Special Story

Digitizing the MRO market

Digitizing the MRO market.
Jonathan Berger, MD, Alton Aviation Consultancy.

The Covid-19 pandemic was pivotal in exposing the value of digitalization.

Using digital tools and contactless systems became second nature to many people in their personal lives. However, at an MRO industry level, integrating technology effectively hasn’t been quite as simple as scanning a QR code at your neighborhood pub.

There is no doubt that the digital evolution in aviation maintenance is in its early stages. However, as MROs continually seek to future-proof their business strategies, digitalization will play an increasingly critical role in improving operational efficiency.

Going “paperless”

Driven by regulatory requirements and stringent safety protocols, it is little surprise that the MRO industry is heavily reliant on paper, with operators required to provide detailed “dirty fingerprint” records of all maintenance performed.

Despite digitization being embraced on the flight deck via electronic flight bags (EFBs) and sophisticated data algorithms being the lifeblood of airline revenue managers, the vast majority of aircraft in operation today are still managed via paper-based systems and processes. With a few notable exceptions, MROs represent the trailing edge in aviation’s digital evolution.

In addition to paper-based maintenance task cards, far too many MROs continue to rely on hard-copy reference manuals that often exceed thousands of pages. Not only does this 20th-century practice make it harder to keep track of revisions and achieve timely compliance monitoring, it also increases the risks of human error.

That said, the industry is taking some encouraging steps in the right direction to integrate digital tools. For example, new aircraft are delivered with electronic, digital records for serialized parts enabling operators to efficiently upload to their respective MRO planning and tracking IT systems.

Furthermore, MROs now commonly employ optical character recognition (OCR) technology to scan paper-records, with some forward-looking MROs beginning to leverage electronic routine task cards, electronic non-routine cards, and digital signatures.

Integrating digital tools such as these can bring about significant productivity, time, and cost savings for MRO operators, while simultaneously ensuring all maintenance records are accurate – which, from a safety and compliance standpoint, is paramount.

While these technology integration enhancements are welcome, unfortunately the majority of MROs are still holding onto their legacy processes. The capital cost and perceived process change management risks are still considered too high by most and it will likely take another decade or so until the transition to digital achieves critical mass.

Utilizing aircraft data

Nevertheless, there is important work underway – primarily funded by major OEMs partnered with a select few large airline-affiliated MRO providers – to explore the nascent area of big data analysis for predictive maintenance. By harnessing the vast amounts of data now generated in flight from airframes, engines, and components, MRO suppliers of the future will ultimately take major strides to improve aircraft availability and reduce total aircraft lifecycle costs.

For the moment, however, the primary value of advanced digitalization can be seen in the airframe heavy maintenance segment, where sophisticated production control and planning software is being integrated to more efficiently schedule manpower and manage the critical path of the C-checks.

Such software implementation can result in substantial productivity improvements, which are particularly valuable at a time when labor shortages are creating headwinds for the sector. According to a recent report, a coming wave of maintenance workers retirements could result in a 27% shortfall in skilled personnel in North America by 2027.

A digital future

Over the next decade, MROs will inevitably come under increasing pressure, both external and self-imposed, to accelerate their respective digital transformation journeys. Early examples demonstrate the substantial rewards this investment can be expected to generate for MRO providers and their customer operators. It is exciting to step back and consider the opportunities and value enhancements that will become possible as the MRO sector fully commits to transitioning from the current analogue, paper-based system to digital.