Life Cycle Cost Calculation Model Main Tools of the Weapon System Indonesian National Army

Objective: This study aims to develop a Life Cycle Cost (LCC) calculation model as a strategic tool for managing the Indonesian National Army's (TNI) defense equipment. The LCC model is expected to support cost efficiency and effectiveness in defense budgeting by evaluating procurement, operational, maintenance, and disposal costs. Method: A mixed-methods approach, combining qualitative and quantitative techniques, was used. Data were collected through interviews, group discussions, literature reviews, and the analysis of official documents from the Ministry of Defense and the TNI. The analysis involved thematic analysis for qualitative data and descriptive statistics for quantitative data. Results and Discussion: The findings show that operational and maintenance costs dominate the total LCC, accounting for 70-90% of defense equipment's overall life cycle cost. This highlights the importance of long-term budget planning considering operational and maintenance aspects. Challenges in implementing LCC in Indonesia include limited historical data, technical complexities, and dependency on imported components, which are influenced by exchange rate fluctuations. Research Implications: The proposed LCC calculation model is expected to provide practical guidance for defense equipment management and support strategic decision-making related to procurement, operation, and maintenance. Originality/Value: This research offers an innovative approach by integrating the LCC methodology into the management of military equipment. It contributes to both theoretical understanding and practical application within Indonesia's defense sector, supporting more efficient and sustainable defense operations.