145 Magazine Vol. 1, Issue 1, November Issue by 145 Magazine

ONE FOURTY FIVE MAGAZINE

SECRETS TO HIS SUCCESSSS EXCLUSIVE INTERVIEW WITH

MARIO CATALANO

HOW HOW TO TO BUILD BUILD

A A POWERFUL POWERFUL

BRAND...

The Most Searched Profile on LinkedIn? Hint: He’s in Aviation

NOVEMBER 2014

YOU MAINTAIN YOUR BUDGET. WE MAINTAIN YOUR FLEET.

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November 2014 EDITORS

LETTER

elcome to the first edition of 145! After months of designing, developing, collaborating, tweaking, reworking and reworking again, our first edition is finally here. Get ready for a magazine that’s fun to read, informative, and thought provoking. What’s special about 145? 145 is a new breed of aviation maintenance magazine, that focuses less on the technical aspects of the repair world, and more on the people that make it go around. Think about all the people in the industry you come into contact with, either at trade shows or conferences, or that you talk to on the phone, but that you never really have a chance to get to know better. There are a lot of fascinating people in our industry, with rich life experiences that reach far beyond the confines of aviation. Our objective here at 145 is to reveal the personal side of these individuals. To peel back the onion a few layers, so that you can get a better idea of who they are, what their passions in life are, and what motivates them to excel at what they do. You’ll read stories about people who’ve sacrificed everything they have just to build their businesses, stories from war veterans, pilots, former college football players, entertainment personalities, fortune 500 CEOs, political refugees, and more. Finally, in case you are wondering about the magazine’s name... 145 is a term commonly used to describe repair centers. The term is derived from the FAA’s Federal Aviation Regulations – Part 145, and is a chapter in the regulations referring specifically to the aviation maintenance sector. We hope you’ll enjoy this new publication.

Ashley Fox

Ashley Fox Editor-in-Chief

145 Magazine

November/December 2014 Volume 1 Issue 1

CONTENTS On the Cover

One Fourty Five Magazine

SecretS to hiS SucceSS

People in Aviation

excluSive interview with

M ario c atalano

Exclusive interview with Mario Catalano

#1 Searched Profile on LinkedIn An Oasis in the Desert

#1 Searched profile on linkedin?

How to build a powerful brand

Hint: He’s in our Industry November/December 2014

Secrets to Building a Powerful Brand

What’s New?

PMA Cross Reference to NHA Numbers

Shop Spotlight

AJW Technique - 2 years After Acquiring the Aveos facility

Aviation Trivia

Who’s Sawing the Wings off the Plane?

PMA Today PMA 101

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People in Aviation

What would you say is one of the most important factors to your business success?

â&#x20AC;&#x153;The most important factor, hands down, is the people who you surround yourself with.â&#x20AC;? Mario Catalano

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People in Aviation

People in Aviation Exclusive interview with Mario Catalano

Mario Catalano is the founder and former owner of two highly successful repair centers, High Tech Avionics and Xtra Aerospace. In 2006 he sold his first shop, High Tech Avionics, to Kellstrom Industries, and then in May of this year he sold Xtra Aerospace to Wencor Group. If you’ve ever met Mario, you know that he’s one of those guys that genuinely loves people. His sincere concern for others, and his desire to help people grow, is just one of the character traits that has helped make him so successful. We caught up with Mario recently to learn more about this father of three, soon to be four, who has spent the last 18 years building and selling companies.

When and where were you born? September 18, 1968 in Rochester, NY. What was your life like growing up? I enjoyed an average, to better than average, lifestyle until age 10 when my parents were divorced. When you’ve had everything, and suddenly it’s gone, you gain a quick appreciation for the things you used to take for granted. Everyone in my family had a strong work ethic, and a determination to succeed, so when things got tough we relied on those characteristics to improve our financial situation. What were your summers like as a kid? I always worked summer jobs and liked hanging out with friends at the local park. What was your first job? Picking cabbage on a farm. What was your best job? Eastern Airlines as a mechanic and eventually a lead man.

What was your worst job? Washing dishes in a Mexican restaurant. It was horrible. How did you get started in aviation? I attended an aviation trade school Spartan School of Aeronautics immediately after high school. My father was an electrician by trade and his hobby was airplanes. When you put the two together your son becomes an avionics technician. You started, and sold, two successful repair centers. What’s your secret to growing and selling businesses? There isn’t a single secret to growing and sell a business. There are a lot of dynamics associated with that process, especially if you’re starting from scratch. Endurance, vision, execution and quality people around me were essential in my journey.

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Can you elaborate on that a bit?

Well, building a successful business is a lot like at selling a business. There are a lot of requirerunning in a marathon. You can count on a long ments, particularly in the due diligence process, haul and a lot of unexpected challenges. Business that are outside the expertise of a typical small cycles, customer bankruptcies, changes in custombusiness owner. That process can take a year, er decision makers, constant internal operational and many deals fall apart during that period. changes, and insufficient capital can all be maIf you want to sell your business you need to jor challenges during rapid growth. Enbe prepared to endure a very thorough durance is critical to your survival, and uncomfortable examination of especially if you’re under capitalyour company by a lot of experts ized. Once you get past some of the early lethal hurdles, and How does vision and execusustain success over a period tion come into play? of time, eventually buyers for Once you’ve defined your your company will find you. If company’s direction and you decide to sell your compamission statement, it’s imny, its important to be patient, portant to stick to it. Trying which in my case is easier said to be everything to every-Mario Catalano than done. Be prepared for what body is impossible. Having a is sure to be a long grueling process. clear plan in place for your team When I say a long grueling prowill keep everyone moving, cess, I mean selling a business can not just in the same direction, be painful, especially if you haven’t done it bebut in the right direction. Once that’s fore. Typically, the original founder isn’t an expert in place all you have to do is execute.

