1030-1110-qf-a380s-eis

Commercial in Confidence

Entry into Service Engineering Readiness

Airbus A380

David Edwards General Manager Qantas Technical Services

IATA MCTF MCC Atlanta, October 2012

Commercial in Confidence

Introduction – Qantas Aviation Services (QAS)

• QAS provides services to organisations external to Qantas

• It has two major operating areas being: Qantas Defence Services (QDS), and Qantas Technical Services (QTS)

• QDS has been supporting the defence industry for many years

- RAAF C130H Deep Maintenance

- RAAF B737 BBJ VIP Fleet Line Maintenance

- Conversion of A330 to KC30A MRTT (4 aircraft under contract to Airbus Military

- RAAF KC30A Through Life Support

- RAAF various engine type shop visits

• QTS was formed 1 year ago to provide contracting and consulting services leveraging the experience and expertise of the Qantas Group

- 2 - Commercial in Confidence

2

A380 Entry into Service


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Topics

A380 Scope Overview

Some of the challenges

Key Achievements

Program & Project Governance & Structure

A380 QER Project Streams

Stakeholder Management

Reporting Structure

Issue, Risk & Change Managements

What would we do differently


4

IN OUT

Qantas Business

Segments

Airbus

Other Launch Airlines

Transition to Business as

Usual (BAU)

Airports SYD, MEL, SIN, LHR, LAX and alternates for each

of these

All Qantas Segments and Corporate areas unless

listed in the “OUT” column.

JetStar, JetStar Asia, Australian Airlines, QF

Regional Airlines

Supplier management for aircraft specification,

readiness, production, delivery and support. Additional or optional aircraft procurement

Participation in Customer Review Board (CRB)

And Technical Program reviews (TPR’s)

Put in place resources, processes, systems, to

allow transition to on-going operations

Cabin

4 class (First Suite R, next generation Skybed J,

P/Y Premium Economy and Mercury Y), 2 digit seat

numbering

Engines Rolls-Royce Trent 900

Program Readiness Date First day of the first aircraft’s delivery month i.e.

01st AUG 2008 (For LHR 01st Nov 08).

Capital expenditure for start up costs in support of

other airlines

Number of Aircraft 20 Aircraft. Program expected to conclude after

the delivery of 5th Aircraft (MAR2009)

Delivery & introduction of subsequent aircraft

(to be done as BAU)

Note: For Planning purposes, routes are: MEL-LAX-MEL, SYD-LAX-SYD, SYD-SIN-LHR-SIN-SYD,

MEL-SIN-LHR-SIN-MEL

A380 Scope Overview

HKG, BKK, SFO


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Airports & Routes

London

Los Angeles

Singapore

Sydney

Melbourne G

G

G

G

G


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Some of the challenges …

IFE > 700 User

Screens

Exotic Materials

(Glare)

40,000 Connectors

5000 PSI

Hydraulics

NSS/OIS

1st Class Suites

45,000 Parts

530 Km of wiring Post EIS

Modifications

Training

Infrastructure

Parts & Materials

New Aviation

Regulations

SIA

The bar is high

Fuel Price

First of Type in

Australia

New Flagship for

Qantas Airlines

Organisational

Change

Contestability Industrial Change

New MIS

MXi

Delayed Deliveries

New GSE


7

Challenges for the A380 QER project team

Aircraft Delivery Delay

• Scope creep

- E-logbook

• Resource retention

• Maintaining focus

• Unknown technical reliability

Organisational Change and evolving business models

• Team A380 for Line Maintenance

• Dedicated A380 specialists in other business areas eg. MCC & Engineering Services

• Contestability

• Internal Qantas Group SLA’s

Impacting Projects

• Strategic Sourcing

- Provision of ALL services contestable

• ICS (Integrated Component Solution)

• IT Systems (Project Marlin and MXi A380 Fast Track


Key Achievements


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Infrastructure & GSE


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A380 Engineering Training Classroom

Multifunction

Training Devices

Virtual Aircraft Less on-aircraft OJT


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A380 Maturity and Operability Trials SYD 1-8 Dec 2007

Main Activities:

Validate key elements of the Precision Timing Schedule (PTS)

Undertake Ground Handling Trials (eg: Aerobridge & Full GSE Layout Trial)

Carry out Limited Scheduled / Unscheduled Maintenance Trials

Conduct Risk Assessments & Job Safety Analysis for Standard Operating Procedures

Review Cabin Systems Functionality (eg: Panasonic IFE integration with Cabin)

Review Configuration Management (eg: NSS/OIS Data Load Process)

Assess aircraft for Training Requirements (CAR 214) & as a result Develop Training Packages

Oversee Weight & Balance Process and Aircraft Refuel (fuel distribution, gauging system, accuracy etc.)

