The aerospace industry is facing a familiar manufacturing challenge: strong demand for new aircraft and engines is putting pressure on the specialist suppliers responsible for producing critical components.
A recent move by GE Aerospace, and reported in the Reuters article featured below, highlights just how strategically important these capabilities have become. GE has agreed to acquire Consolidated Precision Products (CPP), a major manufacturer of highly engineered metal castings, for US$11.75 billion. CPP produces complex components including turbine blades, vanes and structural castings for commercial aerospace, defence and power-generation applications.
GE says the acquisition will expand casting capacity, improve manufacturing performance and help accelerate the development of new engine technologies. The company also plans to apply its lean manufacturing approach to CPP’s operations.
The deal demonstrates that manufacturing capability is becoming increasingly important in its own right. For industries dependent on complex machinery, having access to specialist skills, precision processes and reliable component supply can be just as important as the design of the finished product.
There are clear parallels with gear manufacturing. Gears may be relatively small compared with the machinery in which they operate, but their performance can be critical to the reliability and productivity of an entire system. In sectors such as mining, agriculture and aerospace, precision, material selection, heat treatment, inspection and consistency all contribute to ensuring components perform reliably under demanding conditions.
For manufacturers, the lesson is clear: specialist engineering capability remains a vital part of the supply chain. Investment in technology, skills and manufacturing capacity helps ensure that critical components are available when they are needed – and made to the standards demanding industries require. Please read the full article regarding the initiative to protect supply chain resilience.