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Aircraft Maintenance Management Module


Aircraft Maintenance Management Module Aircraft Maintenance Introduction Aircraft Maintenance Module * * Aircraft Maintenance Module Aircraft Maintenance Module ... – PowerPoint PPT presentation

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Title: Aircraft Maintenance Management Module

Aircraft Maintenance Management Module
  • Aircraft Maintenance Introduction

General definition
  • Maintenance cost is broadly defined as the sum of
    incurred labour, material costs and various
    overheads otherwise known as indirect maintenance
    costs. The labour is normally a process time
    controlled and productivity related where certain
    tools such as lean processes or Six sigma can
    be employed to enhance productivity and
    consequently improve consumed labour.
  • The material element is dependant on negotiated
    suppliers contracts and products reliability

1. Aircraft Maintenance Cost Philosophies
  • The maintenance costs represent 10-20 of the
    worldwide airlines direct operating costs. These
    costs are growing in view of introduction of new
    more expensive material, highly sophisticated
    repair schemes especially those associated with
    structural parts and core Engine parts, and
    increasing labour costs.

  • Boeing suggests that there are many other
    influencing factors to the maintenance costs such
    as Aircraft utilisation, Environment and Age.
    Furthermore, Airlines influence costs of its
    operations and maintenance support practices
    similarly component Manufactures influence
    product support and reliability.

  • The Airlines overall maintenance costs are
    categorised as Controllable and Non Controllable
    Costs. The controllable cost element is further
    split into contractual and non contractual costs.
    The contractual cost elements are either
    outsourced or accomplished In-house depending on
    potential benefits or savings in the short or
    long runs.

  • Thus it is of extreme importance to understand
    all elements of airlines maintenance costs and
    contain such costs where practicable through
    introduction of processes and manpower
    improvements, enhanced training and optimisation
    of maintenance interval requirement for both
    ON/OFF aircraft maintenance in liaison with the

  • The Airline industry currently under tremendous
    pressure in light of the current downturn
    reducing demand especially on premium cabin,
    hence the competition which resulted in fares
    reduction and subsequently low yields than
    breakeven costs.

2. Maintenance Costs (Direct /Indirect) Breakdown
  • The Maintenance costs are the sums of total costs
    pertain to Direct and Indirect Maintenance. Per
    IATA, Direct Maintenance comprises the following,
    by Cost segment
  • - Airframe, Engines and component maintenance.
    And by cost element Labour, Material and
    Outside repair Where, Indirect Maintenance
    includes the Overheads costs.

  • Boeing elaborates on these definitions further as
  • Direct Maintenance Cost is, the direct airframe
    and Engine maintenance which consist of the
    labour and material required to perform service,
    repair, modification, restoration, inspection,
    test, and troubleshooting tasks during
    on-airplane and shop maintenance activities.

  • Maintenance Overhead consists of maintenance
    supervision, maintenance training, maintenance
    planning, unallocated labour costs, rentals and

  • We have to understand the elements that comprise
    the Direct Maintenance Cost (DMC) and Indirect
    Maintenance Cost (IMC). The breakdown of these
    costs is
  • 2.1 Direct maintenance costs
  • 2.2 Indirect maintenance costs

2.1.1 ON aircraft maintenance
  • This type of maintenance is normally carried out
    during the scheduled aircraft checks as defined
    by the Manufacturers MPD documents where an
    extensive part of Labour Man-hours is expended as
    compared to materials consumed such as filters,
    oil, greases, fittings and minor structural

  • Additionally, allotted portion of check time is
    dedicated to tests, inspection, minor airframe
    corrections and components removals which are due
    for routine maintenance. IATA as shown in Figure
    (1) below refer to this maintenance category as
    1st Level Maintenance costs segments that include
    Airframe and Engines Labour, materials and
    subcontracted work.

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2.1.2 OFF Aircraft Maintenance
  • This is normally carried out away from aircraft
    on Engines and components in either In house or
    outsourced overhaul shops as these costs comprise
    expended labour, material, testing and
  • The above two categories are generally split as
    per below percentages.

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  • The ON aircraft Maintenance checks are further
    summarised as follows
  • Aircraft Transit checks- this is a normal minor
    check that occurs every flight where walk around
    is conducted by the Engineers to detect any
    obvious damage and/or discrepancy which my
    obstruct aircraft despatch or serviceability for
    further flights. Also aircraft Log books will be
    reviewed to clear or defer all recorded snags.

  1. Aircraft Service or Weekly checks- This check is
    a little more extensive hours are expended in
    general visual inspections and overall Aircraft
    condition. Minor modification (Engineering
    Orders) can be conducted and additional defects
    clearances which require extended times can be
    accomplished during this check.

