Safety Stock Studies in Aerospace Organisations in Times of Transformation

Federico Leopardi – RUAG Aerostructures Schweiz AG, Seetalstrasse 175, 6032, Emmen, Switzerland

Abstract: Amid the ongoing recovery from the disruptions caused by COVID-19 in aviation supply chains, optimizing resources is crucial for com­petitiveness and cost reduction. Major aircraft manufacturers have been ramping up their programs, placing added pressure on supply chains to adapt. Effective supply chain management requires careful inventory op­timization, with Safety Stock (SS) playing a crucial role as a buffer against stockouts or disruptions. SS can be strategically placed before or after pro­duction to address uncertainties. This gap in niche areas, affecting various sectors beyond aerospace, underscores the need for a thorough examina­tion of challenges faced during times of transformation. Factors influencing SS creation and decisions regarding Make/Buy items were explored, along with the optimal placement of SS within the Bill of Materials (BOM). To nav­igate these complexities, in this paper, the authors have applied qualitative methodologies involving interviews with key stakeholders from procure­ment, production, and planning. Successfully managing times of change requires a nuanced understanding of a company’s operations, emphasizing the importance of effective SS management in turbulent times.

8th International Scientific Conference – EMAN 2024 – Economics and Management: How to Cope With Disrupted Times, Rome, Italy, March 21, 2024, CONFERENCE PROCEEDINGS, published by: Association of Economists and Managers of the Balkans, Belgrade, Serbia; ISBN 978-86-80194-83-7, ISSN 2683-4510, DOI: https://doi.org/10.31410/EMAN.2024

Creative Commons Non Commercial CC BY-NC: This article is distributed under the terms of the Creative Commons Attribution-Non-Commercial 4.0 License (https://creativecommons.org/licenses/by-nc/4.0/) which permits non-commercial use, reproduction and distribution of the work without further permission. 

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