Sound lifecycle cost planning means assessing a huge range of technical operational and financial factors related to aircraft.
For instance, a fleet management will need to consider how often an aircraft will be used, what environmental conditions will be taking off and landing in, how pricing in the spare parts market will develop and where it will perform its maintenance – to name just very few of the inputs into lifecycle cost.
Indeed, so complex is the task that no lifecycle cost estimate at the beginning of an aircraft’s life will prove correct – there are simply too many variables outside the operator’s control for that to occur.
Nevertheless, lifecycle costing is becoming increasingly important to airlines, either to provide a point of comparison when choosing between different aircraft types, or to optimize strategies once aircraft are in service.
“In terms of planning and management, the core is having a sound balance between network and fleet strategy, and then managing suppliers and partners in line with that strategy. From the asset perspective, the key is financially and technically optimizing the useful life of aircraft in terms of combinations of components, cabins and airframes,” Riku Aho, vice-president of fleet management at Finnair, tells Airfinance Journal.
Aho adds that Finnair manages the operations and maintenance of airframe, engines and landing gears to space maintenance intervals as efficiently as possibleas well as possible.
He also notes that the transition from conventional metallic structures to composites structures “significantly changes the airframe maintenance costs and maintenance program intervals and lifecycle costs”.
Looking ahead, he sees the potential for digitalization to transform maintenance and operational strategies, for example by optimizing component removal times or by monitoring aircraft performance to improve fuel burn.
For a detailed look at aircraft lifecycle costs, see the next issue of Inside MRO.
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