On the Record with
Robert Gillespie, President,
Bombardier Aerospace Business Aircraft
When it comes to fractional ownership
of business aircraft, few know more about it than Rob Gillespie.
The first president of Bombardier's Flexjet fractional ownership
program (launched in May 1995 and now boasting a fleet of 73 Learjet
31A, Learjet 45, Learjet 60 and Challenger aircraft) has now taken
over the reins at the business aircraft division of the big company
itself.
In between he polished up his marketing skills as president of
Bombardier's fast growing regional aircraft division.
"It's great to be back in the business aviation part of the
business," he told Show News just four weeks into the new
job. "It's a tremendously exciting time. There are lots of
opportunities and challenges to keep us moving forward."
The first is to retain Bombardier's leading position in the business
jet market in terms of dollar deliveries of aircraft. Two years
ago it overtook Gulfstream for Number One position, and it plans
to stay there.
While sales are paramount, other challenges stem from success.
Bombardier's rapid expansion has caused a number of highly visible
bottlenecks, from earlier delays in certification of the Learjet
45 and Global Express, to sales and production rates of the flagship
aircraft that substantially outstrip the company's capacity to
complete them for customers.
"There is no doubt that rapid growth strains our ability
to service the customer. The opportunities to stumble become greater,"
Gillespie said.
A growing fleet means more customers to support in more areas
of the world. Bombardier is pouring resources into expanding its
service and support operations in seven North American locations
and in Berlin to look after aircraft in Europe, where sales are
burgeoning. Completion centers at Tucson and Montreal have been
expanded, and virtually all service centers are working two shifts.
Employment in customer support now totals 4,800 -- a doubling
over two years--and is growing in leaps and bounds.
"We are hiring dramatically," said Gillespie, who noted
the number of flight service reps for Learjets now totals 64 worldwide--the
highest ratio for any aircraft in service.
"We're exploring every opportunity to increase our own capacity,
and we've made tremendous investments in building it up,"
he said. "We are looking at collaborating wherever else we
can, with companies whose standards will match our own."
For the future, Bombardier Aerospace's track record of certifying
a new aircraft nearly every year doesn't appear to be slackening.
The Challenger 604 achieved FAA certification in 1995, the Learjet
45 in 1997, the Global Express last year, and the new Continental
is slated for full approval in 2002. In between, the company also
certified the de Havilland Dash 8-Q400 regional airliner, launched
the CRJ700 70-passenger jet, and disclosed plans for a 90-seater.
Gillespie said certification programs are becoming more complicated
as the number of international partners increases on each program
and as certification standards are raised. In addition, the company
has a philosophy of certifying an aircraft to the highest possible
standards, doubling the process as it strives for simultaneous
FAA and European JAA approval.
"We have to face the challenges of managing these programs,
and of managing a growing organization," Gillespie said.
"We will look further ahead on future programs, including
the effects of industry restructuring," he added, referring
to the current shortage of capacity industrywide for completing
business aircraft, and to recent further reductions in its overall
accessibility as corporate acquisitions, such as that of K-C Aviation
by Gulfstream, tie facilities more closely to one manufacturer.
Having helped create the boom in fractional ownership through
his management of Flexjet, Gillespie is now set to benefit from
increased business at the other end of the chain. And he believes
Bombardier will build even better aircraft because of the phenomenon.
High utilization rates of fractionally-owned aircraft -- nearly
double those of traditional business jets -- place an extra value
on Bombardier's airliner expertise as it transfers it to corporate
aviation. "The Continental is designed more with these requirements
in mind than any other aircraft before," he said.
"Fractional ownership has clearly been a resounding success
in expanding access to business aviation; for example, 80% of
new owners at Flexjet were entirely new to it," Gillespie
noted.
He expects the boom to continue for several years, noting there
are still a great many businesses in the U.S. that cannot yet
justify the cost or difficulty of owning their own aircraft. Fractional
ownership will bring them into the business aviation fold, he
believes.
"At Flexjet I saw that business aviation changes their lives--always
in a big way, and always for the better. It is very gratifying
to hear their enthusiasm for it, and what it has done for them."
By John Morris
NBAA 1999, Atlanta, Ga.