A WOW experience develops trust.
There's a saying that everyone hates being sold to, but everyone loves buying.
The problem with being sold too — it's often with selfish intent. There's no value exchange.
Your surplus aircraft material was sitting. Rotting. Wasting away on your shelves.
Slowly eating away at your operational results. Chomp. Chomp. Chomp.
Cash was being sucked down the surplus drain. And the only thing you could do was…
Price. How important is it to you? How often do you try and get the lowest price? I’m sure you’re thinking to yourself, “It’s incredibly important.” and “Every chance I get.” And that’s fair. It’s also common to ask how much something costs. Or to reduce the cost of something. We often use price and cost interchangeably. That’s a mistake.
A WOW experience develops trust.
There's a saying that everyone hates being sold to, but everyone loves buying.
The problem with being sold too — it's often with selfish intent. There's no value exchange.
I was on the phone with a supplier and wanted to argue with him. It took immense self-control.
We needed an actuator for a maintenance project, so I called the supplier for a quote.
The actuator cost between $15,000 to $25,000 depending on the condition.
He had one serviceable (SV) and overhauled (OH) unit.
He asked me what condition I preferred. I told him it depends on the tag date, but I prefer overhauled.
In a quick reply, he said he had both, but he’ll quote SV as why would I pay for OH when SV costs less.
Legend has it that a great commander once burned the ships of his fleet to ensure they had no choice but to fight an insurmountable foe. While they no-doubt felt plenty of fear, they had no choice but to face it.
A key factor in completing your aircraft material projects on time is ditching an irrational fear of asking for help.
As a supply chain professional, with a high volume of various tasks, being organized is exactly what you need.
If you don’t, orders will get lost, the material won’t arrive on time, you’ll waste hours of your week, and your operations total material costs will begin to rise.
If you’re in a situation where you’re sourcing aircraft material and processing purchase orders daily, here are some quick tips to help you get organized.
It’s not the price you pay, how business savvy you are, or how excellent your negotiation skills are. This is the MOST IMPORTANT skill you need when purchasing aircraft parts.
Maintenance supply chain teams all over the world have a problem. For every graduate with supply chain “skills,” there are six positions to be filled. And it’s only going to get worse. It’s expected to increase to nine to one soon. If you rely on purchasing high-value or large volumes of anything, this is a troubling statistic.
If the price is your only game, it’s a shame. Here's why.
Do you purchase aircraft material on a daily basis?
If so, you may have a habit costing you hundreds of hours of your own personal time and thousands of your operations dollars every single year.
In my last blog, I looked at the impact of information sharing on supply chain management and how the changing requirements of airline operators will need to be met through adaptable aircraft line maintenance processes in the future.
It considered how new flights, such as Qantas’ Perth to London route, will raise questions over appropriate build and maintenance planning for buyers and suppliers. This was further identified by a recent Boeing article discussing the future of Dreamliner construction and the rise of technology.
The aviation industry is experiencing tough market conditions. Many Official Equipment Manufacturers (OEMs) are finding themselves in a position where their gross margins have plateaued while suppliers are experiencing the opposite: gross margin increase.
This imbalance creates risk and disruption in the supply chain and organizations are now looking at best-practice solutions in reducing their aircraft line maintenance purchasing costs.
The non-stop flight by Qantas from Perth to London was an aviation game changer in more ways than one. While the feat itself is testament to the ongoing transformation of engineering in the airline industry, you need to look beyond the flight itself and ask: What does this mean for the future of aviation across all areas of its supply chain?