Develop enhanced aircraft security search


Network Risk Reviews

QF B744 EIS

QF introduced the B744 in Aug 1989 some 8 months after the

lead customer who had EIS in Jan 1989

Aircraft Maturity

The B744 was viewed as a B747 derivative. The change from

analogue to digital not appreciated in system design.

Subsequent problems with modifications and design changes

severely underestimated by Boeing and global fleet operators

with EVERY major system on the aircraft impacted. Infant

mortality rate was very high

Speed Mod Program

QF experienced significant technical problems resulting in a

Speed Mod program from Boeing for hardware and software

updates

Boeing Support

Boeing had Technical Representatives at QF and other

operators who with Boeing Seattle were constantly developing

workarounds to the problems. There were 5 waves of Speed

Mod over three years before TDR was at satisfactory levels

Dispatch Reliability Impacts

TDR was typically 5 to 10% below acceptable levels

Business & Market Impacts

Adverse reaction to B744 TDR.

QF A380 EIS

QF to introduce the A380 in August 09 – 10 months after SIA

Aircraft Maturity

The A380 is designed as a digital aircraft so should not experience

the same derivative problems of the B744

Modification Programs

Airbus is forecasting that aircraft will be relatively mature by QF EIS.

Previous Airbus EIS programs such as A330 (QF) and A340 (other

operators) provided reason for some caution at time of review. A/C

performing extremely well in service

Airbus Support

Customer support from Airbus has been extremely good with

enhanced support strategies being embraced by Qantas

Dispatch Reliability Impacts

TDR was unknown at the time of the Risk review however the a/c is

performing extremely well

Business & Market Impacts

Dependant on aircraft reliability

A380 Parallels


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A380 Maturity and Operability Trials SYD 1-8 Dec 2007


Arrival, pre-EIS & commercial Ops


How did we manage the project?


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The journey for Qantas with the A380 (A3XX) started in 2000

when the Qantas Board approved the purchase of the A380 MSN014

enters FAL Jan 2006

LAX airport compatibility

testing Mar 2007

Board approval

fleet renewal & growth Nov 2000

CDF #4 Apr 2005

A380 Program Created Oct 2002

Second aircraft

delivered Dec 2008

Air Operators

Certificate Issuance Aug 2008

FAA RoD on LAX

May 2005

System of maintenance presented

to CASA for approval May 2008

First Flight April 2005

First aircraft delivered Sep 2008

revenue service

Oct 2008

Contractual Definition

Freeze (CDF #1) Sep 2003

CDF #2 Jun 2004

Program Closure & Transition to

Business as Usual June 2009

A380

Certification

Dec 07

Board approval engine

selection Feb 2001

CDF #3 Dec 2004

RR Engine certification Sep 2005

Route proving flights

Mar 2007

Function & Reliability Testing

Nov 2006

Pax Evac Test

Mar 2006

Third aircraft

delivered Dec 2008

Fourth aircraft

delivered Apr 2008

Fifth aircraft

delivered Jun 2009

2008

2007

2006

2005

2004

2003

2002

2001

2000

2009

Project Evolution…


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A380 Program Governance & Structure


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A380 QE Readiness Governance & Structure

A380 Program Steering Group

A380 QE ReadinessProject ManagerJohn Lechowski

Business Owner David Edwrads

A380 QE Readiness

Steering Group

IT

Occupational Health & Safety

Communications

Quality System & Risk

Finance

Engine Readiness

Str

ate

gic

So

urc

ing

MRO -

Components

Engineering

Services

Training

Development

Airframe & Materials

Components

Cabin

Supply Chain

CASA

Regulatory

Integration

&

CAO100.66

GSE

Infrastructure

Aircraft

Tooling

A380 QE Readiness

Project Controller

&

Business Analyst

Legend:

PM - Project Manager

BO - Business Owner Flight Operations(Project Manager Leadership Team)

Airports(Project Manager Leadership Team)

CASA/AOC(CASA/QAL Info Sharing Workshop)

AirbusQAL/AIRBUS EIS Review Meeting

Customer(QANTAS Airlines)

QAL E&M Steering Group

ACP / Fleet Development(Project Manager Leadership Team)

Key Stakeholders

MAKE / BUY

EVALUATION

A380 Program OfficeProject ManagerLeadership Team

EIS

Schedule

Manageme

nt & PTS

Finance -

Cost

Reporting

Line

Maint

MCC

BAU

Tran-

sition


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A380 QE Readiness Project Streams

