Home' Asian Aviation : AAV April 2011 Contents 24 AsianAviation | APRIL 2011
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Winner: SIA Engineering
SIA Engineering Company (SIAEC) is Asia s foremost
maintenance, repair and overhaul (MRO) centre,
renowned for its leading-edge total maintenance solutions.
The company s one-stop maintenance facility in
Singapore, one of the largest in the world, o ers world-
class MRO ser vices with fast turnaround times to a client
base of over 100 international airlines and aerospace
equipment manufacturers. e company achieved revenue
of S$1 billion (US$791 million) in the 2009/10 business
First to maintain the Airbus A380, SIAEC offers
complete MRO ser vices in airframe, component, engine,
aircra conversions, modi cations and eet-management
programmes for both Airbus and Boeing types. The
company also provide line-maintenance services such as
aircra certi cation, maintenance release and technical
ramp handling ser vices at Singapore s Changi Airport, with
high dispatch reliability for more than 50 international
SIAEC has 25 joint ventures with original equipment
manufacturers (OEMs) and strategic partners in Australia,
Hong Kong, Indonesia, Ireland, the Philippines, Singapore,
Taiwan, the United States and Vietnam, increasing the
depth and breadth of its ser vice o erings. Revenue from
the company s ventures totalled approximately S$2.6
billion in 2009/10.
e MRO provider has approvals from more than
50 airlines and national aviation regulatory authorities,
including the US FAA, EASA, CAAS and JCAB, among
With the evolution of the aviation industry, SIAEC
has been adopting new skill sets to provide unique ser vices
such as a Fleet Management Programme (FMP) to tap into
niche markets. FMP is a knowledge-based maintenance
solution o ered to airlines that want to focus on their core
The service offers comprehensive engineering and
component support programmes, which can be customized
to provide total support to airline customers. In addition,
SIAEC has recently undergone a re-organization in
compliance with the European Aviation Safety Authority s
Continuous Airworthiness Management Organization
regulations. us, besides doing the physical MRO work,
SIAEC is also responsible for the continued airworthiness
of the aircra belonging to a particular company.
SIAEC s current FMP business covers more than 370
aircra , making SIAEC one of the world s largest eet-
management service providers to airlines around the
world. To supplement further growth of its FMP business,
SIAEC plans to constantly form new strategic alliances
In Jan 2010, SIAEC signed an agreement to participate
in Pratt & Whitney s PurePower PW1000G engine risk-
revenue sharing programme (RRSP). Eagle Ser vices
Asia (one of SIAEC s joint ventures) will also be the rst
engine centre in the global RRSP MRO network for the
"It is through these partnerships that OEMs have
increased con dence in Singapore s aerospace dominance,"
the company says, pointing out that P&W has established
an MRO campus and Rolls-Royce building an engine
production facility at Seletar Aerospace Park.
"Many reputable airlines want to work with SIAEC
because of our ability to provide not only a complete
airline solution but an OEM solution," says SIAEC. " e
value of the aircra is extremely important to all aircra
owners, so they want their aircra to be ser viced at the
highest possible standard, and this is only possible if they
are able to obtain an OEM solution for most of the
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Malaysia s AirAsia is the region s leading low-cost carrier,
focused on providing high frequency ser vices on short-
haul, point-to-point domestic and international routes.
e company, along with a liates ai AirAsia and
Indonesia AirAsia, is the only regional carrier to operate
and have hubs in three domestic markets in South-East
Asia and international routes operating from all three
countries. The Group currently ser vices an extensive
network with over 130 routes, covering more than 65
Within nine years of starting operations, the Group
carried over 100 million passengers and expanded its eet
from just two aircra in 2001 to 86 now. e Group is
proud to be a truly ASEAN airline, ser vicing a network
stretching across all ASEAN member countries: Malaysia,
ailand, Indonesia, Singapore, the Philippines, Brunei,
Cambodia, Laos, Vietnam and Myanmar. e Group also
o ers connections to and from China, Taiwan, India, Sri
Lanka, Bangladesh and Australia.
AirAsia was named World s Best Low-Cost Airline in
2010 and 2009 at the Skytrax World Airline Awards, and
World s Best Cargo Industry Newcomer by ACW in 2010.
AirAsia is being recognized in the Aviation Awards Asia
for its cargo ser vice -- a product that ser ves both primary
and secondary markets predominantly in ASEAN,
Australia, London-Stansted, Paris-Orly, China, Taiwan
"We are the rst major low cost carrier to be actively
engaged in the cargo service," AirAsia says. "Typically,
low-cost carriers shy away from cargo due their short
turn-around times, but we in AirAsia not only have made
it work, we have made it work successfully and now the
business is ingrained as part as part our ser vice o ering."
Cargo now contributes "a sizeable amount" to the
carrier s total revenue, offering customers affordable
prices, generally cheaper than legacy carriers. e airline
says its cargo ser vices are 30-40 percent cheaper than rivals
e pricing structure is "not one-o s to gain market
share, as we reckon we are sustainable," the carrier says.
"We simply have a low-cost structure coupled with
unrivalled frequencies, especially in the ASEAN region.
is combination encourages a lower product cost in the
supply chain cycle. At the end of the day, the end users will
bene t from it."
AirAsia says it carries any kind of freight, including
perishables, with the exception of dangerous goods, live
animals and salt-water sh. In a 25-minute turnaround
time, the carrier can load anywhere between 2.5-3 tonnes
of cargo on its narrowbody aircra . On its widebody eet,
with a 60-minute turnaround time, AirAsia loads 14-16
tonnes of freight.
The company also has strategic partnerships for
connectivity beyond its own network, with South African
Airways, Qatar Air ways, Etihad, Emirates, Gulf Air and
With ten daily flights to Singapore, 11 to Kota
Kinabalu, 12 to Kuching and seven each to Bangkok and
Jakarta, customers bene t from a higher service frequency
than many cargo carriers. ey also gain from AirAsia s
lower supply-chain costs - up to 40 percent cheaper than
other airlines published prices.
e carrier s network ensures cargo is delivered to
secondary markets directly and affordably. Typically,
secondary cargo markets bear a premium, since they
receive cargo from primary markets via land transportation
or a connecting ight, which adds a cost burden.
AirAsia s web-based booking system allows clients to
make bookings or track their goods at any time, or chat
online with airline representative using mobile phones or
iPads. is helps reduces the cost of business.
AirAsia is the first major low-cost carrier to be
actively engaged in the cargo service.
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