Daily Memo: Maintenance Supply Chain Snarls Spawn Creative Sourcing Strategies

Creativity isn’t the first thing that comes to mind when one thinks about aircraft maintenance.

That’s not to say highly skilled mechanics lack imagination or the ability to innovate. Rather, it’s the precise, vetted, and highly regulated procedures that make up a maintenance visit.

But as a recent U.S. government report highlights, creativity is exactly what operators and MRO providers are demonstrating to ensure they can complete maintenance visits—scheduled and unscheduled—within some level of consistency.

The Government Accountability Office (GAO), responding to a congressional request, dug into supply chain challenges. GAO researchers talked to a variety of industry stakeholders, including eight U.S. airlines, three maintenance organizations (including two—Collins Aerospace and Honeywell—nestled within manufacturers) and 15 aircraft, engine, and component suppliers.

While the report focused largely on new-aircraft production, feedback spilled into the MRO world. No surprise there, as maintenance often requires the same new parts as producing an airframe, engine, or component.

At least a bit surprising, however, is the frequency and size of some supply-chain hurdles. For instance, all eight airlines report some level of trouble getting the parts they need to maintain existing fleets.

Seven said the issues were worse immediately after the 2020 downturn, “though challenges have continued,” the GAO report said. “One airline reported that shortages have narrowed to a smaller range of parts since 2022 but that delays in critical parts are causing larger effects,” the report continued. “According to data provided by another airline, lead times for one wheel and brake components supplier increased from 38 days in 2019 to a peak of 146 days in 2022, but as of December 2023, lead times for this supplier were about 49 days.”

Such challenges are triggering changes. In the most extreme cases, network expansions are being slowed or halted due to a lack of available aircraft. Four airlines consulted said they are working with manufacturers to extend the lives of some components, relying on tactics such as more frequent inspections. Three of the carriers have boosted spare parts inventories, with one reporting its new baseline is having a year’s worth of certain parts on hand to hedge against lead-time delays.

But even some of the most proactive parts users are running into roadblocks.

“One airline reported that manufacturers are strategically reserving components to enable companies to prioritize supplying parts for new aircraft or parts for maintenance as needed,” the GAO said. “As a result, the airline is unable to obtain parts in advance of conducting maintenance. Rather, needed parts must be ordered after the aircraft has been taken out of service which adds to the amount of time needed to complete maintenance.”

IATA—also consulted by GAO—confirmed that the carrier’s situation is not unique.

“Airlines are concerned about how components are being distributed by manufacturers for installation on new aircraft versus for maintenance of in-service fleets,” the association told GAO, according to the report. “IATA stated that aircraft manufacturers have not disclosed their methodology for making these decisions to airlines.”

The methodology seems relatively straightforward. Airbus and Boeing are prioritizing deliveries to new customers over supporting the in-service fleet.

Airbus and Pratt & Whitney have acknowledged as much with the PW1000G powder-metal contamination crisis. New, full-life parts were sent to the production line first, even as replacement parts were needed to get in-service engines back onto parked aircraft.

It seems some OEMs could use a lesson or two in creativity from their customers.

MRO AMERICAS PRO TIP

If you are attending Aviation Week’s MRO Americas this week in Chicago, carve out time to watch some of the Aerospace Maintenance Competition (AMC), on the exhibit hall floor. If you’re not, carve out time anyway—the competition will be live-streamed at mroamc.live. Two-time defending William F. O’Brien Award for Excellence in Aircraft Maintenance trophy winner FedEx will go for a three-peat against 89 other teams from around the world. At a conference spotlighting the best in MRO, nothing out-shines the AMC.