MRO - 精东影业 Aviation news Thu, 27 Jun 2024 09:07:48 +0000 en-US hourly 1 https://wordpress.org/?v=6.5.5 /images/cropped-logo-sm-32x32.png MRO - 精东影业 32 32 MRO BEER 2024: Navigating engine maintenance challenges /articles/mro-beer-2024-navigating-engine-maintenance-challenges /articles/mro-beer-2024-navigating-engine-maintenance-challenges#respond Thu, 27 Jun 2024 09:07:29 +0000 /?p=98171 The MRO BEER conference in Vilnius on June 27, 2024, featured a panel of industry leaders discussing the…

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The MRO BEER conference in Vilnius on June 27, 2024, featured a panel of industry leaders discussing the evolving landscape of engine maintenance.  

Moderated by James Pozzi, MRO Editor EMEA at Aviation Week Network, the panel provided insights into how MRO organizations are handling challenges posed by new and aging aircraft engines. They explored questions like the impact of engine OEMs’ framework on recent engine problems and the increase in engine MRO shops in the region. 

Post-COVID recovery and increasing demand 

Fulya Turkoz from Lufthansa Technik (LHT) highlighted the rapid post-COVID recovery, noting that the current challenge has shifted from material shortages to workforce needs. With rising air traffic, demand for maintenance services is increasing, necessitating quick turns and more flexible support.  

Olivier Boina from Air France Industries KLM Engineering & Maintenance (AFI KLM E&M) echoed this observation, pointing out that recovery has been strong but has led to significant labor and parts shortages, extending MRO turnaround times by 15-30%.  

Supply chain challenges 

The panelists agreed that the supply chain remains a critical bottleneck. Boina attributed this to the lag in manufacturing recovery and global events like the war in Ukraine, which have increased raw material demand. He estimated that two or three additional years would be needed to fix the supply chain. 

Arne Luxa from MTU Maintenance emphasized that while the company has managed to diversify its portfolio and locations, distributing available parts at the necessary production rate remains a challenge.  

Julius Bogusevicius of FL Technics predicted that supply chain issues might last even longer than anticipated, affecting overall efficiency. 

Adapting maintenance strategies 

In response to these challenges, MROs are adapting their strategies. LHT is combining shop visits with mobile engine services to meet immediate support needs. MTU Maintenance has focused on diversifying its portfolio to manage the high demand for both old and new engines. FL Technics has adopted more creative solutions for second shop visits, such as modular work, reflecting a shift in engine investment philosophy post-COVID. 

Long-term projections and engine lifecycle 

Panelists also discussed the long-term projections for engine maintenance. Luxa mentioned that, despite new programs, legacy engines will remain in service longer than expected, with continued investment in shop visits being necessary. Boina discussed the challenges with newer engines like the LEAP and GTF, indicating that significant fixes might not be fully available until 2026. This means that engines currently in operation will require substantial maintenance in the interim. 

The increase in engine MRO shops in the region indicates its emergence as a center for engine maintenance. Bogusevicius noted the importance of quick-turn shops and the need for a test cell, suggesting that while performance restoration isn’t always necessary locally, there is a business case for expanding regional capabilities. 

The panel concluded that while the MRO industry faces significant challenges, there are also opportunities for growth and innovation. By adapting strategies and investing in new technologies and capabilities, MROs can better support the evolving needs of the aviation industry. 

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Supply chain and aftermarket insights with Locatory.com CEO, Toma Matutyte /articles/aviation-supply-chain-and-aftermarket-insights-with-locatory-com-ceo-toma-matutyte /articles/aviation-supply-chain-and-aftermarket-insights-with-locatory-com-ceo-toma-matutyte#respond Wed, 10 Apr 2024 08:31:04 +0000 /?p=94216 The aviation industry operates within a complex global supply chain, comprising various entities, processes, and resources. This intricate…

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The aviation industry operates within a complex global supply chain, comprising various entities, processes, and resources. This intricate network involves sourcing raw materials, fabricating aircraft components, managing logistics, or conducting maintenance, repair, and overhaul (MRO) services.听

Aviation aftermarket services encompass a broad spectrum of activities, including MRO services, spare parts provision, component repairs, and technical support. These services are delivered by specialized entities such as original equipment manufacturers (OEMs), independent MRO providers, and suppliers.听

Platforms like serve as vital hubs within the aviation supply chain ecosystem. Locatory.com effectively brings together multiple stakeholders, including OEMs, MROs, airlines, and suppliers, providing a centralized platform for streamlined collaboration, procurement, and exchange of aviation-related services and products. By consolidating these players into one cohesive hub, Locatory.com facilitates smoother operations, enhances efficiency, and fosters synergies across the aviation supply chain.听

