The objectives of the IMMS project is to implement and evaluate a pilot re-engineered materials procurement business model for airline material stocks in KLM and Team Aer Lingus.
The metrics of success or failure are defined in the research as specific cost saving goals in the process of procuring / disposing of airline technical stocks. The project is designed to address the problem of airlines sharing their surplus and excess stocks by providing the communications and information technology to trade among themselves in these stocks. Additionally the project will establish standards for the pricing of such parts and create a central agency to manage the process and achieve the benefits of economies of scale and buying leverage.
The information system will use a window on the airline material buyer's screen providing him / her with access to all other participating airlines' designated excess / surplus stock. The end result of the development is a distributed information system providing the airline material buyer with on-line access to the excess / surplus stock held by all other airlines. Transactions to agreed pricing standards are immediately executable from the same screen.
The re-engineered business process will differ from the current procurement process in the following principal areas:- it will provide access to stocks hitherto unavailable and it will provide agreed standard procedures and prices for inter-airline materials trading The net result will be a reduction in procurement costs and consequent increase in the cost effectiveness of the aircraft maintenance activity.
Funding SchemeCSC - Cost-sharing contracts
1182 GP Amstelveen