Globalization, the world economy, and shrinking defense budgets conspire to disrupt the aerospace and defense landscape. Leading aerospace and defense firms must rise to meet these challenges, streamlining their operations while continuing to innovate.

Over the last three years, global A&D industry revenue was largely impacted by decreased revenues in the United States (US) defense subsector. The return to growth in 2016 is expected to be fueled by increases in the US defense budget, a resurgence of global security threats, and growth in defense budgets of key nations around the world. Defense budgets in the US, United Kingdom, France, Japan, several Middle Eastern countries, and other nations are increasing at a time when national security threats are being heightened. Global revenues in the defense subsector are expected to return to growth in 2016, as governments equip their armed forces with modern defense weapons platforms and next-generation technologies, including cyber, intelligence gathering, defense electronics, and precision strike capabilities.

The commercial aerospace subsector is expected to continue its decade-long trend of above-average growth rates, driven by growth in passenger travel demand and an accelerated equipment replacement cycle. Strong increases year over year of global revenue passenger kilometers are leading to an unprecedented level of aircraft production rates, which in 2015 were about twice the levels experienced 10 years ago.

Six main areas where technology is transforming Aerospace & Defense industry include: Business Capture/Program Delivery, Designing/Building Complex Products, Responsive Supply Network, Aftermarket Services, HR, Finance & Procurement support function. The technology footprint leading this transformation is impacting many stages of the value chain; from supplier to the customer, from design to the production and then ongoing customer support engagements.


CPI Consulting Associates; specializes in SAP solutions which connect processes for all A&D value chains by integrating horizontal lines of business with industry-specific solutions on premise, in the cloud, and through mobile devices.