Total Cost of Ownership (TCO)

Total Cost of Ownership (TCO) substantially influences buying decisions for many companies and helps negotiations from both the client and supplier perspectives. It allows corporations to think about elements outside of the direct cost(s) when identifying whether to pursue a specific course of action.

Fundamentally, TCO is a financial assessment process that estimates all the costs associated with a decision. Procurement costs are covered alongside each direct and indirect charge in the decision cycle: trade working capital (TWC), labor productivity, cost of quality, supplier rationalization and more. When you calculate TCO, you select your known cost-drivers and hidden fees to fully understand your desired impact.

By measuring the true costs of your supply chain, TCO allows you to make better business decisions. This will help you better understand the impact of implementing a system on the cost structure of your business. TCO provides a financial framework to effectively analyze your supply chain. It makes it possible to better compare the solutions presented by different suppliers by showing a much more realistic view of all the costs.

“Comprehensive solutions drive continuous improvement”

What We Do

Labor Productivity
Transactional Productivity and Indirect Expenses
Trade Working Capital
Global Sourcing & Value Engineering
Cost of Quality
Manufacturing Uptime Opportunities

By developing a comprehensive vendor managed inventory program or production kitting program, our customers no longer need to receive, store, and repackage products to get them in the hands of the operators on the production line. We deliver products where and when our customers need them in their manufacturing plants allowing them to focus on their core competency of manufacturing and assembly.


Procurement costs for C-Parts are very high and require thousands of transactions.  Our customer turn the C-Parts over to us because we have built a system to manage products with low spend and high transactions. We take on the burden of purchase order management, inventory planning and three-way matching by implementing a comprehensive vendor managed program.

We are also able to reduce premium freight transactions by building dedicated inventory and managing the thousand transactions in the complex supply chain.

Companies are always looking for ways to preserve cash, reduce inventories and better manage receivable and payables. We build programs to stock customer specific products based on their bill of material consumption needs. Utilizing our proven Bins and Turns Analysis, we can optimize the bin quantities on your floor to reduce inventory and bin transactions.

Our summary billing programs allow our customer to receive one consolidated invoice per week.   


At Gexpro Services, we follow a best cost sourcing philosophy when developing new suppliers globally. We help our customers with localization as they expand their operations across the globe.  Our engineers help drive cost of out our customers’ bill of materials through simplification, part standardization, and product teardown analysis.

We also provide extensive support during new product introduction designs to help our OEMs deliver their products more cost effectively to the market.

Supplier Rationalization

Gexpro Services helps our customer rationalize their supply base by providing an extensive and diversified product portfolio which includes fasteners, electrical, electronics, fabrications, machined parts, pipe, valve, fittings, labels and more. We are a one stop shop for all of our customers’ direct material needs.

Deflation Management

The highly competitive marketplace requires focus on driving reductions in material costs. Gexpro Services achieves material cost reductions through partnering with our customer and suppliers on long term agreements with joint strategic cost savings initiatives, volume rebates and direct material productivity projects.

Quality and Continuous Improvement are at the core of every Gexpro Services employee.  Our robust and mature Quality Management System (QMS) is designed to meet our customers’ requirements and ensure the products and service we deliver are to specification, consistently meeting production needs and customer expectations with an efficient use of resources. 

Our employees share a passion for delivering on every commitment, dedicating ourselves to providing our customers with only the highest quality offerings, unparalleled customer service, and exceptional responsiveness. 

High levels of fulfillment are critical in keeping our customers lines up and running. Gexpro Services utilizes proven program management systems and processes, lean principles and integrated technology solutions to build our customers programs with high levels of on-time delivery.

Featured Team Members

Autrie Bacon

Autrie Bacon

Director, Supply Chain Solutions

Bryan DeChellis

Bryan DeChellis

Supply Chain Solutions New Business Team Leader

Join our team – check out the latest job listings on our careers page!