Case Study: Supply Chain Transformation Assessment for a Global Airline
16.03.2026
Summary
Location
Global
Industry
Airport Logistics
Background
A leading global airline appointed Miebach to support its supply chain transformation after an internal report revealed a series of operational and service-impacting issues within its existing supply chain and logistics operations. The report identified several systemic challenges, consolidated into the following key problem statements.
Outdated core systems architecture
Misaligned KPIs
Poor data quality
Lack of formalised SC strategy
Low adoption of digital SC technologies
Dysfunctional inventory management
Limited SC visibility
Process standardisation and optimisation
Organizational structure
Objectives
The supply chain transformation aims to enable a future-ready, digitally enabled, and resilient supply chain that directly supports the Engineering & Maintenance (E&M) department strategy. The objectives are structured to unlock value across the key E&M opportunity areas:
Aircraft Availability
Engineering Efficiency
Supply Chain Efficiency
Solution delivered
A thorough assessment of current SC processes led Miebach to propose four workstreams to support the E&M strategy.
Initiatives developed
In line with the E&M business objectives, we proposed 4 workstreams to be further developed.
Inventory and flow analysis
Supply Chain process improvements
Supply Chain IT
Supply Chain
Results
The outcomes of the four workstreams deliver end-to-end supply-chain transformative initiatives that support the E&M strategy.
Supply Chain process improvements
- New FHA process flow to increase visibility and reduce AOGs and manual inputs
- Supply Chain implementation roadmap aligned with the overall E&M Strategy
Inventory and flow analysis
- Centre Of Gravity analysis to support the location of the main DC
- New safety stock calculator to optimise stock levels and improve service level
Supply Chain IT requirements
- SC IT best-practices to be included in the new MRO software
- List of IT quick-wins applicable before the new MRO software is implemented
Supply Chain organization design
- New organization structure with defined roles and job profiles
- New SC KPIs hierarchy to measure operational, tactical and strategical goals
Benefits
The following potential savings that could be achieved by implementing the supply chain opportunities suggested by Miebach:
| £6.1m pa Efficiencies driven by Material Availability |
£0.1m pa Engineering Efficiency |
£1.1m pa Supply Chain Efficiency |
| 261 flight compensation savings from reduced technical cancellations and flight delays | Engineering labour savings from reduced deferred work | Supply Chain headcount reductions from BADC flow efficiencies, PO automation and FHA efficiency improvements only |
Future Business Benefits
- Lean organization:
The proposed structure aligns with supply chain best practices, clarifying roles, KPIs, and interfaces - Improved aircraft availability:
Improved inventory management can deliver a sustainable 96% service level and thus aircraft availability - Digital transformation roadmap:
The proposed roadmap enhances visibility, accuracy, and control - Stronger performance management:
New KPI hierarchy improves measurement and drives corrective actions
Would you like to get more insights on this or are you looking for a partner to support you in your supply chain project? Please get in touch with us!