Boeing and Abu Dhabi-based Etihad Engineering have renewed their long-term Tailored Parts Package agreement, continuing a framework under which Boeing manages parts procurement and inventory planning for the maintenance provider. The renewal was announced at MRO Europe in Amsterdam. The arrangement is intended to make parts supply more predictable and support Etihad Engineering’s planning of maintenance resources and costs, although the companies did not disclose its duration or financial terms.
Under the package, customers commit to purchasing an agreed group of parts over the contract term, while Boeing manages supply-chain execution. The model gives Etihad Engineering a defined procurement framework and transfers much of the associated sourcing and inventory-planning work to Boeing.
Etihad Engineering chief executive Daniel Hoffmann linked dependable parts access to the quality, reliability and turnaround times expected by the company’s customers. William Ampofo, a Boeing Global Services executive, described the agreement as a way to use Boeing’s parts and distribution capabilities to supply components when required.
The companies did not identify the parts covered, disclose the value of the agreement or provide detailed contract terms.