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Used Serviceable Materials and the future

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Author: John Brooks, Senior Manager, Used Serviceable Materials

Published: September 23, 2020

We’ve all seen how the current environment has greatly impacted the world and the aviation business.  Companies have taken numerous measures to adapt to the current climate at a time unlike anything we’ve ever experienced. As we are all readjusting to the new normal, airline customers are looking now more than ever for solutions that allow them to service airplanes while reducing inventory costs and streamlining operations. As we navigate through these times together we’re committed to providing assistance to support each transition – from ground to air, offering support to keep planes in flying condition.

As with other areas of the aviation business, the Used Serviceable Materials (USM) market has seen a dynamic change. In recent years, Boeing began managing the end to end process of our USM business. Our USM capability provides access to a pool of certified, refurbished materials including engine parts, line replaceable units, airframe rotables and more at a fraction of the cost of buying new. Looking forward towards recovery, we see USM playing a key part in supporting the industry’s increase in operations and demand for more affordable parts options.

Recently, we participated on the Transitional Used Serviceable Materials Market Panel during this year’s MRO Asia virtual airshow, discussing the state of the USM market. As with so many parts of our industry, where we are today with the USM market is markedly different than what we expected this time last year. A year ago, the market faced an incredibly high USM shortage – now we are seeing a different and over-supplied environment unfolding due to an increased number of airplane retirements.

At Boeing, we are continuing to see the benefit of the USM market for our customers as they figure out their path forward – whether it is partnering with us on sales to support cash flow needs or planning for the market rebound and mapping out cost-effective parts support. USM creates an opportunity to apply our platform lifecycle experience to help airlines and MROs reduce costs while maintaining operational efficiency. This offering provides a cost and schedule-effective alternative to new parts without sacrificing quality or safety. We’re focusing on making sure that we have the resources and inventory to support our customers’ demand for quality USM parts, supporting both Boeing and non-Boeing aircraft.

Learn more about Used Serviceable Materials from Boeing here.

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