Defense and security institutions are under pressure to protect citizens from an ever-expanding range of threats—all while cutting costs, applying innovative technologies, and grappling with new operational challenges. BCG’s defense consulting teams can help them boost their effectiveness and efficiency by combining industry-leading best practices with a deep knowledge base and understanding of the defense and security sector.
For defense and security agencies worldwide, doing more with less has never been more difficult. These institutions must keep raising the bar in an operating environment awash in fresh challenges. For instance, they have to:
Defense and security institutions turn to BCG to surmount these challenges because of our extensive experience in both the private and public sectors. In fact, we have a history in private-sector work that spans more than 50 years. We excel at tailoring private-sector best practices to our defense and security clients’ unique circumstances to help them achieve impressive outcomes—such as improved equipment reliability, vital operating-model innovation, and significant run rate savings.
We bring a powerful suite of offerings to each defense and security client:
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Focus on ACE. We applied our commercial experience and best practices in purchasing for a defense industry agency and drove a large-scale category management transformation, enabling the agency to achieve $100 million in run rate savings.
Focus on Organizational Transformation and Digital Innovation. BCG partnered with a new public-sector enterprise to benchmark relevant international entities’ best practices and develop an overall defense strategy, as well as design an operating model and establish a roadmap for implementation.
Focus on Sustainment Modernization. BCG helped a defense and security client dramatically increase an aircraft’s mission-capable rates by enhancing maintenance, spare parts and supply chain management, and governance, accountability, and reform.
This web platform enables our defense industry clients to swiftly evaluate proposals and manage end-to-end product procurement. Clients use this tool to uncover and maximize savings opportunities, which average roughly 20%; access commercial benchmarks and best practices; and achieve best-value negotiation success—negotiation preparation processes have been accelerated by as much as 30%.
We help defense industry clients secure the most reasonable prices from suppliers over time by replacing an overreliance on use of actuals with three alternative best practices.
BCG’s four-step cost transparency approach facilitates better budget management by enabling defense and security decision makers to rapidly uncover cost management insights.
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