For the less initiated, Safran has emerged as
a huge high-tehnology group with revenue in excess
of $20 billion per annum employing 66,200 employees
worldwide, with three core businesses Aerospace,
Defence and Security. Its aerospace business (almost
90 per cent of its total business) has Snecma
(for airplane engines), Turbomeca (helicopter
engines), Messier-Bugati-Dowty (landing gears
+ wheels/brakes); also engineering services, space
equipments, aircraft wiring and nacelles, etc.
Sagem represents its defence business in the field
of inertial navigation platforms and other avionics
(with combat aircraft power plants already included
in the aerospace section) while Morpho represents
its security business.
Safrans presence in India started in
the 1950s with the sale of equipment for airplanes
and helicopters. Since then this unbroken relationship
has continued to evolve to include production
and support through partnerships with Indian industry.
Presently, India is the 5th biggest in terms of
Safrans workforce after France, USA, Morocco
and Mexico. Its current highly skilled workforce
of 2,600 is likely to go up to 3,000 by end 2014.
Safrans biggest contributor to its business
is its aerospace sector that too the engine manufacturing
sector which accounts for more than 90 per cent
of its revenue generation. Its CFM56 variants
with an unprecedented reliability of 99.98 per
cent are notching up one million flight hours
every week with a take-off being carried out every
3.2 seconds around the world.
The Indian Air Force (IAF) has used Safran
engines in terms of Turbomeca engines for the
helicopters and Snecma M53 engines for its Mirage
2000 fleet. Safran will have up to 1/3rd share
of the Rafale deal, when it fructifies with Snecma
M88 variant engines being used for the twin-engined
fighter.
Safran boasts of ploughing back as much as
10 to 12 per cent of its revenue into R&D.
This has resulted in it being in the forefront
of making best equipment in the world. Its latest
LEAP (Leading Edge Aviation Propulsion) engine
is all set to power the Airbus A320neo, Boeing
737 MAX and COMAC C 919 single-aisle aircraft
soon being rolled out by the respective aircraft
manufacturers and will be replacing the CFM56-5B
and CFM56-7B powering the current models which
incidentally will also carry on for quite some
time given the huge backlog in the already placed
orders. Eventually, LEAP engines are likely to
be the mainstay for Safran in this segment with
a forecast of more than 6,000 engines being produced
in times to come.
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