After Boeing’s never-ending fiasco, you’d think that Airbus jets would be dominating every airspace…
But that couldn’t be further from the truth.
As it turns out, Airbus is struggling to capitalize on their biggest competitor’s failings…
And it could create issues for their entire industry for years to come.
Boeing VS. Airbus Jets: Neither Is Winning
Boeing has struggled since the beginning of the year after a door plug flew out midflight…
And the company has not been faring better since then. With an endless series of safety audits and federal investigations…
THE COMPANY FACES A COMBINED $58 BILLION IN DEBT FROM SALE DECLINES ASSOCIATED WITH THE INCIDENT AND THE PANDEMIC.
With Boeing struggling to get by, Airbus and its jets have had a unique opportunity to get ahead of the competition…
AN OPPORTUNITY THEY HAVE NOT TAKEN ADVANTAGE OF.
Recently, Airbus lowered its annual aircraft delivery guidance…
With the goal of delivering 770 A320 Airbus jets instead of the intended 800.
The lowered delivery number is thanks to pervasive supply chain issues…
Causing massive delays that have been plaguing the aircraft maker since the beginning of the year.
The CEO of Airbus’s commercial aircraft business, Christian Scherer, knew this was going to be an issue once the aircraft industry emerged post-pandemic…
In fact, he went out of his way to warn suppliers that they needed to be ready with a supply when passengers and airlines demand Airbus Jets. Unfortunately, no suppliers took Scherer’s concern seriously.
Many of the supply issues afflicting Airbus Jets stem from the pandemic when experienced workers lost their jobs…
And were replaced by new workers who require hours upon hours of training.
New recruits slow down processes in supply chains, but that is just the beginning. In fact, a lot of the issues with Airbus Jet delays are of the company’s own design.
Ambitious Plans Lead To Damage Control…
In the years following the pandemic, travel demand has boomed and Airbus jets were ready to accommodate…
Or so the company thought.
When Boeing suffered the door-plug incident earlier this year…
Airbus was taking orders from every airline for more and more plans.
EVENTUALLY, THE MOST POPULAR AIRBUS JET, THE A320NEO, BECAME SOLD OUT UNTIL EARLY INTO THE NEXT DECADE.
Initially, Airbus wanted to deliver 75 jets per month, a record-breaking number for commercial airlines…
But many parts for Airbus jets, engines, seats, and landing gear, arrive from suppliers just in time to be installed…
This means that when there is a delay with these components, the jets can’t be finished and shipped off to buyers.
Right now, Airbus is sitting on a backlog of 8,598 commercial aircrafts…
And leaders are trying to find solutions. One of their initiatives is Project Lead, a plan to stop bottlenecking at their suppliers and focus teams on resolving delays.
We’re In For Some Turbulence
But even with this fresh project, no one knows how long supply-chain delays will hold up production of the new Airbus jets…
Not even Scherer, “Our trajectory is ambitious… We’re on it, but our supply chain is not. We’ve got to whip the supply chain into shape.”
Be Great,
GCTV Staff
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