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Activity-Based Cost Management in an Airline: A MyABCM Success Story

airplane-motor-maintenance

Industry

Technology

Challenge

The company, one of the largest players in the global airline industry, faced significant challenges in capturing detailed information on the costs associated with aircraft engine maintenance. The lack of visibility into actual production costs directly affected the pricing of services provided to third parties and made it difficult to identify opportunities to improve processes, reduce expenses, and sustain competitiveness in a complex and highly regulated operating environment.

Results

The adoption of MyABCM delivered significant gains: teams gained access to detailed, integrated cost reports that supported self-management and continuous process improvement. Annual savings of R$4.3 million were identified, along with the optimization of 63 FTEs, the mapping of 410 activities, and the involvement of 24 departments, driving greater operational efficiency, better decision-making, and a stronger culture of process ownership.

Key Product

MyABCM Corporate

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About your Customer

One of the world’s largest airlines, with international operations and more than 42,000 employees, operating over 4,500 daily flights and supported by a robust aircraft engine maintenance division.

The Challenge

Before adopting MyABCM, the airline faced difficulties in gaining a detailed understanding of the costs involved in aircraft engine maintenance. The lack of accurate information affected the pricing structure of services provided to partners and third parties, made expense control more difficult, and limited the company’s ability to identify bottlenecks and opportunities for efficiency gains in an environment where precision and agility are critical to business sustainability.

The Solution

Faced with the need to improve cost management and increase operational efficiency, the company began searching for market solutions specialized in activity-based costing and management (ABC/M). MyABCM stood out for its robust process modeling capabilities, integration of operational and financial data, and ability to generate customized reports for different levels of the organization.

The adoption of the solution enabled the detailed mapping of 410 activities across 24 departments, providing a broad and accurate view of costs and guiding continuous improvement initiatives. According to the self-managed team leader: “We now have access to operational and financial information that allows us to drive improvements, measure results, and strengthen a culture of process ownership.”

The Results

With the implementation of MyABCM, the airline achieved concrete and measurable results. Annual savings of R$4.3 million were identified, in addition to the optimization of 63 FTEs (Full-Time Equivalents). The detailed cost breakdown gave teams greater autonomy, accelerated decision-making, and strengthened process governance.

The involvement of 24 departments and the mapping of 410 activities demonstrate the cross-functional impact of the solution, consolidating a data-driven culture focused on the continuous pursuit of operational efficiency.

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