By applying established and customized Aviation MRO health checks at Luxair Technik additional potentials to increase efficiency and aircraft availability and to reduce costs were identified. Furthermore, existing performance management systems as well as the corporate culture of the organization were analyzed.
Health Checks at Luxair Technics
How to reveal additional potentials for increase efficiency and aircraft availability.
Lumics project story
Health checks reveal additional potentials for Luxair Technics
Luxair Technics aims to proactively increase LuxairGroup`s competitiveness
In 2018, Luxair Luxembourg Airlines transported approximately 2.13 million passengers, reflecting roughly a 10% increase compared to the previous year. The airline recently brought two additional B737 aircrafts into service to support future growth. By now, the fleet consists of four B737-800s, four B737-700s and eleven Bombardier Q400s1. However, the airline is facing headwinds due to additional competition, e.g. by easyJet and Ryanair. Given these circumstances, Luxair Technics, being a division of Luxair Luxembourg Airlines, aimed at proactively increasing aircraft availability and reducing MRO costs to contribute to the group`s competitiveness. To identify areas for improvement Lumics was asked for external support.
A health check was conducted to ensure a holistic overview
The health check, which was jointly conducted, consisted of various analyses to identify improvement areas concerning operational efficiency e.g. at line maintenance and logistics, aircraft availability, MRO costs, the current performance management system as well as the skills and mindset of employees. To identify thoughts and feelings from all Luxair Technics employees, a digitalized staff survey was set-up. Thanks to high participation of the employees reliable statements could be made, highlighting additional potentials for improving.
Health check results showed potential for increasing aircraft availability and reducing MRO costs significantly
At the end of the analysis measures were derived to increase efficiency and aircraft availability as well as to reduce MRO costs. Afterwards, potentials per measure were estimated and prioritized. In addition, ideas were generated on how to further increase employee satisfaction and how to implement an aligned and cascaded performance management system in the organization. Based on these findings, the way forward was planned. Lumics also supported Luxair Technics during the next phase to create concepts or, where applicable, to support with the implementation of defined measures.
About the authors:
Detlev has been appointed Managing Director of Lumics in Hamburg. For over 20 years he worked in different functions at Lufthansa Technik such as strategic purchasing, sales, production and as CEO (including role as Accountable Manager) in Malaysia and China.
Project Manager Aviation MRO
Christian is a project manager working for Lumics and is also based in the Hamburg office. He focuses primarily on international transformation projects in the aviation MRO industry. Before joining Lumics he gained working, leadership, and consulting experience in the airline industry.
Dr. Steffen Elstner
Senior Consultant Aviation MRO
Steffen, based in the Hamburg office, is working as a senior consultant for Lumics. He worked almost 3 years as a Key Account Manager learning best practices of Lufthansa Technik and airline operators. During his PhD studies he gained consulting experiences in different industrial and research projects within the aircraft industry.