San Francisco, California
London, United Kingdom
"Grow Your Business by Expanding Aftermarket Services"
Many A&D companies have a substantial portion of their business in the aftermarket - repairing and refurbishing aircraft parts and assemblies. For those who currently don't, the aftermarket may offer an opportunity to grow the business.
Traditionally these services are provided to operators and maintenance repair and overhaul (MRO) facilities on demand and charged on a per event basis. However other models exist for supporting aircraft systems and equipment during service.
Cost per hour (CPH) and performance based logistics (PBL) programs offer an alternative service model that has significant benefits for both the customer and the supplier.
In a CPH program, a customer pays a fixed rate per flight hour to cover maintenance for a complete system or a set of products instead of paying for repairs individually. Benefits include more certain maintenance costs for the customer and an incentive for the supplier to improve reliability.
Military PBL programs are similar to CPH programs except that they more frequently include an aircraft or product availability metric.
Specifically, Peter will cover:
- How value-added services can provide growth beyond the core business for any supplier.
- The mechanics of delivering CPH / PBL programs, including benefits to suppliers and customers, as well as lessons-learned.
- How CPH / PBL pricing models can be used to forecast aftermarket revenue streams
- Program management tools and metrics that can be applied to a wide range of operations (not just aftermarket services) to mitigate risk and address key cost drivers.
Peter Collins is the Director of Strategic Planning and M&A for Parker Hannifin's Aerospace Group and is based in Irvine, CA. Prior to his current role, he was Director of Logistics Services, responsible for Parker Aerospace's cost per hour (CPH) and performance based logistics (PBL) programs. He has nearly 20 years of experience in the aerospace industry at Parker Hannifin and Honeywell with assignments in engineering, program management, product line management, and marketing.
Peter has a MBA from UCLA, a MS in mechanical engineering from Stanford University and a BS in mechanical engineering from the University of Washington. In addition to a professional engineer's license, he has received six sigma black belt and project management professional (PMP) certifications.
When & Where
The Aerospace & Defense Forum
The Aerospace & Defense Forum is a global aerospace and defense leadership community of over 1000 with five chapters providing opportunities for sharing of information, current events, and analysis, mutual support and encouragement, partnering, innovation, and performance breakthroughs.