4 Best Benefits of ERP Software In Aviation Industry

Introduction to Benefits of ERP Software

We live in a global village where transmigration has become a common phenomenon. People move from one location to another, searching for high-paying jobs, learning distinct cultures, and visiting their long-distant relatives. And the fastest, and in some cases the cheapest, mode of transport is the airplane. You might wonder how the aviation industry provides the best quality services at a minimal cost? The answer is simple. It’s neither a bird nor a plane. It’s an ERP.

What is an ERP system?

An Enterprise Resource Planning (ERP) system is a business management suite that automates critical business functions, including sales & marketing, finance & accounting, vendor management, supply chain, and helps develop robust and evergreen customer relationships. It finishes trivial tasks like filing forms and collecting customer details in a fraction of a second, which frees up time for employees to focus on strategic tasks that require human ingenuity.

Role of ERP system in the aviation industry?

Like other industries, the aviation industry has its own set of unique challenges, such as:

  • Reasonable allocation of raw materials
  • Proper utilization of labor
  • High operational costs
  • Adhering to government rules, regulations, and norms
  • Managing and facilitating engineering work
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After learning about the aviation industry’s challenges, it’s time that we see how ERP software helps provide solutions to them.

Benefits of ERP software in the aviation industry:

1. Inventory and supply chain management

Optimizing the supply chain management function is essential for companies operating in the aviation industry. ERP software helps reduce the capital tied up in surplus inventory without decreasing the manufacturing lead time and delaying deliveries.

It also provides a comprehensive picture of your inventory by:

  • monitoring arrival of new inventory
  • Tracking goods sold
  • Observing the status of inventory dispatched for repair
  • Keeping a check on goods that are sold

ERP systems are a boon for companies that provide aircraft Maintenance, Repairs, and Operations (MRO) services because they have to perform frequent repairs that impact the supply chain management reports.

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2. Adhering to international norms

Aerospace companies must adhere to numerous norms and practices required by different governments, have a robust system of checks and balances for customer support documentation, and find local vendors for purchasing raw materials. ERP software takes care of all the points mentioned above. Moreover, it efficiently manages the following things as well:

  • International tax codes
  • Adhere to the requirements mentioned by local Civil Aviation Authorities (CAAs)
  • Manage bilateral agreements to certify airworthiness

ERP systems keep paperwork up-to-date and manage multiple currencies and foreign exchange rates while transacting with governments and third-party organizations.

3. Perform sales quickly and conveniently

ERP systems accelerate the sales process. You can create Requests for Quotations (RFQs) automatically without assigning this task to employees. The ERP software will also send them directly to the customer’s inbox without any human intermediary. There most significant benefits of this functionality are:

  • It will provide your employees more time to focus on mission-critical tasks that require creativity and intelligence.
  • Automation will eliminate human-induced errors.
  • The RFQ allows checking the requested inventory in real-time, which helps to quote accurate prices.
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4. Destroy data silos

Information silos, or data silos, are a real menace for every industry, including the aviation industry. As a company grows and becomes a conglomerate, business departments may be distributed across different geographical locations — cities, states, or even countries. It becomes progressively challenging to share critical information, ask for documents, and request permissions. For example, if the inventory and warehouse department has to purchase three aircraft engines, it will request purchase approval from the finance & accounting department. And if the finance division is situated in a different time zone, it may cause massive delays that may sometimes lead to the loss of millions of dollars.

ERP systems break information silos that facilitate the free flow of information between various departments. It enables them to brainstorm effective strategies from remote places and streamlines business communication. In short, it helps all business stakeholders, including frontline executives, C-suite managers, vendors, suppliers, distributors, and customers — to come to the same page and access real-time information. It helps to make effective business decisions based on actual data instead of making educated guesses.


ERP software allows companies working in the aviation sector to achieve desired results within the predetermined budgets and set deadlines. Another significant advantage of ERP software is that it has CRM capabilities that help form long-lasting customer relationships. You can send automatic alerts and updates to customers about exciting offers and discounts. Moreover, you can also set automatic reminders for those who have booked their flights. Remember that the coronavirus pandemic forced many employees to lose/quit their jobs. This is where ERP systems played a significant role in helping aviation sector companies achieve results on time and with reduced headcount.

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Nishant Joshi likes to read and write on technologies that form the bedrock of modern-day and age like ERP, CRM, Web Apps, machine learning, data science, AI, and robotics. His expertise in content marketing has helped grow countless business opportunities. Nishant works for Sage Software Solutions Pvt. Ltd., a leading provider of CRM and ERP Software in India to small and mid-sized businesses.

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