2013 Global Aerospace & Defense Outlook

KPMG's new findings and insights from today’s aerospace and defense manufacturing executives 

New findings and insights from today’s aerospace and defense manufacturing executives
KPMG’s new report, Global Aerospace & Defense Outlook 2013 explores how A&D companies are planning to manage their business and drive growth in these challenging times. Based on a recent industry-wide survey of 335 global manufacturers and 57 A&D company executives, this critical resource for A&D decisions makers provides an overview of the aerospace & defense sector.

Key findings from the report include the following:
• Continued emphasis on managing costs
A&D executives around the world are heavily focused on reducing their cost base, with almost 80 percent of large OEM respondents saying that growth over the next two years will likely top out at two percent, it seems clear that any additional bottom line growth will need to be realized off the back of further cost reductions.
• Renewed focus on the supply chain
The A&D sector will need to place a much higher focus on improving supply chain integration. Delivery delays in the aerospace sector, demand volatility in the defense sector and increasing incidences of supply chain disruptions across the board have shown that greater visibility and cooperation will be needed.
• Achieving growth in new markets

While cost cutting may be front and center for the A&D sector, growth also remains a key priority. Of those A&D respondents who are experiencing a resurgence in innovation, most are expecting to do this by enhancing existing product lines and services rather than focusing on breakthrough ‘disruptive’ innovation.

Click here for report