Growing competition in the
aerospace MRO market.
nManufacturers (OEMs) are entering
the after sales market, since A/C sales reached their peak 1998 and growing
competition is reducing the margins.
nDue to deregulation, airlines
have to redefine and rethink core functions. Cost efficiency is the key driver.
=> In-house vs. Outsourcing vs. Independent Business Unit
=> In-house vs. Outsourcing vs. Independent Business Unit
Study by Frost &
Sullivan:
Marketplace is moving into ‘strongest will survive’ mode.
Marketplace is moving into ‘strongest will survive’ mode.
nCommercial market for MRO remains
dominated by airlines
nOEMs will dominate the engine
maintenance market
nNiche areas will emerge for small
to mid-size companies
Service providers (especially the
OEMs) enhance their service offering to a total life cycle product support (‘craddle to
grave’), trying to tie their customers closer to them.
According to Frost & Sullivan
the maintenance service will transform into ‘Logistics Management’, where
service providers will eventually operate the fleet for their customers
(vertical integration).
Service providers are
investigating how the internet can be used to expand their service offerings,
leveraging the market potential.
This is the Author Bio BoxSri Sardjananto , PM SAP MRO PT Garuda Indonesia 2005-2007, Certified SAP SCM Procurement
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