OREANDA-NEWS. May 05, 2014. Russian Helicopters, a subsidiary of Oboronprom, part of State Corporation Rostec, discussed a broad range of issues to do with restructuring and upgrading its production capacities and streamlining its management processes at a meeting of the company’s Collegium.

The Collegium – held at Kazan Helicopters, a Russian Helicopters company – also discussed the production efficiency of Russia’s helicopter-construction sector today and its future development.

CEO Alexander Mikheev was joined at the Collegium by officials from the Russian Helicopters parent company and its production and R&D assets. A welcome was given by Ravil Zarilov, a member of the Kazan Helicopters board of directors and Deputy Prime Minister of Tatarstan who serves as the region’s Industry and Trade Minister.

“Russia’s helicopter-building industry is changing fast,” said Alexander Mikheev. “We have set ourselves ambitious targets and are building a dynamic and efficient company to achieve them. To attain 20% global market share we still have much to do – completing the restructuring and upgrades of our production capacities, continuing to expand our model range, growing our technological capabilities, increasing our intellectual and production potential, and rolling out our global after-sales care system, which will include some of the company’s maintenance facilities.”

The Collegium noted the substantial progress made on the company’s core projects in 2013. More than 800 new pieces of equipment were installed at Russian Helicopters facilities to improve production safety and reduce the company’s environmental footprint. Significant successes were achieved by the company’s investment projects, including completion of the technological development of machining, plating and composite production.

Last year the company invested RUB 8.3 billion in upgrades to production capabilities, up 8.5% year on year. Labour efficiency also increased significantly, with output per employee rising by 12.4% to RUB 3.4 million. The company boosted spending on R&D activities by 48.4% to RUB 7.9 billion. Russian Helicopters continues to pursue a strategy of growing its innovation potential.

These measures have helped the company to grow its financial and operational results in recent years. In 2013 Russian Helicopters recorded a 10% increase in revenue to RUB 138.3 billion, with deliveries reaching 275 helicopters. The firm order book at year-end stood at 808 helicopters, with a list value of RUB 401.2 billion. Deliveries for 2014 are 100% covered by firm orders.

The Collegium also discussed the company’s core priorities for 2014. Issues discussed included the streamlining of management processes and interaction among group companies to improve decision-making and reduce costs.

Among measures to optimise and upgrade production efficiency, the Collegium noted ongoing work to expand collaboration with SMEs able to produce and supply high-quality parts and components.

Another area of great potential is the creation of design bureaux at helicopter construction plants to help maximise the efficiency of interaction between production facilities and the Mil and Kamov design bureaux. Successful examples can be found today at Rostvertol, Ulan-Ude Aviation Plant and Progress Arsenyev Aviation Company.

Russian Helicopters continues to devote considerable resources to improving quality. Today the company’s quality management system is being improved to meet international standards for the aerospace and defence sectors. Last year the company joined the European Aerospace Quality Group (EAQG), and work in this area will continue in 2014 at the international level.