An aircraft component supply revolution – how AI is changing the game for consignment stock and inventory

AI is enabling industries across the globe to take quantum leaps in the way they operate, and the aerospace component supply sector is no exception. As the industry battles a shortage of both aircraft maintenance technicians and parts, in addition to considerable global disruption, the benefits that AI can bring to the table are significant.

Working around the world, logistics optimization is crucial to ensure the right aircraft part is in the right place at exactly the right time; this process involves Holmesian detective abilities and top-drawer organizational expertise, all with a keen eye on clients’ budgets. Inevitably, it also involves tight deadlines; if an aircraft is AOG because a component is malfunctioning or broken, a solution needs to be found immediately. AI has the potential to cut through the paperwork and the timespan taken for every eventuality and overturn many of the processes which suppliers have developed over the years.

The emergence of predictive analytics

One of the most exciting possibilities arising from the use of emerging technologies such as AI is therefore the expanding capability of big data predictive analytics. This can examine huge quantities of data of all types, such as text, images, videos and graphs, and use the information to predict trends and events and identify patterns. In terms of inventory forecasting, it could prove a game-changer.

It’s already being utilized in aircraft maintenance – for example, AI sensors on airplanes are increasingly able to pick up on signals heralding an issue, such as an unusual vibration or noise. Knowing this in advance reduces unexpected breakdowns and allows for the ordering of a replacement part so it can be ready as soon as its needed. It also makes for more targeted maintenance rather than scheduled inspections and event-responsive repairs. AI algorithms can sift through reams of data in seconds to examine customers’ purchasing trends and predict future requirements.

A change in inventory forecasting

For the component supply sector, AI will have a major impact on inventory forecasting. Customers rely on the rapid location of the part they need and the search requires a multi-faceted approach, with warehouse stock, a comprehensive exchange pool and an exhaustive roster of contacts all over the world to draw from. It’s a high-octane challenge and every job has its own particular issues.

There are millions of different aircraft parts and suppliers and sellers all over the world. Tracking parts down through digital outlets is hugely time-consuming and complex. Blockchain technology has helped to streamline the search by providing a clear and up-to-the-minute view of a supply chain, but this doesn’t remove the time-critical issue. By utilizing predictive maintenance, AI can continually refine and develop stock acquisition to the extent that vital parts can be in place exactly when they’re needed, reducing or removing completely the chances of a last-minute emergency. It enables a reliable and efficient Just-in-Time strategy which reduces costs in terms of both unnecessary overstocking and the resultant storage space required, while simultaneously maximizing profitability and organizational efficiency.

Time saving – where AI makes a difference

AI is also spearheading new operational tools which will make significant time savings in searches when an unforeseen malfunction still inevitably occurs. With every transaction increasing its level of learning, it can examine market trends and investigate and analyze market suppliers for maximum reliability and efficiency. This enables customers to make more informed choices.

Pin-pointing component issues

Historical data from an aircraft’s maintenance records can be instantly dissected to track interactions between components, detect anomalies, determine exactly when a part might be needed and even pick up on more complex component failure patterns.

Compliance and competitive pricing

Adherence to airworthiness compliance regulations is obviously the cornerstone of aircraft component supply. AI can extract precisely what information is needed and pull it together for each specific part. It can also establish competitive pricing, with resulting increased profit margins and improved cash flow management for lessors and operators.

What’s next in the AI evolution?

Relatively speaking, the use of AI is still in its infancy, but its potential is immeasurable. The human element and the building of good customer relationships will always be an essential part of every transaction but, to stay on the front line of component supply, businesses will undoubtedly need to embrace the capabilities of AI.