“I love the challenge of owning a company and seeing an idea become reality.”

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You mentioned having quality people around you is a key component to your success. How so? We’re in a service business, so by default, it’s a people business. Your customers are people and all of your best internal resources are people. Fundamentally, we do our best to treat our customers like gold and treat our employees with the same importance. We also bring an incredible amount of energy and a positive attitude to the office every day. This creates a culture, and a belief internally, that we can accomplish anything we set our minds to do. Then it becomes validated by visible signs of growth. Once you have a motivated group of talented people working together for a common goal, then anything is possible. All shops use the same manuals, parts, and test equipment. So what makes us different? It’s the people. We’ve been fortunate to surround ourselves with some exceptional people over the years and they deserve a lot of the credit. By the way, we’re hiring, so please spread the word.

You’ve started a new business called 1st Choice Aerospace. What can you tell us about it? It’s our latest FAA certified component repair station. 1st Choice was originally a company called Aviation Quality Group, a company that my partner, Jose Sardinas and I invested in after we sold our first shop, High Tech Avionics. We have two facilities, one in Kentucky (40,000 square feet) and another in Miramar, Florida. Our Kentucky shop services interior components; such as crew seats and waste system components. Our Miramar shop now occupies a 37,500 square foot facility where we are building a world-class pneumatics shop. We expect the Miramar facility to be operational before the end of 2014. What would you say is one of the most important factors to your business success? The most important factor, hands down, is the people who you surround yourself with.

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“Always do what you say, listen to others (internally and externally), put your ego in the closet, and no matter what happens, don’t give up.” How has being an entrepreneur created value in your life? Financial independence has been especially great because it has enabled me to help my family, and I value that more than anything. Additionally, I love the challenges of owning a company and seeing an idea become reality. Lastly, I really enjoy providing opportunities to people and watching them grow.

What words of advice would you give someone looking to get into the repair business? Always do what you say, listen to others (internally and externally), put your ego in the closet, and no matter what happens don’t give up.

W HAT ’S NE W?

Hey! Is there a PMA part used in this repair?

hanks to the suggestion of one of our customers, David Beal at Wencor Group, OneAero MRO will be releasing a new feature that will make life easier for people trying to find PMA parts used in the repair of Next Higher Assembly (NHA) numbers. The feature will be part of the OneAero MRO Repair system, and will give users quick visibility into all PMA parts that are used in the repair of (NHA) part numbers. “David approached us at the last MRO Americas show, expressing his frustration with researching, and cross-referencing PMA parts used in the repair of NHA numbers.

He explained that he was spending several hours every day looking up part numbers and then working backwards to see if there were any PMA subcomponents used in the repair of the part”, recalls Justin Spaulding, President of OneAero MRO Americas. “He asked if we could build a simple feature within the OneAero MRO Repair module that would advise the user of any PMA parts that were used in the repair of the part number the user had just queried. It sounded simple enough, so we to build it.”

Here’s how it works. A user enters a part number in the Repair search page, like they

Finally, an Easy Way to find PMA parts used to repair Next Higher Assembly numbers. always do. When they hit the “Search” button, the system will return all the usual repair source data, but underneath the ATA Chapter, in the Parts Summary section of the page, the user will see a link that says something like: “6 PMA Parts are Used in this Repair”. Once the user clicks on the link, a page will appear which shows all the PMA manufacturers and the PMA part numbers that are associated with the repair of the part searched. See screen-shot example below:

“Thus far we’ve had a very favorable response from PMA manufacturers regarding this new feature. To date every PMA company we’ve approached has opted to participate in listing their PMA part numbers on the system”, said Spaulding. “We’re hopeful that most PMA companies will list their part numbers on the system, making it easier for everyone in the industry to resource PMA parts used to repair the NHA numbers.” 10

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2014 Top Shop in Review

An Oasis in the Desert Air Transport Components By Gary Himes

estled in the new aviation and aerospace mecca of Gilbert, Arizona, resides a quiet, yet, highly acclaimed FAA and EASA repair station, known as Air Transport Components, LLC (ATC). As a Class 1 and Class 2 accessory rated repair center with a limited airframe, limited landing gear rating, and limited Non Destructive Testing certificate, ATC, specializes in repairing a wide variety of aircraft components such as hydraulics, flight surfaces, landing gears, crew seats and much more.

ATC was originally founded in 1998 by Roy Hyde, Ron Matz and Lar Dirks. Today, Air Transport Components is led by company President and CEO, Roy Hyde. As part of our monthly 2014 Top Shop in Review section, we contacted Air Transport Components to learn a little bit more about the impressive company theyâ&#x20AC;&#x2122;ve worked to build over the past 16 years.

