MHIRJ takes to the cloud with the power of IBM to build its newly acquired aviation business

By ibmblogsMarch 16, 2021

It’s been one year since the first case of COVID-19 was discovered in Canada. In 2020, airline traffic around the world fell by 60 per cent, the largest yearly drop in history according to the International Civil Aviation Organization (ICAO). There is no question, the airline industry and aerospace in general, have been greatly impacted by the COVID-19 pandemic. And while the world’s major airlines have had no choice but to reduce service or remove routes and aircraft, essential travel continues. Though the frequency of flights has decreased significantly, commercial aircrafts still require maintenance and airlines need technical support to ensure the world’s economy remains operational.

Based in Montréal, Québec, Mitsubishi Heavy Industries (MHI) RJ Aviation Group launched after MHI acquired the Canadair Regional Jet (CRJ) Series program from Bombardier, making them MHIRJ. The new business provides maintenance, repair and overhaul services, as well as technical and engineering support for the global regional aircraft industry. As a new standalone company, MHIRJ began the search for a technology provider that could support the agility they needed to deliver services in the aftermarket supply chain. This was an opportunity for them to bring in top tier technology and transform the IT landscape with advanced applications.

“We wanted a solution that would give us a transparent and unified view of our business. It would also have to guarantee our ability to deliver [world-class] service levels to our clients during a time of uncertainty in the airline industry,” said Sebastien Abbandonato, Head of IT at MHIRJ. “We turned to IBM because of their ability to transform, implement and manage our services all in one place.”

To unlock greater insights and provide a streamlined and unified view of their business, MHIRJ chose to deploy SAP S/4HANA ERP solution hosted on the IBM Cloud. IBM is providing implementation services and management of the cloud environment, and once implemented will provide application management, ensuring seamless, end-to-end service, delivered with quality. In addition, the strategy helps MHIRJ to control its overhead expenses while simultaneously reducing its physical footprint. The new open hybrid platform is data–driven, customer-centric and enables MHIRJ to make effective decisions that drive down costs and drive-up efficiency

As governments discourage non-essential travel, many airlines are facing financial consequences with most of their largest aircrafts grounded for months. As a result, airlines are shifting their focus and using smaller aircrafts like the CRJ now serviced by MHIRJ. By bringing the best technology and the most enhanced user experience to the table, MHIRJ can enrich customer service and improve the supply chain at a cost that is optimal, affordable and sustainable.

As airlines and associated industries recover from the COVID-19 pandemic, now is the perfect time to focus on rethinking business models, retooling process and innovating with new cloud technologies for resilience across the industry.

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To learn more about IBM’s leadership in aviation, hospitality and travel related services, read about our recent announcement with Delta Airlines here: https://newsroom.ibm.com/For-Airlines-the-Pandemic-Crystalizes-the-True-Value-of-Data

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