Toma Matutyte, Chief Executive Officer of Locatory.com

Locatory.com was established in 2010 as an aviation marketplace with a wide range of aircraft parts and repair services that cater to commercial, OEM, MRO, military, and general aviation segments. Today, the platform boasts over 20,000 users, and is the preferred choice among distributors, traders, and MRO professionals, making up 71% of its user base, all while holding an inventory of over 100M unique civil and military line parts. 听

Locatory.com is also a subsidiary of鈥, the world精东影业 largest ACMI (Aircraft, Crew, Maintenance, and Insurance) provider, with a fleet of 212 aircraft, and a parent company of SmartLynx, Avion Express, Bluebird Nordic, BBN Indonesia Airlines, KlasJet, Magma Aviation and more.听

In an 精东影业 interview, Toma Matutyte, Chief Executive Officer of Locatory.com offered insight into the global aviation supply chain and growth of the aircraft aftermarket. She detailed the company精东影业 focus on improving its platform efficiency and adding maintenance and manufacturing slots to its platform.听

Matutyte noted that Locatory.com expects to further its integration of Artificial Intelligence (AI) solutions to its platform, backed by the growing influence of data and digitalization in the industry.听

鈥淲e have more opportunities to implement digital solutions,鈥 Matutyte said. 鈥淭hese solutions will allow us to do much more with our systems.鈥澨

As the aviation industry continues to embrace technological advancements and expand its global reach, Locatory.com remains poised to play a central role in shaping its future. With a clear vision of helping market players to further optimize their operations and excel in streamlining procurement processes, while, on the part of Locatory.com, further enhancing efficiency, providing exceptional customer service, and fostering a vibrant community of aviation professionals, it精东影业 a platform which will undoubtedly continue to drive the industry forward, fostering growth and success for years to come.听

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Airbus predicts 45% growth in North American commercial aircraft services market /articles/airbus-north-america-commercial-aircraft-services /articles/airbus-north-america-commercial-aircraft-services#respond Tue, 09 Apr 2024 08:30:24 +0000 /?p=94178 European aircraft manufacturer Airbus has forecast that North America精东影业 commercial aircraft services market will increase in value by…

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European aircraft manufacturer Airbus has forecast that North America精东影业 commercial aircraft services market will increase in value by 45% between 2023 and 2042.  

Currently the commercial aircraft services market in North America is valued at $31 billion but by 2042 Airbus believes this will surge to a $45 billion industry.听听

Details regarding Airbus鈥 predictions were included in the company精东影业 (GSF), which also commented that the demand for services will be driven by demand, fleet evolution and aircraft replacement.听听

鈥淒riven by the rise in annual air traffic, fleet growth and the requirement for more digitally enabled and connected aircraft, the growth in demand for services will be reflected in solutions implemented across all phases of the aircraft from delivery to end-of-life including fleet maintenance, aircraft modernization and training,鈥 Airbus said.  

Airbus said that North America精东影业 commercial aviation industry had bounced back particularly strongly following the COVID-19 pandemic and that passenger traffic growth will continue at a steady compound annual growth rate (CAGR) of 2.1% in the region. 

Airbus forecasts the maintenance market will grow from $25.9 billion to $37.8 billion in the region, with $17 billion of this from passenger-to-freighter conversion and used serviceable material. 

The market for enhancements and modernization will see the largest average annual growth (+4.1%) across the categories between 2023 and 2042, from $1.9 billion to $4.1 billion. 

The market for training and operations is also expected to increase from $2.5 billion in 2023 to $3 billion in 2042. 

Airbus anticipates a need for 366,000 new skilled professionals in North America over the next 20 years, comprising 104,000 new pilots, 120,000 new technicians and 142,000 new cabin crew members. 

鈥淣orth America is a region of choice when we think about aftermarket services, with many opportunities for additional efficiency, simplification and sustainable operations. Airbus will continue to play an important role in supporting airlines and the aviation industry at large in responding to those opportunities,鈥 Dominik Wacht, Vice President-Customer Services, Airbus North America, said.

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How Honeywell Aerospace is helping to support aircraft demand in Asia-Pacific /articles/how-honeywell-aerospace-is-helping-to-support-aircraft-demand-in-asia-pacific /articles/how-honeywell-aerospace-is-helping-to-support-aircraft-demand-in-asia-pacific#respond Sat, 30 Mar 2024 04:05:00 +0000 /?p=93715 Air travel demand in the Asia-Pacific region is expected to exceed pre-COVID levels in 2024.  According to the…

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Air travel demand in the Asia-Pacific region is expected to exceed pre-COVID levels in 2024. 

