Rapid changes in the industry are creating pressure for companies to revisit their day-to-day operations and innovate to reposition themselves for the future. BCG helps aerospace and defense companies adapt to these ever-evolving times.
The changes roiling the commercial aviation business will have ramifications for the global aerospace and defense industry for years to come. The commercial aerospace industry is grappling with a sharp decline in air travel, which is weighing heavily on aircraft production and the civilian aerospace workforce. The defense industry, in contrast, has seen steady demand and even some new opportunities. For companies that operate in both segments, the challenge is to grow their defense business, maintain operations, and strengthen their financial position to offset the declines in the commercial business.
The new reality makes it vital for aerospace and defense companies to:
BCG has the deep industry knowledge, global insights, and digital transformation expertise to help aerospace and defense companies weather the storm and come out stronger. Our global team works across the aerospace and defense value chain to deliver sustainable competitive advantage to clients, create value, improve operations, and adapt new technology.
BCG has extensive experience helping aerospace and defense companies navigate challenges. Our aerospace and defense consulting teams work on projects spanning many key functional areas, including:
People and Organization
Transformation to capitalize on digital and technology
BCG helped define guiding principles, processes, team structure, and timelines for the merger of two diversified defense companies, which created one of the world’s largest aerospace and defense companies and led to a significant increase in shareholder value.
At a US shipbuilding company, we led a cross-functional team through a sprint to generate ideas for cutting costs in the materials value stream and provided procurement personnel with new capabilities and tools to make supplier negotiations more strategic.
We created a next-generation enterprise resource planning (ERP) and data-platform strategy for a commercial aircraft MRO company.
We helped a European military helicopter OEM conduct a strategic assessment of a major technology development.
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The collapse in commercial air travel will have far-reaching consequences for suppliers. To avoid long-term damage, OEMs and government must take steps to support the industry.
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