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17_03_2015_MRO_LECTURE_For_L

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17_03_2015_MRO_LECTURE_For_L

  1. 1. MRO Business Context Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  2. 2. The Big picture Agenda MORE FOR LESS AIRLINES REDUCE MAINTENANCE COST MRO OEM ONE STOP SHOP FLY BY THE HOUR SERVICES MRO NETWORKS MRO CONSOLIDATION MRO NETWORKS BETTER MAINTENANCE PROGNOSIS BETTER USE OF DATA INDUSTRIAL INTERNET Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  3. 3. The big picture . . . We live in the world of more for less MORE FOR LESS Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  4. 4. Things that all of us know Passengers has the power to push down the airfares . . . Data Source: IATA Profitability and the air transport value chain Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  5. 5. The big picture . . . … and the airlines are the first victims . . . MORE FOR LESS AIRLINES Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  6. 6. Things that all of us know Return on invested capital in the airlines and their WACC "If you want to be a Millionaire, start with a billion dollars and launch a new airline." Data Source: IATA Profitability and the air transport value chain Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  7. 7. Things that all of us know Evolution of aircraft utilization Data Source: IATA Profitability and the air transport value chain Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  8. 8. Some things that some of us didn’t know . .. ROIC services vs airlines Data Source: IATA Profitability and the air transport value chain Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  9. 9. Some things that some of us didn’t know . . . Return on capital varies throughout the air transport value chain Data Source: IATA Profitability and the air transport value chain Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  10. 10. Things that all of us know Airlines struggle with high and volatile fuel prices 0 20 40 60 80 100 120 140 160 180 Jet Fuel Spot Price WTI $/bbl Brent $/bbl JET FUEL 77.5 WTI 50.57 BRENT 60.29 WTI & BRENT Data March 4th 2015: Source: Bloomberg JET FUEL: February 2015 IATA 2015 Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  11. 11. Some things that some of us didn’t know . . In 2005 fuel overpass labour as most important source of cost Soucre: Air Transport Association of America 2012 Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  12. 12. The big picture… The airlines are always looking how to reduce cost MORE FOR LESS AIRLINES REDUCE MAINTENANCE COST Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  13. 13. Typical airline cost structure 33% 1% 4% 4% 5%5% 11% 7% 7% 7% 7% 9% Fuel and Oil Other** Air Navigation Charges Passenger Service Cabin Attendants Airport Charges Aircraft Ownership Station and Ground Reservation , ticheting, Sales and Promotion Flight Deck Crew General and Administrative Maintenance and Overhaul IATA Airline Cost Management Group (ACMG) 2014 Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  14. 14. How can airline Management influence cost? External factors - Fuel prices - Salaries - Over flight and Landing fees Limited control  Aircraft Selection  Fuel consumption  Maintenance programme  Insurance  Aircraft Operation  Fuel consumption  Maintenance programme  Crew costs  Handling/Catering Total control  Administration  Commercial policy (Lease or buy?) Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  15. 15. Saving 1% of fuel consumption will have a higher impact than saving 1% on maintenance cost. How can airline Management influence cost Not all savings have the same impact 33% 1% 4% 4% 5%5% 11% 7% 7% 7% 7% 9% IATA Airline Cost Management Group (ACMG) 2014 Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  16. 16. Maintenance cost Context of direct and indirect maintenance cost Total Operating Cost Disposal Cost Direct Operating Cost Indirect Operating Cost Financial Operation Maintenance Cost Delays/Cancellations Others Direct Operating Cost Indirect Operating Cost End of life •Build/Facilities fees •Administration •Marketing Purchase of: •Aircraft •Engines •Spares •Specific tools •Interest •Depreciation •Crew Expenses •Fuel •Landing •Nav Fees •On a/c Labour & Material (Maintenance Checks) •Off a/c Labour & Material (Engine overhaul, Component repair) •Service Fees (e.g spares) •Energy, IT services •GSE Maintenance •Engineering work •Training Insurance Life Cycle Cost Data Source: Air Business Academy 2013 Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  17. 