Comprehensive Metric: Total cost is a comprehensive metric that includes all aspects of cost management, such as purchase price, inventory costs, quality costs, and logistics costs.

Assessing Team Impact: Evaluating total cost allows the organization to assess the overall impact of the commodity management teams on the company’s cost structure and financial performance.

Holistic View: Unlike individual metrics like inventory turns, purchase price, or delivery schedules, total cost provides a holistic view of the efficiency and effectiveness of the commodity teams.

Continuous Improvement: Monitoring total cost helps identify areas for improvement across the entire supply chain, facilitating continuous improvement initiatives and cost-saving strategies.

References: The importance of total cost measurement is emphasized in supply chain management literature and best practices, such as those outlined in "Supply Chain Management: Strategy, Planning, and Operation" by Sunil Chopra and Peter Meindl, and guidelines from the Institute for Supply Management (ISM).