I have just been reading an offer for a flat rate charge to cover engine maintenance (http://www.cefcorp.com/aircraft/OnPoint.asp) based on a rate per flying hour. Has anyone experience of the likely outcome of this vs scheduled or incident -based charging ? Is it cost effective ?
tornado
Alexander
29-01-2008, 16:47
Although I cant speak for particular providers, the cost of such maintenance at a flat rate will be based on the insurance risk against the probability of a particular failure type and the MTTR and hence cost for the failure over the period of use. This "insurance" is probably treated as a profit centre too, so a larger fleet with the ability to spread risk, it will probably work out more expensive. What it does do though, is allow you predict future operating costs more accurately, which keeps the beancounters, sorry accountants, happy.
Alex
I have just been reading an offer for a flat rate charge to cover engine maintenance (http://www.cefcorp.com/aircraft/OnPoint.asp) based on a rate per flying hour. Has anyone experience of the likely outcome of this vs scheduled or incident -based charging ? Is it cost effective ?
tornado