Airbus: Impact of E-commerce on Logistics and Supply Chain Management

This report examines the logistics and supply chain management of Airbus, focusing on the integration of e-commerce to improve efficiency and customer satisfaction. The aerospace industry, particularly Airbus, benefits from effective stakeholder and process management. The report highlights how Airbus utilizes e-commerce to enhance inventory management, streamline the delivery of aircraft parts, and improve shipping efficiency. It also explores how e-commerce has integrated different levels of suppliers, accelerating the production process and improving customer service, order fulfillment, and product development. The report further discusses how Airbus aligns its manufacturing strategies with e-commerce to achieve high profitability, considering product quality dimensions and manufacturing scale. The use of third-party involvement in transportation is also highlighted to solve the problem of transportation with high volume of manufacturing. The analysis includes references to relevant literature on supply chain strategies and the impact of technology on manufacturing processes.

Running Head: AIRBUS
Logistics and Supply Chain Management of Airbus
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E-commerce contributes to success of Airbus
The aerospace industry is leading toward success due to its effective management of
stakeholders and process within the organizations. One such effective format is followed by
Airbus too. The maintenance of value chain within the company is done effectively for managing
the stakeholders and the logistics of the company. Supply chain management have developed the
relationship between the customers, suppliers and employees of the organization (Hartle, 2015).
The transfer of the logistics throughout the company is designated to several departments of the
company and the maintenance of the chain is done effectively to reach the product at its desired
place. Here comes the introduction of e-commerce, the technology of new era have developed
the business model of Airbus. The inventory management of the company have benefited from
the introduction of e-commerce as their marketing and delivery of the aircraft parts to the buyers.
In the aerospace industry, Airbus is exercising the best practices of e-commerce in the
logistics of supply chain to make improvements in efficiency of shipping, accuracy in the overall
inventory and following up the satisfaction of customers (Porter & Heppelmann 2015). The
benefits of e-commerce is that kit keeps track of all the sales of the company and can update the
suppliers for the raw materials required
Changed operations in Airbus by the use of E-commerce
In the arena of globalization, the incorporation of supply chain management in Airbus
have increased it productivity through profitable logistics supply to the buyers. However, the
introduction of e-commerce technology have bought all the different levels of the suppliers of the
company together to operate sequentially. Their basic business of producing parts of aircraft for
the buyers have accelerated due to a systematic process of delivery products from the raw

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materials. The different part of the supply chain management was improved by the introduction
of e-commerce for better customer service, order fulfilment, manufacturing, product
development, customer relationship, supplier relationship and return investment (Mocenco,
2015). All the aspects of SCM and e-commerce features has contributed to the success of Airbus.
Use of e-commerce fit with manufacturing strategies
The best delivery of product depends on the dimensions of the quality of product, those
are reliability, conformance, serviceability, features, performance, etc. The perspective of
manufacturing is totally dependent on the volume, brand power and variety of offerings. Airbus
have been consistent with their manufacturing scale, as Airbus is famous among its industry
customers prefer the products more than any other company. The capability of Airbus in
providing variety of products to the customers is favourable. The strategies of manufacturing that
is undertaken by Airbus are the series of development programs to achieve the huge performance
of the manufacturing sector (Hines, 2014). The activities that are undertaken in the company are
integrated with the technologies so that the components of aircrafts are manufactured and
assembled through the supply chain efficiently. Hence, through the aids of e-commerce, the
manufacturing strategies can be improved to obtain the desired outcome of high profitability.
However, it is said that with the high volume of manufacturing the transportation gets affected,
but with the introduction of e-commerce the problem is solved with third-party involvement in
transportation.

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Reference
Hartley, K. (2015). Defence economics and the industrial base. World, 185, 8-700.
Hines, T. (2014). Supply chain strategies: Demand driven and customer focused. Routledge.
Mocenco, D. (2015). Supply Chain Features of the Aerospace Industry. Particular Case Airbus
and Boeing. Scientific Bulletin-Economic Sciences, 14(2), 17-25
Porter, M. E., & Heppelmann, J. E. (2015). How smart, connected products are transforming
companies. Harvard business review, 93(10), 96-114.