What The Global Aerospace Industry Is
Planning In 2010-2011: Procurement,
Investment And Industry Trends Outlook
Reference Code: ICDR1046
Publication Date: JANUARY 2010
What The Global Aerospace Industry Is Planning In 2010-2011: Procurement, ICDR1046 / January 2010
Investment and Industry Trends Outlook
© ICD Research. This brief is a licensed product and is not to be photocopied Page (1)
Table Of Contents
1 Table Of Contents
1 Table Of Contents 2
1.1 List Of Tables 5
1.2 List Of Figures 9
2 Introduction 12
2.1 What Is This Report About? 12
2.2 Methodology 12
2.3 Profile Of Survey Respondents 13
3 Executive Summary 17
3.1.1 The Aerospace Industry Is Very Optimistic About Revenue Growth In 2010 17
3.1.2 The Aerospace Industry Is Optimistic About Market Growth In India, China And Brazil 17
3.1.3 Aerospace Companies Will Be Marginally Decreasing Procurement Spend Over The Next 12
Months And Have Strict Cost Savings Targets 17
3.1.4 Industry Players Face Key Challenges In Cost Containment, Pricing Pressures and Investment
Uncertainty 18
3.1.5 Suppliers Must Update Their Knowledge Of Buyer Needs In The Areas Of Quality And Service
Levels 18
3.1.6 Buyers Are Adopting Various Risk Mitigation Methods To Maintain Business Continuity 18
4 Industry Dynamics 19
Key findings: 19
4.1 Revenue Growth Expectations In The Aerospace Industry 19
4.2 Future Developments In Competitive Structure In The Industry 25
4.3 Merger And Acquisition Activity Predictions 30
5 Aerospace Market Growth Outlook 35
Key findings: 35
5.1 Regional Growth Forecasts In The Aerospace Industry By Country 35
5.2 Market Growth Forecasts By Industry Sector 46
What The Global Aerospace Industry Is Planning In 2010-2011: Procurement, ICDR1046 / January 2010
Investment and Industry Trends Outlook
© ICD Research. This brief is a licensed product and is not to be photocopied Page (2)
Table Of Contents
6 Threats And Opportunities For The Aerospace Industry 56
Key findings: 56
6.1 Leading Business Concerns For The Period 2010-2011 57
6.2 Key Actions To Overcome Business Threats: Cost Management 62
6.3 Key Actions To Overcome Business Threats: Driving Sales 65
6.4 Key Supplier Actions To Maintain And Win Buyer Business 67
7 Aerospace Industry Buyer Spend Activity 78
Key findings: 78
7.1 Annual Procurement Budgets 78
7.2 Procurement Cost Saving Targets In The Aerospace Industry 87
7.3 Planned Change In Procurement Spend 93
7.4 Planned Change In Procurement Spend By Product And Service Category 101
8 Procurement Behaviors And Strategies 111
Key findings: 111
8.1 Critical Success Factors For Supplier Selection 111
8.2 Expected Future Changes In Procurement Objectives 117
8.3 Areas Of Future Value Creation In Procurement Strategy 121
8.4 Mitigating Supplier Failure And Maintaining Business Continuity 128
8.5 Planning Against Business Supply Contingencies 133
9 Appendix 136
9.1 Survey Results-Closed Questions 136
9.2 Methodology 143
9.3 Contact Us 143
What The Global Aerospace Industry Is Planning In 2010-2011: Procurement, ICDR1046 / January 2010
Investment and Industry Trends Outlook
© ICD Research. This brief is a licensed product and is not to be photocopied Page (3)
Table Of Contents
9.4 About ICD Research 143
9.5 Disclaimer 143
What The Global Aerospace Industry Is Planning In 2010-2011: Procurement, ICDR1046 / January 2010
Investment and Industry Trends Outlook
© ICD Research. This brief is a licensed product and is not to be photocopied Page (4)
Table Of Contents
1.1 List Of Tables
Table 1: Count Of Global Aerospace Industry Survey Respondents By Company Type (Number Of Respondents),
2010 Industry Survey ................................................................................................................................................................ 13
Table 2: Buyer Respondents By Job Role (% Buyer Respondents), Global Aerospace Industry, 2010 .........................13
Table 3: Buyer Respondents By Organization’s Global Turnover (% Buyer Respondents), Global Aerospace Industry,
2010 14
Table 4: Buyer Respondents By Organization’s Total Employee Size (% Buyer Respondents), Global Aerospace
Industry, 2010 ............................................................................................................................................................................. 14
Table 5: Buyer Respondents By Region (% Buyer Respondents), Global Aerospace Industry, 2010 ............................14
Table 6: Supplier Respondents By Job Role (% Supplier Respondents), Global Aerospace Industry, 2010.................15
Table 7: Supplier Respondents By Organization’s Global Turnover (% Supplier Respondents), Global Aerospace
Industry, 2010 ............................................................................................................................................................................. 15
Table 8: Supplier Respondents By Organization's Total Employee Size (% Supplier Respondents), Global Aerospace
Industry, 2010 ............................................................................................................................................................................. 16
Table 9: Supplier Respondents By Region (% Supplier Respondents), Global Aerospace Industry, 2010....................16
Table 10: Company Revenue Growth Optimism Trend By Global Aerospace Industry Company Type: Aircraft
Manufacturers, Airline / Aircraft Operators, Aerospace MRO Companies, Aerospace Industry Suppliers (% All
Respondents), 2009-2010 ........................................................................................................................................................ 22
Table 11: Company Revenue Growth Optimism Trend In The Global Aerospace Industry By Region: North America,
Europe, Asia Pacific, Rest Of The World (% All Respondents), 2009-2010 ..................................................................... 22
Table 12: Company Revenue Growth Optimism In The Global Aerospace Industry By Turnover (% All Respondents),
2010 22
Table 13: Aircraft Manufacturer Industry: Market Predictions Of The Fastest And Slowest Growing Regions (% Aircraft
Manufacturer Respondents), 2010 .......................................................................................................................................... 37
Table 14: Airline / Aircraft Operator Industry: Market Predictions Of The Fastest And Slowest Growing Regions (%
Airline / Aircraft Operator Respondents), 2010...................................................................................................................... 40
Table 15: Aerospace MRO Company Industry: Market Predictions Of The Fastest And Slowest Growing Regions (%
Aerospace MRO Company Respondents), 2010 .................................................................................................................. 42
Table 16: Aerospace Supplier Industry: Market Predictions Of The Fastest And Slowest Growing Regions (%
Aerospace Supplier Respondents), 2010............................................................................................................................... 45
Table 17: Aircraft Manufacturer Predictions Of The Fastest And Slowest Growing Industry Sectors (% Aircraft
Manufacturer Respondents), 2010 .......................................................................................................................................... 47
Table 18: Airline / Aircraft Operator Predictions Of The Fastest And Slowest Growing Industry Sectors (% Airline /
Aircraft Operator Respondents), 2010 .................................................................................................................................... 49
Table 19: Aerospace MRO Company Predictions Of The Fastest And Slowest Growing Industry Sectors (%
Aerospace MRO Company Respondents), 2010 .................................................................................................................. 51
Table 20: Aerospace Supplier Predictions Of The Fastest And Slowest Growing Industry Sectors (% Aerospace
Supplier Respondents), 2010................................................................................................................................................... 53
Table 21: Aerospace Industry Predictions Of The Fastest and Slowest Growing Industry Sectors By Region: North
America, Europe, Asia Pacific, Rest Of The World (% 'Very Strong Growth' And '