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Sample - MRO Software Market - Global Forecast To 2025
Sample - MRO Software Market - Global Forecast To 2025
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MARCH 2020 © MarketsandMarkets™
MRO SOFTWARE MARKET - GLOBAL FORECAST TO 2025
1 EXECUTIVE SUMMARY
Maintenance, repair, and overhaul (MRO) software in aviation are cloud or system-based software that are
used to coordinate, monitor, and improve all processes related to aircraft MRO. Aviation MRO software
cover all the functions of aircraft MRO, such as aircraft handling, safety & security services, workforce
management, sales and marketing, and hangar operations, and their ecosystem.
The MRO software market in aviation is segmented based on solution, end user, function, pricing model,
deployment type, and region. Factors driving the market include the increase in demand for predictive,
prescriptive, and condition-based maintenance through data shared by connected aircraft, increasing
adoption of software-as-a-service, and the need to reduce the turnaround time of MRO operations.
Some of the key players in the MRO software market in aviation include IBM (US), SAP SE (Germany), HCL
Technologies Limited (India), Boeing (US), Ramco Systems Limited (India), Oracle Corporation (US), IFS AB
(Sweden), and Swiss AviationSoftware (Sweden).
ON-PREMISES CLOUD
XX% XX%
Based on deployment type, the MRO software market in aviation is segmented on-premises and cloud. The
on-premises segment is estimated to account for a larger share of the market in 2020 due to the increase
in demand from large organizations such as airlines and MROs for customizable on-premises MRO
software.
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MRO SOFTWARE MARKET - GLOBAL FORECAST TO 2025
XX%
XX%
XX%
XX% Maintenance Operations
CAGR (%)
Management, Management,
XX% XX% XX% Operations
XX% Management, Electronic Flight
XX% Bag & Logbook
XX% Management,
XX% XX%
XX%
XX XX XX XX XX XX
Rank (According to Market Size in 2025)
Source: Annual Reports, Press Releases, Investor Presentations, Expert Interviews, and MarketsandMarkets Analysis
Based on function, the maintenance management segment is projected to register the highest growth rate
during the forecast period. This is attributed to the rise in the demand for enhancement of maintenance
operations and the reduction of the turnaround time of MRO operations. MRO software help in improving
the line, heavy, and engine maintenance activities of aircraft.
XX% XX%
XX% XX% XX% XX% XX% XX%
Note: The color fill of bars represents the market share for 2020.
Source: Annual Reports, Press Releases, Investor Presentations, Expert Interviews, and MarketsandMarkets Analysis
Based on solution, the software segment is expected to lead the MRO software market in aviation in 2020.
This segment is further categorized into ERP solution, point solution, and suite. Digitization of services and
MRO software is helping airlines and MRO operators to enable smooth maintenance, reduce operating
costs, and meet the demand for the management of operations due to increasing air travel. The ERP
solution is a complete end-to-end solution that manages, integrates, and optimizes MRO operations, such
as supporting aircraft operations and maintenance, supply chain, human resources, and finance, for end
users in the aviation industry.
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MRO SOFTWARE MARKET - GLOBAL FORECAST TO 2025
2.1 INTRODUCTION
Based on solution, the MRO software market in aviation is segmented into software and services. These
software and services are offered to end users such as airlines, MROs, OEMs, and lessors as a bundled
package. The software segment is further divided into ERP solution, point solution, and suite. The services
segment is further divided into deployment & integration, consulting, and support, maintenance &
upgradation. The market for services is projected to grow at a higher CAGR of XX% during the forecast
period. Frequent upgrades of software as per the maintenance requirements by end users are expected to
drive the services market.
XX
XX
XX
XX
XX
Software Services
2020 XX XX
2025 XX XX
CAGR (2020–2025) XX% XX%
Software XX XX XX XX XX%
Services XX XX XX XX XX%
Total XX XX XX XX XX%
2.2 SOFTWARE
The software segment of the MRO software market in aviation is further classified into ERP solution, point
solution, and suite. Various types of MRO software solutions offered by software providers are considered
in this segment. The increasing demand for MRO software from airlines and MROs around the globe is
fueling the growth of this segment.
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TABLE 2 MRO SOFTWARE MARKET IN AVIATION, BY SOFTWARE TYPE, 2018–2025 (USD MILLION)
Suite XX XX XX XX XX%
Total XX XX XX XX XX%
Reliability, complete data integrity across multiple systems, a harmonized platform for multiple operations,
management of workforce, and project allocation have helped MROs and airline operators in improving
business operations and are driving the growth of this solution in the aviation industry. Though ERP is
considered a complete system, it is developed through the integration of various common modules on a
single platform. The choice of whether a single module is required, or multiple modules need to be
integrated depends on the operational needs of the end users.
The modules mentioned below are integrated into all aviation ERP systems:
Maintenance management
Aircraft management
Operations management
Business management
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MRO SOFTWARE MARKET - GLOBAL FORECAST TO 2025
2.2.3 SUITE
2.2.3.1 Suite helps in demand -driven inventory planning for materials
requirement, as well as enhanced maintenance and service
planning and execution for complex assets
A suite refers to an MRO software that covers all modules of an ERP solution along with the high-end point
solutions and enterprise add-ons. One such suite is the aviation MRO software offered by SAP, named SAP
S/4HANA. Such suites help in the management of a wide range of operations, such as maintenance,
supply chain, finance, and human resources, along with the management of connected assets and
connected manufacturing. Suites help in optimizing order to cash with on-time delivery, collaboration, and
predictive capabilities. They also benefit MROs and OEMs in demand-driven inventory planning for
materials requirement, as well as enhanced maintenance and service planning and execution for complex
assets.