  1. Aircraft A checks- This is a routine MPD check
    that occurred almost every three months or 500
    flight hours with various tasks scheduled for
    accomplishment. Few access panels, Engine
    cowlings and other doors will be opened to
    perform certain visual inspections and

  • Aircraft C checks- within this check the
    aircraft is grounded for an extended time where
    many routine MPD tasks will be carried out. As
    majority of access panels are opened, a detailed
    visual inspection will be carried out on
    airframes linkages, structural fittings and main
    systems (such as oil, hydraulic and fuel)
    functional or leak checks and major components
    defect rectification. The interior cabin such as
    seats will be removed fro refurbishment. Galleys
    and toils will receive servicing and repairs.

  1. Heavy Aircraft checks or D checks as some
    airlines call it. The aircraft will undergo a
    detailed visual inspection almost in every area
    including main structure where a NDT and
    application of special die pent rants will be
    carried out to detect possible skin cracks.
    Within the cabin the primary structural parts
    removed for corrosion treatment especially
    galleys, floor panels and seat main frames.

OFF Aircraft Maintenance
  • The OFF aircraft Maintenance are further
    summarised as follows
  • a) Engine Repair and Overhaul Maintenance
    during aircraft operations, The Engines are the
    most stressed items where every time the aircraft
    takes off, Engines parts rotate at a very high
    speed with thrust causing certain wear to such
    parts at an accelerated pace. Engine internal
    parts especially turbine and combustion chambers
    are manufactured from special materials in order
    to withstand the high temperatures and pressure
    put on the engine during operations.

  • Hence, the maintenance is often significant and
    expensive and that is the reason where majority
    of airlines outsource engine maintenance to
    OEMs/MROs to alleviate the burden off airlines
    from investment in development of such highly
    sophisticated overhaul shops with special
    required repairs.
  • Normally the Engine initial shop visits expenses
    from Aircraft induction to maturity is relatively
    less expensive than aging Engine maintenance as
    main LLP parts requires replacement then and such
    parts impose a high cost to the Engine

  • In general terms, the difference between engine
    and airframe maintenance is that Engine material
    costs will exceed 80 of the total maintenance
    while airframe maintenance will equally share
    labour and material by 50/50.
  • The Engine performance maintenance costs
    optimisation is measured by the time it stays on
    wing as achieved by the continuous OEM
    development causing less removals and
    subsequently lower maintenance costs.

  • Component Repairs, Modifications, and
  • This maintenance includes normal scheduled and
    unscheduled components repairs to restore its
    serviceable condition. The parts are often
    categorised into rotables, repairable and
    expendables whereby a multiple number of
    repairs/resets is possible to rotables parts and
    considered as assets for the airline.
  • The maintenance costs associated with this part
    depend significantly on whether these can be
    repaired In house or outsourced. This decision
    highly depends on two factors, the Turn around
    time and the Warranty aspect.

  • In other words, if the OEM TAT is reasonable,
    then it is quite sensible to despatch such
    components for repairs outside under warranty
    without spending much hassle to develop such
    capability and waste Engineers energy on
    warranted components especially during the
    initial five years from Aircraft induction. There
    are occasions where rotables or repairable parts
    are scrapped due to economic conditions BER ,i.e.
    Where the Repair cost exceeds the 65 threshold
    of the unit cost

In-Direct Maintenance Costs
  • 2.2 Indirect Maintenance Costs
  • The Indirect maintenance cost or otherwise known
    as Overhead cost is defined as the sum of all
    labour and material costs for support services
    which add to the total maintenance of the
    aircraft. The elements of IMC include the
    overhead costs of but not limited to, Facilities,
    Stores, Equipment, administration, Engineering
    technical services, Materials management and Engg

  • The IMC costs vary significantly amongst airlines
    subject together with organisational structure
    and the level of In/outsourcing plus work
  • Therefore The IMC costs fall within the category
    of controllable airline maintenance costs but
    this factor cannot be controlled nor quantified
    by Aircraft manufacturers.

  • The use of automation and sophisticated control
    system especially in the tech records, planning
    and materials management, drastically reduce the
    labour requirement and size of these support
    services departments and subsequently slash the
    IMC costs.
  • Therefore, the IMC costs overheads need to be
    reviewed frequently to envisage possibility of
    introducing processes improvements.

  • The ideal tool for this exercise would be Six
    Sigma which looks at the work environment to
    analyse the adopted processes, then propose
    solutions for the purpose of working smarter and
    cut inefficiencies (Turner 2005).

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Operating Cost Breakdown
Total Operating Cost (TOC)
Airplane Related Operating Cost (AROC)
System Related Operating Cost
Payload Related Operating Cost
Ownership Cost
Cash Airplane Related Operating Cost (CAROC)
Passenger Related Cost
Cargo Related Cost
System Related Cost
10 - 25
  • Food
  • In flight services
  • Handling
  • Baggage handling
  • Commissions
  • Reservations and sales
  • Advertising
  • Fuel
  • Cockpit crew
  • Cabin crew
  • Maintenance
  • Landing
  • Navigation
  • Ground handling
  • Depreciation
  • Financing (airplane and introductory investment)
  • Operating lease cost
  • Hull insurance
  • Handling
  • Commissions
  • Reservations and sales
  • Advertising
  • Airplane general and administrative
  • Passenger general and administrative
  • Cargo general and administrative