Positioning Aerospace for What’s Ahead

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August 8, 2011

in Newsletter

Below is a complete example of a hot topic update from the PracticeView Monitoring service.  It includes background information, client discussion points, and resources and commentary which can be used by your firm and its professionals to stimulate discussions with clients and/or prospects.  Click here to learn more or subscribe to PracticeView.

Background

Things are looking up for commercial aerospace manufacturers – global M&A is at a 30-year high, passenger and freight traffic is expected to grow, and production of single-aisle aircraft is anticipated to increase.  With this surge in activity, the U.S. International Trade Commission (ITC) is interested in the global competitiveness of the U.S. business jet aircraft industry, examining factors such as workforce characteristics and changes in regional demand.  Customer requirements are rapidly changing, and executives are faced with the challenge of integrating customer service with other operations.

Airbus is slated to increase production of its A320 Family aircraft by nearly 25% within the next two quarters.  To keep the A320 Family in the leadership position, Airbus has recently introduced a new option that offers a more efficient engine, expected to deliver up to 15 percent in fuel savings and a double-digit reduction in NOx emissions.  It is anticipated that thecustomer support strategy Airbus has previously implemented will continue to meet the challenge of its continuing manufacturing demands.

Implications

Aerospace companies must continue to develop business plans that support increasing market demands, as well as extending service lines to create new revenue streams.  Manufacturers need to make sure customer service needs are being met through collaboration among all operational departments.

Client Discussion Points

  1. How is the client positioning (or repositioning) its business plan to meet customers’ evolving demands?
  2. What effort is the client making to develop aircraft maintenance and repair lines or other potential income-generating opportunities?
  3. Does the client have in place a process to effectively meet customer support needs?

Resources & Commentary

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