The Society of British Aerospace Companies (SBAC) is overstaffed, unfocused and too reliant on the Farnborough air show for income. It has failed to adjust to a shift in government funding to the regions, "provide policy cohesion on national aerospace matters" or deliver value for money to members.
These are the damning conclusions of an internal strategic review of the SBAC, unveiled last week by new president Kevin Smith and recently appointed director-general Sally Howes.
The 10-month review - carried out by a team that included several of the UK's top aerospace industrialists such as John Ferrie of Smiths Aerospace and Cobham's Allan Cook - concludes that the society must become "leaner, more flexible and more affordable" to its members. Among its recommendations are a new role for regional aerospace trade bodies as "regional arms" of the SBAC and for organisation of the Farnborough air show - which takes up 40% of the society's resources - to be farmed out and its financing separated from the SBAC's core budget.
A restructured Farnborough air show - with fewer trade days, a smaller flying display and possibly a new location - is likely to be a by-product of the shake-up, although the review does not make firm recommendations at this stage (Flight International, 13-19 July).
The review is particularly critical of the way the SBAC has responded to government policies that have seen a transfer of influence to English regions and the devolved governments of Northern Ireland, Scotland and Wales. This has led to the creation of eight regional aerospace alliances, which have become the focus for channelling resources to small and medium enterprises.
"The SBAC has been unable to harness the power of the regional alliances or provide policy cohesion on national aerospace matters," says the review.
It also slams the SBAC's internal organisation, saying: "The systems of governance and financial management are poor and members are increasingly critical of the value they get for the subscription paid."
It also condemns the society's reliance on Farnborough, saying the show's financial performance may be a "myth" because "the commercial risk exposure which comes with it and the dedication of a large number of scarce resources to its success are all major concerns".
MURDO MORRISON / LONDON
Source: Flight International
