Artificial intelligence for international trade in aerospace: the case of Safran and prospects for our sector

AI, a strategic lever in international aerospace trade

The aerospace industry is evolving in an international context where challenges are numerous: the complexity of global supply chains, the need to reduce costs, the imperatives of sustainability, and rising customer expectations. Artificial intelligence (AI) has become essential to meeting these challenges and differentiating ourselves in the face of global competition. According to a McKinsey study, the aeronautics sector could increase its productivity by 15-20% thanks to technologies such as AI by 2030. In France, the Groupe des Industries Aéronautiques et Spatiales (GIFAS) 2022 report shows that over 75% of companies in the sector are considering AI as a solution for improving their international operations.

Safran and optimizing operations with AI

Safran, a leader in aeronautical systems and equipment, has adopted an AI strategy that enables it not only to cut costs but also to gain agility in international markets. Here's how AI has enabled Safran to revolutionize several aspects of its international business.

Demand forecasting and inventory management

In the aerospace industry, inventory management is crucial to guaranteeing parts availability while controlling inventory costs. For Safran, AI tools developed in partnership with the University of Montreal have optimized this management through machine learning models capable of predicting demand for spare parts and components with impressive accuracy. According to a Safran publication in its Innovation Report (2021), the use of these models has reduced stock-outs by 30% and cut inventory costs by 20%.

In practice, AI analyzes historical sales data, seasonal trends and demand forecasts to dynamically adjust stock levels. In this way, Safran can anticipate the needs of its customers in different parts of the world, and avoid stock-outs that can cause costly delays. This optimization has also freed up tied-up capital and enabled better management of inventory-related cash flows.

Optimizing supply chains and supply routes

Safran also uses AI tools to optimize its global supply chains, notably through real-time analysis of transport data, costs, and customs delays. For example, with AI, Safran can identify the most cost-effective transport routes and shortest lead times based on suppliers' locations and the specific constraints of each region.

An article in Supply Chain Magazine (2022) cites Safran as an example of a leader in logistics optimization: thanks to AI, the company was able to reduce its transport costs by 15% by adjusting its freight routes to seasonal variations and disruptions in Asia during the pandemic. By enabling greater responsiveness to unforeseen events, AI enhances supply chain robustness and ensures faster delivery of spare parts to international customers.

Anticipating market trends and adapting offers

Finally, Safran leverages AI to analyze market trends and adapt its offering to customers' needs based on their geographic location. Using massive data processing tools, the company is able to anticipate demand fluctuations in specific regions, notably in Asia-Pacific, which represents one of the most dynamic markets for the aerospace industry.

These analyses enable Safran to propose customized offers to meet emerging needs, such as the lightweight, energy-efficient parts demanded by Asian airlines. According to information reported by Reuters in 2023, this strategy has enabled Safran to increase its market share in Asia by 10% in just two years. This ability to adapt is a major competitive advantage, strengthening the company's position in a sector where responsiveness and innovation are essential.

Conclusion: AI, an essential ally for international trade professionals in the aerospace industry

The case of Safran perfectly illustrates the impact of AI in aeronautics and international trade. As a specialist in this sector, I observe that the integration of AI represents not only an opportunity for productivity gains, but also a lever for improving customer satisfaction by meeting growing expectations for quality, speed and personalized services.

To remain competitive, it is essential that international aerospace trade professionals invest in these technologies, relying on expert partners to integrate AI into their supply chain management and decision-making processes. By demonstrating mastery of these cutting-edge technologies, we can not only build customer loyalty, but also attract new prospects in high-growth markets.

In short, AI is no longer just an option, but an engine of transformation which, properly used, can open up new international development prospects for players in the aerospace industry. Our ability to adopt these innovations today will determine our success tomorrow in an increasingly complex and competitive global environment.

Bertrand Bord