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Pro parts, to use or not to use

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knelson

Well-known member
Joined
Nov 26, 2001
Posts
184
For the managers out there, I am looking for input regarding using Cessna'a Pro Parts program. I understand that Pro Parts is strictly a budgeting tool, and if you use less than you put in, you get an efficiency bonus ( a refund of your overpayment minus 35% for all of Cessna's hard work :) . If you use more, Cessna absorbs that overage. In the three years we have been on Pro Parts, we have used less we have paid in.

I am not so sure this is a great program, with the exception that it aids in budgeting your parts needs over the course of the year. Can anyone provide some feedback positive or negative regarding the program, if your company is on Pro Parts, and if you are on Pro Parts, have dropped the program, and where you stand in the red or black throughout the time you have been on the program? Thanks for the input in advance.

Kevin
 
You hit the nail on the head - it's a budeting tool and like most tools, it has a cost. If having some of the "unknowns" removed from your operating cost equation makes whoever signs your checks sleep easier at night, then it probably has value for you.

Most operators find that they could have operated the engines cheaper than paying into programs like MSP (Money sent to Phoenix...), but most operators also realize that they are also exposed to some "breath taking" engine repair bills as well. MSP and other similiar programs are very popular - almost mandatory. Talk with the guys who sign the checks for your airplane. The difference in outlay may or may not matter to them.

Your position is probably best summed up by the words of Clint Eastwood: "Do I feel lucky?" Cessna's position is: "Well, do ya punk?"

If you're feeling lucky drop the program. If you're not keep it.

'Sled
 
Also, dropping it may reduce the resale value of your aircraft. Something to investigate, anyway.
 

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