Rodrigo Perez Castaneda, vice president of technical operations at TrueAero, speaks with Aviation Week Network about the company’s digitalization efforts and strategies for tackling longer turnaround times and skills shortages.
How are longer industry turnaround times (TAT) and higher repairs costs impacting your technical procurement decisions?
TATs and repair costs significantly influence our technical procurement decisions and they have been shaping our strategies at TrueAero.
I did a deep analysis of our historical [data] and observed TATs averaging between 30-90 days. This variability depends largely on the specific repair and the region. Generally, we're witnessing lower TATs thanks to MROs investing in personnel and capabilities. However, the nuances come into play when the required rare materials are solely sourced from specific OEMs. These materials can be notoriously difficult to obtain, causing unexpected delays and complicating our repair schedules even further on new parts.
To tackle these challenges, we've refined our project management and budgeting process to better accommodate these uncertainties. By doing so, we can manage our projects more effectively, especially on the leasing side of our business. This proactive approach allows us to account for potential delays and cost fluctuations, ensuring we remain agile and responsive.
At TrueAero, our strategic focus is on building robust relationships with a diverse range of suppliers and continuously monitoring the market for alternative sources. This strategy not only mitigates risks associated with supply chain disruptions but also enhances our ability to deliver timely and cost-effective solutions to our clients.
Do you see a trend toward longer-term outsourcing contracts for technical services?
Indeed, there is a discernible trend toward longer-term outsourcing contracts for technical services in the aviation industry. When a service provider consistently delivers exceptional support, it becomes advantageous to secure that relationship over the long term. This strategy not only ensures continuity and reliability but also mitigates the frequent challenges associated with sourcing the right technical expertise.
TrueAero recently delivered an IAE V2500 engine to Royal Jordanian. What is the situation with used serviceable material (USM) availability on those engines?
USM availability for V2500 engines is quite dynamic. Select engines are in high demand due to more anticipated shop visits, but they come with higher scrap rates and repair costs, making them pricier investments despite their higher sale prices. Interestingly, fewer engines are being torn down as operators opt to rebuild, leading to about 50% fewer teardown assets compared to last year. Repair TATs have been long, though there's a slight improvement in some regions. Our data even shows repair times decreasing, which might enhance USM availability and affect pricing.
How are you managing technical expertise challenges?
Firstly, we continuously iterate and improve our processes to reduce errors. This commitment to ongoing improvement ensures that we maintain the standards of quality and efficiency. We also keep our experts engaged and motivated with continuous projects. By maintaining a steady stream of work, we ensure that our team remains sharp and at the top of their game. This approach not only keeps our current projects on track but also prepares our team for future challenges.
How much emphasis are you placing on digital technical records management?
Digital technical records management is a top priority for us. For example, we've set up servers that automatically convert vast collections of documents into searchable and accessible digital repositories, as well as in-house scanning capabilities. This technology not only enhances the accuracy and accessibility of our records but also significantly boosts efficiency across our operations. By digitizing 100% of the records for our teardown assets and achieving over 80% digitization for our leased assets, we've streamlined our processes and improved our USM sales. This has had a direct positive impact on our decision-making capabilities, allowing us to operate with greater agility and precision.
Looking ahead, the potential of artificial intelligence (AI) and blockchain technologies will further enhance our capabilities. Preparing our data to be AI-ready ensures that we stay at the cutting edge of digital innovation in the aviation industry.
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