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- Justin Spaulding

2014 Top Shop in Review The ATC Culture ATC’s quality of life revolves around a four day, 10 hours per day, work week; which nobody in the industry believes is possible. Roy stated, “Sure there are days a skeleton crew might work extra hours, or a special need might arise which requires an around the clock response, but it is the dedication of the ATC workforce which steps up to accept the challenge.” As Roy walks the shop floor, talking to employees he states, “Sure we’ve had customer issues, but it’s how our team responds which elevates us above our competitors.

There is no hidden agenda at ATC, it is always about customer service. Our main goals are quality, service and cost; and we NEVER charge for the evaluation of a customer’s part. It’s not their fault the part is bad.” Although Roy may be the company’s president, he’ll be the first one to tell you the business isn’t about him, it’s about the people who work to serve ATC’s customers in a dedicated and honorable fashion. “One of our primary objectives at ATC is to build the business so that we can employ more people.”

Roy’s casual, friendly personality, builds relationships very easily amongst his employees, customers, suppliers, and Online associates. He’s especially active on LinkedIn®, where he was recently notified by the company that he possesses the number one viewed profile on their system. His friendly southern personality reflects his belief that life and business are all about treating others how you want to be treated.

Roy has the #1 Searched profile on LinkedIn.

COMPANY PROFILE AIR TRANSPORT COMPONENTS, LLC

• Recipient of 11 Industry Honors, including: • Nine OneAero MRO Top Shop Awards o Best Landing Gear Repair - 2014, 2013, 2012 o Best Structures/Airframe Repair - 2014, 2012 o Best Hydraulic Repair - 2011, 2012, o Best Flight Surface Repair - 2010 o Most Nominations – 2009 • Two Aviall Service Awards (a Boeing Company): o Service Excellence Awards: 2013, 2011 • Services: • An FAA/EASA Certified Repair Station with both Class 1 and Class 2 Accessory Ratings as well as both a Limited Airframe Rating and Limited Landing Gear Rating. • Specializes in the Overhaul & Repair of Component Parts for Boeing, Douglas, Airbus, Embraer, & CRJ fleets. • Employs Highly Skilled A&P Repair and Overhaul Technicians • Specialty Services: Accessories, Actuators, Aero Structures, Air Vents, Aircraft Interiors, Airframes, Antennas, APU Isolators, Ball Nuts, Bearings, Brackets, Bushings, Cargo Products, Ceiling Panels, Closets, Coating, Components, Composites, Composite Repairs, Cowlings, Crew Rests, Doors, Drain Mast Assemblies, Ducts, Electro-Mechanical, Engine Mounts, Exit Door Liners, Fan Cowls, Flap Carriages, Flap Tracks, Flap Transmissions, Flight Controls, Gear Boxes, Grinding, Hinge Assemblies, Honeycomb, Hoses, Hydraulics, Landing Gear Components, Landing Lights, Mechanicals, Non Destructive Testing, Nose Cowls, Overhaul, Painting, Parts repair only, Piston Housings, Plating, Polishing, Pumps, Ram Air Turbines, Seat belts, Seating (Crew & Attendant only), Shafts, Sheet Metal, Sidewall Panels, Slats, Stowage Bins, Structural Repair, Structural Repairs, Thermal Insulated Heat Shields.

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2014 Top Shop in Review

The Establishment of ATC In December 1998, Roy began the path of building Air Transport Components, with Spectrum Aerospace founders Ron Matz and Lar Dirks. After some changes in the company’s ownership, Ron and Roy were the two remaining partners who saw ATC expand from a 1,000 square foot shop, to 2,500, to 6,000, to 34,000, to 58,000, to today’s 62,000 square foot facility in Gilbert, Arizona. Ron Matz retired in 2010, and his portion of the company was purchased by GenCap Financial. Roy believes strongly in growing companies, and educating his labor force while enabling them to retire. “It seems very few people retire from companies these days. We need to bring back the traditional, American way of life.”

are always trying to steal them. They not only know how to evaluate the part, but how it works. The industry has a ton of work but not enough training. Aviation has moved from a maintenance based emphasis to a cost based focus. I love looking at ATC’s work because our people go above and beyond with the repair. The thing that keeps me motivated is when I hear a customer gloat to express satisfaction with our work.”

Roy’s philosophy on daily living drives both his personal life and business relationships. He notes, “I am just a basic guy, nothing flashy, who loves people and talking to them with a smile. I believe people need to have a purpose in life and love what they do. I enjoy helping others become successful and am driven by the desire to do things better. We have the smartest mechanics in the industry; I strongly urge them to improve their education through reading. That’s why our competitors 14

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2014 Top Shop in Review

{ } Left to Right: Damian Allen ,Mike Charron ,Tim Szkatulski ,Dieter Welle ,Josh Wilson , Chris Behne-Not pictured

ATC’s MANAGEMENT TEAM as introduced by Roy

Mike Charron, Senior Vice President of Operations “Mike is great with people and can work effectively with a variety of personalities. He’s the calm, level-headed, one on the management team.” Dieter Welle, Vice President of Purchasing/Materials “Dieter has a great personality and works well with people. He has a vast experience in managing stores and is very familiar with the purchasing process.”