According to the, Asia-Pacific airlines saw a 45.4% increase in January 2024 traffic compared to the same month in 2023. This is a solid indication that the region is continuing to recover at a strong pace following the lifting of pandemic restrictions.

叠辞别颈苍驳精东影业 for 2023鈥2042 shows that within that time period Southeast Asia alone will experience airline fleet growth of 6.9% and airline traffic growth (RPK) of 9.5%. 

But how can the industry ensure that fleet demand and growth is properly supported at this time?

At the 2024 Singapore Airshow, 精东影业 sat down with Eric Ai, Vice President of Asia-Pacific Airlines at Honeywell Aerospace, to discuss the role of MRO (Maintenance, Repair, and Overhaul) companies and the importance of enhancing safety during the surge in demand for air travel.

More importantly, he addressed the hurdles and opportunities presented by airline expansion, and Honeywell Aerospace精东影业 ongoing initiatives to support a growing travel sector in the Asia-Pacific region.

The role of MRO in a fast-growing APAC region

The International Monetary Fund (IMF) and the UNEP) identified Asia-Pacific to be the fastest-growing economic powerhouse globally.

The growing middle-class population in the region is driving the huge demand in air travel. 

According to Ai, Honeywell forecasted 2024精东影业 flying hours to either return to or exceed the figure recorded before the pandemic. The business of MRO, Ai said, is driven by flight hours, so the role of maintenance, repair, and overhaul is crucial to support this growth. 

Ai said that he sees the demand for heavy and component maintenance. Among the different types of aircraft maintenance, heavy maintenance is performed less frequently, but the checks are more in-depth, thorough, and longer. Component maintenance, on the other hand, consists of working on specific detached parts of the aircraft.

Image source: aappp / Shutterstock.com

鈥淯tilization is driven by RMO [Retrofit Modification Order], and that will definitely drive the demand for MRO,鈥 Ai said. 鈥淲e have actually been seeing that the first level of demand is in aircraft heavy maintenance, and component maintenance [is] next.鈥 

To support this demand, Ai referred to Honeywell精东影业 strategic stronghold in the Asia-Pacific region.

Image: Honeywell Aerospace

鈥淗ere in Singapore, we have our APU [Auxiliary Power Unit], one of Honeywell精东影业 biggest APU shops in the world,鈥 Ai said. 鈥淲e also have our avionics repair shop located in Penang, Malaysia, which is not only an MRO shop but also an OEM [Original Equipment Manufacturer]  parts manufacturing shop.鈥 

鈥淎nd that精东影业 just outside of China. Within China, we have positioned ourselves very well. We have a facility in Xiamen that精东影业 doing APU repair. Honeywell also has a center in Shanghai doing avionics,鈥 Ai added.

Ai also emphasized that when it comes to MRO, Honeywell endeavors to get close to its customers.

鈥淎s close as possible, so we are well-positioned within the region,鈥 he added. 

A renewed look at MRO

Ai said that while the demand for MRO is growing, the pandemic made Honeywell 鈥渕ore open鈥 with how it viewed the activities and processes. Before the global crisis, Ai noted, Honeywell handled all its MRO capabilities within the company.

Juice Flair / Shutterstock.com

鈥淲e wanted to manage and establish MRO on our own,鈥 Ai said. 鈥淏ut during and after COVID, we took a different and more open approach.鈥

Honeywell Is now open to licensing out some of its MRO capabilities to its channel partners in the region. 

鈥淥ur channel partners will be utilizing Honeywell精东影业 IP Tech knowledge, and we will deeply look into their procedures to make sure they are following our quality standards,鈥 Ai said. 鈥淥ur channel partners act as an extension to servicing our customers.鈥

Safeguarding against challenges and seizing opportunities

A fast-growing market also comes with its own set of challenges. One of these, Ai said, is supply chain constraint, which is not just concentrated in one region, but is being experienced globally. 

With Honeywell having such a broad product line, including avionics, mechanical components and engine and power syste m parts, the company formed two special task teams to ensure the smooth flow of operations and minimal disruption. 

The first team, which is customer-focused, works directly with its suppliers in relation to short-term or immediate fixes. The second, which ensures customer-readiness, is assigned to work on long-term services.

To address the increased demand, Ai said that Honeywell is growing its talent in the Asia-Pacific region. 

