Case Study

How contract analytics enhances profit for an aviation engine manufacturer

  • Facebook
  • Twitter
  • Linkedin
  • Email

A global leader in manufacturing jet engines, components, and aircraft systems with an extensive global service network.

Business challenges

  • High service costs and low profitability for long- term service contracts
  • Limited and irregular visibility of failure trends, which impacted the ability to optimize cost drivers and improve contract performance

Genpact solution

  • Margin estimation and trend analysis and then benchmarking with the operating plan to identify gaps
  • Leveraged the waterfall model to understand the impact of different cost and profit drivers on operating margins
  • Terms and condition analysis to stop billing leakage
  • Cost-effective sourcing of parts and repairs, and supplemental billing leakage reduction

Business impact delivered

  • $9 million annual margin improvement
  • Robust operating plan with clear visibility into cost and profit drivers across installed base

Take a copy for yourself

Download PDF