycle costing, organizational efficiency, business competitiveness, goal achievement, and firm performance of 218 software businesses in Thailand during March 1 to May 31, 2016. The results show that (1) life cycle costing has a positive effect on both organizational efficiency and business competitiveness; (2) organizational efficiency has a positive influence on goal achievement; and (3) goal achievement has a positive Impact on firm performance. Also, organizational efficiency is a mediator of the research relationships. To succeed in implementing life cycle costing system, firms must allocate their valuable resources and capabilities to support the implementation of the system.