Image: Pavel Mikheyev / Shutterstock.com

鈥淲e are expanding our workforce in some of our high-growth countries,鈥 Ai said. 鈥淟ast year, we expanded our staff in Vietnam and Indonesia to catch up with the demand in those regions.鈥 

Ai added: 鈥淚t精东影业 about getting the right talent, and making sure we build and help them.鈥

Ai forecasted an opportunity for more widebody aircraft in the Asia-Pacific region, an opinion shared by Airbus APAC President Anand Stanley. 

鈥淭he aircraft heavy and component level maintenance business is moving a lot towards APAC,鈥 Ai explained. 鈥淪o our major strategic partners are getting a lot more footprint, and attracting more widebody aircraft to the region.鈥 

Honeywell精东影业 safety enhancement and innovation

Although we are seeing an impressive demand for air travel in 2024, there have also been a number of safety-related incidents worldwide in commercial aviation.

How is Honeywell placing safety at the forefront of its services and products?  

鈥淚f you look at Honeywell, our product line in the aircraft and aerospace technology product line always focuses on two things: safety enhancement and efficiency,鈥 Ai said.

Ai named a number of Honeywell products that help facilitate a pilot精东影业 situational awareness and improve an aircraft精东影业 safety enhancement:  EGPWS [Enhanced Ground Proximity Warning Sys tems] ,radar transponders and Surface Indications and Alert Sys tem [SURF IA], a safety technology that is intended to reduce accidents and collisions on runways. 

Image: Honeywell Aerospace

鈥淲e are also continuing to enhance weather radar capabilities like providing the ability to detect hail or traumatic weather conditions so that pilots can make much better decisions to improve flight safety,鈥 Ai said.

As for runway incursions, Ai said that Honeywell developed the Runway Awareness and Advisory Sys tem (RAAS), a heads-up advisory sys tem with aural alerts to increase the pilot精东影业 situational awareness during ground and air operations relative to the runway. This helps minimize the risk of runway incursions and reduce operational costs.

鈥淔rom a product perspective we continue to provide technology upgrades towards safety enhancement,鈥 Ai said. 

Ai added that Honeywell also has an Environmental, Health and Safety (EHS) Team to make sure that the company and its channel partners are achieving high standards in safety.

Ongoing efforts to minimize operational disruption

Ai emphasized that Honeywell精东影业 priority when supporting airlines is to ensure they have enough materials and products to avoid any aircraft on ground and disruptions, which often result in a heavy financial toll on companies.

To help realize this kind of support, Ai said that Honeywell is continually enhancing its AOG (Aircraft on Ground) Center, which has dedicated support teams that are available 24/7. 

Image: Honeywell Aerospace

On top of this, Honeywell is also making sure that customer experience is convenient and smooth. Ai said that the company has a Customer Portal site where Honeywell customers can track orders, get 24/7 technical help, access technical publications like operating manuals, and get customized updates such as ETA of parts delivery. Honeywell is also gearing up its customer service and support team accordingly. 

The Airports Council International (ACI) is projecting passenger traffic in Asia-Pacific to reach nearly , an increase of about 14% from 2023. 

It appears that Honeywell is well-positioned and armed to support this growth. 

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Lufthansa Technik and Air India Express sign first time deal for engine overhaul /articles/lufthansa-technik-air-india-express Tue, 23 Jan 2024 04:04:00 +0000 /?p=90006 Maintenance, repair and overhaul (MRO) provider Lufthansa Technik and low-cost airline Air India Express have signed their first…

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Maintenance, repair and overhaul (MRO) provider Lufthansa Technik and low-cost airline Air India Express have signed their first engine overhaul deal together. 

The agreement announced on January 22, 2024, will see Lufthansa Technik provide the Air India subsidiary with Engine Maintenance Services (EMS).听

The contract includes overhauling a minimum of three CFM56-7B engines for Air India Express鈥 Boeing 737-800 fleet. 

The agreement between the two parties was signed at in Hyderabad, which was held between January 18 and 21, 2024.听听

鈥淲e are extremely pleased to announce this cooperation with Lufthansa Technik. Thereby, Air India Express now has access to Lufthansa Technik精东影业 industry-leading experience and years of knowledge that will further assist us in our growth and operational reliability,鈥 Anil Jain, Head of Engineering at Air India Express, said.   

Lufthansa Technik already supports a part of Air India Express鈥 737 fleet with ad hoc repair and exchange of components as well as Aircraft on Ground (AOG) Services. 

