What AOG Really Costs
Aircraft on Ground (AOG) is the aviation industry's most expensive emergency. When an aircraft cannot fly, the financial impact is immediate and severe:
| Aircraft Type | Hourly AOG Cost | Daily AOG Cost |
|---|---|---|
| Narrow-body (A320/737) | $10,000 - $15,000 | $240,000 - $360,000 |
| Wide-body (A350/787) | $25,000 - $40,000 | $600,000 - $960,000 |
| Freighter (747F) | $30,000 - $50,000 | $720,000 - $1.2M |
| Business Jet | $5,000 - $15,000 | $120,000 - $360,000 |
A single AOG event can cost more than the entire annual logistics budget for a regional airline.
Beyond Direct Costs: The AOG Ripple Effect
When an aircraft is grounded, the impact cascades:
For Airlines
- Passenger rebooking and compensation
- Crew repositioning costs
- Slot penalties at congested airports
- Reputational damage and social media exposure
- Cascading schedule disruptions
For MRO Providers
- Contractual penalties for turnaround delays
- Hangar scheduling disruption
- Customer relationship damage
- Lost future business opportunities
For Lessors and Owners
- Revenue loss during grounding
- Maintenance reserve disputes
- Insurance complications
- Asset depreciation concerns
Why Standard Logistics Fail in AOG Situations
The AOG Timeline Problem
Traditional shipping options cannot meet AOG urgency:
| Shipping Method | Typical Transit Time |
|---|---|
| Standard Air Freight | 3-5 days |
| Express Courier | 2-4 days |
| Dedicated Charter | 6-12 hours (when available) |
| On Board Courier | 4-24 hours |
The Parts Location Challenge
AOG parts are rarely where you need them:
- OEM warehouses in limited locations
- Pool stock agreements with geographic gaps
- Rotable inventory scattered globally
- Competitor airlines unwilling to loan
When the part is in Frankfurt and the aircraft is in Singapore, you need a solution that works in hours, not days.
How On Board Courier Solves AOG Emergencies
On Board Courier (OBC) services provide the speed and reliability that AOG situations demand.
Speed That Matches AOG Urgency
| AOG Route | Traditional Freight | OBC Service |
|---|---|---|
| Frankfurt → Singapore | 4-5 days | 14-18 hours |
| Miami → São Paulo | 3-4 days | 10-14 hours |
| London → Dubai | 2-3 days | 8-10 hours |
| Los Angeles → Tokyo | 4-5 days | 14-18 hours |
Learn more: How Fast Is an OBC Compared to Air Freight?
Why OBC Works for AOG
- Immediate dispatch: Courier en route within 2-4 hours
- Flight flexibility: Multiple daily options on commercial routes
- Customs expertise: Active management of import documentation
- Real-time tracking: Constant visibility for operations teams
- Hand-to-hand delivery: Direct to aircraft or MRO facility
Understand the fundamentals: What is an OBC?
Real AOG Scenarios
Case 1: Engine Component for A320 in Bangkok
Situation: Thai airline A320 grounded at BKK with fuel control unit failure. Replacement unit available at Airbus Hamburg.
Traditional option: 5 days via air freight → Aircraft grounded, 3 flights cancelled daily
OBC Solution:
- Courier dispatched to Hamburg 2 hours after AOG declaration
- Part on evening flight Hamburg → Bangkok via Dubai
- Delivery to BKK maintenance 16 hours after pickup
- Aircraft returned to service next morning
Value recovered: $180,000+ in avoided AOG costs
Case 2: Avionics LRU for 787 in São Paulo
Situation: Brazilian carrier 787 at GRU with failed flight management computer. Spare available in Seattle.
Timeline: Saturday afternoon discovery → Monday morning departure required
OBC Solution:
- Courier collected part Saturday evening Seattle time
- Direct flight SEA → GRU via Houston
- Customs cleared Sunday morning
- Part installed, aircraft released Sunday afternoon
Result: Monday schedule protected, zero passenger impact
Case 3: Landing Gear Component for 737 MAX in Dublin
Situation: European lessor's aircraft at DUB during pre-delivery inspection. Nose gear steering component required. Part in Wichita, Kansas.
OBC Solution:
- Courier dispatched within 3 hours
- Routing: ICT → ORD → DUB
- Door-to-door delivery in 14 hours
- Aircraft delivered to lessee on schedule
Contract value protected: €2.5M monthly lease payment
Building an AOG-Ready OBC Strategy
Pre-Position Your Response
- Map critical parts sources for your fleet type
- Identify backup suppliers in different regions
- Pre-qualify OBC providers with aviation experience
- Document customs requirements for each country in your network
- Establish authorization protocols for rapid dispatch
AOG Decision Matrix
| Factor | Use OBC | Consider Alternatives |
|---|---|---|
| Aircraft value | High | Lower priority routes |
| Schedule impact | Multiple flights affected | Single flight, rebookable |
| Part availability | Single source location | Multiple regional sources |
| Transit time gap | >24 hours vs. deadline | Within buffer |
| Customer impact | Premium passengers/cargo | Flexible customers |
The Economics of AOG OBC
Cost Comparison: Real Numbers
| Factor | Without OBC | With OBC |
|---|---|---|
| OBC service cost | $0 | $4,500 |
| AOG duration | 72 hours | 18 hours |
| AOG cost (narrow-body) | $900,000 | $225,000 |
| Passenger compensation | $45,000 | $0 |
| Crew repositioning | $12,000 | $0 |
| Total cost | $957,000 | $229,500 |
| Savings with OBC | - | $727,500 |
ROI: 16,067%
When OBC Pays for Itself
OBC is economically justified when:
- AOG cost exceeds $500/hour (virtually all commercial aircraft)
- Time savings exceed 12 hours vs. alternatives
- Part is critical path for return to service
- No local alternative source exists
Industries That Rely on AOG OBC
Commercial Airlines
- Line maintenance emergencies
- Hub disruption response
- Seasonal peak support
- New route launch backup
MRO Providers
- Heavy check deadline parts
- Customer AOG support
- Engine shop critical components
- Tooling emergencies
Business Aviation
- Charter operator fleet support
- Fractional ownership programs
- Corporate flight department backup
- FBO partner network
Cargo Operators
- Freighter AOG (highest urgency)
- Peak season capacity protection
- E-commerce deadline pressure
- Perishable cargo aircraft
Getting Aircraft Flying Again
In aviation, time is money—and AOG situations prove it dramatically. The difference between a 72-hour grounding and an 18-hour recovery is often the decision to deploy an On Board Courier.
Airlines and MRO providers who integrate OBC into their AOG response consistently recover aircraft faster and protect revenue.
Platforms like OnFlyGo help aviation operations teams respond to AOG emergencies within minutes, getting critical parts moving while competitors are still filling out freight paperwork.
Learn more about OBC services or explore what makes OBC different.
