IATA Outlines Four Priorities To Tackle Aerospace Supply Chain Failures
KUALA LUMPUR, June 24 (Bernama) -- The International Air Transport Association (IATA) has identified four priorities to address persistent failures in the aerospace supply chain, namely enhancing supply chain visibility, opening up the aftermarket, unlocking the value of data, digitalisation and artificial intelligence (AI), as well as building human capacity.
IATA director of flight and technical operations Stuart Fox said aircraft delivery delays, engine durability issues, shortages of materials and spare parts, and constrained maintenance capacity were disrupting airline operations.
“Addressing these challenges will require practical action and cooperation across the aviation value chain,” he said in a statement today.
Fox said enhanced supply chain visibility would enable airlines to better plan the operations of their global networks through earlier, more reliable information from manufacturers on delivery delays, repair turnaround times, parts availability and known bottlenecks.
He also called for more manufacturers to commit to key principles in the IATA-CFM agreement to support greater aftermarket competition by reinforcing access to third-party maintenance, repair, and overhaul (MRO) services, alternative parts, and approved repairs.
On data, digitalisation and AI, Fox said better integration between airline maintenance systems and external market intelligence could improve inventory management, identify material availability and scarcity, support repair-or-replace decisions, and strengthen warranty claims.
He said AI could further support these processes by predicting demand, identifying shortages and reducing manual work.
Meanwhile, IATA director general Willie Walsh said supply chain failures cost airlines at least US$11 billion (US$1 = RM4.14) in 2025.
He added that the aircraft order backlog is over 18,000, and the average fleet age has reached a record 15.2 years.
“Moreover, being short over 5,000 more fuel-efficient replacement aircraft that airlines had counted on means missed efficiency gains, not to mention higher lease rates and increased maintenance costs,” Walsh added.
Meanwhile, IATA urged a review of recruitment, training, and licensing maintenance technicians to reduce timelines, expand reach, and improve job stability.
It said that demand for maintenance technicians is expected to grow, as evidenced by Boeing’s estimation that 710,000 new technicians will be needed over the next 20 years.
“Increasing training capacity, reducing unnecessary qualification bottlenecks, and creating greater recognition of skills across borders will all help to fill this gap,” it added.
-- BERNAMA