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Ankit Sharma

Industry Strategy & Customer Advisory - Creating outcome-based business model solutions

Ankit Sharma is an accomplished professional currently serving as an Industry Solutions Manager at SAP, where he spearheads initiatives to support the manufacturing industry and drives strategic programs.

Ankit's focus at SAP includes managing portfolio solutions, creating industry-relevant innovations, and leading a project aimed at enabling subscription and pay-for-outcome business models for the manufacturing sector.

With a background in presales, Ankit was a key team member in machine learning and advanced analytics at SAP, contributing to the development of an internal startup project centered around a machine learning recommender system.

Ankit Sharma holds an MBA in Strategy & Marketing from the Indian Institute of Management Ahmedabad, a Bachelor's degree in Electronics Engineering from Delhi University, and a BE in Electronics and Communication from Netaji Subhas Institute of Technology.

Committed to continuous learning, Ankit furthered his education with certifications in Machine Learning from Stanford University on Coursera and completed a course in Disruptive Strategy from Harvard Business School Online.

In addition to his role at SAP, Ankit Sharma has gained experience in various organizations, including Social Impact Consulting at Honeyguide Foundation, business development in machine learning ventures, presales in machine learning and analytics, and sales internships at SAP, showcasing a breadth of industry exposure and dedication to professional growth.

Highlights

Jul 29 · linkedin

This headline is a clickbait. The jet engines are not breaking down mid-flight but are taking longer to repair and are not being manufactured as fast as Boeing or Airbus might want.

And that is good news for engine makers. They can draw repeat revenues and higher margins from servicing the existing engines, compared to selling new engines, often sold at a loss.

This is the promise of the after-market service model anyway; it is nothing new and must be the focus of any manufacturer.

However, this article points to the problem of misaligned incentives between the customers and their suppliers. And that is a problem in the long term. Let's explore.

There is a high demand for new and efficient aircrafts. However, the suppliers can't meet this demand because of various factors, including the lack of an experienced workforce to optimize engines further and the shortage of components.

This feels like a missed opportunity for the engine makers but in reality, they are happy with their current situation - thanks to higher service revenue and margins.

We know that new engine programs are costly and affect margins. So if the supply factors are not rapidly improved, would there be an incentive (to struggle) to extract that extra efficiency from a new engine or would the manufacturers settle (happily) with servicing the older fleet?

Given these supplier and customer companies share common shareholders - Vanguard, State Street, Blackrock, etc., I hope that the incentives will eventually be aligned and the innovations will continue.

#aerospace #aviation #manufacturing

Ankit Sharma
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Location

Chicago, Illinois