Ground_Support_EMilitary_Winter_2019 - 11

growing the relationship between OEMs
and customers. As aircraft connectivity
allows us to leverage data collected,
operators are seeing a decrease in
delay and an increase in on-time flights
and mission readiness," Shaw noted.
"We are also noticing a more integrated
supply chain, including increased
connectivity between Boeing and the
customer, and also more connectivity
between Boeing and our suppliers. As
we increase tools and data that allow
a better understanding of emergent
needs, we are also seeing an increase
in awareness and proactive action from
the supply chain of the future."
Building towards that future, Shaw
added that: "Boeing Global Services
Supply Chain strives to be a onestop-shop for all of our customers'
aftermarket supply chain needs. We

looking for a distributor that brings
strong market intel to the partnership - an expert on the current parts
market who knows the competitors
and has the data capabilities to forecast demand and strategically stock
inventory around the world. We also
serve as the key connector to all of
the crucial technical and procurement
decision-makers for our OEM partners," Young elaborated.
Boeing, too, sees a future based
off of data driven trends in the supply
chain market.
"Boeing's focus is on increasing operational efficiency for our customers and

have made marked advancement
toward this goal with the acquisition of
Boeing Distribution Services, previously known as KLX, while accelerating a number of organic investments
from USM to Additive Manufacturing to
E-Commerce. As we look to the future
and how best to serve our customers, we recognize the importance of
commonality across the supply chain
to create value for our customers with
scale, innovation and affordability."
"Right now, a priority is expanding
our services with current OEM customers and building new partnerships.
As an independent distributor, not

BOEING

long-term agreements, as opposed
to transactional purchase orders, for
various reasons. On the compliance
front, they know that as a provider we
can meet their compliance requirements. Administratively, they prefer to
work with fewer vendors and are interested in a broader service provider
with a range of specializations, so our
customers are taking advantage of our
bundled solutions across our business
units."
With current trends in mind, for the
future Young said that there looks to
be an increasing focus on data-driven
decisions.
"There is an increased focus on
data analytics in our industry, and
OEMs and service providers alike are
seeking to capture as much data as
possible. Beyond stocking, OEMs are

affiliated with a certain OEM or airline
operator, we are able to focus on all
of our OEMs without any conflicts, and
that is really resonating with component OEMs," said Young, speaking to
AAR's future. "We continue to grow our
online PAARTS Store, which provides
customers with real-time information
and immediate access to our inventory
of over a million parts - and breaks
revenue records every month. When
we sign a commercial customer, their
product line is added to our database."
Giving the entire supply chain
sector an overview, White forecasts
an increasing interconnectedness
between companies.
"In general, I suspect we'll see more
enterprise resource planning (ERP)
system interconnectedness between
companies. When a buyer places
an order, it will automatically create
demand in the supplier's ERP system.
The Industry 4.0 concept, meaning
a trend toward automation and data
exchange, will become more widespread," White said. "Textron Aviation
is considering supply chain vertical
integration to create more control
over cost and delivery. We are actively
looking to develop vertical integration
opportunities."
And in BAC's future is a continued
emphasis on customer satisfaction.
"We are always looking for new
ways to make consumables acquisition easy for our customers so they
can consolidate their purchases in one
place," said Palma. "Quick turnaround
is the most important. We are able to
get our customers their orders quickly
by offering same day shipping up until
4 p.m., sometimes later. Because we
are a smaller company, we have more
leeway when servicing our customers.
For example, it's not uncommon for
us to take an order right before 5 p.m.
and drive it to FedEx Office on our way
home so that a customer can get it the
next day. Larger distributors are more
confined to rigid shipping cut-off times,
whereas we can provide a value-added
service they cannot." ■

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Ground_Support_EMilitary_Winter_2019

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