鈥淲e extend our gratitude to Air India Express for entrusting us with their vital maintenance needs. Lufthansa Technik holds this collaboration in high regard and eagerly anticipates the development of this new and mutually beneficial partnership,鈥 Johanna Koch, Vice President Corporate Sales Southeast Asia & Indian Subcontinent at Lufthansa Technik, said.听

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The critical challenge of titanium shortages in MRO supply chains /articles/the-critical-challenge-of-titanium-shortages-in-mro-supply-chains Thu, 09 Nov 2023 09:00:14 +0000 /?p=84715 The aerospace and aviation industries have been fighting unprecedented supply chain challenges in recent years, and one of…

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The aerospace and aviation industries have been fighting unprecedented supply chain challenges in recent years, and one of the biggest problems has been the shortage of titanium. This shortage has sent a significant shockwave through the Maintenance, Repair, and Overhaul (MRO) sector, creating a dire need for agile supply chain solutions to counteract the impact. Toma Matutyte, CEO of Locatory.com, a leading aircraft parts locator in the aviation aftermarket, shares insights on the reasons behind the titanium shortage, the consequences it has brought, and the potential solutions that MROs must adopt to navigate this challenging landscape.

The role of Ukraine in titanium production

To understand the titanium shortage, it is essential to recognize Ukraine’s historical significance as one of the largest producers of titanium in the world. Ukraine’s rich titanium resources, particularly the deposits located in the Zaporizhia region, have played a crucial role in global supply. However, the annexation of Crimea by Russia and the war in Ukraine have disrupted this supply chain.

While Ukraine itself does not manufacture metallic titanium or its finished products, the country exports titanium concentrates, which are subsequently processed and utilized in various nations. Throughout the conflict, the Ukrainian state-owned United Mining and Chemical Company (UMCC Titanium) managed to export a substantial 82.2 thousand tons of titanium-containing ores between July 2022 and April 2023. Reports from KyivPost and other investigations carried out by Ukrainian and Western media outlined that a notable portion of these shipments ultimately reached Russia.

The world’s most significant titanium producer, the Russian VSMPO-Avisma Corporation, has historically depended on Ukrainian raw materials and continues to do so. Investigators have raised alarms, as VSMPO-Avisma’s products are widely used in global aerospace production.

Russia was a significant supplier of titanium to both Boeing and Airbus before the war. Boeing even had established a joint venture with VSMPO-AVISMA, a part of Rostec, a Russian government-owned industrial and defense conglomerate. As recently as November 2021, just three months before the war began, Boeing and VSMPO-AVISMA had extended and expanded their collaboration, with approximately one-third of Boeing’s titanium coming from Russia.

In Airbus’s case, their reliance on Russian titanium supplies was even more substantial. While they didn’t have a joint venture like Boeing, it’s estimated that they sourced about half of their required titanium from Russia. However, the war has brought about a significant change.

To illustrate the gravity of the titanium shortage issue, according to KPMG’s Aerospace & Defence Outlook 2023, titanium shortages have been identified as one of the top supply chain concerns in the aerospace industry. The Oliver Wyman Global Fleet and MRO Market Forecast Update 2022 report highlighted that the demand for titanium in aviation is expected to grow steadily, with no signs of slowing down.

Meanwhile, AviationPros reported that US aviation supply chain challenges, including parts shortages and rising costs, are partly attributed to the titanium shortage. Ukraine’s titanium production has been severely impacted by the Russian invasion leading to a decline in exports and a tightening of global titanium supply. This disruption has had far-reaching consequences, as titanium is a vital material in aerospace manufacturing, known for its exceptional strength-to-weight ratio, corrosion resistance, and high-temperature stability. As CFRP (Carbon Fiber Reinforced Plastic) is becoming more widely used in the production of airframe and engine components, global demand for titanium used in aerospace manufacturing is also rising as the metal is perfectly compatible with CFRP when it comes to coefficient of thermal expansion and even corrosiveness.

In addition to airframe components, titanium alloys find application in modern aircraft engines, including turbofan motors, which power the majority of the world’s most popular commercial aircraft. Titanium plays a critical role in the production of key engine components, such as the fan, compressor, combustion chamber, and turbine.

Ukraine’s titanium production has decreased significantly, contributing to a global titanium production decrease of approximately 12% over the last five years, as per the Oliver Wyman Global Fleet and MRO Market Forecast Update 2022. The shortage has led to a sharp increase in titanium prices. AviationPros puts down that rising costs are one of the factors pressuring the aviation supply chain, with titanium being a major contributor to these cost escalations.

Numerous indicators suggest that the biggest aerospace manufacturers, like Boeing, Airbus or Embraer were making earnest efforts to reduce its reliance on Russian suppliers ever since the invasion began and even before the majority of Western sanctions on Russian exports were applied. Nonetheless, as challenging as it was already, additional issues were piling up ever since. While Russia stands as the world’s third-largest titanium producer, lagging behind China and Japan in terms of material output, it had held the position of the primary supplier of aerospace-grade titanium, contributing to half of the world’s aerospace titanium prior to 2022.

