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Collaboration 'key to A&D supply chain'

10 June 2013

A lack of collaboration between suppliers and partners is hindering the supply chain for aerospace and defence (A&D) organisations, according to KPMG. 

The firm's 2013 Global Aerospace & Defence Outlook found that low visibility and a lack of agility in response to fluctuating demand is holding back businesses in the sector. 

In a survey of A&D organisations, close to two thirds (63 per cent) said their visibility is limited to their first tier suppliers. 

This is clearly a particularly severe problem for this industry in particular, as only 41 per cent of manufacturers from other sectors highlighted it as an issue. 

Indeed, one in ten A&D organisations claimed they have no supplier visibility whatsoever.

A lack of agility was singled out as a major concern by nearly half of the senior executives surveyed. 

Other common problems were poor supplier performance and a lack of talented employees who are capable of supply chain management.

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Categories: Energy, Manufacturing & Infrastructure, Procurement & Supply Chain

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