Bell Helicopter is now the underdog in its battle with rival Eurocopter. Can its aggressive plans for the next decade recapture lost ground?
Bell Helicopter is manoeuvring to reclaim the perch on top of the civil rotorcraft market that it lost to Eurocopter in the 1990s. But it is increasingly clear the company's goal is not merely to play catch-up with its European rival. Bell's new leadership looks set to attempt to leapfrog its competition by the end of the decade.
After a long period of market stagnation, Bell is re-energising with an aggressive technology insertion strategy, new commercial product lines promising performance breakthroughs, and significantly updated manufacturing processes. Eurocopter is not standing still, however. The company is looking to drive down its costs, step up its product support, fill gaps in its civil product line and grow its military business (see box P27).
As the underdog, Bell has an incentive to work hard to reverse the decline in its civil market share. Eurocopter, as the top dog, has to defend its market dominance not only against Bell, but against European rival AgustaWestland, which is growing its civil marketshare, in part through its joint venture with Bell on the AB139 medium twin. Sikorsky is also expanding its civil offering with development of the medium-heavy S-92 and the acquisition of light helicopter manufacturer Schweizer.
Overall, the challenge Bell faces is significant. Eurocopter delivered 279 helicopters last year and generated €2.78 billion ($3.61 billion) in revenues - 53% from the civil and parapublic sector and 47% from the military. While the number of deliveries was down from 2003, revenues were up, as were the orders, to 332 helicopters from 293 a year earlier. Bell's 2004 deliveries have yet to be released and - while likely to be up on 2003's total of 132 new civil and military rotorcraft - is expected to be well below Eurocopter's total.
Anti-torque system
With a steep climb ahead, there are signs of change at Fort Worth, Texas-based Bell. A self-described "me-too" tail fan technology has been shelved to focus on a potential breakthrough propulsive anti-torque system for next-generation civil helicopters. The company's financial goals have been set at growing revenue by 200% in 10 years, and badly needed manufacturing process improvements are drawing on the best industry practices.
Bell's aggressive new course has been accompanied by upheaval within its executive ranks, led by the arrival of chief executive Mike Redenbaugh, a former Honeywell executive, in May 2003. In all, 13 of the top 14 executive positions at Bell have changed hands during the past two years. Bell's new leadership says the company's aggressive growth is driving an influx of new talent from across the aerospace industry.
"We're attracting talent from across the board - Boeing, Sikorsky, Lockheed Martin, Raytheon, Northrop Grumman," says Kevin Connell, H-1 upgrade programme manager and himself a new arrival at Bell. "So as we bring these people in from all of the other companies, what we're doing is blending the best ideas from each of those companies into a model that we think will be world-class," Connell says. "It's really an exciting time for Bell," he adds. "This company has the potential to double its growth in five years and double it again in the next five years. You can feel it. When I came here two years ago I didn't sense this kind of enthusiasm. People are excited about the future."
Also driving change are programmes starting to scale up, such as the US Marine Corps/Air Force V-22 Osprey tiltrotor, the BA609 civil tiltrotor, and a new family of aircraft for the civil market - the Modular Affordable Product Line (MAPL). "I think one of the reasons we're able to attract folks from all of those companies is because of the huge growth opportunities that Bell has," says Connell. "We're on the front-end of the V-22 [production cycle]. We're on the front-end of the H-1 [upgrade programme]. We're on the front end of the tiltrotor unmanned air vehicle. We've got some exciting major military aircraft programmes - the V-22 and H-1 - and are rolling out retrofits, modifications and upgrades to existing products in the civil market."
Meanwhile, a 13-month-old rapid prototyping and concept engineering division, dubbed Xworx, is focusing on fuelling long-term growth with new innovations, such as the PATS. Conceived for Lockheed Martin's unmanned combat armed rotorcraft (UCAR) technology demonstrator, which was to have been based on the Bell 407, the PATS has supplanted a ducted tail fan as the preferred anti-torque system for the MAPL family.
Bell's customer advisory panel cautioned the company against pursuing the tail fan, flight tested on a Model 407 testbed, because it was too similar to Eurocopter's fenestron. Developed to boost the dash speed and minimise detectability of the cancelled UCAR, PATS promises to add up to 40kt (75km/h) for the planned MAPL family of light and intermediate turbine singles and twins, helping Bell meet its goal of a 20% improvement in productivity through cruise speed and useful load increases (Flight International, 18-24 January).
PATS was conceived to allow the small UCAR to keep pace with larger manned helicopters. "Small helicopters like the [Bell] 407 or 427 only go to maybe 135-140kt. You have to get really big to get up to 150-155kt. And if you want to go really fast you have to go to another technology," says Dudley Smith, PATS lead engineer. "We've developed a system that synergistically gives us both anti-torque and ancillary thrust."
Aggressive approach
Whereas MD Helicopter Notar tail-rotorless anti-torque system uses circulation control around a pressurised tailboom, the PATS diverts air from an engine-driven fan to anti-torque, pro-torque and propulsive ducts. There is only one moving part, says Smith, a sleeve valve that rotates to distribute air to one of the three ducts. A mix mode provides anti-torque and propulsive thrust. At high speeds, vertical fins and rudders provide directional control.
The fan works in tandem with the turboshaft - "very much like a turbofan", says Smith - but with the engine primarily providing shaft power to drive the main rotor. The "warm cycle" arrangement mixes engine exhaust with ambient air, the resulting heated air in the duct generating more thrust than in a "cold cycle" system like Notar, he says. "We use more power [than a fenestron], but they don't have the ability to give you a push."
Bell's decision to shelve the tail fan in favour of the breakthrough, and therefore more risky, propulsive anti-torque system underlines the more aggressive approach the company is taking to technology development and insertion. Other technologies associated with the development of MAPL are expected to be unveiled at the Heli-Expo show on 6-8 February in Anaheim, California. "Many of MAPL's technologies are ready to go," says Redenbaugh.
At Heli-Expo, Bell is also expected to step up its near-term strategy of rolling out retrofits and upgrades for its existing civil products. In the longer term, launching MAPL and new military programmes, such as the C-130-sized Quad Tilt Rotor, are expected to fuel growth after 2010. To this end, Bell's new management is in the process of driving performance improvements on existing programmes.
STEPHEN TRIMBLE / FORT WORTH
ADDITIONAL REPORTING BY GRAHAM WARWICK IN WASHINGTON DC
Source: Flight International
