Korean Air, the largest airline in Korea and one of the top airlines in Asia, has implemented Oracle solutions, including Oracle Complex Maintenance, Repair and Overhaul (cMRO), and upgraded to the Oracle E-Business Suite 12.1 to update and expand its ERP system and help improve the efficiency of its aircraft maintenance.
Oracle cMRO, an aircraft maintenance application for transportation and defense operations, has enabled Korean Air to accurately forecast time and cost of maintaining and repairing its aircraft, based on real-time information, thus helping ensure planned maintenance is completed on time for the company’s flight schedules. As a result, Korean Air has attained fewer disruptions to its flight schedules and more on-time departures.
Korean Air upgraded its existing Oracle E-Business Suite Financials, Supply Chain Management and Advanced Supply Chain Planning applications to the latest version to help integrate every aspect of its back-end operations.
Korean Air also integrated Oracle’s Demantra Demand Management with Oracle cMRO. This system takes maintenance plans into consideration when developing material consumption plans. As a result, the company can precisely forecast the resources required to maintain its fleet of aircraft and keep mandatory components and parts available for repair work.
With Oracle Business Intelligence Enterprise Edition, Korean Air has been able to analyze the profitability of a flight within three hours after the departure by linking the financial, revenue, and management accounting systems. The automated accounting processes have reduced account closing times and enabled the airline to minimize risks while providing more accurate decision-making.
Since 2007, Korean Air has established advanced business infrastructure with the industry’s broadest range of Oracle solutions including the Oracle E-Business Suite 12.1, Oracle Business Intelligence Enterprise Edition, Oracle Database, Oracle Real Application Clusters (RAC), Oracle Master Data Management Suite, and Oracle Fusion Middleware across finance, catering and aircraft maintenance.
Korean Air selected Oracle Consulting as the company’s implementation partner.
As a result of the implementation, Korean Air expects work processes to be standardized, integrated and streamlined, thus significantly increasing the company’s efficiency.
Korean Air has been an Oracle customer since January 2007. It went live on Oracle E-Business Suite 12.1 in January 2011.
“With the Oracle E-Business Suite and Oracle Complex Maintenance, Repair and Overhaul, Korean Air has greatly enhanced efficiency and productivity, reduced costs and generated more profit,” said Sangman Lee, CIO, Korean Air. “In order to differentiate ourselves from other leading airlines as the world’s first-class airline, we have developed the best systems and IT environment.”
“In the airline industry, it is essential for a company to accurately forecast the time, resources and spare parts for maintaining its fleet of aircraft,” said Hannes Sandmeier, Vice President of Applications Development, Oracle. “In order to streamline work processes, attain fewer disruptions in their schedules and increase their on-time departures, Korean Air implemented Oracle Complex Maintenance, Repair and Overhaul, Oracle’s Demantra Demand Management and the Oracle E-Business Suite. These improvements have increased Korean Air’s efficiency, helping them generate more profit for the airline.”
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