2.3 SERVICES
The services segment includes services that are provided by MRO software developers to maintain and
operate the installed MRO software efficiently. The breakdown of MRO software during any operation can
cause significant losses for aviation operators, MROs, OEMs, and lessors. Software-as-a-service (SaaS) has
been considered in this segment. The services segment is projected to grow from USD XX million in 2020
to USD XX million by 2025, at a CAGR of XX% from 2020 to 2025.
Consulting XX XX XX XX XX%
Support, Maintenance & XX XX XX XX XX%
Upgradation
Total XX XX XX XX XX%
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MRO SOFTWARE MARKET - GLOBAL FORECAST TO 2025
Vendors offer services that evaluate the complete project life cycle and cover all phases of software
implementation, right from planning and deployment to support. They also include software integration
with legacy systems that enables rapid deployment. Once the software is configured, extensive user
acceptance testing is done to ensure that the system works to improve business efficiency and employee
productivity. Vendors typically follow a phased implementation approach as per the organization’s desired
time frames for implementation, from installation and configuration to testing, training, and going live.
2.3.2 CONSULTING
2.3.2.1 Consulting services providers offer methods to overcome lack of
technical expertise to deploy and manage data in organizations
Consulting services ensure that every aspect of a project is handled with proper care. The MRO software
vendor team handles all the aspects of an MRO software project required for the successful functioning of
a solution, from the beginning to actual implementation, which leads to accurate decision-making. The
primary service includes the analysis and review of an organization’s legal contracts, identification of any
contractual risk, designing a maintenance management system as per international standards for
compliance and risk management, etc.
Consulting services providers offer methods to overcome the lack of technical expertise to deploy and
manage data in most of the organizations. These services clearly outline the process of seamlessly
deploying and migrating business applications and corporate data across centralized data centers residing
on the premises as well as on the cloud.
These services include 24/7 troubleshooting assistance, web-based support, and web-based access to
online documentation, upgrade of existing software, problem-solving, repairs, replacing failure types,
emergency response management, field maintenance, proactive services, technical support by
technicians, and test scenario management. They also include regular system checks, backup support,
and software maintenance to provide security and minimize losses due to threats. Support, maintenance,
& upgradation services help improve operations and gain control over the existing systems.
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3.1 INTRODUCTION
Based on deployment type, the MRO software market in aviation is segmented into on-premises and cloud.
The deployment type is one of the crucial factors to be considered while selecting an ERP system for the
effective utilization of software offerings. The primary element of differentiation between cloud and on-
premises deployment is the installation platform. On-premises solutions are installed on the company’s
hardware and servers and managed by the respective IT teams. On the other hand, cloud-based solutions,
also called software-as-a-service, are provided as a service wherein the ERP vendor manages the data, and
the services are accessed through a web browser. More recently, the industry has adopted a hybrid model,
in which cloud software is hosted on a company’s private servers. While both on-premises and cloud
solutions have their pros and cons, the selection depends entirely on the user company’s operational
requirements. The basic parameters considered for the selection of these solutions include price,
implementation, security, and customizability.
XX
XX
XX
XX
XX
On-premises Cloud
2020 XX XX
2025 XX XX
CAGR (2020–2025) XX% XX%
On-premises XX XX XX XX XX%
Cloud XX XX XX XX XX%
Total XX XX XX XX XX%
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On-premises XX XX XX XX XX%
Cloud XX XX XX XX XX%
Total XX XX XX XX XX%
3.2 ON-PREMISES
Unlike large organizations, small organizations have lower budgets. In addition, when the software is
customized to specific needs, its price increases further. In such cases, small organizations may look for
local software developers or low-cost cloud solutions.
Major companies offering on-premises MRO solutions include IBM, IFS AB, Infor, SwissAviation Software,
and Ramco Systems Limited.
Price decreases over time, as the IT Upfront investment is high, as hardware and
Cost infrastructure spend is minimal, and only related equipment need to be procured at the time
the software is required to be upgraded of installation
User company has complete control over Some organizations would not be efficient in
Security
the security of the software implementing security protocols
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3.3 CLOUD
Cloud-based systems digitally maintain records in the form of manuals, maintenance logs, flight plans,
aircraft maintenance tracking reports, record books for adherence to airworthiness regulations, and
service bulletins. These also provide fast and inexpensive management of different types of maintenance
data. These systems offer real-time access to spare parts inventories and send alerts for maintenance
tasks to MROs.
In 2016, Ramco Systems Limited secured a contract from L-3 MAS for the provision of cloud-based Ramco
aviation suite to support the Canadian CC-150 Polaris fleet. In 2016, IFS AB secured a contract worth
approximately USD XX million for the first six years of the 18-year contract from Affinity Flying Training
Services for the provision of the IFS Application 9. IFS managed the cloud-integrated solution for aircraft
maintenance and enterprise resource planning (ERP).
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MRO SOFTWARE MARKET - GLOBAL FORECAST TO 2025
The existing MRO system deployed by Copa lacked the capacity required to consolidate
Challenges
all the maintenance data of its fleet.
Copa deployed cloud-based Maintenix software offered by IFS AB owing to its ease of
implementation, scalability, and ability to handle large fleets. Using Maintenix on cloud
Solution
infrastructure helped Copa Airlines in eliminating the need for a costlier and more time
consuming on-premises network installation.
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