recent report from AMR Research this week shows that IT spending in
the Aerospace and Defense (A&D) industry will remain flat. But that
doesn't mean companies that responded to the survey are disregarding
IT as a useful resource. In fact, the 73 A&D companies agreed that
enterprise performance management (EPM), product development, supply
chain management (SCM), and lean initiatives were a priority. The most
important driver for IT investment for 36% of the companies polled was
customer issues, and in response, the companies say they are stepping
up their supplier and customer-facing applications. IT spending in the
A&D industry only modestly rose from 4.0% to 4.2% of revenue, but AMR
says budgets will increase 2.7% in 2005. |