What Does Aviation ERP Mean?
In aviation, ERP stands for Enterprise Resource Planning. These systems handle many business operations, such as inventory, supply chain logistics, sales, and accounting. Basically, an ERP system is the central command center and a single source of truth for your company’s data.
ERP software in aviation is boosting efficiency for aerospace aftermarket companies, from inventory management to maintenance, repair, and overhaul. This article looks at what ERP means in aviation and its importance, especially for maintenance, repair, and overhaul (MRO), as ERP systems are increasingly necessary.
Enterprise Resource Planning (ERP) in Aviation: An Overview
ERP systems act as a central hub. They integrate real-time data and tools to manage purchases, sales, inventory, work tasks, product photos, supporting product documents, and supply chain operations. Think of it as your business’s data and recordkeeping authority, showing key operations and helping departments seamlessly work together within the same platform.
Though helpful, ERPs can be complicated and overwhelming, especially for beginners. Proper setup is crucial to get maximum value from nearly all ERP systems regardless of industry. With its high-value transactions, global reach, and regulatory guardrails, the aviation industry gains tremendous efficiencies from ERP solutions. Continue reading to check out some specific benefits.
Benefits of ERP Software for the Aviation Industry
Inventory and Supply Chain Management
Managing inventory with accurate data and documents is extremely important for aviation companies. ERPs help to maintain critical business data integrity, which minimizes delays and reduces excess inventory. They track inventory in real time, showing incoming goods, consigned stock, sold items, and items out for repair. This helps staff make smart choices about buying materials and managing stock.
MRO companies benefit from ERPs because the rotation of items associated with job tasks, expenses, credits, core costs, charges, etc., can be financially complex, unpredictable, and stressful on supply chain operations. An excellent ERP + MRO software streamlines an MRO’s processes and keeps things running smoothly.
Sales Process Optimization
ERPs make the sales process better for your team & customers. Sure, Requests For Quotes (RFQs) might still need some manual work. However, ERPs can better equip sales teams to prepare accurate quotes through the ERP software’s checking of real-time inventory levels, which cuts down on “no quotes” due to mismatches.
Depending on the type of company, once a purchase order lands, ERPs help with manufacturing, assembly, and shipping by providing needed data to the various warehouse teams—ensuring everything runs smoothly from RFQ to delivery.
International Compliance: Regulations and Currency Exchange
Aviation is global; hence, companies must practice due diligence—choosing who they do business carefully. From certifying the airworthiness of aircraft parts to meeting local Civil Aviation Authority (CAA) standards in other operational areas, several factors must be considered before buying or selling aerospace parts and services.
A service dedicated to restricted party screening, such as Descartes Visual Compliance, is a great starting point for vetting prospects before doing business. Some ERPs can integrate and automate restricted party screening for you.
ERPs keep documents organized and updated to make managing compliance complexities much easier and handle multiple currencies—crucial for international companies that must follow foreign tax laws and accounting norms.
Improving Interdepartmental Efficiency
As companies expand, communication between departments often slows down progress. ERPs improve this by delivering a unified platform—for instance, if a salesperson needs the 8130 and a photo of an item located in a warehouse hundreds of miles away at another facility—delays are costly. With ERPs? Faster decision-making.
Enhanced Security
ERPs hold vital business data like authentic part certifications, service docs, or decades of other historical info—so they’re prime targets for hackers. The security depends on setting them up right—some old ERPs lack modern practices like encryption and multifactor authentication, making them more risky.
Also, common practices like remote access via Microsoft Remote Desktop bring dangers, too—so always ensure your ERP has the latest security protocols set up correctly. Better yet, find a modern solution that checks this box and more.
Popular Legacy ERP Systems in the Aviation Industry
While general business ERPs exist—the aviation industry needs particular attention, particularly MRO—with unique requirements tailored for parts sellers/buyers or repair businesses with apps managing complex transactions/repairs/paperwork like Form 8130, removal tags, and photos.
