Dive Brief:
- Canada-based aircraft maker Bombardier increased the number of employees working with its suppliers as it looks to alleviate supply chain pressures, Chief Procurement Officer Shauna Gamble told Supply Chain Dive in an email.
- The teams grew from 30 in 2022 to more than 50 working in the field today. “They support our suppliers in different ways, including through know-how transfers, on-site training and coaching,” the CPO said.
- The news comes as Bombardier met its 2023 target of 138 aircraft deliveries due to the strategies put in place to combat possible supply chain challenges, CEO Éric Martel said during a Q4 earnings call.
Dive Insight:
Bombardier is increasing its delivery targets in 2024 to between 150 and 155 aircraft, Martel said. He further noted that while “everything is in place to achieve our objective,” the profile is based on the pace of supplier deliveries.
Although labor, material and transportation issues during and after the pandemic have stabilized, Gamble noted that new challenges spurred by turbulent financial markets, geopolitical issues and supplier quality have hindered recovery longer than expected.
“In 2023 we re-sequenced some of our programs, accounting for planned slowdowns, and accelerated others,” Gamble said. “In 2024, we will be building inventory in the first half of the year to then deliver higher volumes later on.”
Martel noted that a majority of Bombardier’s suppliers are back on schedule, but some are still in “catch-up” mode, which they are “monitoring extremely closely.”
Looking ahead, the aircraft manufacturer continues to closely monitor supply chain trends that may impact operations.
Gamble noted that production sites across the supplier ecosystem have migrated, which sometimes prompts production delays due to new facility certifications and learning curves for new teams.
Geopolitics also continue to play a role due to the ripple effect on supply chains regarding raw materials and high-tech components, the CPO said. She further noted that global governments have been increasing regulations on material substance usage.
Digitalization has also accelerated aerospace supply chains, providing multi-tier visibility of parts across its worldwide suppliers, Gamble said.
“The tool we implemented last year that allows us to monitor news and risks for about 5,000 production sites has proven to be remarkably effective in predicting and managing risks, and we encourage our suppliers to collaborate with Bombardier in proactive risk management activities,” she said.
