The Aerospace & Defense industry continues to benefit from an overall very attractive market. At the same time, its players need to address in parallel short-term competitiveness challenges and longer-term strategic positioning issues.
The Aerospace & Defense industry continues to benefit from an overall very attractive market. At the same time, it faces a number of key challenges to ensure its continued success.
Continued, even increasing, demand growth in Commercial Aircrafts requires from OEMs and suppliers along the entire value chain a strong ability to manage ramp-up cycles and improve current cost positions while delivering sustained quality standards.
In addition, they need to maintain a global, robust and agile supply chain, embrace new technologies to offer innovative solutions answering long-term demand, and foster talent throughout their organizations.
Aerospace & Defense sectors that are currently challenged – Defense and Rotary Aircrafts due to the contraction of budgets from their historical clients, Space with the increasing pressure from both new players and constrained customers – need to rethink both their operating and business models.
They need to target competitiveness through restructuration, innovation and profound transformation, which will enable them to identify and capture new growth, in and out of their core segments and geographies.
It is therefore paramount for Aerospace & Defense players to address in parallel their short-term competitiveness challenges and the definition of their longer-term strategic positioning.