Member Info for Lowbank64

I will pop back in 2-3 years and we can pick this up then.

For now I will just bask in the clarets game.

Arsenal17, my job was two fold as an Engineer.
Years ago technical lead on making WCFB.
Later
Introduce new products made by the supply chain on new Engines.
Plus being sent to basket case suppliers all over the world to get them to improve on cost Quality or delivery, normally all three. My one thing I always took from the experience was every single company I was sent to help offered me a job. That final salary pension was always the golden ball and chain.
And yes senior management now know nothing about manufacturing and it will bite them.

Unsurprisingly I do recognise what he is saying and agree.
What I will add is the cultural differences that will bite RR on WCFB.
UK factory, generations of people have worked there, Father to sons and daughters. Passing down learning and knowledge a lot of it never written down. There is always someone remembers why things are done that way and the consequences when it’s not. People will still ring retired engineers for advise and they will even go back onsite for that old wisdom.
Singapore, the workforce move companies every two years once they get their bonus. The business never builds any long term knowledge or learning. They also never accept they could be wrong or did wrong, which means lessons are never learnt.

I agree with Bertram, it will not end well.

One trait of RR senior management is they will never listen, Arsenal17, you must have an interesting marriage.

Shadow fall, If you have read lots of the press you will know the RR business case. That being they sell engines at a large loss. Then under total are they make good profits due to the great reliability of the engines. I read an article that said engine hours are 46% of last year. Most of those airlines are skint and probably not paying RR for those flying hours. Hence it burnt through 4.2 billion , recent articles are showing. Thinking of when air travel will return to profit and airlines start paying the bills, so RR get some revenue is my reason for saying don’t buy yet.

Bargain6405, I am not sure where your getting your info from, buts it’s incorrect. SAP controls the whole company. All the supply chain and every single operation has a time against it to understand productivity. You cannot even buy a 2 pence washer without it being loaded in SAP and three quotes being done. SAP was RR’s biggest step forward when it introduced it in the late 90’s.

I retired after 23 years. My last project was projected to save 32 million, which with reduced demand should be around 14 million saving. I suggest not dead wood. But have an intimate knowledge of the Company. My view would be not to buy. At least not till mid to end of next year.

Your a very brave person if you would put 25k into RR shares, worked there for 23 years and currently would not buy a single share.

What makes you think they are making any money at the moment?

I agree, do not borrow money to buy shares.

I am not sure how much research you guys have done on the RR business model.
Selling engines at a loss and making money on Total care packages based on hours flown.

The judgement call is when will they start to receive some revenue.
Do we think 1st quarter next year or later.