Various strategies are being considered to address this issue. One possible solution is to procure titanium from China, which overtook Russia as the world’s foremost titanium producer many years ago. However, this approach still presents challenges, as China’s titanium production is steadily increasing, and it would essentially shift the West’s titanium dependency to another nation.

The shortage has resulted in delays and disruptions in the production of critical aerospace components, impacting aircraft manufacturing and maintenance schedules. 鈥楳ROs are experiencing resource crunches, with access to sufficient titanium materials becoming increasingly difficult. This directly affects their ability to repair and maintain aircraft.

Agile supply chain management as solutions for MROs

In the face of these challenges, MROs must adopt agile supply chain strategies to mitigate the impact of titanium shortages鈥 鈥 explains Matutyt臈. Acknowledging the current state of the MRO industry, outlines the following strategies to offset supply chain risk in MRO.

  1. Diversify Suppliers: Reduce dependence on a single source of afterparts by diversifying suppliers and exploring alternative sources. Collaboration with global suppliers is vital to ensure a stable supply of titanium parts.
  2. Strategic Stockpiling: Maintain strategic stockpiles of critical titanium compounded materials and parts, to buffer against supply disruptions. This ensures a consistent flow of materials even during shortages.
  3. Advanced Forecasting: Utilize advanced forecasting tools and data analytics to predict and plan for material shortages, enabling proactive responses rather than reactive measures.
  4. Technology Adoption: Embrace innovative technologies, such as 3D printing and advanced composite materials, as potential substitutes for titanium in certain applications, reducing dependency on traditional materials.
  5. Collaborative Partnerships: Foster collaborative partnerships within the aerospace and aviation industry to collectively address supply chain challenges and share best practices.

The titanium shortage, exacerbated by disruptions in Ukraine’s production, has presented a formidable challenge to the MRO sector and the broader aerospace and aviation industries. As highlighted by key statistics, the consequences of this shortage are far-reaching, impacting production, costs, and resource availability. Locatory.com as part of the Avia Solutions Group family, the world精东影业 largest ACMI (Aircraft, Crew, Maintenance, and Insurance) provider will continue to deliver solutions in the competitive aviation aftermarket landscape. To navigate this turbulent landscape, MROs must be agile in their supply chain management. Diversifying suppliers, stockpiling critical materials, and embracing innovative technologies are essential steps toward ensuring resilience in the face of ongoing titanium shortages. Collaborative efforts within the industry will play a pivotal role in finding sustainable solutions to this supply chain crisis. By doing so, the aviation industry can continue to soar, even in the face of titanium scarcity.

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Unveiling the AOG Technics Scandal: Implications for the Aircraft MRO Industry /articles/unveiling-the-aog-technics-scandal-implications-for-the-aircraft-mro-industry Tue, 31 Oct 2023 11:27:28 +0000 /?p=84421 In a recent development that has sent shockwaves throughout the aviation world, the Federal Aviation Administration (FAA) issued…

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In a recent development that has sent shockwaves throughout the aviation world, the Federal Aviation Administration (FAA) issued an Unapproved Parts Notification (UPN) on September 21, 2023, regarding a critical bushing part supplied by AOG Technics. The crux of the matter? This part lacked the essential FAA production approval, and associated documents were found to be “falsified.”

AOG Technics, known for its involvement in the aerospace spare parts industry, had supplied these questionable parts, raising concerns about the safety and the authenticity of components used in the aviation sector. Airplane parts suppliers and, especially, marketplaces for aerospace parts and supplies, play a crucial role in supporting the MRO sector, airplane operators, and the whole aviation industry in an unforeseen situation like such explains Toma Matutyte, CEO of Locatory.com in the following insightful article.

TAP Air Portugal, one of the major European flag carriers, was the first to raise the alarm early this Summer. They have discovered that some parts, namely, engine bushings, installed on CFM56 engines, were worn out significantly, despite having been documented as completely new. This led to the discovery of false documentation for the parts supplied by AOG Technics.

How The AOG Technics Scandal Unfolded

UK-based broker AOG Technics, a name that might have gone unnoticed in the vast realm of aerospace suppliers ever since the company was founded back in 2015, suddenly found itself in the spotlight. The FAA’s UPN demanded immediate action: the removal and quarantine of uncertified bushings to prevent their installation until their eligibility could be verified.

