14 SimplyFly – #9, 2018 REDUCING INVENTORY LEVELS What are the trends in improving spare parts inventory management – THE IMS SOLUTION By Paul Lochab, Chief Commercial Officer, Satair The industry is looking for consolidation and integration. This Increasingly, airlines will outsource their material management to ranges from reducing the number of suppliers used to a fully qualified specialist partners in global value chain management, integrated supply chain solution. In doing so, variability is reduced to give efficiency gains and reduce operating costs. They need by limiting the touch points throughout their supply chain and it is access to leading and innovative technology, solutions and variability that drives up inventories and the risks of shortages. networks. They want flexibility to take into account their specific airline networks and regional requirements with variability of the Outsourcing is a significant trend as airlines increasingly want cost base. to focus on their core flying operations. To ensure the highest aircraft operational availability means having a high material Such an outsourcing strategy with its long-term performance availability - especially important for critical, unscheduled, and and service commitments requires flexible, extended term unplanned maintenance events. contracts, high-risk control and a trustful customer relationship with open information exchange. As A similar outsourcing trend can be seen with suppliers. Their focus is on their core research, development and production of high-technology aircraft parts. They want less capital tied-up through in-house IMS offers a competitive advantage as it reduces the total cost of ownership significantly at a guaranteed performance level. the airline grows, changes its fleets, develops new routes and markets, so the integrator adapts its service offering in a supportive, collaborative way. distribution, while requiring excellent Satair collaborates with the customer parts distribution from us to the market. and designs an integrated, customised and modular programme that covers a very wide range of parts. This is How to reduce airline inventories called IMS – Integrated Material Solutions and it can cover part Cost and schedule reliability pressures are obsoleting older number scopes according to customer requirement ranging methods of planning and procurement. Airlines want to limit from 4,000 to more than 40,000 part numbers. their financial exposures and reduce capital commitments for inventory, while ensuring they have what they need to achieve IMS offers a competitive advantage as it reduces the total their schedules. cost of ownership significantly at a guaranteed performance
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