Josh Wilson, General Manager of Operations “The future of ATC resides with Josh Wilson, who has been with me since he was a sophomore in high school. He’s great with remembering numbers; has an good operational knowledge of the business, and possesses an upbeat personality which are all great assets to have in this business.” Damian Allen, Quality Control Manager “Damian has a military background, which has contributed to his ability to successfully manage his daily QC Manager duties.”

Chris Behne, Director of Operations “Chris’ personal drive, and thirst of technical knowledge, related to parts and test equipment, make him an expert in his field. “

Tim Szkatulski, Chief Financial Officer “I was always an ‘old school believer’ when it came to paying for high-end management, but GEN CAP Financial was adamant about securing a guy like Tim. He turned out to be a great addition to the ATC family and has taught us a lot about the financial aspects of running a company.

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2014 Top Shop in Review

Roy’s Journey “My father played basketball in college, at the University of West Virginia, when he and my mother opted to have a child. She was 17 years old at the time. The university encouraged my Dad to leave college and join the Air Force. So we moved to New Jersey, where Dad was stationed, and I attended school there through the fourth grade”, noted Roy. Prior to entering the 5th grade the family moved to Stockbridge, Georgia. At the end of Roy’s first year in the new school, he was advanced to the 7th grade. His work ethic started at the young age of 12, when he tended the family garden every day before he went to school. Roy graduated from high school at age of 16 with a 4.0 GPA. His Dad died at the age of 34, just eight weeks before Roy’s 18th birthday. After high school, Roy worked full-time as a brick layer during the day, and as a machinist at Nabisco Foods in Atlanta at night. At the time he was working 18 hours a day to provide for his family. After 3 ½ years of 18 hour days, Roy’s mother wanted him to do something for himself, so she encouraged him to enlist in the military.

Roy in grade school

In 1980, Roy joined the Air Force as a Load master, but was promoted to Crew Chief during basic training and later a member of Quality Assurance. He served on the Exercise Evaluation Team where he taught “Ample Gain” (how to maintain F-15/F-16/F-111 aircraft and bombs for wartime at NATO air bases in Europe). He received an Accommodation Medal which was issued through Air Force Command approval. In 1991, Staff Sargent Roy was sent to the US Air Force Academy as the first and only Staff Sargent to go through upper management training at the Academy. He graduated in November 1991, and opted out of the Air Force in August 1992, to return to Georgia, after serving 12 years. Exactly one year later, he moved to Arizona, near Luke Air Force Base, where he previously served two tours of duty. After a brief time working construction sites in Sun City, Arizona, Roy returned to aviation in August of 1993, working in the back shop of the old DynAir Tech hangar at Sky Harbor Airport in Phoenix. After only two years, he was given managerial authority over the shop.

Roy Senior, mother-Carol, brother Gary, sister Stephanie & Roy in white shirt

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Roy at Age 8

2014 Top Shop in Review Roy’s introduction into the world of air transport support began in 1996, with Able Metallics, where he helped grow the business from a plating shop to a full support FAR 145 repair station, with 108 employees. Roy took up golf in 2006, upon the recommendation of others, as a form of exercise. He has participated in several golf tournaments hosted by the Air Carriers Purchasing Conference, the MRO and numerous airline events. He recoded his first hole in one in 2013.

2012 Club Champion - Forest Highlands, Flagstaff, Arizona.

Roy believes, “the children are the future. If you take care of the children, the children will take care of you”.

“Old school values” extend deep into Roy’s personal life, having met his wife Kimberley in the military and marrying her some 33 years ago. Together, they value nature, animals, and people; especially Veterans, children, and those less fortunate. Spring Hyde, Roy and Kimberley’s daughter, noted her Dad would give you the shirt off his back if he thought you needed it. Roy favors supporting Veteran charities where both he and his wife are active in “Dogs on Deployment” (DOD) helping to house dogs for personnel on active duty assignment away from home.

Roy, with his daughter Spring and wife Kimberley at Disneyland

Spring noted her Dad loves kids and has supported youth teams, Boy Scout and Girl Scout programs, and several charities for disadvantaged children. Several times Roy has bought out complete Girl Scout cookie inventories just to give them away to others, including having them shipped to servicemen overseas. He likes the element of surprising kids when they least expect it, especially when he and his wife go to Disneyland and come upon an under privileged child. Roy believes, “The children are the future. If you take care of the children, the children will take care of you”.

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WANTS

TO KNOW…

Below are a few topics we’ll be addressing in the January issue of 145. If something catches your eye, let us know. Please email your comments to: info@145magazine.com. Globetrotters – Did you rack-up over a million frequent ﬂier miles this year? Let us know.

2015 Biggest Loser Challenge – 2015 is just around the corner and so are those New Year’s resolutions. Take the 145 Biggest Loser Challenge! (Research has shown people are more likely to achieve their goals if they tell others about it.) Send us your name, photo, starting weight, and your target weight for December 31, 2015.

Best Places to Work – Do you love where you work? Tell us what makes your company great.

Best Family Christmas Cards – Have an awesome family Christmas card? Email us a copy.

Best Vacation or Trip – What’s the best vacation, or trip, you’ve ever taken?