Big aviation firms often use mature yet aging legacy ERPs, which are hard to learn and expensive to maintain—but upgrading brings better productivity/security—the choice depends on size/model:
- Large firms (like airlines) have commonly chosen from Traxxall/Epicor/MaintainX/Netsuite/SAP/Ramco.
- Medium/smaller firms seem to have selected Quantum Control/Pentagon2000SQL/Corridor or QuickBooks with third-party integrations. Quick Quote and ILS Optimizer are also still out there.
ERP vs. CRM: What’s Right for Your Business?
While CRMs focus on managing customer interactions, ERP systems offer a more comprehensive solution, integrating all aspects of a business—from finance to supply chain management—into a unified platform. In recent years, many suppliers have found that the holistic approach of ERPs, which centralizes and streamlines operations across departments, provides a more significant advantage than using multiple specialized tools.
For industries like aviation, where precision and coordination are critical, ERP systems ensure that every part of the business is connected, reducing silos and enhancing efficiency. This shift reflects a renewed appreciation for the all-encompassing power of ERPs, as companies seek to simplify and unify their operations under one robust system, rather than relying on fragmented solutions that may excel in one area but lack the broad capabilities that only ERP can provide.
Summary and Conclusion
Modern ERP software is a game-changer for the aviation industry, especially in MRO operations where remote operability is essential. ERP systems enable aviation companies to operate more efficiently and securely in a highly regulated environment by streamlining everything from inventory control and task management to international due diligence.
Whether you’re an aviation aftermarket parts supplier, MRO, or Part 145 repair station, choosing the right ERP system can centralize your operations, improve interdepartmental coordination, and enhance your ability to meet global demands. As the aviation industry continues to evolve, ERP systems will remain essential tools for companies striving to stay ahead in a complex and competitive market.
For those wanting streamlined quoting, try Vista-Quote RFQ Quoting Automation Software—it pairs well with legacy ERPs as the ultimate addition to enhancing a system you’ve invested so much into already.
When looking for a modern ERP + MRO software with a complete set of aviation-first capabilities, look to Vista-Suite Enterprise. It addresses the shortfalls of other systems and delivers an unmatched approach to how aviation ERP software should be designed.
At Ambry Hill Technologies, we craft solutions designed to streamline your processes and maximize your revenue. We empower you to stay ahead of the competition. Request a demo today and discover how to take your business to the next level – faster.
Aviation ERP Software FAQ:
- What is Aviation ERP software?
Aviation ERP (Enterprise Resource Planning) software is a comprehensive system that manages various business operations in the aviation industry, including inventory, supply chain logistics, sales, and accounting. - How does ERP software benefit aviation companies?
ERP software helps aviation companies by improving inventory management, optimizing sales processes, ensuring international compliance, enhancing interdepartmental efficiency, and improving security of business data. - Why is ERP particularly important for MRO operations?
ERP is crucial for Maintenance, Repair, and Overhaul (MRO) operations because it streamlines complex processes involving job tasks, expenses, credits, and supply chain operations, keeping things running smoothly. - How does ERP software help with inventory management in aviation?
ERP software tracks inventory in real-time, showing incoming goods, consigned stock, sold items, and items out for repair, helping staff make informed decisions about purchasing materials and managing stock. - Can ERP software handle international compliance in aviation?
Yes, ERP software can manage international compliance by keeping documents organized and updated, handling multiple currencies, and integrating restricted party screening for vetting business prospects. - How does ERP improve communication between departments?
ERP provides a unified platform that allows all departments to access the same real-time data, facilitating faster decision-making and improving overall efficiency. - How does ERP differ from CRM in the aviation industry?
While CRM focuses on managing customer relationship activities, ERP offers a more comprehensive solution that integrates all aspects of the business into a unified platform. - What factors should be considered when implementing ERP in an aviation company?
Consider the specific needs of your aviation business, such as MRO requirements, the size of your company, and the capability to manage complex transactions, repairs, and aviation-specific paperwork. - How can ERP software help with sales process optimization in aviation?
ERP software can equip sales teams with real-time inventory data for accurate quotes, streamline the process from RFQ to delivery, and provide necessary information to warehouse teams for smooth operations.