Marketing Information Systems (MkIS) Parts Shortage Challenges in the Aviation Industry: Foreign Military Sales (FMS) Legacy System in Cross-Sector Markets

Marketing Information Systems (MkIS) Parts Shortage Challenges in the Aviation Industry: Foreign Military Sales (FMS) Legacy System in Cross-Sector Markets

Eugene J. Lewis, Danica F. Abejon
Copyright: © 2024 |Pages: 20
DOI: 10.4018/979-8-3693-1970-3.ch002
OnDemand:
(Individual Chapters)
Available
$37.50
No Current Special Offers
TOTAL SAVINGS: $37.50

Abstract

The qualitative focus group research utilizes the theory of constraints and supply chain management (SCM) framework to review over 179 emails discoveries in obsolescence issues surrounding the Chinook/Cargo Helicopter-47 Delta-Model (CH-47 D-Model) helicopter. In the early part of 2010, there were 66 vendors who manufactured long-lead D-Model parts; now, only 13 remain. As foreign military sale (FMS) customers upgrade to more advanced systems, a critical challenge focuses on customer-centric, predictive business models, and smart automation to understand the value of military and defense operations for legacy systems. The researchers utilized participant data from focus group discussions, emails, and written correspondence to develop a comprehensive spotlight into the Chinook/Cargo community within FMS. The purpose is to determine if there is value in servicing country needs for CH-47 D-Model parts. Shortages of critical components and a lack of access to authentic, certified spare parts affect the safety and performance of the helicopters.
Chapter Preview
Top

Introduction

The part shortage challenges on CH-47 D-Model aircraft can be primarily attributed to their age and the evolving nature of the aviation industry (Bachman, Goldsmith, & Nix, 2023). These helicopters have been in service for several decades, and many original manufacturers of specific components have ceased production or gone out of business over time (Marchet et al., 2018). It is important to note, research in this area was very challenging as much of the references focus on military documents that are not accessible to the public. As a result, locating authentic, certified spare parts that meet the stringent quality and safety standards required for military aircraft can be increasingly difficult (Pedrosa, Näslund, & Jasmand, 2012; Abdul, Kharoufeh, & Maillart, 2019). The complexity of the aircraft's systems and the need for specialized components further exacerbate these trials. Additionally, the military's stringent procurement processes and budget constraints can hinder the timely acquisition of replacement parts, as they often involve a rigorous certification and qualification procedure (Russo, Masorgo, & Gligor, 2022; Bachman, Goldsmith, & Nix, 2023). This combination of factors creates a significant obstacle to ensuring the availability of necessary components for the CH-47 D-Model helicopters, potentially affecting their operational readiness and safety.

The issue of MkIS from vendors for parts shortages on CH-47 D-Model helicopters can be attributed to several factors. First and foremost, the CH-47 D-Model helicopters are a specialized and relatively older aircraft, which may not be as widely used as more militaries modernize their aircraft. This results in a limited market for spare parts, making it less economically attractive for vendors to invest in comprehensive marketing information systems (MkIS) for these helicopters (Öner, Scheller-Wolf, & van Houtum, 2013; Abdul, Kharoufeh, & Maillart, 2019). Additionally, the procurement process in the defense industry is often complex and subject to rigorous regulations. Vendors may encounter bureaucratic obstacles and lengthy approval processes when trying to market their products and services for military aircraft (Bachman, Goldsmith, & Nix, 2023). This can discourage vendors from actively promoting parts for the CH-47 D-Model helicopters. Furthermore, the military's stringent quality and safety standards mean vendors must meet specific requirements to provide parts for these helicopters. Ensuring compliance with these standards can be costly and time-consuming, further discouraging vendors from investing in marketing efforts for these aircraft.

Finally, these essential components provide mission-capable accessories and resources that support the transporting of troops, equipment, and supplies for operations. As such, maintaining the operational readiness for this aircraft has become significantly difficult due to new innovations and upgrades to this legacy system. The qualitative study will discuss some of the economic challenges for customers. Moreover, address the budget constraints faced by military agencies limiting their ability to procure spare parts, leading to a reduced demand for such products (Abdul, Kharoufeh, & Maillart, 2019; Arts, Basten, & Van Houtum, 2016). Consequently, vendors might find it more lucrative to focus on other, more widely used aircraft systems, diverting their marketing resources away from the CH-47 D-Model helicopters (Öner, Scheller-Wolf, & van Houtum, 2013; Morgan et al., 2018). In summary, the issue of marketing information systems (MkIS) from vendors for parts shortages on CH-47 D-Model helicopters can be attributed to a combination of factors, including the limited market, complex procurement processes, stringent quality standards, and budget constraints within the defense sector, which collectively make it less appealing for vendors to invest in marketing efforts for these specific aircraft (Pedrosa, Näslund, & Jasmand, 2012).

Complete Chapter List

Search this Book:
Reset