How Supply Chain Finance Helps the Aerospace Industry

A completed aircraft is made up of many, many disparate materials and parts. From a supply chain perspective, you can imagine how great the complexities are in the aerospace value chain due to the diverse range of original equipment manufactures, suppliers, maintenance service providers, and buyers. Some of the traditional challenges that commonly plague the aerospace supply chain are a general lack of visibility, prolonged lead times, and managing growing demand. Supply chains without the necessary digital infrastructure on hand to effectively manage inventory and order fulfillment are feeling the pinch from increasing demand forecasts. The aerospace supply chain is ripe for digital innovation to help businesses of all sizes to streamline all of the moving parts and track all of the data exchanged across the entire length of the supply chain to make processes more efficient. Whether it is 3D printing to remove tooling and retooling expenses to jump right to prototype development or using IoT sensors to collect machine data, the aerospace supply chains benefits from digital innovation by reducing costs, increasing output, and enhancing value offerings. Supply chain finance is one of the most practical approaches companies are taking to adopt digital technologies to fulfill demand while securing the health of their supply chain. Supply chain finance helps the aerospace supply chain to keep moving while improving the cash flow position and funding the initiatives necessary to grow business. For more information, please contact info@traderiver.com.