Client
Manufacturer of military and civilian aircraft engines.
Challenge
The client’s bestselling engine had the highest amount of drawback potential due to it being sold domestically and internationally, resulting in a significant number of exports worldwide. The problem was that “ghost parts”—parts interchangeable for the same use that would be left on a bill of materials—made it unclear which part was used in actual manufacture. The data reflected that more than one of these parts would be used simultaneously, which was an impossibility. Because the BOM was made inaccurate by being unable to say what exactly was being exported, much of the product in these engines were not eligible to claim drawback on.
Solution
J.M. Rodgers met with their engineers and IT team to develop a way to add a notation of which parts were being used in the actual physical product to identify which parts are contained in the exported unit. J.M. Rodgers’ IT engineers found other information elsewhere that would identify the part number and the serial number of the parts to allow a more direct way to see what parts were actually in these engines. By doing this, J.M. Rodgers could claim the entirety of drawback potential per engine.
Results
Where previously data issues had caused the client great difficulty capitalizing on their most significant drawback opportunity, J.M. Rodgers cleansed the wrong information, which led to substantial increases in added refund potential per engine, eventually adding up to multi-million dollar increases in annual refunds. By completing this work at no extra charge, we brought considerable value to our customer with our data expertise, going well above and beyond simply filing drawback claims.
