21 May, as part of the VII International helicopter industry exhibition HeliRussia 2015, Helicopter Service Company (a Russian Helicopters company, part of State Corporation Rostec), and consulting firm Strategy Partners Group have signed an agreement on the provision of consulting services in developing an after sale service and maintenance strategy for Russian-made helicopters through to 2030 (After sale service 2030). Work to develop this strategy will begin immediately.

“Russian Helicopters needs to develop its aftersale service provision for Russian-made helicopters, ensuring it meets the highest standards,’ Russian Helicopters CEO Alexander Mikheev said. “One of the goals of this work is to increase the proportion of overall revenue Russian Helicopters derives from aftersale service to 35% by 2030. We working to ensure that helicopters we make enjoy high quality maintenance services world over. This is a vitally important task, currently there are over 8,500 Russian and Soviet made helicopters in operation across the globe, and that fleet is only going to continue to grow.”

“Developing the Aftersale service 2030 strategy is a complex and ambitious task. It requires close cooperation between all Russian Helicopters’ companies and aircraft repair enterprises – of which there are currently six,” said Helicopter Service Company’s Managing Director Dmitry Borisenko. “In working towards this goal we will need to apply global best practice, and that is why our tender was won by the seasoned and creative consulting company Strategy Partners Group, which has extensive experience providing consulting services to major businesses, and has an excellent business reputation.”

“Russian aviation companies have always been able to develop and produce products that are, in engineering terms, highly competitive. But today clients are not only interested in the products – they look at the full life-cycle,” Strategy Partners Group associate Mikhail Grigoriev said. “Underdeveloped aftersale service systems are an Achilles heel in Russia’s aircraft and helicopter construction industries. We are glad that Russian Helicopters is focusing on this issue, and is a pioneer in this sector of the Russian economy in developing this system. We are confident that, thanks to our experience, we will be able to aid this process.”

Given the complexity of the work ahead, the tight deadlines for its completion (strategy development is to be completed in August) and the need for external review, Russian Helicopters has decided to involve a consortium of two leading consulting companies, each of which is a leader in its area. The consortium is headed by leading Russian strategic consultants Strategy Partners Group, and the external review will be carried out by leading global strategic consulting firm McKinsey & Company. McKinsey & Company is a global management consultant firm specialising in strategic consulting that serves leading government institutions and global companies.

Helicopter Service Company (HSC)was founded in 2006 with a goal of setting up an international system of support for Russian-made helicopters that are currently in operation, which today number over 8,500 units in more than 100 countries across the world. It is part of Russian Helicopters.

Strategy Partners Group is a Russian strategic consultant, which has been in existence since 1994 and is part of Sberbank Russia. It collaborates with clients in implementing change, helping them leverage their intellectual, material and financial resources in order to ensure leadership and sustainable growth in competitive markets.

Russian Helicopters, (part of State Corporation Rostec), is one of the global leaders in helicopter production and the only helicopter design and production powerhouse in Russia. Russian Helicopters was founded in 2007 and is headquartered in Moscow. The company comprises five helicopter production facilities, two design bureaus, a spare parts production and repair facility, as well as an aftersale service branch responsible for maintenance and repair in Russia and all over the world. Its helicopters are popular among Russian ministries and state authorities (Ministry of Defence, Ministry of Internal Affairs, Emergency Control Ministry), operators (Gazpromavia, UTair), major Russian corporations. In 2014 its IFRS revenues increased 22,8% to RUB 169,8 billion. Deliveries reached 271 helicopters.

State Corporation Rostec is a Russian corporation founded in 2007 for the purpose of promoting the development, production and export of hi-tech civilian and military industry products. It comprises 700 organisations, nine of which have now been formed as holding companies of the military-industrial complex, five of them are involved in civil industries and 22 are directly controlled. Rostec’s portfolio includes recognised brands such as Avtovaz, Kamaz, Russian Helicopters, and VSMPO-AVISMA. Rostec’s organisations are located in 60 constituent entities of the Russian Federation and supply their products to the markets of more than 70 countries. The revenue of Rostec in 2013 amounted to RUB 1.04 trillion. The tax deductions into the treasuries at all levels exceeded RUB 138 billion.