An Africa-based handler explains how it goes about making GSE procurement decisions, and points out the importance of having trustworthy suppliers
Paul Craig is the managing director of Aviance Ghana. As such, he is accountable for all capital expenditure (capex) and plays a key role in all equipment purchases. Decisions regarding GSE acquisition are taken in full consultation with the head of maintenance and with regard to fleet status, he informs. Aviance Ghana is a member of the Aviance Alliance but operates as a stand-alone business, so all decisions are taken locally.
The procurement process usually begins with an annual overview but Aviance Ghana also works to a three-year corporate plan approved by the Board of Directors. External factors that can influence a change in direction or additional capex would be driven by new business and airport requirements. Although there is that three-year plan, Aviance Ghana is a small business and so is able to react quickly to market demands, Craig says.
Unlike in many other parts of the world, leasing is not an option in Ghana. But, as with most GSE buyers, Aviance Ghana tends to work with its usual long-term suppliers. The handler’s fleet composition also drives decisions as regards which manufacturers are approached for new equipment. “We don’t issue formal tenders as we know our requirements and we view our providers as partners with whom we have long-term relationships,” Craig confirms.
“We still put a premium on working with partners who recognise and assist our needs, rather than buying on price alone. Of course, price is a big factor because aviation is a competitive business, but our view is that it is long- rather than short-term benefit that is important.”
He continues: “We look for reliable partners – we buy trailers from a single supplier in China who knows our requirements but with tractors and loaders we use JBTC, TLD, Denge and Mallaghan who are all well respected in the industry.”
Aviance Ghana does not have the options of local manufacturers, and prefers to deal directly and not through agencies when it comes to equipment acquisition. “Shipping costs are high but it is the same for everyone,” Craig observes.
“Over time, we can say we deal with friends rather than businesses. We are comfortable with the prices and happy with services. As long as this is the case we will continue with what we do,” Craig concludes.
