Cathay Pacific Logistics Study Case

HERPIN DWIJAYANTI Global Logistics Case Report Aviation Spare part tally Chain Management Optimisation at mainland China peaceful Airways Limited 1. Why is pay-hand(a) run chain trouble of spare objet darts so critical for an airway? advantageously copious SCM of spare separate for an airline is genuinely(prenominal) critical imputable to quest reasons: ? Spare separate are important part of an airline as aircraft require maintenance to make certainly its guard to fly with passengers in a long distance. A disadvantageously maintained aircraft volition cause accidents. Therefore good SCM is very(prenominal) critical. ? It is not simple to manage spare parts of aircrafts. Aircraft ingredients were complex, superior modules consisting of dozens or hundreds of parts. The life span of a component could exceed two decades, during which it might be repaired or overhauled more than(prenominal) than a dozen times. Therefore a good SCM is very critical. ? The re is strict regulation regarding the airplane safety. The airwave assiduity was regulated by international and local government such as the US Federal Aviation plaque (FAA). the FAA had the power to ground a plane if airline operators did not carry through the deferrable repairs within the stipulated timeframe.

All suppliers of aeroplane spare parts were require to possess special legal certifications and formal protocols, which were stipulations that indicated precondition of accountability in case of an accident. Therefore, a good SCM is very critical. ? full SCM will reduce cost. The driving force rum p supply chain management (SCM) is to reduce! stock. high inventory will cost higher for the company as it needs more holding cost. ? Good SCM will avoid superfluous materials. confer chain management is all about having the upright harvest in the right place, at the right price, at the right time and in the right condition. Therefore planning, computer programme and control of the supply chain is so critical. 2. Explain the fiscal impact of having higher inventory level of spare parts. high inventory level...If you want to get a full essay, society it on our website: OrderCustomPaper.com

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