Special Marketing Section

Shop Spotlight

AJW Technique 2 Years After Acquiring the Aveos Facili-

March 19, 2012 may not hold much signif- Fast forward to today and youâ&#x20AC;&#x2122;ll see that alicance for most people, but for 2,600 workers in Montreal, Winnipeg and Vancouver, it signaled the day Aveos padlocked their doors and filed for bankruptcy. The long established maintenance center, which was founded as Air Canada Technical Services (ACTS) back in 1937 and later changed its name to Aveos, was heavily laden with more than $750 million of debt owed to a consortium of lenders which included Lehman Brothers and Woodbridge Investments, Inc. After multiple attempts at restructuring, the difficult decision was finally made to close the facility.

though the maintenance center no longer bears the name Aveos, a new player, AJW Technique, has acquired the site and transformed it into a state-of-the-art maintenance facility. We recently contacted AJW Technique to request that they give us a report on the status of the facility, some of the challenges theyâ&#x20AC;&#x2122;ve had setting it up, and where they see things going in the future.

145 Magazine

-Contributed by Ashley Fox

Shop Spotlight

Special Marketing Section

AJW Technique, a center of component repair excellence:

AJW Technique, located in Mon-

treal, is situated at the former Aveos site (formerly Air Canada Technical Services), however, when discussing the factors that led to establishing AJW Technique, Christopher Whiteside, President of the AJW Group is quick to emphasize that the acquisition involved the Aveos assets ONLY, and not the Company. “Aveos had over $130 million dollars worth of prime assets to sustain the capabilities of the new repairs center, which had recently moved from the 1950’s premises, to a state-of-the-art facility. So our primary attraction was the actual physical equipment on site.” Secondly, Whiteside says there was

a desire to penetrate the Americas market - Canada, USA, Central and South America – as well as service AJW Aviation’s global customer base of around 1,000 airlines. “It was the site’s 80% Airbus capability which identified it as the only independent Airbus component maintenance facility in the Americas. This gave us the ideal opportunity to establish ourselves across the region, in the Airbus market, with the best equipment available” he adds. When asked why, in his opinion, Aveos failed to make the business a success; he cites a number of reasons. “They were heavily in debt, they were inadequately managed and they suffered from employee relations issues. AJW has no debt, we had no contractual relationships [at the time of course, now we do] and we are a private company which gives us the flexibility needed to run an efficient and profitable MRO that will drive down direct maintenance costs for our customers in the 21st century.”

Ramping Up and Restarting

Barely two months after AJW Group completed its purchase of the Aveos Fleet Performance’s components businesses in 2012, the transition to a highly efficient and fully functioning world class repair workshop for modern commercial Airbus and Boeing aircraft components was being fast tracked. Part of this process was to alter the footprint of the building to provide more efficient work flows. “It was evident to us from our first visit that even though the facility was very spacious there was significant work needed to improve process flows and enhance operational efficiency” says Gavin Simmonds, General Manager of AJW Technique. “The working environment has since been streamlined to ensure that throughput is not compromised, which not only assists with the fastest turnaround times possible, but also contributes to our pledge to deliver measurable benefits for customers.” 145 Magazine

Special Marketing Section

In tandem with this, equipment was relocated (or repositioned) to optimize repair productivity across the entire facility. “As part of the evaluation we verified the capabilities and services we wished to retain so that AJW Technique could offer our customers a clearly defined scope of repairs. This approach is supported by the OEMs who see significant advantages to developing dynamic working partnerships. Everything was reviewed and assessed and we confounded our aviation colleagues with the speed and dedication that underpinned our progress.”

Open For Business

The official opening of the AJW Technique Component Repair & Overhaul facility took place in April 2013, and justified the Company’s single-minded determination to be operational within six months of purchase. Although the facility had extensive repair capabilities with best-in-class equipment, the infrastructure, certifications and workforce needed to be started from scratch. So the announcement that AJW Technique was already accredited to the highest industry standards, and fulfilling repair contracts, was testament to the focus that AJW has placed on quality and reliability as well as the commitment of the management team. At a special ceremony to mark the occasion, Whiteside commented: “Although AJW Technique primarily provides a broad range of Airbus and Boeing commercial aircraft repair and overhaul services, we will soon be including helicopters, military and business jets within the range of our capabilities. It is the centralized hub for the AJW repair supply chain and will ensure that the

Shop Spotlight

AJW Aviation customer base of more than 1,000 airlines receives exemplary support. The opening of our state-of-the-art 160,000 sq. ft., facility in Montreal has been underpinned by valuable government support and investment; we acknowledge their help and support in putting Montreal back on the map as a center of aircraft repair excellence.”

A year and a half later

The AJW Technique team now numbers almost 150 repair technicians and support staff, and the facility surpassed its 10,000 repair order in July 2014. This could not have been achieved without a working environment focused on success. AJW Technique works with a positive, co-operative attitude, problem-solving initiatives, accountability, and LEAN working practices. The organization has both union members and non-union members in the workforce. As the facility continues to ramp up its technical workstations, along with the streamlining of all processes, it expects to reach the repair potential of around 35,000 repair units per annum. That’s the equivalent of supporting 600 aircraft! “We will never stop striving for excellence” concludes Christopher Whiteside. “Setting up this facility has been an enormous challenge for the Group. The industry was skeptical, but we have proved to our competitors, and to our customers, that we can succeed through determination and innovation. Never underestimate what can be achieved with the right team and a ’can do’ attitude.”