17. Maintenance cost Direct vs Indirect Maintenance Cost Direct Maintenance Cost Indirect Maintenance Cost •Maintenance Costs (labour & material) associated directly with operation the aircraft •Basic costs for maintenance of airframe components and powerplants •Cost is a function of aircraft size, design, age and its operating environment, etc, etc, etc ------ •Maintenance Costs associated indirectly with supporting the fleet •Additional costs for establishing and supporting maintenance of the fleet •Cost is a function of the level of support required by the operator: its maintenance capability, inventory and staff levels Data Source: Air Business Academy 2013 Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  18. 18. Direct Maintenance Cost Sources • The need to verify full system functionality on a regular basis • Airframe & system checks and inspections • The need to restore full performance by replacing worn parts • Engines, Components removed for overhaul • The need to comply with unscheduled component failure • Components replaced and repaired • On-condition maintenance Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  19. 19. Titelmasterformat durch Klicken bearbeiten Some slides removed due to confidentiality . . . Nicolas OSORIO LORA – Aircraft Lifecycle solutions
  20. 20. DMC Definitions DMC = Check Component Repair Engine Shop Visit + + Check Interval Comp. Repair Interval Eng. S.V Interval DMC = Check Component Repair Engine Shop Visit+ + Total number of flight hours during the period IN THEORY AS REPORTED Source: Air Business Academy 2013 Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  21. 21. Typical DMC Breakdown Components Source: Air Business Academy 2013 DIAGNOSTIC AND MAINTENANCE SYSTEM NACELLES/PYLONS INFORMATION SYSTEMS LIGHTS ICE AND RAIN PROTECTION HARDWARE FIRE PROTECTION OXYGEN FUEL AUTOFLIGHT VACUUM WATER/WASTE HYDRAULIC POWER PNEUMATIC COMMUNICATIONS IN FLIGHT FUEL DISPENSING INDICATING / RECORDING SYSTEM FLIGHT CONTROLS NAVIGATION AIR CONDITIONING AND PRESSURIZATION LANDING GEAR EQUIPMENT/FURNISHINGS Key parameters: • MTBUR* / MTBR** • Repair & Overhaul costs Costs split at: • Component level • Part number level to identify drivers Line 20% Engine 42% Component 23% Base 15% *Mean Time Between Unscheduled Removal **Mean Time Between Removal Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  22. 22. Titelmasterformat durch Klicken bearbeiten Some slides removed due to confidentiality . . . Nicolas OSORIO LORA – Aircraft Lifecycle solutions
  23. 23. Aspects that can influence aircraft maintenance cost Newness and Ageing Factors 0 0.2 0.4 0.6 0.8 1 1.2 1.4 1.6 1.8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Maintenancecostperyear Years from entry into service Newness factors ►Warranties ►Lower LRU removal rate ►Engines have long (first run) life Ageing factors ►Corrosion ►Fatigue ►Engines costs increase, LLP need replacement Newness Maturity Ageing Source: Air Business Academy 2013 Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  24. 24. Titelmasterformat durch Klicken bearbeiten Some slides removed due to confidentiality . . . Nicolas OSORIO LORA – Aircraft Lifecycle solutions
  25. 25. Maintenance cost in summary After 25 years A/C Value = Maintenance Cost (MC)) Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  26. 26. The big picture Inside the MRO industry MORE FOR LESS AIRLINES REDUCE MAINTENANCE COST MRO OEM Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  27. 27. MRO The Ecosystem – actors - The MRO its part of the airline and takes care of its own aircrafts -It doesn’t provide services to other airlines -It might have or not all the competences to perform the whole aircraft maintenance AIRLINE MRO - The MRO is owned by the airline but managed as an independent business - It can provide services to other airlines - The big MROs of this group try to develop MRO networks AIRLINE THIRD PARTY - Their main business is aircraft maintenance. - They are not owned by an airline or OEM. - They can have single or multiple capabilities INDEPENDENT MRO - Supply spares is the most important source of incomes for them. - They want to enhance they participation in the MRO services to increase revenues OEMS Parts Manufacturer Approval -It’s business is to produce and sell approved spares that could replace the ones from the OEMs PMA Objectives - Develop new capabilities and ensure market coverage - Phase consolidation - Provide one stop shop solutions - Propose new services JOINT VENTURES - Supply the market with spares either from OEMs or PMAs DISTRIBUTORS Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  28. 