SITB180: Digitizing the Firm: Executing a Digital Strategy in a Physical World Nick Gehr Francisco Alatorre

1. By:
Nick Gehr
and
Francisco Alatorre
Digitizing the Firm:
Executing a Digital Strategy in
a Physical World

2. Who We Are
Nick Gehr Francisco Alatorre
Director of Digital
Transformation
24 Yrs @ Aviall, Inc
• Inside Sales
• Sales Analyst
• CSC Manager
• Marketing Manager
• Marketing Director
• EPO for SAP Implementation
• OTC/EWM
• OCM
• Director of eBusiness
Runner
Cyclist
Swimmer
Ironman
Retired USAF
Manager of Enterprise
Applications & Support
Services
12 Yrs @ Aviall, Inc
• IS Support Specialist
• Desktop Support Technician
• Executive Desktop Support
• IS Support Services Manager
• Manager of Enterprise Applications & Support Services
Retro PC Hobbyist
Emulation Enthusiast
Technology Advocate
Lean Sigma (Yellow Belt)
ITIL | Agile | DevOps

3. Aviall, a Boeing Company
Aviall is a wholly-owned subsidiary
of The Boeing Company
Aviall
Commercial Aviation
Services
Boeing Commercial
Airplanes
Boeing Defense
Space & Security
The Boeing Company
Material
Services
Global Services
and Support
Integrated
Logistics
57%
Airline
23%
Military/Gov’t
20%
GA / BA
Who We Are
Leading industry worldwide operations service and support
• Central Distribution Center in Dallas
• Multiple stocking locations in USA & Canada
• Seven stocking locations in Australia & New Zealand
• Stocking locations in Dubai, Singapore, Hong Kong and Netherlands
• Locations planned for mainland China

4. Who We Are
Global Market Coverage
• Business & General aviation
• Commercial & Regional Airlines
• Government & Military

5. 5Aviall’s Confidential & Proprietary Information |
Aviall at a Glance
25,000 customers
240+ OEM
product lines
40 global stocking
locations
75,000 hose
assemblies/yr.
5000
shipments
daily
~2 million part
numbers
1,400 employees
36,000 wheels
and brakes
overhauled/yr.
22,000
batteries
serviced/yr.
Who We Are

6. 6Aviall’s Confidential & Proprietary Information |
Who We Are

7. All Started With a Challenging Mandate
“If we’re not changing the industry
we’re not thinking big enough”
- Eric Strafel
President and Chief Executive Officer

8. …this poses opportunities and threats To Any Company
Technology
forces…
Analytics &
cognitive
CloudMobile Internet
of Things
…are creating new
experiences…
Experience journey Digital ubiquity Omnichannel
…and disrupting
operational models.
Traditional value chain Ecosystem
Social Security
Transformation is Driving The Evolution and Creation of
New Business Models

9. Other Industries Digital Disruptors
World’s largest
transportation
company…
owns no
vehicles
World’s biggest
media
company…
creates no
content
World’s most
valuable
retailer…
has no
inventory
World’s largest
accommodation
provider…
owns no real
estate
World’s largest
video conference
company…
has no telco
infrastructure

10. Companies Must Disrupt Themselves Before They Are Disrupted by Others
Aircraft
Manufactures are
trying to improve the
Digital Experience
of their customers
Fractional Ownership
companies represent
a Digital Disruption,
not just to the airlines,
but to aircraft
manufactures as well
Both are addressing the
customer basic need to
move from A to B
Fractional Ownership Realities
• NetJets’ founder and chairman Richard Santulli, the father of fractional ownership, was a math whiz who
could figure out how to slice and dice private jets and sell them to wealthy individuals and big
companies, yet have a plane ready for anybody anywhere on four hours notice.
• Warren Buffet made a $18B investment in NetJets, believing corporate jet fleets will be retired and
companies, and individuals will move towards the rental corporate jet market
Companies Must Create Great Experiences

11. 11
• Relentless pursuit of automation (make ‘machine’ do more)
• Make Aviall simpler – more flexible to create value for Customers
• Make Customers simpler – Grow customer’s value to their market
• Provide the best customer and employee experiences in industry
• Make Insights valuable to customers, industry
• Speed from Information “event” to action
• Analytics for Aviall health  more value to customers
• Create innovative service offerings to customers/market
• Access and use ANY data across industry
• Most powerful, simple, flexible connection capabilities
• Aviation data ecosystem will drive simplicity and create opportunities
Digitize the Firm
Win with Analytics
Own and Connect Aviation Data
Aviall “Digital” to transform the aviation parts aftermarket
simplify the industry and solve customer problems
Aviall’s Digital Strategy
All digital experiences Stability and Speed
Speed to Action
ECOSYSTEM OF
KKNOWLEDGE  Business
Outcomes

12. Digitize the Firm
Digitizing the Firm aims to deliver better experiences, to make Aviall more
efficient and offer new digital routes to market
• Relentless pursuit of automation (make ‘machine’ do more)
• Make Aviall simpler – more flexible to create value for Customers
• Make Customers simpler – Grow customer’s value to their market
• Provide the best customer and employee experiences in industry
Digitize the Firm
All digital experiences Stability and Speed
Know Your Customer
and
Be the Business

13. Environmental Health & Safety Management System
Digitize the Firm
Win with Analytics
Aviall’s Digital Evolution

14. (JOC) Joint Operations Center
(AOG) Airplane on Ground
(OCC) Operations Control Center
Aviall’s Digital Evolution
Digitize the Firm
Win with Analytics

15. Vendor Management System
Aviall’s Digital Evolution
Digitize the Firm
Win with Analytics

16. Thank You and Good Luck!