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8300.10 CHG OIGATTACHMENT 23DATE

FIGURE 126-2.  RISK INDICATORS

a.

1.  SPAS Economic Indicators. Periodically, PIs should: Review the SPAS Experian Credit Rating Database for economic and/or financial changes, such as changes in the air agency’s external credit rating.

2.  Changes in Management.  During surveillance activities, inspectors should:

a.

Review the OpSpecs and Vital Information Subsystem (VIS) regularly to determine changes or vacancies in the part 145 key management personnel.

b.

Inquire about changes in repair station middle management that are responsible for critical departments in the organization.

c.

Inquire about reorganizations that can reduce the amount of safety oversight within the repair station.

d.

Determine if there is a good working relationship between the repair station and FAA personnel.

e.

Determine whether the repair station management is willing to share data and disclose findings to the FAA.

3.  Turnover in Personnel.  During surveillance activities, inspectors should:

a.

Inquire about changes in personnel/departments (streamlining) that may reduce the amount of safety oversight within the repair station.

b.

Inquire about turnover in personnel to determine the potential impact on the repair station’s system and operational stability.

c.

Find out whether new or remaining staff is being retrained or cross-trained to perform new or expanded maintenance and/or operations functions.

4.  Reduction in Force.  During surveillance activities, inspectors should:

a.

Find out if downsizing has reduced the amount of internal safety oversight within the repair station.

b.

Good communications and people skills are a necessity; the PI should keep an open dialog with the repair station management.  The PI should discuss the impact of recent events and keep informed as to the ability of the repair station to continue its operations.  Has the internal repair station system and operational stability been weakened.  Ensure that its management has assessed what a reduction in force, layoff, or buyouts will have on its ability to meet its certificate responsibilities.

c.

Inquire about the speed or rate of any reduction, layoff, or buyout.

Vol. 3

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