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Less Planes More $$$ For Maintenance

Chicago225

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on: May 09, 2008, 02:54:07 pm
I have a question...I got rid of 5 Super 580's, and acquired a A320, and Bombardier CRJ and my maintenance costs went up from 68,000,000 to 71,000,000...are those planes that much more expensive to maintain?  I was trying to lower my costs.


AndyC

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Reply #1 on: May 09, 2008, 03:38:17 pm
I'm paying more salary costs for engineers than for the maintenance itself. Ridiculous. :cry:
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StephenM

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Reply #2 on: May 09, 2008, 03:40:38 pm
Quote from: "AndyC"
I'm paying more salary costs for engineers than for the maintenance itself. Ridiculous. :cry:


How much is that? And how many planes do you have in your fleet? The salaries shouldn't be that expensive.
Stephen Murphy
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AndyC

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Reply #3 on: May 09, 2008, 03:42:16 pm
Offhand I think it's something like 116m for salaries and and 112m for the maintenance on 345 aircraft (about 40 of those not yet delivered, so they don't count.)

Ok this month just passed - it's more like it probably should be.

166m for maintenance, 125m salary.

What are these guys on, like 10million a year each? LOL.  :P I should definately become an engineer.   8)
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AndyC

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Reply #4 on: May 09, 2008, 03:52:08 pm
I actually have a couple of questions about the maintenance salaries. (Apologies for sorta hijacking this thread)

How is the figure actually worked out? Do we have a different engineer for each aircraft in the fleet (unrealistic), or a small team of engineers for each aircraft type (A320, 737, DC-9 would require three teams of engineers).

If the second option, does the size of the team depend on the size of the fleet? I.E. The team size increases with workload. 10 A320's need a team of 6 engineers, 20 need a team of 9 etc.

The second question, is are we currently paying for maintenance on aircraft which are for sale?

Andy
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StephenM

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Reply #5 on: May 09, 2008, 10:00:25 pm
There is no economies of scale built in.

The number of Engineers is the fleet size divided by 3. It was going to be per aircraft type, but that only makes a difference (of 1) where the number is not dividable by 3, but the sum of the entire fleet is. So if you lets say had 5 A320s and 7 737s. That means you have 2 A320 Engineers and 3 737 Engineers. Bringing the total to 5. However when its based off entire fleet that makes 4 engineers required (12 planes). Simply adding an extra A320 or 737 will bring the number of Engineers on the sumed fleet basis up to 5, equal to that of Engineers per aircraft type. The cost of having more engineers as you have less commonality is only noticeable if you have a large number of fleet types. Each Engineer is on an annualised salary of €42,000. I have see Ads for A320 Engineers/Mechanics in Shannon for €50 an hour, with a 40 hour week and standard 48 week year that works out at €92,000. The AM Monthly cost for an Engineer is 3,500. Due to the cost of running multiple bases, the cost of Engineers are multiplied by the number of bases, divided by 2. (6 bases, 3 times the Engineer Cost)

For Tech Services staff, its the fleet size divided by 3, and a monthly pay of €2,500. There is no penalty for multiple bases, as these staff are in the HQ and not in the Line Station/Base.
Stephen Murphy
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herrgoda

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Reply #6 on: May 09, 2008, 10:29:02 pm
Quote from: "StephenM"
I have see Ads for A320 Engineers/Mechanics in Shannon for €50 an hour, with a 40 hour week and standard 48 week year that works out at €92,000.


*goes back to university to study aeronautical engineering*
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W4 - 11377


AndyC

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Reply #7 on: May 10, 2008, 02:28:00 am
Thanks for that explanation Stephen, it all makes sense now.

I will have to leave myself a cash buffer each month so I don't go into the red.
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StephenM

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Reply #8 on: May 10, 2008, 08:08:09 am
When I did the calculations I based it off a 100 aircraft "Large Fleet". I must have lost it when I called an AM large fleet 100 aircraft.  :lol:
Stephen Murphy
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CHR

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Reply #9 on: May 10, 2008, 09:16:46 am
How can we find out the maintenance cost for each plane. I am wondering if the planes I am leasing out are actually draining money from me rather than giving me money.


Penguinboy

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Reply #10 on: May 10, 2008, 08:33:28 pm
Quote from: "StephenM"
There is no economies of scale built in.

The number of Engineers is the fleet size divided by 3. It was going to be per aircraft type, but that only makes a difference (of 1) where the number is not dividable by 3, but the sum of the entire fleet is. So if you lets say had 5 A320s and 7 737s. That means you have 2 A320 Engineers and 3 737 Engineers. Bringing the total to 5. However when its based off entire fleet that makes 4 engineers required (12 planes). Simply adding an extra A320 or 737 will bring the number of Engineers on the sumed fleet basis up to 5, equal to that of Engineers per aircraft type. The cost of having more engineers as you have less commonality is only noticeable if you have a large number of fleet types. Each Engineer is on an annualised salary of €42,000. I have see Ads for A320 Engineers/Mechanics in Shannon for €50 an hour, with a 40 hour week and standard 48 week year that works out at €92,000. The AM Monthly cost for an Engineer is 3,500. Due to the cost of running multiple bases, the cost of Engineers are multiplied by the number of bases, divided by 2. (6 bases, 3 times the Engineer Cost)

For Tech Services staff, its the fleet size divided by 3, and a monthly pay of €2,500. There is no penalty for multiple bases, as these staff are in the HQ and not in the Line Station/Base.


One question...are different versions of planes counted differently?  (e.g. CRJ-100 and CRJ-100 LR)
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StephenM

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Reply #11 on: May 10, 2008, 08:36:05 pm
Quote from: "Penguinboy"
One question...are different versions of planes counted differently?  (e.g. CRJ-100 and CRJ-100 LR)


No, as I said here:

Quote from: "StephenM"
The number of Engineers is the fleet size divided by 3.


The system just counts the entire number of aircraft in your fleet. The rest of the paragraph was a discussion of what other possibilities there were.
Stephen Murphy
Airline Mogul Chief Developer


Penguinboy

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Reply #12 on: May 10, 2008, 08:37:33 pm
oh...my bad.  thanks!
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