Tuesday, May 1, 2007
Back Shop: Aviation Today
To remain competitive in today’s around-the-clock, Internet-connected global economy, MRO centers are increasingly compelled to "rationalize" their work, by lowering overhead, outsourcing tasks and forging strategic alliances.
Maintenance managers need immediate access to real-time information. They also must share information at the speed of fiber-optic light, with colleagues down the corridor and around the world. One overriding goal is to provide fast turnaround times for demanding customers.
These trends are examined in our latest podcast: "From Takeoffs to Landings: The Right Path for Engine and Landing Gear Component Repair & Overhauls," now available on Aviation Today (www.AviationToday.com).
In this podcast, I interview Randy Sonefeld, director of aviation, and Russ Pepple, technical director, Merrill Tool & Machines Aviation Division. Merrill is a $26 million-a-year precision machining company based in Merrill, Michigan that’s also an FAA certified repair station. Below is an excerpt of the podcast. For the purposes of concision and clarity, the give-and-take from each separate speaker has been consolidated into a single voice representing Merrill.
Aviation Today: Landing gear overhaul is a vitally important service that directly affects air safety. Are there a lot of companies offering this specialty?
Merrill: No, we’ve found that there are only a few facilities offering this type of service in the United States and most do not want to deal with older models of aircraft. We’re looking into the feasibility of working directly with some of these customers to develop and implement an overhaul facility that would meet their specific needs and provide very aggressive turnarounds to keep them competitive in today’s market.
AT: You say there aren’t a lot of companies serving the landing gear market. Why not?
Merrill: With any such undertaking there is always a major capital expense. But you also need the capabilities, in such areas as quality systems, technical experience, suitable facilities, applicable technical data, and the proper equipment and tooling to even become eligible for approval. Landing gear overhaul, although very well supported by the OEMs, can still be very comprehensive when it comes to verifying overhaul limits and needed repairs.
AT: Are there any new FAA regulations affecting repairs and overhauls that MRO managers need to know about?
Merrill: Due to recent confusion created by the mandatory drug-and-alcohol testing rule, it’s worth recapping this topic. In 1988, the FAA decided to implement a drug-testing rule, and then again in 1994 the agency decided to add the alcohol-testing rule as well. The actual rule was proposed in February of 2002 and nearly five years later it became the final rule on January 10, 2006.
However, the mandatory deadline to become compliant did not happen until October 20, 2006. From that date forward, all those who are qualified and chose to perform maintenance for any part 121 or 135 certificate holder, either directly or by contract, at any tier, is affected by this rule. They are required to be on an FAA-approved Drug & Alcohol Abatement Program.
AT: Are turnaround times important in your business?
Merrill: Our customers have expressed that not only is the turnaround important, but equally as important is the delivery date. If you have committed to a specific delivery date, it becomes the main factor in your own planning. Once you cause your customer an interruption by missing the specified delivery date, you can bet they’re not going to count on you in the future. For customers trying to meet and schedule multiple activities while managing hundreds of suppliers at the same time, this factor can be the "make or break" business decision for some of their suppliers.
AT: What tends to be the industry average for turnaround times?
Merrill: This depends greatly on the processes and related components that are involved to properly complete the specified work scope. Depending on the components involved, we’ve seen anywhere from two weeks, up to and exceeding six months. In some cases, when comparing a highly involved and comprehensive overhaul process such as that found in large landing gear, we’ve found it to take 12 months or more. Some of this lead-time is directly related to the logistics that are involved by having to work outside the U.S.
John Persinos is publisher of AviationToday.com (jpersinos@accessintel.com). A podcast of his entire interview with Merrill is posted on the site. Also archived on the site is a new Webinar, "Aviation Maintenance: The Trends that Will Affect Your Bottom Line in 2007", featuring as a speaker John Goglia, former Board Member of the National Transportation Safety. Board (NTSB).

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