What Is Terotechnology?
Terotechnology is a convention that leverages regulate, engineering, and monetary enjoy to optimize arrange, operations, and upkeep of equipment. Terotechnology is derived from the Greek root word “tero” or “I care,” which is used with the time frame “technology” to talk over with the find out about of the costs associated with an asset all through its existence cycle from acquisition to disposal. The targets of this multidisciplinary means are to reduce the opposite costs incurred at the quite a lot of ranges of an asset’s existence and to increase methods that may be in agreement extend its existence span. The willpower of terotechnology can also be known as “life-cycle costing.”
Key Takeaways
- Terotechnology is a convention that leverages regulate, engineering, and monetary engineering to optimize arrange, operations, and upkeep of equipment.
- It encompasses multiple aspects of an object or equipment’s lifecycle, from design to set as much as commissioning, operations, and upkeep.
- It was once as soon as complicated throughout the Seventies in the United Kingdom.
Working out Terotechnology
At the core of terotechnology is keeping up property maintained at an optimal level with the intention to utterly arrange the life-cycle costs of a physically asset. The willpower of terotechnology is mainly inquisitive about maintainability and reliability of physically property. Terotechnology was once as soon as complicated throughout the Seventies in the United Kingdom. It may be performed to machines, equipment, crops, buildings, and buildings and accommodates the revenues and expenses of the gang that acquires them.
The follow of terotechnology is a continuous cycle that covers all of the lifespan of an object. It starts with the design or number of a given object and then proceeds to its arrange or construction, commissioning, operation, and upkeep. Terotechnology moreover accounts for the top of an object’s useful existence, harking back to its decommissioning or retirement; dismantling; or disposing of, sale, or disposal. Terotechnology then gets began the cycle all over again with the dignity of the item’s exchange.
Example of Terotechnology
For example, an oil company is making an attempt to map out the costs of an offshore oil platform. They might use terotechnology to forecast the best costs associated with assembly, transportation, upkeep, and dismantling of the platform and finally a calculation of salvage value.
The find out about and application of terotechnology is not an exact science, as there are many different variables that want to be estimated and approximated. However, a company that does not use this type of find out about may be worse off than one that approaches an asset’s existence cycle in a additional ad hoc approach.
Terotechnology in Practice
Terotechnology uses such financial analysis equipment harking back to internet supply value (NPV), inside price of return (IRR), and discounted cash drift (DCF) in an attempt to scale back the costs associated with the asset in the future. The ones costs can include engineering, upkeep, wages payable to serve as the equipment, operating costs, and even disposal costs. Choices related to each and every of the ones costs are taken in consideration with the twin objectives of optimizing the equipment’s operations and costs associated with it.
