OEM concerns and challenges
With hundreds of suppliers in the Pacific Northwest reliant on the OEM , many want to regain confidence in the industry we all rely upon .
One of our experts who makes composite details and assemblies for interiors said , “ I could probably write a novel on the topic , but another big piece of the puzzle is the fact that the OEM is failing . They are failing their supply chain , which is all the rest of us . The ripple effect is tremendous in the Northwest , forcing many to shut their doors . A great deal of blame continues to fall on the supply chain , but the culture at the OEM is doing the damage . In place of determining the true root cause , comes the blame game . If the supplier can be blamed , then the costs can be levied on them . It ’ s not much of a true partnership when the big guy is always pressing the little guys to pay or die . Suppliers that can , survive without too much invested in serving the OEM and have a much better chance at survival .”
“ Our biggest challenge is high price and lead times ; lead times seem to be fallout from a lack of an effective workforce , starting with the construction of the raw materials . Where is our workforce ? Don ’ t know the answer to that .”
Our third expert said they are positive about the future of aerospace but have ongoing concerns about the OEM . “ A lot of folks that were heavy into aerospace are now actively trying to diversify their business .”
Regulations / governance
Our circuit board maker feels that the government should be responsible for fixing the current problems and said what is needed is “ Less polarization and change at the federal level . Moderate , common-sense solutions working across the aisles to address things like tax policy , inflation , housing , interest rates , and immigration as related to a solution to our workforce shortages .”
This person said that Congress is responsible . “ Full stop . They have to stop retreating to their respective corners and actually get something worthwhile done .”
However , many may have little hope for changes , as reflected in this sentiment : “ I imagine nothing will happen until after the presidential election , and even then , the election will be demoralizing for half of the country no matter who wins , so I have very low confidence things will get better at the federal level for at least another four-plus years .”
Raw materials and supply chain
“ A lot of folks that were heavy into aerospace are now actively trying to diversify their business .”
Like with consumer goods , inflation has increased production costs in aerospace manufacturing . One expert shared , “ Raw material resources have extended our lead times , and confidence in meeting deadlines is low because of the commonly late deliveries . Expediting materials is much more frequent than in years past , and the cost of shipping has impacted those costs .”
24 NORTHWEST AEROSPACE NEWS