Cost-cutting in engine maintenance: the effect of COVID-19
As the aviation industry has experienced one of the biggest crises in recent history, companies have had to adapt to stay in the business. With many airlines re-profiling from PAX to cargo carriers, adjustments in maintenance processes were also necessary.
Previous to the onset of the pandemic, the priority was to minimize downtime during an inspection, however, cost-efficiency is now the major keyword for many carriers. Hanna Lavinskaja, the Head of Business Development at Enginestands.com – a leading engine stands and aircraft tooling rental company – shares the company’s vision on how cost-cutting is possible in powerplant maintenance.
Renting an engine stand
Many engine stand leasing companies are still feeling the pressure of the pandemic; thus, new and flexible leasing plans have been developed to benefit customers. Of course, the average market price does exist, but some negotiation from the customer side can ensure that the best deal is reached. “Additionally,” Hanna comments, “we propose several solutions to our clients to decrease the rental price as much as possible. For example, renting multiple stands at once offers a solid discount, the same applies when extending the loan period. Moreover, with some extra planning internally within an organisation, it is possible to complete check-ups on multiple engines using only one stand instead of 2 or 3.”
Finding a company with engine stands near you
Before COVID-19, cargo freight was an affordable everyday service, but after a rise in air cargo demand such services, in some cases, can now be regarded as a luxury. Eliminating or reducing shipping costs can ensure a more cost-efficient lease. “Our company already has hubs in the EU and Asia, with further plans of opening a facility in China. With a flexible policy of ‘take it and return it by yourself’, shipping costs from a third-party service provider can be eliminated. Also, by choosing road, sea, or air transport we can try to find the most lucrative option for any location in the world,” says Hanna Lavinskaja.
Owning aircraft engine stands
If a sufficient load is guaranteed, MROs and airlines can acquire their own engine stands. Due to the PAX crisis, the barrier to obtaining an engine stand has become lower than before, thus, an investment of this kind could recoup itself swiftly if utilised appropriately.
“The question is, whether the company is ready to allocate resources for engine stand storage, maintenance, and repairs? Nearly every engine stand leasing company has a policy that insurance, maintenance, and repairs are carried out by the lessors, removing any additional burdens away from the clients. Such an acquisition should be carefully evaluated because the risk of losing money on the investment is far greater when accounted inappropriately,” – Hanna Lavinskaja, Head of Business Development explains.