Aerospace & Defense: Propelled Investment & Innovation in 2018

  • 8 August 2018
  • cre8
Categories: Aerospace & Defense

A 2018 Aerospace and Defense Outlook

The global Aerospace and Defense (A&D) industry has been steadily increasing throughout 2018 and will continue to do so for the remainder of the year. The industry has experienced a 4.1 percent growth this year over last year’s 2.1 growth rate. Due to heightened passenger travel demand, commodity prices, and the recovery global domestic product (GDP) the commercial aircraft sector is likely to see significant growth throughout 2018. The defense sector industry is projected to continuously grow through 2018 and beyond due to heightened global security threats as well as higher defense spending.



Aerospace and Defense companies are changing the way they spend their money. To remain relevant and stay afloat in a flooded market, Aerospace and Defense manufacturers need to stay competitive. Ways in doing so include adopting new practices and acquiring other technology through mergers and acquisitions and forming partnerships. Aerospace and Defense companies are coming to a cross road to whether they are to stick to the traditional long-term weapons development programs or switch to investing in creative technological solutions that are faster and cheaper. A&D manufacturers should focus on adopting strategic business models that are less risk adverse and promise long-term value.


Aerospace and Defense manufacturer companies need to take risks in sake of innovation and progression of the industry. Technological innovation is imperative and should be procured from other industries outside of A&D. The logic behind this is that this allows A&D companies to adapt to new technological platforms. The future of A&D is going to be primarily built on mergers and acquisitions as their activity has risen substantially over the past year. Aerospace and Defense manufacturers need to focus their investments into new and advanced technology to be in the forefront of the industry. Another imperative strategic decision that A&D manufacturers should focus on is that of allocating resources to multiple faucets of the company to be more forward thinking.

Maintenance, Repair, and Overhaul (MRO)

The Maintenance, Repair and Overhaul (MRO) market is projecting immense growth industry wide in the years to come. To keep competitive advantage and the ability to open and enter new markets, A&D companies that provide aftermarket MRO must keep up with new technology and continue consolidation. To successfully operate and capitalize on new MRO opportunities, manufacturers need to strategically position themselves for upcoming, new opportunities and trends. 5 MRO trends that A&D companies will face include inventory management, moving parts, demanding customer base, emerging markets, and strategic global partnerships.

A&D, ERP, and You

ERP allows Aerospace and Defense companies to flourish and strategically grow. By managing quality certifications, quality compliance, inventory and project management, ERP runs all aspects of a A&D company. To make the correct parts available efficiently and correctly, ERP plans inventory to meet maintenance demands. The flexible configuration platforms and scalable service orientated systems allow manufacturers to proactively track and manage service levels. A&D manufacturers rely heavily on the product that ERP curates through sophisticated algorithms and innovative technology.

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