Defense
In brief
The consequences of the financial crisis are increasingly felt on the defense market. Government budgets in Europe and North America are shrinking and military activity is under pressure. These trends are leading many OEMs and suppliers of key technology to fundamentally redesign their business models so that they can capture the growth potential in emerging markets in Asia, MENA and Latin America. At the same time, players are diversifying into non-military markets such as homeland security and civil applications. There is also an increasing focus on developing service activities as a source of steady income.
To achieve this transformation, players need to review their organizational setup, change their sales and marketing approach and improve the cost structures of their products. This undertaking often requires a radical rethink of their commercial and industrial footprint.
Our approach
Our approach caters to the diverse needs of the defense industry. We offer both general support on fully-fledged transformation programs and customized support on individual issues – be they strategic, organizational or operational. As well as developing gradual change concepts, we support our clients during implementation.
Sample projects
Our projects cover the full range of strategic and operational topics. Recent examples include:
- Market audit for a leading European player in mission avionics and services
- Developing a military service strategy for a leading aircraft OEM
- Designing and implementing a transformation roadmap for a leading integrator of naval defense systems
- Implementing a multifunctional program for reducing external spend for a major military aircraft program
- Designing and implementing a program recovery plan for a leading European OEM for military aircraft
