The Wild West of Aircraft Parts Supply
It’s not news that the aircraft parts supply chain has been completely f****d the last few years, with fluctuating prices, scarcity and significant delays, among a host of other problems.
In short, it’s anything but simple to transact aircraft parts and even with all the technology that we’re surrounded with in our daily lives, aircraft parts are mostly transacted using software and solutions that haven’t changed in over 20 years.
As of writing this, an auction is live on eBay for a “Concorde Turbo-Jet Engine, Complete with Afterburner.” It can be yours for the low price of £565,000.00!!!
That’s right, airlines and MROs might be having a difficult time sourcing parts to avoid AOGs, but you can purchase a supersonic aircraft engine with your PayPal account! Does buyer protection still apply when you’re breaking the sound barrier?
A Turbo-Jet Engine to the Highest Bidder
Now all joking aside, it should be pointed out, that this engine is not intended for actual use, as the listing reads, “Not able to fly but perfect to dismantle and repurpose into collectable pieces of furniture or art.”
However, it does point to a bigger problem and raises some significant questions. For example, we have people hawking aircraft parts on LinkedIn!
How is it that there isn’t a better and more centralized way of transacting such high-value and critically necessary items? And on top of that, in an industry where safety is paramount, and prioritized above even the bottom line, how is there not more regulation surrounding this?
Many have asked why there isn't an Amazon for aircraft parts. However, it should be taken a step further than that because we’re not talking about simple consumer items books, laundry detergent, toothbrushes or t-shirts.
We’re talking about components that are critical to ensuring an aircraft can fly and do so safely!
So rather than simply an Amazon, we should be aspiring to create something more accustomed to the airline industry.
Our true inspiration can be found in the collectibles and memorabilia world by looking at companies such as Pristine Auctions, Goldin or PWCC Marketplace.
They act as intermediaries, creating a safe platform for buyers and sellers by holding items in consignments and physically verifying their authenticity.
Sellers can ensure they get paid a fair price for their rare items, while buyers can ensure they are getting authentic items promptly from trustworthy sellers.
A concept like this would be an ideal marketplace for the aircraft parts supply chain. The safety and legitimacy of parts can be ensured by vetting sellers and inspecting parts before they go on sale, while buyers can simply consult a transparent central hub to easily find what they need when they need it.
It can even be taken a step further by incorporating blockchain technology to track the history of individual parts to even better understand their condition, life cycle and where they originated from.
Such solutions could have prevented the multiple cases of fraudulent practices we’ve seen in recent years.