28. MRO Market Forecast Data Source: TEAM SAI. Data analysis P3 Group 11.5 13.2 17.2 22.1 29.9 33.212.2 15.3 18.7 11.9 14.8 17.7 2014 2019 2024 Airframe Engine Component Line 57.5 73.2 86.8 Compound Annual Growth Rate = 4% Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  29. 29. MRO Suppliers participation in the market Services and Materials 1% 56% 30% 23% 34% 14% 29% 9% 78% 8%23% 9% 5% 10% 12% 20% 30% 20% 30% 31% 10% 40% 40% 30% 48% 6% 4% 5% 2% 3% 3% 22% Airframe Engine Line Cabin Systems Landing Gear Avionics Flight Control OEM Airline Airline third party in house Airline third party outsourced Independent Joint Venture Contracted 8% 1% 1% 2% 20% 64% 58% 78% 10% 9% 42% 11%8% 8% 8%18% Airframe Engine Line Component Parts repair Surplus Distributors OEM PMA Services Providers Material Suppliers Data Source: TEAM SAI. Data analysis P3 Group Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  30. 30. VERY FRAGMENTED MARKET MRO Suppliers participation in the market Base maintenance suppliers Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  31. 31. MRO COST STRUCTURE Labor vs Material 60% 9% 77% 35% 50% 35% 62% 14% 40% 77% 23% 65% 50% 65% 38% Airframe Engine Line Cabin Systems Landing Gear Avionics Flight Control Labor Parts repair Material Data Source: TEAM SAI. Data analysis P3 Group Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  32. 32. MRO Outsourcing trends Source: IATA Airline Maintenance Cost Executive Commentary . Nov 2014 51 43 47 38 57 44 33 32 76 105 89 88 24 24 23 29 46 52 48 47 151 156 165 168 22 9 23 18 81 73 70 65 337 331 366 379 110 108 116 112 32 46 55 54 45 58 44 39 2010 2011 2012 2013 2010 2011 2012 2013 2010 2011 2012 2013 2010 2011 2012 2013 Base Component Engine Line OUTSOURCED MATERIAL LABOR Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  33. 33. MRO Outsourcing considerations 1. Ferry costs 2. MRO capabilities 3. Turn-around-time 4. Quality of work 5. Customer service 6. Maintenance cost ? Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  34. 34. MRO Outsourcing considerations – Ferry cost Boeing 777–200 LR ATR E-190 B737 Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  35. 35. MRO Outsourcing considerations – Logistics, customer support and TAT Irkutsk Moscow Sao Paulo Mexico Miami Aeroflot: 2 freq/day Paris Frankfurt Madrid Lufthansa: 4 freq/day Air-France KLM: 7 freq/day Iberia: 2 freq/day Lufthansa: 14 freq/week Air-France KLM: 12 freq/week Iberia: 14 freq/week Lufthansa: 7 freq/week Air-France KLM: 3 freq/week Iberia: 14 freq/week Lufthansa: 7 freq/week Air-France KLM: 7 freq/week Iberia: 7 freq/week Source: P3 Group & AeMBA MCTP 2010 Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  36. 36. MRO Outsourcing considerations – Logistics, customer support and TAT Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  37. 37. 10 20 30 40 50 60 70 1990 1995 2000 2005 2010 2015 2020 2025 US$dollars North America Mature Asian MRO Emerging Asian MRO MRO Outsourcing considerations – Maintenance cost ALL THAT MESS FOR ~4 BUCKS? 59US$ 55US$ 45US$ Average Widebody Airframe Heavy Maintenance 3rd Party Labor Rates In North America vs. Asia (USD per Man-Hour) Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  38. 38. Big Picture Welcome to the future . . . MORE FOR LESS AIRLINES REDUCE MAINTENANCE COST MRO OEM ONE STOP SHOP FLY BY THE HOUR SERVICES MRO NETWORKS MRO CONSOLIDATION MRO NETWORKS Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  39. 39. The evolution of the MRO after The 90’s 1990 1995 2000 2005 2010 Early 1990s Late 1990s Early 2000s Late 2000s Present Aftermarket Afterthought Increased Engine OEM Awareness Emergence of MRO Integrators Airline Bankruptcy Airframe/ Component OEM Response Source: Business Model Innovation In The Commercial Aftermarket; KATE SCHAEFER; MOOG 2014. Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  40. 40. Aftermarket was an afterthought in the Early 1990s 1990 1995 2000 2005 2010 Ecosystem 1990-1995 Airlines • Mostly captive maintenance • Maintenance cost center OEMs • Aftermarket afterthought • Rolls-Royce ahead of game Independents • Large independents • Most airlines performed maintenance inhouse • Rolls-Royce first to introduce flying hour support via TotalCare® contract with Cathay Pacific A330 EIS in 1995 • GE purchased British Airways engine MRO shop (GE Wales) • Emergence of profit focused airline MROs e.g. Lufthansa Technik, Swiss Air, TEAM Aer Lingus, SIAEC Source: Business Model Innovation In The Commercial Aftermarket; KATE SCHAEFER; MOOG 2014. Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  41. 