Home / Removing the copy+paste barrier in aircraft spare parts supply

Removing the copy+paste barrier in aircraft spare parts supply

2020-09-09 / 3 min
Locatory.com partners with Unical Aviation

As it stands today, Airbus and Boeing have a total of over 11 000 new aircraft in their backlogs. Inevitably, all of these machines will blend into the aging worldwide fleet, amounting to a colossal 40 000 aircraft in 2035, says Boeing. Nevertheless, as the numbers in this graph flourish, delays and flight cancellations are also on an upward trend, amounting to losses of an almost quarter of a million US dollars in the States alone. These costs generate not only from the part prices, maintenance works, and unsold tickets, but due to idleness as well – finding the right part takes time, or should it not?

Experts in the industry agree, that there’s a “bubble” in the market – more aircraft are coming into services than are being retired, thus, increasing pressure on the aftermarket. Being the life blood of this troublesome market, aircraft spare parts supply industry is destined to grow. In fact, ICF International predicts it will double in a decade – to $6.2 billion in 2023.

“A sector with such investments and demand seems like one to develop rapidly, says economics theory. However, in reality, companies working in the spare parts supply seem to live in the “dark ages”, still doing most of the processes manually, hence, losing valuable time and money along the way,” comments Dainius Meilunas, CEO of Locatory.com. “Major traders receive thousands of RFQs every single day and managers at the end of the line manually transfer the data to the ERP systems from the inbox. According to our survey, a person can process 100 of these enquiries a day (making 7 errors along the way), but it seems there’s a way to handle close to 120 times that amount.”

According to the recent study from Service Now, 44% of the workforce in the US alone agrees that using email and spreadsheets excessively lowers work productivity. Therefore, it is no wonder that even if you hire thousands of customer support managers to tackle the RFQs, you will still result in inefficient copy and paste work (if they last even a year doing such tasks). According to Locatory.com data, by converting highly skilled tasks into administrative ones, companies could increase the productivity of their customer support staff by 35%.

And the conversion would start with an integrated IT tool that would allow you to strip off the copying and pasting and just do the most important task to you and your client – picking out the necessary parts at the most cost-efficient price. As Dainius Meilunas explains, the tool would automatically extract the RFQs and import it to your ERP system, boosting work efficiency from 300% up to 1200%.

“As our tests show, using artificial intelligence, the tool could handle 12 000 enquiries a day. This would ensure the component can be located immediately and the AOG costs that can amount up to $150 000 per hour can be downsized,” explains the CEO of Locatory.com. “In addition to that, it would help to distribute the workforce more effectively, use employees’ skills to its full potential – a common challenge every component supply company comes across.”

Given that airline industry’s spending on aircraft spare parts is continuing to evolve and is currently estimated at around $5 billion per year, every player in the supply market is eyeing for a way to distinguish itself from the competition for the most-valued features – cost-effectiveness and reaction time. In a modern era, where no company can do without clever systems, it is imminent that the way to increase RFQ processing time will be found in IT, retiring copy+paste processes for good.

Share this article:

Recent articles

Strategies to Overcome Aerospace Industry Roadblocks

2024-07-18 / 6 min

The aerospace industry is currently facing a series of unprecedented supply chain disruptions that are affecting production schedules, financial forecasts, and operational strategies. Airbus has just revised its delivery target for 2024, now expecting to deliver around 770 commercial aircraft instead of the previously projected 800. This revision is coupled with a delay in the

Locatory.com and DASI Announce Partnership Agreement to Enhance Aviation Inventory Management

2024-07-08 / 2 min

Locatory.com is pleased to announce the start of its partnership with DASI, a leading provider of aircraft inventory solutions. This collaboration brings together over 30 years of combined experience, aiming to provide enhanced support to airlines, MROs, OEMs, and distributors worldwide. By joining forces, Locatory.com and DASI will combine their expertise to deliver comprehensive solutions

Locatory.com Partners with AOG-247 to Deliver Comprehensive Engine Support Solutions

2024-07-01 / 2 min

Leading aviation marketplace Locatory.com has joined forces with AOG-247, a company specializing in technical support solutions and services for aircraft engines. This strategic partnership aims to provide airlines, lessors, and asset owners with a complete solution for their engine needs. David Bradley, CEO of AOG-247 further emphasizes on the benefits of such collaboration: “We are