QE Support

• Ground Support Equipment, Infrastructure, Tooling

Training

• Engineering Services, Line Maint, Support Workshops, Components

Engineering Services

• AOC, Compliance systems, System of Maintenance

MRO- Components

• Component overhaul and repair, bench testing

CASA Regulatory Integration and CAO100.66

• Alignment and implementation of new regulatory requirements for the A380 introduction

EIS Schedule Management & PTS (Tot-Revenue EIS)

• Management of EIS MODS, flight training, & scheduled maintenance

Finance & Cost Recovery

• Development of financial systems through the QE Group to track A380 life cycle costs

Line Maintenance

• Implementation of new business models

MCC – Maintenance Control Center

• Implementation of new business models

Supply Chain (Engine, Airframe, Cabin/ IFE, Components & Warehousing)

• Initial provisioning of spares, sourcing of maintenance providers, introduction of new contracts eg RR T900

Transition into BAU

• A380 Transition from project into Business as Usual by June 2009


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A380 QE Readiness Key Deliverables

Stream Deliverable

IT Airman V 9.3

Training All required regulatory and support training for effective A380

support

Engineering Services

System of Maintenance

Technical Support Model

AOC Variation input for QE

NSS/OIS systems & platform administration

Technical Publications, Records & Configuration Control

Elogbook

QE Policy and Procedures

Engineering Readiness Qantas Engineering Readiness EIS

MXI Fast Track A380 Maintenance Information System


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Stream Deliverable Quality & Risk Type Acceptance, Certificates of; Registration & Airworthiness

ACS

Line Maintenance across network

On-wing support shop capability

MCC MCC business model for A380

Supply Chain – IFE IFE Maintenance Support

Supply Chain

Initial provisioning Provisioning of spares to support A380 operations

Supply Chain

Components MRO component support for Aircraft, APU and Flight Simulator

Supply Chain Engines

Engine Maintenance Agreement (EMA)

Engine Maintenance Planning

Spare Engine QEC

Spare Engines



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Stream Deliverable

Supply Chain Airframe

& Cabin Airframe and Cabin Maintenance provider

Supply Chain

Warehouse

Warehousing & Logistics

Receipts Compliance

Distribution of parts

MRO Components Selected component support capability

Infrastructure

Hangar 96

Blast Fence

Outstations

GSE GSE support at all locations

Tooling Tooling for all Line Maintenance support



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Stream Deliverable

EIS Schedule Plan & support all QE required activity from ToT through to

delivery & pre-EIS

QER/Airbus Support Airbus enhanced support strategies to be adopted and in place

Finance & Budget

Groups Develop and implement Budget Group structure

Transition to BAU Develop and implement transition from QER A380 project to

Operating Businesses



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Stakeholder Management

Monthly

A380 QER & A380 Program

Steering Group Meetings

Fortnightly

QER Working

Group Meetings

Monthly

Business Owner

Meetings

Bi-Monthly

Technical Program Review

Bi-Monthly

Airbus Technical

Review Meetings

Monthly

CASA meetings

Airbus Enhanced Support

LAME & ES Training

Engineering Plateau

Technical Specialists

located in Sydney

Bi-Monthly

Airbus Bi-lateral

EIS Meetings

Daily

Operational Reviews

QFA and AIB

Weekly

Operational Reviews

QFA and AIB


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Overall Project Performance

Schedule

Budget

Deliverables

Key Issues & Risks

Key Achievements

Key Milestones

Reporting Structure QER KPI Report

Reporting Flow:

QER Project Stream to QER Project Manager

QER Project Manager to A380 Program Office


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Project Performance Reports Task tracking & issue identification


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Reporting Structure Financial Reports (CAPEX & FTEs)

Monthly Reporting on CAPEX & FTEs


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Risk Management

Risk Database • Risk owner assignment

• Risk Mitigation and Risk Rating

• Weekly risk report review & follow up

• Corporate risk guidelines


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Issue Management

Issue Database • Issue owner assignment

• Issue management with continuous updates

• Weekly issue report review & follow up


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Risk, Issue & Change Management

Change Management Process • Change Submission

• Change evaluation by all Project Streams

• Project Management review and approval

• Steering Group review and approval


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Communications…


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What would we do differently?

Complexity

Bureaucracy

Segmentation issues

Business silos

Reporting – Upwards

Reporting – rearward looking

Schedules – Update difficulty

Schedules – Dependencies

Schedules – Integration

Stakeholder Engagement - Internal

Stakeholder Engagement - External

Steering Groups – Size and Focus


33

Questions

?


34

What I do now…


Documents

1030-1110-qf-a380s-eis