Exploiting metaheuristics to strategize on performance-based logistics contracts for MRO services

• Main Authors: SCHIRRMANN, Arnd, WONG, Elaine, ZHENG, Zhichao
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2010
• Subjects: Business Administration, Management, and Operations; Strategic Management Policy
• Online Access: https://ink.library.smu.edu.sg/lkcsb_research/5263; https://ink.library.smu.edu.sg/context/lkcsb_research/article/6262/viewcontent/SA_for_MRO_PBC__1_.pdf
• Institution: Singapore Management University

An inherent challenge of using Performance-Based Logistics (PBL) contracts for aircraftmaintenance, repair and overhaul (MRO) services is pricing. As with traditional bricks andmortar services, under-priced contracts cannot cover costs, while overpriced contracts loseout to competition. Furthermore...