Company Overview: $1.5B Aviation Operator & Repair Center
Business Background & Facts
- Large Helicopter operator and repair center
- $400m in Inventory
- $100m in Surplus inventory
- Unfavorable cash flow for repair business
Solution Deployed
- Create a separate group to manage surplus inventory globally
- Identify all surplus inventory globally and tag them
- Select external repair centers who can invest in overhaul surplus retables
- Develop proper reporting for operation and finance
- Bring speed to the execution
- Sell directly to 2,200 global operators
Results delivered
- Identified strategic partner for supplies inventory and sold $50M surplus inventory in first 18 month and recouped 80% of book value
- Brokered planned large purchases and reduced product cost by 10%
- Implemented procedures and training for company to manage surplus inventory
- Outsourced warehousing, finance and other back office, saving company $19M annually