Oliver Wyman MRO Survey Findings 2009
With a decrease in the installed base and in future growth rates, players in the aviation maintenance, repair, and overhaul (MRO) industry are being forced to rethink their strategies. Original equipment manufacturers (OEMs) looking to replace lost margin from aircraft cancellations are accelerating their focus on the aftermarket, which in turn is causing independent MRO providers to adapt their positions in the market.
To explore the impact of the current economic situation on the aviation MRO market, Oliver Wyman recently surveyed over 230 airline, airline MRO, independent MRO, and OEM executives. Respondents represented a global mix of mainline, low-cost carrier (LCC), regional, and mixed-format carriers. Respondents come from all sizes of businesses, from less than $50 million to over $2 billion in revenues.
Highlights of the Study
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The MRO market will shrink in 2009, but then resume growth at slower rates.
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Outsourcing of MRO activities, while significant, has leveled off.
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Airlines continue focus on Total Maintenance Support as the most important factor in selecting an MRO provider.
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Half of MRO and OEM respondents believe OEMs are gaining competitive advantage relative to MROs in the aftermarket space, and these OEMs are more confident of their competitive advantage than MROs.
