Partnering in on production
Posted Date: 01/09/2007
Issue: Executive & VIP Aviation International September 2007
Publication: Executive & VIP Aviation International
The A318 Elite is the result of partnership: the airframe from Airbus and the interior from Lufthansa Technik. Walter Heerdt, Senior Vice President Marketing & Sales at Lufthansa Technik, and the Elite’s design team, talk us through the arrangement
Think VIP and think bespoke. But bespoke comes with a hefty price tag and lengthy lead time. The reality is that even VIPs operate within the constraints of preferred budgets – especially if they represent public appointments or are accountable to their subjects. And lead times represent down time when flying time is the aim. A318 production line interiors may sound as though they fly in the face of VIPism, but the bottom line is that they are achievable – at least at Lufthansa Technik – within a four-month timeframe, they are customisable and they are delivered with a $45 million price tag. “In this business, money matters,” points out Walter Heerdt, Senior Vice President Marketing & Sales at Lufthansa Technik.
So why the desire for mighty Airbus to enter into an agreement of this nature at this point in time? Truth be told, cabin completion capacity is the demon most high-end executive aircraft manufacturers are tackling and, without agreements like this with Lufthansa Technik, VIP aircraft delivery dates of seven or eight years hence will become commonplace. “It is easier to buy an aeroplane than to get a completion slot,” reminds Heerdt. Of course Airbus is working up its own completion capacity with the launch of the Airbus Corporate Jet Centre out of the remains of the EADS Sogerma interiors business; but this is a new initiative and it is yet to be seen how Airbus’s sister company will fare as a competitor with Airbus’s partner completion centres.
The Lufthansa Technik way
As other completion centres struggle with capacity and labour issues, Lufthansa Technik has a vast pool of skills and resources on which to draw, so when Heerdt received the call from Airbus in October 2005 proposing that Lufthansa Technik partner in on A318 completions, he immediately saw the potential for Elite production line interiors, albeit that, at that time, no one could have predicted how rampant VIP aircraft growth would become.
Happily, Heerdt and Lufthansa Technik had the vision and confidence to invest in the plan and, by November 2005, the deal with Airbus was in place. The Elite team at Lufthansa Technik and the designers appointed by the launch customer – Comlux – put their heads together to develop the prototype Elite. That first interior was completed and delivered to Comlux in May 2007. Two floorplans have been developed: the first was the office-oriented Elite and the second was the more homely Elite+. Surprisingly, Comlux has chosen the latter for its fleet of five aircraft that will become available for charter going forwards. “A short downtime, high quality, a reliable product and solutions – this is what the customer wants,” remarks Heerdt. By solutions Heerdt means delivering the total package. Lufthansa Technik can offer maintenance, design and development, as well as manufacturing capability. A total solution enhances maintainability by building accessibility into the interior to enable future maintenance tasks.
The production line approach is not really a production line as we might ordinarily understand that term. It is more the case that from late 2007 two Elite lines will work in parallel in order to optimise the completion tasks. A similar process has been implemented with Bombardier Challenger 850 Executive Jets for which Lufthansa Technik has installed and delivered four interiors with another six in the hangar. Returning to the Elites, Lufthansa Technik has signed contracts with Airbus for 12 aircraft in total; Airbus has signed orders for even more aircraft and Lufthansa Technik is still adjusting slots and contracts with the airframe manufacturer for the interior completion of these. But Heerdt reminds us: “If you buy an Elite, you get a Lufthansa Technik interior.” Around 20 A318 Elites are expected at Lufthansa Technik’s hangars in total with five or six being completed per annum. “An Airbus customer can still choose an individual VIP A318 but that is not an Elite,” points out Heerdt. Additionally, A319 VIP customers are more likely to choose an individual cabin, maintains Heerdt, so that aircraft type remains outside the production line concept.
Although the task of completing so many Elites is enormous, it is not daunting. This is an organisation that has already delivered 12 VIP 747s, each taking 15 months. At present there are various widebodies for refurbishment and completion in the hangar. Staffing levels have reached 25,000 with VIP completions representing just 5% of the total revenues. Does Heerdt plan to grow this percentage? “No!” he says emphatically. “We want to grow in all fields so we hope that percentage will stay the same.” Needless to say, Lufthansa Technik is adding capacity in a number of directions. The sheer breadth and scope of the organisation means it can offer life cycle support, logistics support, and airframe and engine maintenance packages designed for low utilisation aircraft as well as work-horse commercial fleets. The MRO has 400 A320 families under contract for support with 1,400 aircraft in total under contract.
From blueprint to reality
The contract with Airbus may have taken just one month to conclude, but the design and engineering of the Elite and Elite+ interiors evolved over the following months. Sahib Ajjam is the Director Elite Program Completion Centre and Tim Callies is one of the Architects/Designers. They have the challenge of implementing the Elite concept, liaising with the client in relation to the options available and progress made, and reigning in requests that come outside the Elite brief and the $45 million price tag. Ajjam explains that the first production line was up and running in July 2007 with the second following in September. The third aircraft is the A318 demonstration model so turning that into an Elite will bring with it its own challenges. “In aircraft engineering, everything has to go through EASA and has to fulfil compliance testing,” reminds Ajjam.
From the engineering perspective, the prototype taught Lufthansa Technik what it has to put in place in terms of construction in order to build these interiors within the four-month timeframe and to price. “We are not expecting any surprises,” comments Ajjam confidently. “The drawing packages are ready for the two contractual versions of the Elite,” adds Callies. “The designs are very modern and timeless.” There are 16 options customers can choose to upgrade the interior; but these, reminds Callies, come at a cost. The carpets for the Elites have been specially commissioned and the seats, galley and electronics are acquired from specialist suppliers, but many of the internal features, including the cabinetry and panels, are manufactured in-house.
Ajjam and Callies explain the process. From green aircraft delivery, the first issue to be addressed is the wiring. Then come all systems that need to be installed under the floor. After that, water and air conditioning issues are resolved. Then comes the sound insulation; for the Elite, particularly dense insulation is installed to enhance the quiet cabin environment. Finally the furniture is installed.The result is a 3.7m (12ft 1in) wide cabin with 20% more height than a G450, incorporating latest cabin technologies. But the challenge for the Elite engineering and design team remains quite simply: to ensure that Elite customers remain within the contractual limits of the two Elite floorplans to make sure the very attractive price and favourable delivery schedule are achieved. This is no mean feat but, given the interiors capacity squeeze, the partnership with Lufthansa Technik is a handsome solution to the world’s VIPs fleet emerging from the hangars and onto the runways in a timely and cost-effective fashion.