DEFENCE INDUSTRY

Airbus Defence & Space Embarks on Innovation Drive

Munich, Germany. Signalling a refreshing change in its approach towards taking its business forward, Airbus Defence & Space is laying stress on several key drivers. The new buzzwords for the European giant are innovation, integration, connectivity, digital technology and marketing.

Talking to visiting journalists from across the globe during the 16th Trade Media Briefing (TMB) at the company’s facility in Ottobrun, near Munich, Dirk Hoke, CEO of Airbus Defence & Space, said: “We have to become more agile and faster so that we can increase the speed of our business. We are also learning to integrate new ideas and use new technology to make our business grow in future.”

Mr Hoke said the group was also looking at its traditional business of aerospace and military aircraft to speed up the growth. “We are focusing on skill development and identifying key areas of resource development,” he said.

The Airbus Defence & Space CEO said European nations, including Germany which is the biggest economic power in Europe, were looking at increasing their defence budgets which would offer more opportunities for the growth in business.

Echoing his sentiments, Jean Pierre Talamoni, Head of Sales and Marketing, said Airbus Defence & Space was focusing on Customer, Services and Innovation (CSI). “The world is going fast, we have to follow the speed. After all Apple, Blackberry and Orange were only fruits 20 years ago,” he quipped.

He said the defence sector growth in Europe was pegged at about two per cent annually but it was estimated to grow at six per cent in Asia-Pacific region. “Two-third of new military aircraft opportunities are in Asia and Mid-East region. In the next 10 years 150 heavy lift, 85 tankers and 750 combat aircraft would be required and half of the requirement would be in Asia,” he predicted.

Mr Talamoni said competition was becoming global and the Airbus group would be looking at diversifying its customer base and ensuring shorter delivery time.

Turning to “Make in India” programme of the NDA government, he said it was a “vision” but would need time to fructify on the ground. “If we build from scratch, import equipment and set up a factory and build up a credible supply chain, the cost will be destroyed. We will have to adopt to the Indian situation, and we have decided to adopt. India is biggest arms importer in the world and we are ready to share technology, build something together and share profits as well,” he said.

He cited examples of best selling military aircraft of Airbus like A-330 multi-role tanker transport, A400 M heavy lift aircraft, C-295 medium transport aircraft which have won wide acceptance from a number of nations and were doing well in the global market.

(This correspondent visited Munich recently at the invitation of Airbus Group)

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