The aerospace industry launches Supply Chain Solutions, a new industry-led supplier development programme
Through the Aerospace Growth Partnership, government and industry are committed to achieving net zero by 2050, the Destination Net Zero strategy is key to achieve these ambitions.
The strategy will help make the UK a world leader in the development and manufacture of sustainable aircraft technologies.
The strategy sees the launch of a new Supply Chain Solutions programme to support SMEs in their continuous improvement journey and expected to deliver the equivalent of up to £15 million in improvement activities over the first three years.
The new Aerospace Growth Partnership Strategy, Destination Net Zero, launched at the Farnborough International Airshow 2022, sets out how UK aerospace will work towards reducing the climate impact of aviation and secure the UK's position as a world leader for the next era of flight.
This will be achieved through innovation and collaboration across research and development, design and manufacturing value chains, and a plan of action to ensure an appropriately skilled workforce. The strategy is underpinned by a joint industry and government commitment to achieve Net Zero UK aviation by 2050.
The UK's world leading position in aerospace technology is enabled by its highly productive and competent supply chain. This supply chain of more than 2,400 businesses is critical to maintaining the UK's market position on current programmes and preparing for success on future aircraft programmes.
The strategy reaffirms the need for a robust UK supply chain to industrialise technology developments in the UK and sees the launch of a new industry-funded supplier development programme "Supply Chain Solutions".
Led by ADS, and with support from industry and regional partners, the programme builds on the framework of long established, well proven, existing programmes (SC21 and Sharing in Growth) to support continuous improvement of suppliers and is expected to deliver the equivalent of up to £15 million in improvement activities in the first three years.
A new ADS Sustainability Solutions programme will help aerospace businesses measure, report, and reduce their carbon footprint. Sharing in Growth, with contributions from Rolls-Royce, will also continue to support suppliers in their improvement journey with about £14 million worth of support activities over the next three years. Sharing in Growth, with contributions from Rolls-Royce, will also continue to support suppliers in their improvement journey with about £14 million worth of support activities over the next three years.
The programme aims to build a coalition of all major aerospace and defence companies, with commitment to launch already confirmed from Airbus, GE Aviation, Rolls-Royce, Collins Aerospace, Thales, Leonardo, Spirit AeroSystems, GKN Aerospace, and Safran.
The strategy also sets out continued support to small businesses and suppliers through the Aerospace Technology Institue Programme over the next three years. These interventions are estimated by the ATI to potentially help double aerospace's contribution to the UK economy to at least £17 billion GVA per year by 2035 from acround £8 billion contribution in 2021.
Commenting on the launch of the new programme:
Business Minister Jane Hunt said:
“Our SMEs are amongst the best in the world, but suppliers need to stay globally competitive as aerospace and aviation transition cleaner forms of flight.
“I am delighted to see the UK aerospace sector launch a new industry-funded supplier development programme that will help SMEs develop innovative technologies, build new cutting-edge capabilities and grow through exporting even more world-class products.”
Sir Michael Ryan CBE, Industry Co-Chair of the Aerospace Growth Partnership said:
“The UK’s world leading position in aerospace technology is enabled by its highly productive and competent supply chain. Supporting our suppliers in a structured way to improve cost, quality, delivery and environmental performance is critical to our competitiveness as we transition to a low-carbon future.
"This new industry funded Supply Chain Solutions programme developed through the AGP and led by ADS, will step-up the level of support industry provides across the aerospace and defence supply chain.”
Kevin Craven, ADS Chief Executive said:
“The launch of the Supplier Development Programme, led by ADS ensures the continuous improvement of suppliers, particularly SMEs who play a critical role in supporting global supply chains.
“The United Kingdom is recognised as a leading nation for agile and outstanding supply chains and the Supplier Development Programme will further leverage our UK industries in delivering supply chain excellence.
“I would like to thank industry for its significant funding support and encourage all UK suppliers to participate in the programme.”