KUALA LUMPUR (April 23): Malaysian Aerospace Engineering Sdn Bhd (MAE) is looking at joint ventures (JVs) with original equipment manufacturers in the next five years to expand its business.

MAE managing director Azhari Mohd Dahlan told reporters that the tie-ups would be modelled on Singapore Airlines Ltd’s business structure, which has tied up with manufacturers and set up repair centres.

"We would like to explore in JVs with OEMs, if there are opportunities beyond five years. We can go into manufacturing small parts of an aircraft like seatbelts.

"But first, we want to transform ourselves by being more efficient, before doing this. We also find it difficult now, because there were issues of confidence of investors on us, following the tragedies. That is why I said it would be after five years," he said.

He said this because the company’s confidence was buoyed, following the acquisition of a web-based software that has helped it capture data seamlessly for its maintenance, repair and overhaul (MRO) sector.

Speaking to reporters at a briefing to the MRO software that tracks and stores data of aircraft and its parts, Azhari said the software helps reduce manpower and plane turnaround time, cuts wastage and improves efficiency.

"The web-based aviation suite replaces nine legacy out of 15 engineering systems that is about 30 years old. By using bar code-enabled features and automation, we can reduce time taken to move spares from suppliers to warehouses and hangars worldwide," he said.

The system has widened Malaysian Airline System Bhd’s ability to offer third-party MRO from its existing hangar, which opens up new stream of business, he said.

He added that MAE, which is the wholly-owned unit of the airline, is at least 20 years behind, when it came to exploring new opportunities.

Azhari, who assumed his position in MAE in 2012, said he was keen on increasing the business opportunities to include 'back-office' services.

Asked if the present MRO hub in Subang could cope with the new venture, he said the 80-acre site was currently not fully utilised.

He said that with the newly-acquired Ramco software which deployed a full suite of aviation solutions to provide MRO support for 145 end-of-lease Malaysia Airlines and its subsidiary's aircrafts, MAE could see a 20% increase in staff productivity by next year.

"This new software will ensure that data on each aircraft and its parts that are repaired or maintained, as well as technicians that handle it, are easily tracked and backed-up on cloud computing.

"This way, it is not only good for insurance purposes, but also helps to change the perception people have on MAS," he said.