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PMA

PMA 101 Keith Coleman President of Wencor Group PMA

There seems to be a lot of questions, and in some cases controversy, surrounding the use of PMA parts in the repair of aircraft components and structures. For instance, if PMA parts are as good, or better, than OEM parts then why are some MROs and airlines reluctant to use them? What’s the difference between PMA parts and OEM parts? What are the advantages to using them? These are just a few of the questions we recently asked PMA parts manufacturer Wencor Group. In response to our questions, they provided us with a brief history of PMA parts, the types of PMA parts, the certification process, and the benefits to using them.

What’s a PMA? A Parts Manufacturer Approval (PMA) is an FAA approved alternate replacement part for use in the maintenance of type certificated aircraft, engines, accessories and propellers. The approval confers combined design, production, and installation authority in one document known as “the supplement”.

History of PMA Many consider the use of PMA parts to be a recent phenomenon. However, PMA usage goes back approximately 60 years to World War II. With a large number of surplus military aircraft available after the war, several operators emerged to take advantage of these underutilized resources. Unfortunately most of the Original Equip145 Magazine

ment Manufacturers (OEMs) who manufactured aircraft parts during the war reverted back to their normal business operations - automobiles and appliances - making spare aircraft parts very difficult to find. To support this flourishing new market, the Federal Aviation Administration introduced PMA regulations to make aircraft replacement parts more readily available.

Types of PMA parts Many if not all parts on an aircraft can be designed and manufactured into a PMA part. Typical parts range from simple interior items like window shades to more complex parts like engine starter turbine wheels. All PMA manufacturers will follow a similar business process to ensure market demand before committing to develop a particular PMA part.

Visit OneAero MRO (if you have a user name and password) to search a list of PMA parts by Next Higher Assembly number. PMA Certification Process There are three approaches used to certify PMA parts. Using FAA established processes and procedures.

Identicality with a license agreement: Most OEMs have moved away from manufacturing individual aircraft parts and have increased their focus on being system inte-

grators. This shift has resulted in a high percentage of OEM parts being outsourced to third party suppliers. The OEM licenses a supplier to make the part and thus allows that supplier to sell directly to the aftermarket. The supplement is directly approved by the MIDO and the part is then available for sale using the same part number as the OEM part. Identicality without a license agreement: In this method, a PMA company has access to the critical information (drawings, tooling etc) to prove to the certifying regulatory authority that the company can manufacture an identical part to the OEM part, but this occurs without an agreement with the OEM. Part information was previously obtained by the Freedom of Information Act. However, this certification method is now rarely used.

Test and Computation: This method is followed by most, if not all, of the main PMA specialist organizations. In this certification approach, the applicant uses required analysis and test data to prove the part is equivalent to, or better than, the approved original OEM part. This process involves procuring multiple samples of the original part to establish the appropriate fit and tolerance specifications as well as the required testing to ensure the part meets its intended design function. The testing and validation process for a PMA part is very similar to the OEM part. Once the supplement is completed the PMA organization becomes the Production Approval Holder for that part, exactly the same way that the OEM is approved.

It is important to note that despite the certification method used, the level of validation is defined in line with the criticality and risk of the part. Both OEM and PMA suppliers adhere to the same rules, and the parts produced are considered equivalent and interchangeable by the FAA and other certifying regulatory authorities. 145 Magazine

Benefits of Using PMA The first and most obvious benefit for PMA adopters is the reduced part cost. PMA part prices almost always offer a significant savings over the equivalent OEM product. Such savings result from 1) not having to pay licensing fees to the Original Equipment Manufacturer, and 2) less inflated profit margins typically seen

“PMA

should be

The second benefit of using PMA considered a parts is the extensive availability of parts, especially on older aircraft necessity not a platforms. As OEMs move away from supporting old platforms to choice concentrate on their newer platforms, the availability of replacement -Anthony Saumell parts for the older platforms decreasPresident of Xtra Aerospace es. Since PMA organizations have historically placed focus on both newer generation and out of warranty aircraft, these companies will typically have the desired part in stock with 24-hour shipping. The third significant benefit is part reliability. In most cases, PMA development is driven by high usage of an aircraft part at an airline. Airline fleet engineers, being experts in what they do, can typically identify opportunities to improve

.”

an aircraft part and increase its reliability. PMA organizations receive this feedback and incorporate these suggestions (and other improvements as deemed relevant) directly into their development efforts. In addition, the PMA development process inherently introduces opportunities for improvement - e.g. tighter tolerance, new materials, and leveraging the latest manufacturing processes.

