AMAC Aerospace on the latest trends in private aviation

Kadri Muhiddein, CEO of AMAC Aerospace, on the latest trends in private aviation

Transcript

The private aviation market is seeing a positive uptick as the global economy heats up. Kadri Muhiddein, CEO of AMAC Aerospace, explains how AMAC is expanding to keep up with demand, and how the business is evolving with the latest trends in in-flight communications and entertainment.

European CEO: The private aviation market is seeing a positive uptick as the global economy heats up. Here to tell us about some of the latest advancements: Kadri Muhiddein.

So, you’ve been in the industry for 40 years now; tell me about some of the innovations that have come about in the past decade.

Kadri Muhiddein: Well. The aviation industry has been evolving since it started. Lately, in the last 10 years, we witnessed the birth of a new generation of aeroplanes, which the aircraft manufacturer focused on incorporating new technologies, cost-cutting, and improving safety. Something both sectors in the market – the commercial and the private – seek all the time.

European CEO: Let’s talk about how your company has stayed ahead of these trends.

Kadri Muhiddein: Our company is a unique company in the world. We are the largest privately owned company, and we pride ourselves that we have flat management. We don’t have bureaucracy of publicly owned, or government owned companies. And we are following policies of openness with our staff and our clients. We deliver on time, and on budget: that’s what every client seeks.

European CEO: Why was it important for you to open up a fourth hangar?

Kadri Muhiddein: Very simple. If you are buying a telephone off a manufacturer that is producing a million a year, and the market wants two million, there is demand. So it’s a demand issue.

European CEO: You’ve included business maintenance as part of your corporate governance strategy; tell me why that was important to you.

Kadri Muhiddein: In this kind of business, when you do aircraft design completion, maintenance is an essential ingredient in the menu of options you give to your clients. Because while the aircraft is with us, or other facilities, it takes about two to three years depending on its size complexity. A lot of maintenance requirements are due during this period of time. So you cannot do one without the other. They go hand-in-hand. Therefore we incorporated this model in the business.

European CEO: Do you think that you’re going to evolve this unit over time?

Kadri Muhiddein: Absolutely. This unit will grow with the growth of the company. Let me give you an example: if you own an aeroplane, you may want to do a renewal of your interior, or update or upgrade your communication or entertainment system probably once every five years. While the maintenance is an annual requirement. And if you’re on low utilisation of using your aeroplane, then probably you can extend it to one and a half years. So maintenance is a must, whether you fly or not.

European CEO: Finally, tell me about your company’s future plans.

Kadri Muhiddein: Well, we plan to continue in the business of our clients. We have an obligation in the industry; we have good standards, and I think we form a good incentive of competition to the others, to follow on us.