After the London High Court issued a ruling, instructing AOG Technics to provide the record of its transactions with a supplier and to give more details on any CFM56 and CF6 parts it has sold along with the documentation for such parts, the company has gone completely silent.

These parts had been used in CFM56 engines, a workhorse of aviation, frequently seen in older-generation Airbus SE A320 and Boeing 737 aircraft.

The CFM56 engine, manufactured by CFM International, has long held the title of the world’s best-selling aircraft engine. The ripple effect of this scandal is undeniable, but what does it signify for the MRO industry?

Implications for the Aircraft MRO Industry

The MRO industry’s ability to respond effectively will determine its resilience and continued trustworthiness in the eyes of airlines and passengers. There probably will be several implications, as the aviation MRO sector is poised for increased regulatory scrutiny and stricter compliance measures. Moreover, there could also be a quality assurance reassessment as MRO facilities will need to revisit their procedures and quality control principles. This leads further to the issue of the security of supply chains as MRO companies will need to collaborate with trusted suppliers and enhance supply chain transparency to prevent counterfeit parts from infiltrating the system.

Reputation is everything in the MRO industry. MRO companies may need to rebuild or reinforce their reputation, demonstrating their commitment to safety, quality, and compliance. Yet, those market players that adapt swiftly and demonstrate their commitment to safety and quality may find new business opportunities. Airlines and regulators will be seeking reliable partners in the MRO sector who can provide the highest levels of assurance and compliance.

The reminder of importance of reliable airplane parts suppliers and marketplaces

The AOG Technics scandal serves as a stark reminder of the critical role that MRO companies play in maintaining the safety and reliability of the aviation industry. While these developments present immediate challenges, they also offer opportunities for innovation and growth for MRO companies that can adapt to the evolving landscape of aviation safety and compliance.

The short-term implication, which is already manifesting itself, and is about to undoubtedly have further impact on the future of the whole sector, is the growing need for a timely supply of critical parts for the affected airplanes, which are crucial to keep them flying.

As the aviation industry embarks on this journey of introspection and reform, the MRO sector will stand at the forefront of ensuring that aircraft continue to fly safely and reliably. The implications of the AOG Technics scandal may have a scope big enough to reshape the MRO industry, with an enduring commitment to safety and mutual trust among the business partners within the sector.

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MRO forecast over 8,800 shop visits and engine overhauls in 2024 /articles/mro-forecast-over-8800-shop-visits-and-engine-overhauls-in-2024 Thu, 12 Oct 2023 14:45:49 +0000 /?p=83462 Following the MRO forecast that over 8,800 shop visits and engine overhauls are expected in 2024, and nearly…

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Following the MRO forecast that over 8,800 shop visits and engine overhauls are expected in 2024, and nearly 9,000 for 2025 the aviation sector gears up for an era of extended asset life.

In a changing aviation landscape demand has consistently outpaced production, Locatory.com CEO, Toma Matutyte, notes, “Our data suggests that the drive for lean MRO will continue across an extended and agile aftermarket. As aircraft retirements are pushed out and demand outpaces production, the total forecasted quantity remains unchanged. The average age of aircraft in service is 12 years, with an average forecasted retirement age of 22 years. This industry shift underscores the paramount importance of agile asset management. The forecasts predict a staggering increase in shop visits and engine overhauls for 2024, necessitating the strategic application of technology to meet this burgeoning demand.鈥

The surge in overhauls anticipated further highlights the significance of efficient MRO in asset management.  Almost 7,700 engine overhauls are anticipated globally in 2023, and even greater numbers are projected for 2024 and 2025, totaling over 8,800 and nearly 9,000 shop visits, respectively. Engine MRO is expected to be worth roughly 45% of the entire commercial aftermarket. Global engine shop visits are still below pre-COVID-19 levels despite attempts to increase capacity, with the industry seeking to reach pre-pandemic levels by the second half of 2024. The engine MRO supply chain has seen ongoing difficulties, such as OEM manufacturing limitations, protracted lead times, and material shortages made worse by international events. The aftermarket must increase efficiency and cost containment to meet demand into 2024 and 2025.

According to Matutyte, 鈥淭he aviation industry is at a pivotal juncture where the total cost of ownership value proposition for customers must be elevated through lean and cost-effective MRO solutions. The extended life of aircraft in service presents a formidable challenge and an extraordinary opportunity in the aftermarket segment. As operators grapple with the reality of extending aircraft service beyond traditional retirement ages, agile asset management becomes the linchpin for success.鈥

Leading MRO practice leverages advanced technology and a global network of suppliers to streamline supply chains, optimize inventory management, and ensure minimal downtime by embracing lean principles and cutting-edge data analytics, extending asset life while reducing operational costs. 鈥淭his is where the MRO sector will need to be to win capacity and meet demand,鈥 says Matutyte.

