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Bloomberg Talks

Airbus CEO Guillaume Faury Talks Supply Chain Struggles and Goals

Oct 30, 2024
Guillaume Faury, CEO of Airbus, navigates the complexities of the aerospace industry. He reveals the production bottlenecks affecting aircraft delivery, particularly relating to engine supply issues with Pratt and CFM. Faury also discusses restructuring Airbus's defense operations for increased agility. Additionally, he addresses how ongoing strikes at Boeing might impact Airbus's supply chain, underlining the interconnectedness of the industry. His insights highlight both the challenges and strategic goals Airbus faces in a competitive landscape.
07:43

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Podcast summary created with Snipd AI

Quick takeaways

  • Airbus is grappling with supply chain challenges due to engine production delays from suppliers, significantly impacting their production targets for the A320 family.
  • The company is restructuring its defense and space division to enhance efficiency and accountability while adapting to market demands in military aviation and space.

Deep dives

Challenges in Supply Chain Management

Airbus is facing significant challenges in its supply chain, particularly related to the production of engines for its A320 family of aircraft. Issues with engine suppliers, such as Pratt and CFM, have created bottlenecks that hinder Airbus's ability to meet its production targets. For instance, a recall campaign from Pratt has resulted in numerous aircraft being grounded as they await retrofitting of their engines. As a result, Airbus is deploying additional resources to support suppliers in resolving these issues, although these challenges are expected to persist through the end of the year before gradually improving in the coming years.

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