The FAA Repair, Alteration and Fabrication Study (RAF) completed in August 2008 reported, “the team did not find substantive evidence of failures or unsafe conditions arising from non –TC/PC holder (non-OEM) developed data. The general population of PMA parts and non-TC/PC holder repairs and alterations has increased substantively in past years particularly in the commercial aviation sector yet the occurrence of service difficulties and Airworthiness directives on such parts for design or compliance shortfalls have not increased proportionally”. 28

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As a consumer of PMA parts, Anthony Saumell, President of XTRA Aerospace, a Wencor Group Company, states, ‘I believe that Airlines, Aggregators, and MROs, especially now, are filling the void of OEM support with exceptional parts (PMA) that meet and exceed original specifications. Survival today within all aviation sectors means that solutions must be sought on a daily basis. The PMA alternative and its ability to meet market demand quickly and affordably, provides a quality alternative that previously did not exist. MRO companies, such as XTRA Aerospace, rely heavily on providing their customers with PMA choices and solutions. It is imperative that PMA solutions are offered and provided daily to our customers. It is the market’s only ability of filling the void within the piece part market shortage and returning serviceable products back to our customers quicker than expected. PMA is a choice that makes sense, saves money, and provides parts when needed, establishing stability in the repair market. PMA should be considered a necessity, not a choice.’

Wencor Timeline

1955 - Wencor founded in Miami 1975 - Western Seals founded in Utah 1981 - Western Seals Acquired Wencor 1983 - FAA Repair Station Approval 1985 - First FAA-PMA Approval 1986 - Moved Into New Springville, UT Facility 1990 - FAA Designates Wencor Employees FAA-DMIR 1996 - In-House Manufacture of Highly Specialized Items 1997 - Wencor Signs Its First PMA Contract With Delta Air Lines 1998 - Wencor Reaches $10M in PMA Revenue - Received ISO 9001 Certification 2000 - Acquired Dixie Aerospace Expanded Operation to The Netherlands -Wencor Signs Its First Contract with American Airlines 2001 - Opened sales office in Singapore - Wencor received AS9000 Certification - Wencor Signs First PMA Development Contract with United Airlines 2002 - Established ISA, Received ODAR Status, Wencor is AC 0056 Certified 2003 - Wencor Reaches 1,000 PMA Approvals 2004 - Opened stocking facility in Singapore - First PMA Summit in Asia (Thailand) 2005 - Opened sales office in Shanghai, - CEO named Utah Entrepreneur of the year by Ernest and Young - Wencor Receives AQAP 2120 Certification 2006 - Joint Venture with Huafeng in China 2007 - Wencor reaches 2,000 PMA Approvals 2009 - ODA Status, Wencor Purchases Boone Air Parts’ Assets 2010 - Wencor Acquired by Odyssey Investment Partners 145 Magazine

How to Build a Powerful Brand

a bit reluctant, and explained that there were other homes that on paper were better deals, but he agreed that our house would be more of an “emotional” buy for the right buyer. We put the house on the market and within 12 hours a family walked through our home and made an offer the same day, for more than our asking price. The Realtor later told us that at one point during the tour the wife became very emotional and started crying saying this was exactly the home they had been looking for, it had everything they wanted, etc.

Buying on Emotion

As this example illustrates, when it comes to making purchasing decisions, people tend to buy less on logic and more on emotion. People like to buy products, or services, from companies that appeal to

his past summer my wife and I decided to sell our home of eleven years in Alpine, UT. We did what most sellers do when they sell their house, we installed new carpet, remodeled bathrooms, painted rooms, organized the garage, updated some of the furnishings, fixed things that needed to be fixed and then called our Realtor to list the property. The Realtor did his due diligence by looking at comps in the area to help us make an educated decision on the listing price. After looking at other homes in the area, we learned our house was the only one in our little town of 8000 people with a pool. Although there were less expensive homes with more square footage, bigger yards, newer neighborhoods, and better upgrades, we felt that the buyer looking to buy our house would be someone that was emotionally invested in buying a house with a pool. When it came time to set the price, we told the Realtor we wanted to list the house at the top of the market. He was

their emotional needs and less on what may be a better purchase financially. If that’s true, what can you do to connect with your customers emotionally?

While you’re pondering that question, consider the following scenario: Let’s say your company specializes in repairing avionic equipment. And let’s assume, all things being equal, that you provide your customers with competitive prices, turntimes, good work quality, warranties and customer service, similar to 25 of your

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competitors. What can you do to attract the attention of customers? How are you going to communicate WHY your company is the best choice? This scenario isn’t too far off the mark for many companies in aviation. At last count there were approximately 5000 repair centers around the world competing on 73 ATA chapters. ATA chapters include everything from communications, electrical power and fuel systems to hydraulics, landing gear, and power plant. Assuming the 80/20 rule applies to the aviation repair industry, 20% of those 5000 repair centers account for 80% of the total repair revenue each

Apple was practically on life support with a worldwide market share of just 3.3%. The only people buying Apple computers were graphic designs and video editors. In September of that same year, when Steve Jobs returned to Apple (the company he had co-founded in 1976) as the interim CEO, one of the first things he changed was the company logo. The apple logo, one of the most iconic logos in the world, had used the rainbow color scheme for more than 22 years. Jahanzeb Tahir Aziz, a writer for The Express Tribune, interviewed the logo’s designer, Ron Janoff, to learn more about the history of the apple logo. Janoff

year. If your company is one of the 80% trying to compete for 20% of the industry’s left-over repair revenue, you know the competition has to be pretty fierce. So again, what are you going to do to connect with your customers on an emotional level so that they’ll want to buy from you, and not your competitor? Maybe it’s time to consider rebranding your company.

stated “the story behind the ‘rainbow colored’ Apple logo was that Jobs wanted everyone to ‘think different’, “He wanted the green on the top because there was a leaf there”, explained Janoff. Jean-Louis Gassee, who was a former Apple executive and founder of Be Operating System (BeOS), said, ‘One of the deep mysteries to me is our logo, the symbol of lust and knowledge, bitten into, all crossed with the colors of the rainbow, in the wrong order. You couldn’t dream of a more appropriate logo.’ The rainbow logo was used from 1976 to 1998, after which it was shut down because during the 90s, Apple had become like the ship which was about to go under and sink into the sea’s inky abyss. The rainbow logo was proving to be too expensive, and so was shut down.” In 1998 the logo was changed first to black and white and then to the current monochrome logo, reflecting a new look and feel for a company with a new direction.

