Minimize costly Aircraft on Ground (AOG) events with a smarter parts supply. APAS offers expert AOG solutions to reduce downtime & protect profits.
As an aviation executive, you know that an unexpected Aircraft on Ground (AOG) event isn't just a maintenance issue—it's a financial crisis. Every minute an aircraft stays grounded creates a significant monetary loss and operational disruption. Costs include not only the actual repair expenses but also possibly long investigations into the fault's cause, finding and delivering needed parts and staff, and the large expense of housing or rebooking passengers.
This article, adapted from insights shared in a MRO 360° article on July 15, 2025, explores how a strategic approach to parts supply can transform a costly AOG into a manageable event, securing your fleet’s operational integrity and profitability.
A primary question arises: who in an airline operation is responsible for making parts ready when an unexpected failure occurs?
Craig Skilton, VP Components at APOC Aviation, states that the initial responsibility lies with the airline’s supply chain team. They must ensure visibility of needed parts in crucial locations. Suppliers often will place stock in distant warehouses if they see a steady need.
For suppliers, if there is known, repeated demand, the cost of moving stock can be balanced by anticipated customer needs. Without such demand visibility, suppliers prefer holding stock at main centers to serve a wider customer base.
Chris Ricely, Manager of Asset Repairs at Setna iO, who has a background in engine materials, sees multiple ways to manage this. He mentions that a single request for one part to ensure timely delivery can involve many actions in an active network, with many people working for the same goal: availability. When no serviceable material is present, availability must be created, often by sending material out for repair. This starts a series of immediate questions about MRO location, reliability, and output.
Mike DeMicco, Senior Vice President of Sales & Material Management at VAS Aero Services, states that the airline’s logistics and supply chain team leads the process to get the correct part to the correct place at the correct time. Tony Zana, Director of Sales EMEA at Werner Aero, LLC, agrees on logistics' lead part, but also points to three other elements as critical: Maintenance Control, Supply Chain, and outside logistics providers. He notes a clear movement toward data-driven cooperation between technical operations and supply chain departments, with cost, compliance, and urgency driving decisions.
While logistics and supply chain teams are on the front lines, managing an AOG is a leadership challenge.
Waiting for a part to be shipped from a distant central hub is a losing strategy. The most effective solution is a robust, global network. This isn't just about having one warehouse; it's about a strategic ecosystem of local pooling agreements, consignment stocks at critical locations, and strong partnerships. Erkki Brakmann, CEO of SkySelect Inc., explains that AI has changed the sourcing situation. Sourcing used to be a very slow, manual process. AI can now instantly find the most likely approved or unapproved suppliers who have the part. It can verify market availability and suggest the best option based on AOG needs.
Accessing local or regional part inventories, placed at key airports or partner MRO facilities, offers another option. Working with outside supply partners who have many new and Used Serviceable Material (USM) parts, various stocking programs, and worldwide logistics capabilities helps reduce aircraft downtime by speeding up delivery from closer stock points.
Tony Zana suggests airlines and MROs now depend on a mix of strategic choices. These include local pooling with OEMs or outside providers, consignment stocks at critical locations, inter-airline loans and exchanges (often through platforms like ILS or Aeroxchange), and on-demand charter or courier services for urgent moves.
To truly conquer AOG delays, you must move beyond a reactive mindset. As Mike DeMicco highlights, this means investing in predictive maintenance technology to anticipate failures before they occur. It also involves optimizing your inventory with a data-driven approach, ensuring critical components are pre-positioned in strategic locations. Partnering with suppliers who offer flexible programs like pooling and exchange agreements is also a key part of building a resilient supply chain.
The future of AOG management is in data-driven decision-making and strategic partnerships. For components that fail frequently, a data-driven approach is key to understanding and predicting failures. You need to work with partners who not only have a strong global network but also leverage technology to provide you with real-time visibility into parts and logistics. This collaborative, intelligent approach shortens AOG timelines and helps your business thrive, regardless of the unexpected challenges.
Beyond the immediate fix, a comprehensive strategy for AOG management involves a deeper look into your operations. Tony Zana of Werner Aero points to a crucial four-part investment strategy: implementing predictive maintenance systems, establishing strategically placed forward-stocking hubs, securing access to reliable spare parts through suppliers or pooling, and creating strong, integrated AOG response protocols. This isn’t a one-off fix; it's a commitment to a system that prevents problems before they start. It's about ensuring your response is not just fast, but flawless.
The best-in-class carriers and MROs are already embracing this. They're using digital sourcing tools and platforms like PartsBase or ILS to find parts worldwide in real-time. This level of market visibility, as noted by Erkki Brakmann, allows them to instantly compare thousands of suppliers, ensuring they secure the best possible option for a given AOG situation. This is a significant competitive advantage. It's not just about speed; it's about making the most informed decision under pressure.
The industry is moving toward a highly interconnected ecosystem where data and collaboration are paramount. Predictive maintenance is no longer a futuristic concept; it's a current reality for forward-thinking organizations. By analyzing reliability data and failure trends, you can optimize your stock levels and develop tailored repair agreements with MROs. This intelligence-led approach, championed by experts like Chris Ricely and Craig Skilton, allows you to anticipate problems with often-failing components and reduce their impact.
Ultimately, your success in managing aircraft groundings will depend on your ability to see beyond the immediate problem. It requires a shift from a reactive scramble for parts to a proactive, technologically-enabled strategy that is built on a foundation of strong partnerships, data-driven decisions, and a commitment to operational excellence. This is the new standard for a profitable and resilient fleet.
The new standard for a profitable and resilient fleet is clear: a proactive strategy built on data, partnerships, and operational excellence is no longer optional. Implementing this framework is a significant commitment that requires the right partner. If you are ready to transform your approach to parts supply and minimize costly disruptions, discover how our dedicated AOG management solutions can provide the immediate support and long-term stability your operation demands.
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