Aviation Critical Thinking Paper Sample on Airline maintenance cost management

Airline maintenance cost management

Introduction

The significance of an airline maintenance cost is properly documented to avoid arguments from people who may argue against this. The maintenance costs are dependent on many series and factor which have a direct or indirect impact on the airline industry. This paper will highlight some of the factors and series that make the aircraft maintenance costs high, the paper will also evaluate strategies that can be used to lessen costs without compromising aircraft safety.

Series and factors that make the aircraft maintenance costs a high expense

  1. Excess inventory and related administrations

The high expenses in airline maintenance costs are often incurred as a result of the massive spare parts build up (Ramirez, Huertas, & Trigos, 2014). A breakdown of inventory can indicate that a lot of money is used for the high value components. The existing inventory, which is managed by the commercial airlines, can sufficiently support the industry for four years.

  • Rising labor expenses

Labor costs are other factors that inflate the maintenance expenditures. In the last one decade, the cost per departure has continued to rise (Ramirez, Huertas, & Trigos, 2014). Maintenance as a percentage of the operating expenses will continue to increase steadily.

  • Aging aircraft

Aged aircraft are very expensive to maintain, this is because they demand more person-hours compared to new aircraft. More working hours fundamentally increase the money expenses for the maintenance undertakings

Strategies to lessen cost

  1. Automation strategies

The presence of more automation in the maintenance operations means that there will be low personnel costs (Gu, Zang, & Li, 2015). By mending spare parts, then less capital will be locked up. Effective repairs can significantly reduce the costs for the complex spare parts by a huge percentage.  Automation can significantly lower cost of materials, reduce harmful gas outflow and   allow for a speedy manufacture of complex components.

  • Involve a highly skilled workforce

It is imperative to have workers who are highly skilled. A highly skilled staff is important as it helps reduce costs through their immense expertise (Gu, Zang, & Li, 2015). Experienced staff can use resources shrewdly with no wastage.

References

Gu, J., Zang, G., & Li, K. (2015). Efficient aircraft spare parts inventory managment under demand uncertainty. Journal of air transport managment , 101-109.

Ramirez, J. D., Huertas, J. I., & Trigos, F. (2014). Aircraft Maintenance, Routing and crew scheduling planning for airlines with a single fleet and single maintenance and crew base. Computers and Industrial Engineering , 68-78.