41. Airlines Began Seeking Maintenance Cost Savings in the Late 1990s • Economic pressure forcing airlines to seek cost savings whenever possible • Emergence of low cost carriers with total outsource maintenance e.g. easyjet • FLS Aerospace and LHT innovate with component management solutions • PMA parts gain traction as airlines face escalating OEM spare parts pricing • Lufthansa Technik acquired a 20 percent stake in HEICO in 1997 1990 1995 2000 2005 2010 Ecosystem 1995-2000 Airlines • Airlines scrutinizing maintenance investment Increasing outsourcing OEMs • Increase awareness with some OEMs Independents • Boom times • Emergence of PMA Source: Business Model Innovation In The Commercial Aftermarket; KATE SCHAEFER; MOOG 2014. Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  42. 42. Several Large MRO Integrators Established in the Early 2000s • Structural change in the market as major US carriers spun off maintenance arms • Swiss Air and Sabena bankruptcies create two new independent integrators: SR Technics and Sabena Technics • Beginning of broad component support era - Lufthansa Technik launched Total Component Support® with Spirit Airlines Ecosystem 2000-2005 Airlines • Maintenance not viewed as core anymore OEMs • Some OEMs develop dedicated aftermarket organization • Isolated innovation Independents • Some encroachment by OEMs • Emergence of large Integrators • PMA heyday 1990 1995 2000 2005 2010 Source: Business Model Innovation In The Commercial Aftermarket; KATE SCHAEFER; MOOG 2014. Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  43. 43. Late 2000’s were Characterized by Airline Bankruptcies and Maintenance Arm Spin Outs • Several airline bankruptcies in North America: US Airways, United, Air Canada, Northwest etc. • Airlines maintenance arm spin outs: Air Canada Technical Services • GE launched TRUEngine® program in 2008 as defensive measure against PMA usage • Rapid growth of Middle East carriers; Goodrich opened Dubai campus in 2006 1990 1995 2000 2005 2010 Ecosystem 2006-2010 Airlines • Spin out or slim down • Bankruptcy OEMs • More OEM aftermarket Organization • Some service innovation Independents • Independents losing market share • PMA growth slows down Source: Business Model Innovation In The Commercial Aftermarket; KATE SCHAEFER; MOOG 2014. Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  44. 44. The Focus is Now on Airframe and Component OEM Response in the Aftermarket • Aircraft OEMs establishes aftermarket support programs: Airbus FHS / Boeing GoldCare • Component OEMs grows flying hour offering and introduces licensed service center model • Era of surplus parts and aircraft cannibalization • Emergence of AJ Walter 1990 1995 2000 2005 2010 Ecosystem 2010 Airlines • ROIC focus • Consolidation OEMs • Aircraft and component OEMs get aggressive Independents • Independents struggling • PMA market flat • Asset management giants (AJ Walter) • Decision to compete or partner • Aircraft recycling Source: Business Model Innovation In The Commercial Aftermarket; KATE SCHAEFER; MOOG 2014. Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  45. 45. MRO The Ecosystem – part 2 Narrow Output Oriented Broad transactional Broad Output Oriented Narrow Transactional Most of ATA Chapters BreadthFew ATA Chapters Transactional Solutions Service Integration Output Oriented Solutions Broad Output Oriented Key Selection Criteria • Access to inventory • Total cost Key Success Factors • Asset management • Large rotable pool • Logistics • Customer support • Account support Key Suppliers • Global Integrators • Aircraft OEMs Broad Transactional Key Selection Criteria • Price • Breadth of offering Key Success Factors • Low overhead • Supplier management Key Suppliers • Component brokers • Larger independents Narrow Transactional Key Selection Criteria • Cost • TAT Key Success Factors • Low overhead • Product Focus • Execution Key Suppliers • Small • Independents Narrow Output Oriented Key Selection Criteria • Total cost guarantees • Engineering Key Success Factors • Technical support • organization Key Suppliers • Tier 1 Component OEMs Source: Business Model Innovation In The Commercial Aftermarket; KATE SCHAEFER; MOOG 2014. Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  46. 46. New and ageing fleets requires different kind of services Source: Business Model Innovation In The Commercial Aftermarket; KATE SCHAEFER; MOOG 2014. Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  47. 47. The Big Picture The rise of the machines MORE FOR LESS AIRLINES REDUCE MAINTENANCE COST MRO OEM ONE STOP SHOP FLY BY THE HOUR SERVICES MRO NETWORKS MRO CONSOLIDATION MRO NETWORKS BETTER MAINTENANCE PROGNOSIS BETTER USE OF DATA INDUSTRIAL INTERNET Optimize parts utilization to reduce cost, increase revenue and maintain safety Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  48. 