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Aviation History
1997
1997 - 1482.PDF
GENERAL AVIATION Manufacturers appear unlikely to muscle in on fuelling operations, typified byJetCorp's Phillips 66 outlet at Spirit of St Louis Airport, Missouri Service centred GRAHAM WARWICK/WASHINGTON DC INDEPENDENT BUSINESS-aviation ser vice companies are facing increased competi tion from the producers of the aircraft they support, as those manufacturers push for a larger share ofthe after-sales market for main tenance, modification and refurbishment of their products. The major independents are thriving, nonetheless, thanks to strong demand for their services in a market that welcomes competition. More business-aircraft manufacturers are recognising that company-owned service cen tres help build brand loyalty, resulting in repeat orders, while providing valuable feedback on in- service experience with their products which can be used in designing new and improved air craft. At the same time, manufacturers recog nise the role of independent service centres in providing the competition on time, price and quality that the operators want. Bombardier has been the most aggressive in reshaping its product support. The company combined its Canadair Challenger and Learjet service centres in the early 1990s, and acquired four maintenance centres from AMR Combs in 1995, creating Bombardier Aviation Services (BAS). The company now has six service sites in the USA, and its first international centre is to open by October, in Berlin, in a joint venture with Lufthansa Technik. "We have realised the importance of having more contract with our customers," says BAS general-manager Jim Zeigler. The six US sites handle some 400 Challengers and Learjets a month, about 5 5 % of the market, he says. Most customers are 1 -2h flying time from a BAS cen tre. "We're about where we need to be in the USA," Zeigler says, but the company would like "a couple" of additional sites in North America. INTERNATIONAL GROWTH Near term, growth will come outside the USA. Lufthansa Bombardier Aviation Services, at Berlin's Schonefeld Airport, is an "equal part nership" with the German airline and provides one model for future ventures. Zeigler sees BAS ending up with "five or six" international cen tres, but how they will be set up will depend on the country, he says. Options range from com pany-owned sites to joint ventures with local airlines or aviation-services companies. An Asian service centre is likely to be estab lished within the next 12-24 months, followed by a site in South America, Zeigler says. An opportunity may emerge earlier to set up a cen tre in the Middle East, he says, and the compa ny is evaluating the potential for a service site in the former Soviet Union. "Five to seven years out, we may need additional capacity in Europe, possibly in the former Eastern Bloc," he says. The Berlin centre will support some 185 Bombardier business jets now in Europe, and develop a capability to refurbish Challengers and Learjets. BAS' main refurbishment centre is at Tucson, Arizona, but the company is looking at the potential to handle interior upgrades at its Montreal completion centre, acquired from Innotech Aviation in late 1996, Zeigler says. Lufthansa Bombardier Aviation Services will have access to a strong engineering capability for aircraft modifications, Zeigler says. BAS will certificate some 60 modifications this year, while a typical independent will develop 20-2 5, he estimates. Zeigler admits that Bombardier's move into service centres has concerned the independents, but argues that its launch of new aircraft has created a growing market".. .which has made it easier to take". Factory-authorised independent service- centres are necessary, Zeigler says, because the customer wants competition. Fleet sizes in some regions are not yet sufficient to justify a 34 FLIGHT INTERNATIONAL 4 - 10 June 1997
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