Optimizing the MRO Supply Chain

At its best, the aerospace supply chain works as a well-oiled machine, delivering parts and securing aircraft services at exactly the right time. At its worst, disruptions in the supply chain can equate to millions of dollars in losses. So how can aviation partners and MROs keep the supply chain running at its best?

Inventory Management

MROs must be very aware of their inventory. Too many supplies can take up needed space and can result in a surplus of outdated aircraft parts as technologies change. Too little inventory can create delays and can result in expedited shipping practices that can eat away at the bottom line. Thus, MROs must find ways to balance their inventory holdings properly.

One such way is with predictive analysis. This method of analytics relies on big data, much of which is gathered from aircrafts, to develop time frames and figures for restocking based on predicted needs. The implementation of this method across a wide range of supply-reliant industries has created widespread availability of software to compute these figures, making this an optimal inventory management solution.

Simple Efficiency Improvements

It doesn’t always take giant overhauls to make big changes. With simple improvements, like the implementation of lean principles, many participants within the MRO supply chain can greatly improve their performance. For example, just by changing the location of much needed tools for MRO employees, the FedEx Express Aircraft Maintenance facility at LAX was able to drop daily retrieval trips from 106 trips to just 25 per employee. That meant less time spent on supply searches, leaving more time to perform maintenance, repair and overhaul duties.

End the Paper Trail

Paper adds up. Just look at the health care industry, where wastes of nearly $375 billion dollars are attributed to paper-heavy administrative tasks. The adoption of paperless processes can help save significant resources (and one the aerospace and defense sector has been set on for some time). At Kapco Global, our e-commerce site, Kapco kart, allows users to review and download purchase orders, part details, product certifications and more. All of which adds up to convenience and savings for our customers.

While these tips aren’t the only way to optimize the MRO supply chain, they are an excellent place to begin.

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