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Software solutions simplify MRO tool management /articles/software-solutions-simplify-mro-tool-management Sat, 30 Sep 2023 12:32:00 +0000 /?p=83971 Managing a thriving MRO business can quickly become a challenge without the right tools and systems in place.…

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Managing a thriving MRO business can quickly become a challenge without the right tools and systems in place. To address these challenges, many organizations turn to advanced software solutions that can allow for improved resource management, ensuring efficient and optimized operations.

Below, a product director at Sensus Aero, a new-gen software solution for the aviation industry, shares his insights on the most pressing MRO tool-related issues and how new technology solutions can address them.

Tool tracking

One significant issue that software can help to solve is tool tracking. Without a strong tool tracking system, it becomes difficult to keep tabs on which tools are currently in use, who is responsible for them, and when they require calibration or maintenance. Tailored software solutions designed specifically for MRO operations can efficiently monitor tools, track mechanics’ usage and identify any overdue tool returns.

Calibration and maintenance

The calibration and maintenance of tools presents another crucial consideration for MRO organizations. Inaccurate or improperly calibrated tools not only compromise work quality but also pose safety risks. Regular calibration is essential, yet it can be overlooked without proper control measures. Software programs can come to the rescue here by sending reports and reminders about upcoming calibration dates, preventing the use of tools with expired calibrations completely. The same goes for tool periodic checks, as software systems can generate reports and track expiration dates to ensure timely inspections.

Compliance and safety

Maintaining proper tool control is not only vital for smooth operations but also for adhering to industry regulations and safety standards. Failure to comply with these requirements can result in safety incidents and legal complications. MRO business management solutions such as Sensus Aero can ensure that all tool control is executed according to strict quality requirements. Such programs can also allow quality managers to conduct audits and review all tool-related actions within the system, maintaining compliance and safety.

As organizations grow larger, their operations become more complex, and effective tool control systems then become crucial to maintaining efficiency. Businesses should not only focus on enhancing their operations but also on managing them efficiently, through the use of smart and convenient software solutions. Investing in advanced MRO management software can empower businesses to streamline processes, mitigate risks and foster a safer work environment.

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Sensus Aero: simplifying MRO organizations鈥 contracting and billing /articles/sensus-aero-simplifying-mro-organizations-contracting-and-billing Sat, 30 Sep 2023 12:29:00 +0000 /?p=83968 Clear and concise communication every step of the way is of crucial importance for any MRO business and…

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Clear and concise communication every step of the way is of crucial importance for any MRO business and its customers. And while some aspects of communication are easy to handle, others pose more of a challenge, even to the most experienced industry players. According to Sensus Aero – a new-gen software solution for the aviation industry – contracting can be one of the most challenging parts of business-customer communication.

Aviation is an extremely precise and safety-focused industry, and the MRO sector is just as detail-oriented, if not more so. 鈥淐ontracts between MRO services providers and their customers have various conditions, exceptional rules and specifical agreements. It can become truly difficult to apply all these rules and conditions in real life,鈥 Sensus Aero explains. 鈥淲hen working on billing contracts such as these, the main issues are difficult-to-contract management tools and systems that lack flexibility and customization and are complicated to work with. That精东影业 why we put a lot of effort into making sure that the Sensus MRO contract tool is easy to use and offers a lot of flexibility for MRO providers.鈥

According to the Product Director at Sensus Aero, the tool allows clients to customize their contracts easily by applying rules for various aspects of MRO business. 鈥淪ensus MRO software精东影业 billing rules module provides the flexibility to apply contract conditions to their customers. It allows organizations to bill labor per specific skill, work card, task, or routine; bill parts and materials for specific price lists or discounts, the ability to apply landing costs and various types of MARKUPS or CAP’s, to bill work cards or tasks for fixed prices. The tool also enables the administration of tasks or work cards to specific groups which could be managed by the different rules, as well as to bill services and charges related with the maintenance costs that come from third party providers.鈥

The tool allows not only for the customization of billing rules and conditions but also the simplification of invoice preparation. 鈥淎ll the information gathered by the Sensus MRO software can be prepared for Invoices or intermediate invoices which can be sent directly to customers or specific accounting systems. It also allows users to get the latest billing information in seconds in a fast-changing maintenance environment,鈥 the Product Director adds.

Simplifying and optimizing MRO processes and operations can have a huge impact on overall business success. As such, allowing Sensus MRO software to improve billing and invoicing can be beneficial to both MRO organizations and their customers.

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