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AviTrader MRO Magazine 2017-03

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Lufthansa Consulting<br />

29<br />

eral levels. It aims to reduce<br />

direct maintenance costs,<br />

boost aircraft utilisation,<br />

lower turnaround times and<br />

consequently increase aircraft<br />

availability, while also reducing<br />

the number of aircraft on<br />

ground (AOG) events and<br />

unscheduled maintenance<br />

actions (Figure 1). This will<br />

improve an airline’s financial<br />

situation and thereby promote<br />

its competitiveness.<br />

The organisational set-up<br />

should reflect the airline’s<br />

current needs while taking<br />

account of the special features<br />

of its business model.<br />

The worldwide trend toward<br />

consolidation and the focus<br />

on core business requires a<br />

different approach for network<br />

or flag carriers than for<br />

low-cost carriers. This has Figure 1: Integrated approach<br />

sparked a number of new developments.<br />

Efforts to transform airline-affiliated technical organisations<br />

from cost centers into profit centers, the emergence of new<br />

entrants into the maintenance, repair and overhaul (<strong>MRO</strong>) market<br />

especially in Asia, the subsequent growth in competition and the<br />

vertical integration of original equipment manufacturers (OEMs)<br />

such as Airbus or Boeing are some of the current trends that can<br />

be observed.<br />

Figure 2: Adjusted technical organization<br />

By adapting several factors, such as organisational design, IT systems,<br />

processes / procedures and existing contracts, it is possible<br />

to create a highly efficient technical organisation that is flexible<br />

and serves the precise needs of the airline (Figure 2).<br />

The second pillar of an integrated approach is the fleet. An airline<br />

operator’s fleet development depends to a large extent on the<br />

<strong>AviTrader</strong> <strong>MRO</strong> - March <strong>2017</strong>

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