48. Aircraft Data Value Chain Data generation Data Transmission Data hosting Data processing conversion Data analysis (2) : experts Sensors & Embedded computers Experts Software Applications(5) Middleware (4) ACARS Gatelink Data analysis (1): tools Software applications Data acquisition ValuechainEmbedded FDAU / ACMS Source: P3 Group. Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  49. 49. The Big picture Conclusion MORE FOR LESS AIRLINES REDUCE MAINTENANCE COST MRO OEM ONE STOP SHOP FLY BY THE HOUR SERVICES MRO NETWORKS MRO CONSOLIDATION MRO NETWORKS BETTER MAINTENANCE PROGNOSIS BETTER USE OF DATA INDUSTRIAL INTERNET Stay close to the customer • Braking silos - the middleware • Information sharing • Ingest data, analyse it , use it • What is an airline? • What is the product of the airline? • What is the role of Airbus? • Who do Airbus support? • FHS coverage • Consolidation (Civil and Defense – Austerity) SIMMAD • Outsourcing is a trend in civil and defense Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  50. 50. Exercise – 1 Pick up an airline from your country and place it in one of the four boxes and give your reasons Narrow Output Oriented Broad transactional Broad Output Oriented Narrow Transactional Most of ATA Chapters BreadthFew ATA Chapters Transactional Solutions Service Integration Output Oriented Solutions Broad Output Oriented Key Selection Criteria • Access to inventory • Total cost Key Success Factors • Asset management • Large rotable pool • Logistics • Customer support • Account support Key Suppliers • Global Integrators • Aircraft OEMs Broad Transactional Key Selection Criteria • Price • Breadth of offering Key Success Factors • Low overhead • Supplier management Key Suppliers • Component brokers • Larger independents Narrow Transactional Key Selection Criteria • Cost • TAT Key Success Factors • Low overhead • Product Focus • Execution Key Suppliers • Small • Independents Narrow Output Oriented Key Selection Criteria • Total cost guarantees • Engineering Key Success Factors • Technical support • organization Key Suppliers • Tier 1 Component OEMs Source: Business Model Innovation In The Commercial Aftermarket; KATE SCHAEFER; MOOG 2014. Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  51. 51. Titelmasterformat durch Klicken bearbeiten MRO 5 FORCES ANALYSIS Suppliers bargaining power: medium/low + Fragmented market of spare parts allowing MRO to often look/ask for best deal, except for specific complex parts (eg. Engine) Customer bargaining power: medium - In general, airlines (especially large carriers) able to shop around/ask for favorable conditions + However several exceptions constraining airline power + Geographical areas with limited MRO coverage + Complex/customized parts with limited providers + Urgent/emergency maintenance forcing a price taker scenario Intensity of competition: medium - Fairly fragmented market with many players (except geographical or component niches) - Increasing competition from new low-cost entrants especially in Asia + Multi-year contracts with airlines allowing for competition reduction Barriers to entry: medium/high + Brand/reputation asset very crucial as safety/security is at stake + Technological know-how very relevant and not so easy to replicate + MRO certification required by authority + Need for intense capital/investment to provide proper assets Threat from substitutes: medium + Airlines not likely to insource maintenance as the trend has been more and more oriented towards the outsouring of those activities - OEM trying to capture the engine- maintenance market (not for the remaining less complex parts) throug vertical integration Nicolas OSORIO LORA – Aircraft Lifecycle Solutions P3 Group
  52. 52. Your Contact Disclaimer This document and all information contained herein is the sole property of P3. No intellectual property rights are granted by the delivery of this document or the disclosure of its content. This document shall not be reproduced or disclosed to a third party without the express written consent of P3. This document and its content shall not be used for any purpose other than that for which it is supplied. Web www.p3-group.com Office 53 France Immeuble Delta 3 Route d’Aussonne 31700 Cornebarrieu +33 (0) 534 528 220 5/25/2015 Nicolas Osorio Lora Consultant - Aircraft Lifecycle Solutions +33 (0)6 67 22 01 15 Nicolas.osorio-lora@P3-group.com

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