Aircraft spares supply chain management for the aviation industry in Zambia based on the CIPS purchasing and supply management (p and sm) model

Abstract

The overall objective of the study was to identify the challenges faced by the aviation industry in procurement of the aircraft spares and come up with possible solutions based on the CIPS Purchasing and Supply Management Model. Using data collected from 100 respondents from the various institutions in the Aviation sector which was analysed using SPSS version 2.0 and Microsoft excel, it was established that some of the challenges faced in SC were due to unreliable lead times, non-adherence to service level agreements between buyers and suppliers and the unavailability of local players in the industry among others. Adoption of an integrated supply chain management system appeared to provide a solution to the delays in delivery of aircraft spares in the aviation sector. Accordingly, the CIPS P&SM Model was found to be a good tool in improving the SCM of aviation spare parts in Zambia; since, it encompasses step by step procedures with regards to procurement, delivery and utilization of spares. The Supply Chain Operations Reference (SCOR) Model was compared with the CIPS P&SM Model. SCOR Model was also established eliminate delays in the entire SC. These challenges would be eliminated using the SCOR Model`s five management practices of plan, source, make, deliver and return, that were found to ensure a smooth supply chain for spare parts as they incorporate demand, inventory; and freight management among others which the CIPS P &SM Model elaborates. The study recommended the need to employ ERP for supplier-vendor management and the need to adhere to service level agreements. Furthermore, it stressed on the need to use supply chain techniques in improving efficiency in the SCM function as a mode of cost reduction. Key words: Aircraft spares, Enterprise Resource Planning, Aviation Industry, Supply Chain Management, and Supply Chain Operations Reference (SCOR) Model.