How Ireland’s aircraft maintenance sector supports the aviation finance industry

Ireland has been a global leader in the international aircraft leasing business since the 1970s and today approximately 50 per cent of the world’s leased aircraft are leased or managed in this country.

Thanks to this global success story, the aircraft maintenance sector not only exists but thrives in Ireland and is a key reason for and support to Ireland’s position as a leading aviation lessor. Aviation maintenance, repair and overhaul (MRO) is a strong industry and one that, presuming Ireland keeps its world-leading aviation status, continues to grow stronger and stronger. As with any industry, there are highs and lows, but Dr Marina Efthymiou, associate professor in aviation management, and director of postgraduate aviation courses, Business School, Dublin City University, says that the sector is an excellent one, while still being open to improvement.

Business models

While there is no one-size-fits-all for any business, MROs tend to fit into six different business models depending on the airline/fleet owner — independent repair stations, fixed base operators, commercial airline hubs, regional airline facilities, military facilities and in-house corporate facilities where a corporation has a fleet of corporate jets that are managed by in-house staff. Different airlines will operate their own business model, depending on needs and the area being serviced.

Filling a much-needed pipeline

Ireland offers excellent MRO services, but it suffers from the lack of a pipeline of human capital, says Dr Efthymiou. “More emphasis needs to be given on apprenticeships, but also upskilling and reskilling. The aviation industry is facing several challenges but also opportunities, and MRO professionals need to expand their skills on sustainability, digitalisation but also leadership.”

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The Irish Aviation Authority says that aircraft mechanics and engineers are employed throughout the aviation industry in a wide range of facilities designed to maintain light, rotary and large commercial aircraft. “Aircraft mechanics inspect, maintain and repair airframe structures, engines, electronic and avionic systems. The work is diverse, disciplined and highly regulated, both nationally and internationally.

“The aviation industry uses advanced technology and new aircraft, which with their increasing reliance on computerised flight control and aircraft management systems, means that the use of electronic and computer equipment is an important aspect of an aircraft mechanic’s skills.”

Aircraft maintenance engineers (AME) are employed throughout the aviation industry, and apprenticeships are one of the main routes to becoming an AME. Training is done both “off the job” with an educational body and “on the job” where the apprentice works with an aircraft maintenance company. In Ireland, the qualification takes four years to achieve. The licence is recognised internationally so can open the world up to those who obtain their qualification.

Balancing act

The aviation industry generally is male-dominated, with C-suite representation particularly low at 6-13 per cent, general employees at 33.9 per cent female and 94 per cent of pilot licences and 98 per cent of maintenance licences in Ireland being held by men. “MROs need to become more diverse and include more females,” says Dr Efthymiou. “They can do that via targeted job adverts, encouraging young females and creating an inclusive culture to maintain any females in the industry and promote them.”

Innovation at the industry’s heart

MROs have also seen some significant technological innovations that can increase efficiency, but also safety, says Dr Efthymiou. “The use of blockchain technology can support the mitigation of this threat. AI and machine learning can support inventory optimisation and the use of drones for inspections is proven to be revolutionary. "

Sustainable goals

It’s probably more than fair to say that the aviation industry isn’t an inherently sustainable sector, although strong strides have been made to support sustainability in the sector such as sustainable aviation fuel and commitment to reaching net zero by 2050. “MROs are also making some small progress on sustainability, like aircraft modification for reduced emissions,” says Dr Efthymiou. “More research and innovation is needed in this area not only in MROs but across the aviation system.”