As I have been thinking about the innovation necessary for business and private aviation not only to recover, but also to grow in the future, thoughts have also come to mind about every part of the supply chain in our industry.

The business that I lead  is part of that supply chain at different levels and I have many friends with whom I do business, both customers and vendors, who are also part of the chain.

To mention a few, and I am sure to miss some, the supply chain includes:

• Airports as the basic infrastructure of our business, both large and small
• Maintenance,Repair and Overhaul companies that keep the aircraft in the air – everything from the largest aircraft overhaul maintenance facilities to the small shops that paint aircraft and rework aircraft interiors and perform maintenance on single engine trainers.
• Fixed Based Operations – who fuel and store aircraft and are the terminals for private aircraft travelers, in many cases
• Aviation Insurance Industry who underwrite and market the risk associated with operating aircraft 
• Manufacturers of aircraft and all those companies who manufacturer the components of an aircraft in support of the aircraft manufacturers
• Aircraft Sales Organizations who sell and resell aircraft
• Flight training schools who teach the pilots how to fly the aircraft
• Universities who train the next generation of pilots, maintenance and management personnel for the industry

The end of the supply chain is the aircraft sitting on the tarmac ready to fly. If the airplane doesn’t fly then the whole chain is useless and can be discarded like a worn out bicycle chain!

The beneficiary and, more importantly, the driver of the supply chain is the user of private aviation. The traveler who decides to spend money on this form of travel! 

Ultimately, if the aircraft don’t fly then the supply chain suffers all the way down the line. In the last 12 months everyone in that supply chain has been adversely affected by the economic downturn and the reduction in travel by private aircraft. Just ask any of the people who run any of the businesses mentioned above if they are worried about the industry’s future and their business. I think I know the answer you will get because I have talked to many of them myself.

So here is the problem -the end of the supply chain is broken, and it did not get broken all by itself. Those down the chain contributed equally to the problem by not innovating their own business models to reduce the cost of the end product. The cost model for private aviation needs to be fixed if we are to grow. If the end of the chain is broken then the links down the chain can’t expect to continue to prosper and grow. Sometimes these parts of the chain don’t feel the effects of the broken link immediately but logic says they will eventually. It is just a matter of time.

So the questions I pose to those of you in the supply chain are these:

• Is it in your best interest to help fix the broken link? 
• Do you search and fight for innovation in your part of the chain and promote innovation both up and down the chain?
• Do you join in the conversation with those looking for a better way?  
• Or do you just sit back and wait for someone else to fix the problem, hoping they do, so that you can keep going?

I for one don’t like the idea of waiting on someone else to fix the problem. The “someone else” solution may not include me in it! 

What about you?