SCM Aviation 2015

Competitiveness of French and German Aerospace Suppliers

Competitiveness of French and German Aerospace Suppliers

Michael Santo, Jochen Schmid, h&z Unternehmensberatung AG

The role of aerospace suppliers below tier-1 level has been transformed over the past 20 years and this transformation continues today. OEMs and tier-1 customers expect lower-tier suppliers to demonstrate technological prowess as well as more rounded service portfolios than in the past. In 2012 and 2013, based on a broad sample of aerospace suppliers and their OEM and tier-1 customers, we conducted two strengths and weaknesses analyses to evaluate where suppliers stand in this transformation process, based on 22 criteria in the areas of customer and market access, product/service offerings, and enabler processes and skills. We found that only 9% of the aerospace suppliers meet their customers’ expectations in all criteria. Another notable finding revealed that 40% are far from meeting customer expectations in the medium term. In this article, we look first at the factors behind these findings before giving a brief review of what has changed since the studies were conducted. Finally, we summarize a related topic that we are currently studying.

Collaborative Quality Management in Aerospace

Collaborative Quality Management in Aerospace

Laurent Martin-Rohmer, SupplyOn AG

Aerospace quality processes have always been quite specific. However, like processes in supply chain management they are gradually starting to become more of an industry standard. SupplyOn’s standardized solutions, well-established in the automotive industry, now support aerospace companies in implementing highly transparent and efficient processes also in the area of quality management. This article describes how the aerospace industry and the automotive industry can learn from each other and thus drive progress in both industries.

Recent Advances in Operations Research Towards Efficient Airline Management

Recent Advances in Operations Research Towards Efficient Airline Management

Konstantin Biel, Technische Universität Darmstadt, Jörg M. Ries, City University London

The airline industry is considered as one of the most dynamic industries at all. Besides continuous technological advancements, deregulation has been identified as a major driver of this development. To cope with the steadily increasing competition and the resulting cost pressure, airline managers have consistently intensified the use of operations research methods to solve the complex planning problems they face. As computation capacities available have substantially increased in recent years, more and more sophisticated issues can be handled. This article introduces the current challenges within the airline industry and gives an overview of the planning problems whose solutions may significantly benefit from advanced analytical optimization approaches. Based on a systematic literature review, it is shown that the integrated consideration of planning problems, which have thus far been treated separately, as well as robust planning approaches, which aim at reducing the impact of schedule disruptions on the airline performance, rank among the hottest topics within airline operations research.

Risk Sharing Partnership (RSP) in Aerospace: The RSP 2.0 Model

Risk Sharing Partnership (RSP) in Aerospace: The RSP 2.0 Model

Prof. Dr. Stephan M. Wagner, Stephan Baur, ETH Zürich

The demand for large commercial and regional aircraft is expected to grow in the next decades. Despite this promising development on the market, supplier firms in this industry face several challenges, some driven by the risk-sharing partnership (RSP) contracts that have been implemented largely for recent aircraft programs such as A350XWB and B787. This article discusses the RSP concept and presents the risks which are shared between the buyer (e.g. aircraft/engine OEM) and the supplier firm in this type of contract within the framework of a new product development (NPD) project. We then discuss a challenge that supplier firms have encountered in recent RSP contracts and, based on this, suggest a potential improvement which could lead to an RSP 2.0 model. […]