Rebrand your Company

It’s not uncommon for companies to rebrand themselves time and time again over the lifetime of the business. Rebranding is especially common when something significant changes within, or without, the company. For instance, a company that’s experiencing steady declines in profits year-after-year may decide to rebrand themselves in an attempt to appear more innovative, fresh, or progressive. One of the quickest ways for a company to rebrand themselves is to redesign their logo. Take Apple Corporation for instance. Back in the 1997

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Start with “Why”

Before you jump on the rebranding band wagon, sit down and ask yourself (or your team) a very important question: Why do we do what we do? The answer to this question is quite possibly the most important part of the rebranding process. If you’re going to connect emotionally with your customers, they’re going to need to understand why you’re in business. This isn’t about making profits, it’s about what motivates you and your team, what excites your organization, what drives them to excel. If you’ve never watched Simon Senek’s, Ted Talk®, How Great Leaders Inspire Action, you need to take a minute and watch it. It’s quite possibly one of the best lecture ever given on connecting with customers.

“If you can explain to your customers why you do what you do, and they believe what you believe, you’ll have yourself a winner.”

Visit: http://www.ted.com/talks/simon_sinek_how_great_leaders_inspire_action?language=en# Senek argues that people don’t buy what you do, they buy why you do it. If you can explain to your customers why you do what you do, and they believe what you believe, you’ll have yourself a

To Rebrand or Not to Rebrand Although there are no rules about when you should, or should not, rebrand your company there are indicators that can trigger a rebranding campaign. Here are a few examples: • Steady Decline in Sales or Customer Attrition • Form and Function don’t match. When you look old, but your actions don’t reflect that. • You start to attract customers that don’t match your target market • Management Change or Acquisition • Your company’s core business focus changes Here are some examples of when NOT to rebrand: • New Management but no change in your core business • You’re tired of the way your brand looks. Remember, it takes time to develop a brand, so be patient. If it ain’t broken, don’t fix it! • Don’t consider rebranding your company if you can’t afford it. Rebranding can be expensive, so make sure you’re in a good financial position before deciding to rebrand.

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Designing the Perfect Logo

Logo Design Costs

If rebranding your company is something you want to do, then redesigning your company logo is the next step. There’s no question, your company’s logo communicates certain feelings and emotions to your customers. If you design it right, you’ll more easily attract the customers you want to attract. We asked web design specialist Dave Mecham, the founder and CEO of Treeline Group, Inc., to tell us what elements to look for in a logo, where to find good designers and how much a company should expect to pay for a new logo.

The price of a logo can vary greatly. Online sources are least expensive, with some less than $100. Local graphic designers will vary based on experience, location and specialty, and may range in cost from $1,000 to several thousand dollars. Marketing companies or creative agencies will be the most expensive, but are the best resource for larger companies with specific brand needs. They often work on a logo as part of a larger project, such as an advertising campaign or product re-branding, which would likely be priced in the tens of thousands of dollars.

Logo Design Elements

Where to find good designers

The best logos incorporate 3 key components:

There are many places where you can find good logo designers. There are websites, such as Freelancer.com, Fiverr.com and Logoworks.com, which facilitate inexpensive logo design by using off-shore designers. I’ve seen good and bad design results from there. If you know what you want, and have a good eye for detail, then you may be successful with them, and save some money. If you don’t know what you want and would like a unique look to your logo, then find a local graphic designer and work directly with him or her. Design students are also another resource you might want to explore, especially if you live near a college or university. Marketing companies and creative agencies will often include logo design as part of a comprehensive identity or marketing package.

• First, great logos communicate the proper feel or image of the company. At first glance, one should be able to tell if the company is formal, casual, fun, strong, etc. This helps to align with mental concepts built around different industries and professions. This "feel" or image is communicated by many things, including contrast, color, visual weight, typeface, and size. For example, a party supply company should have a dramatically different logo than a doctor's office.

• Second, great logos are clever. We all love a clever ad, and we usually remember such ads long after our first impression. Typically this is done with the logo symbol or tag line. Look for ways to incorporate shapes, or concepts specific to your industry, but with a unique approach.

• Third, great logos are scalable. A logo should look good on a small business card as well as a 60-foot billboard. Often logos fail because something in the logo is too complex, too small, or out of proportion with other elements of the logo. Test the logo by viewing it at different sizes during the creative process. Related to scale is orientation. Avoid logos that are very tall or long. Both will limit how you can use the logo in your marketing.

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New Logo? Where should I start?

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