Balancing demand, capacity, and uncertainty: the commercial aerospace supply chain challenge before the ramp-up

Nearly two years into the COVID-19 crisis, the entire commercial aerospace supply chain remains heavily impacted by the pandemic, relying on state subsidies to cope with the short-term drops in demand. With these support programs expected to be withdrawn at the end of 2021 or the beginning of 2022, suppliers must find solutions for their workforce to bridge the demand gap until the anticipated ramp-up kicks in. A tailored program combining a variety of measures needs to be implemented to support the transition, ranging from individual measures such as qualification programs to organizational ones such as early retirement programs, qualification, transfer organizations, or further reduction of working hours to maintain a capable workforce on board for the upcoming ramp-up, while maintaining cost competitiveness.

In an article for the 11th Aviation Forum Hamburg 2021, AlixPartners industry experts Dr. Stefan Ohl, Daniel Makowski, Sven Vögele, and Kai Schöttle share their insights on how suppliers can apply a ‘ramp-up readiness health check’ and conduct top-down scenario-based planning to prepare their organizations for different crisis recovery paths given continued high levels of uncertainty.

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