THE POWER OF AIRCRAFT PURCHASING

PROJECT STATUS : ACTIVE
  • LAUNCH DATE : JAN 2017

  • PRIMARY TARGET : Airlines

  • PROJECT FUNCTIONAL AREA : Contract Management

  • PROJECT FOCUS : Other

  • PROJECT SPONSOR : COAST CONSEIL


Project Summary

The purpose of this project is to set up a thorough diagnosis of your purchasing organization in terms of savings opportunities, risks, level of services.

COAST Conseil, Airsource Partners’ partner in the area of Aviation Purchasing combining in-depth understanding of the aviation industry with exceptional negotiating skills, is now making its wealth of Purchasing experience available to airlines in full compliance with the principles of Airsource Partners’ Aviation Expertise Marketplace.

Project Description

Establish a thorough diagnosis of your purchasing organization in terms of savings opportunities, risks, level of services with the help of an industry expert.

Purchasing at airlines, like at any other organization, refers to a business or organization attempting to acquiring goods or services to accomplish the goals of its enterprise. Purchasing processes can vary greatly between airlines. What remains common to all airlines however is the financial implication of the purchasing function.

One of the major trends observed in purchasing during the past few years is a move away from a daily, staff-intensive, undervalued and purely tactical function to a leaner, more visible and highly strategic function. Companies have gradually learnt to recognize at its true value the financial and strategic power of purchasing. This is all the more true in the aviation industry given the very high cost and complexity of the capital equipment or services needed to operate an airline (aircraft, ground support equipment, training,..).

Airlines were quick to realize the potential financial contribution of the new face of purchasing to their organization. Today purchasing professionals not only focus on the bidding process and negotiating with suppliers but on the entire supply function. In these roles they were able to add value and maximize savings for airlines.

Today’s aviation purchasing requires exceptional negotiation skills and an in-depth knowledge of the aviation industry (its suppliers, evolution, the products, ..). COAST Conseil’s management team has been active in aviation purchasing for over 15 years. Hands-on purchasing experience was acquired during various operational tenures at large international organizations such as Boeing, Safran or Air France. Since 2005 COAST Conseil provides counseling to airlines in the area of purchasing.

COAST Conseil proposes to review all your major contracts (maintenance, insurance, ground handling, hotel and training, ..) and sources of spendings.

On the basis of its knowledge of the purchasing processes and the aviation industry at large, and following the analysis of various industry KPIs and guidelines, our Partner will be providing the airline with a detailed list highlighting the potential savings opportunities, risks, level of competitiveness and priority for renegotiation associated to each contract placed under review during the Project.

At the airline’s discretion, COAST Conseil can assist the airline in the actual renegotiation of the contract(s) – see CONTRACT RENEGOTIATION PROJECT.
 




Experts / companies available for this project


picture
Coast Conseil - France
Coast Conseil was created a few years back by Julien Beaumont, a former airline executive. After an engineering degree in aeronautics (MSc Cranfield college of Aeronautics+French Engineering Degree), Julien has been certified in purchasing at Essec management school and in change management at the "Paris School of Coaching". Julien worked at Boeing, Safran, Air France, Corsair (where he held the position of Purchasing Manager for 5 years), Air Caraibes. He started his own consulting practice (COAST Conseil) and is now working as a consultant in aeronautics near many airlines.