Aerospace, defence & security insights 2012: Programmes under pressure

AD&S Insights 2012, the third in this annual series, looks at the challenges facing programme management as the industry responds to a an unprecedented convergence of pressures in the environment in which today’s programmes are being delivered.

Programme management is now shifting beyond the fundamentals of creating schedules, tracking progress and pressuring suppliers for improved performance.

The report identifies five key areas for programme managers to focus on success: getting systems integration right; solidifying partnerships and joint ventures; agility and speed in business processes; being world citizens in relationship management, and applying a collaborative approach to supply chain management.

How will aerospace and defence companies cut through the converging pressures?

To get some answers, we've interviewed 28 senior executives from 23 leading AD&S companies. You can read points of view from the industry in this report. We also present some suggestions on how AD&S companies can improve their programme performance.

Our interviews with senior executives, combined with our review of the pressures that are converging on companies, led us to identify the changes that will be important in delivering future programme success.

“...companies will need a different kind of programme management mindset in whichpartnership, internationalism, inclusivityand innovation are as much to the fore as really good ‘get it out of the door’ programme management.”

The intensity and combination of pressures facing aerospace and defence companies is reflected in the range of challenges identified by leading senior industry executives.

Converging pressures facing AD&S companies

  • Market pressures
  • Internationalisation of markets & supply chains
  • Greater complexity
  • Margin pressures
  • Programme volume

Just under half (43%) of the senior executives in the companies we interviewed felt margins would improve in the next ten years. They also rated themselves on how well they manage complex programmes and what are the most important aspects of programme delivery strategies.

The globalisation of the A&D industry has accelerated over the past few years

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A new intensity: Programmes under pressure

A&D Insights 2012, the third in this annual series, looks at the challenges facing programme management as the industry responds to an unprecedented convergence of pressures in the environment in which today’s programmes are being delivered.