Outsourcing of Aircraft Maintenance

1144 WordsApr 30, 20135 Pages
BENEFITS OF OUTSOURCE FOR AIRCRAFT MAINTENANCE Good afternoon, in today’s agenda, I would like to bring your attention to the benefits of internal and external aircraft maintenance. As studies have shown that the cost benefits are marginal to maintain the aircrafts internally, the company is looking into contracting this process to external vendors. I believe most of you are wondering why we are planning on such move, let us look at the possible factors between internal and outsource of our aircraft maintenance process. A) Factors for continuing aircraft maintenance and outsourcing it Currently, by managing our aircraft maintenance internally, our maintenance crews are able to learn and co-train for each type of aircrafts; hence…show more content…
We can base our criteria on the following factors during the selection process • Cost of the overall process, known as fixed cost • Reputation of the agency • Labor skills, competency levels • Past history records on time delivery of paper work and aircraft • Warranty claims, contract clause and liquidity damages charges These are just some of the vital pointers, but we are definite that the agencies need to meets our requirements before we engage them. B) Decision on adopting external agencies maintenance Since our current cost benefits are marginal, I believe our next step is to outsource the maintenance. Although we may be in a better situation of ensuring quality control by up keeping the maintenance internally, we should consider external agencies. Sheehan (2003) states, “A properly certificated repair station has the advantage of written minimum personnel qualifications, supervisory methods, quality control programs and a higher level of surveillance from the national regulatory authority. Further, the depth of personnel and experience for a given task are usually greater for an Approved Maintenance Organization, AMO.” With such professional services, we will be able to shorten aircraft turnaround time so as to eliminate passengers’ inconvenience due to technical irregularities. Furthermore, we can attach some of our technicians to the external maintenance agency to learn on the servicing process, as
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