On Jan. 1, Lufthansa Technik established Lufthansa Technik Maintenance International, a 100% subsidiary integrating the former Condor/Cargo Technik it previously had acquired. LTMI will be based at Frankfurt Airport and will assume responsibility for airline third-party MRO activities previously handled by LHT.
"Initial reactions to our restructuring have already been extremely positive," LTMI CEO Alexander Heilmann told Airline Procurement. "Our decision is seen as an effective way to orient us even more directly to our customers' needs and reach a really new level of dedication."
LTMI will use CCT's infrastructure at Frankfurt and engage some 1,000 employees. It will assume control of departments previously responsible for dealing with international airlines and maintain Lufthansa Cargo's MD-11s. The subsidiary also will handle Technical Operations Management for fleets across station networks. Fleet managers deployed to customer locations will serve as central contacts.
"Everything fits together," explained Heilmann. "First, there's our customers' desire for an organization that is exclusively dedicated to their needs. Then, there's the capacity and potential growth of the former Condor/Cargo Technik with the additional degrees of freedom obtained by integrating our Maintenance Services with the new Technical Operations Management. But there's also the Web-based mirroring of our technical operations in the IT landscape."
In assuming responsibility for LHT's Technical Operations Management product, which was introduced last fall, LTMI is empowered to take "the complete maintenance organization for an airline fleet across its entire station network."
LTMI also will provide manage/m, the Internet-based Technical Operations WebSuite developed by LHT. The technology boasts data processing capabilities that offer customers around-the-clock online access to information relevant to their aircraft's status. Operators retain control of their technical operations, leveraging data ownership to streamline civil aviation authority obligations.
"I look forward to working with a strong team to further promote the success of manage/m in the interests of our customers," said manage/m Director Falk Kalus, who joined LHT in 2001 as a specialist in IT strategy and a team leader responsible for technical documentation. "I am confident that Lufthansa Technik Maintenance International offers us an excellent basis for ongoing innovation."
LHT's sales organization will integrate the commercial aspects of contracts and Lufthansa Technik Maintenance International will advance their fulfillment. Conventional contracts for maintenance services--A checks, for instance--will be LTMI's responsibility and available for purchase from LTMI in the future.
"On the other hand, integrated Total Support contracts, including TOM, will continue to be offered by and purchased from the mother company, even though we supply LTMI product elements such as line maintenance and engineering for such general contracts and handle the integration of services for our customers. In other words, we personally guarantee the overall performance," explained Heilmann.
LTMI eventually is expected to perform MRO on aircraft currently serviced by LHT's line maintenance division. The company will operate under the same approvals as LHT and the former CCT, assuming maintenance activities for 757s, 767s, MD-11s, A330s and A340s and eventually A320s and 737s.
"Reinforced by the bundle of skills that LTMI is starting out with and will be developing, we will be aiming at annual revenue of at least €200 million," Heilmann projects.