By using relevant aerospace KPI in performance evaluation, companies that belong to the aerospace industry will be able to assess employee performance and the value of their output efficiently.
The term “aerospace” typically refers to the atmosphere that surrounds the Earth as well as the surrounding space. Consequently, all companies whose end products are tools, technologies, or vehicles that allow movement through air and space are said to belong to the aerospace industry. This industry is characterized as a diverse field that involves not only commercial and industrial applications, but military applications as well. Industry participants may be involved in researches, operations, manufacture, and maintenance of aerospace vehicles.
The aerospace industry is undoubtedly one of the most dynamic industries that have emerged in the twentieth industry. Aside from paving the way for more extensive research and development in aerospace technology, the industry also significantly influences other industries, like logistics, telecommunications, electronics and computing, defense supply, as well as travel and tourism industries. Usually, the aerospace industry of most industrial countries are participated by both publicly and privately-owned companies. In connection with this, several countries have a space program that is entirely controlled by the government. The most prominent of these are the NASA of the United States, Canadian Space Agency in Canada, and the China National Space Administration in China. Moreover, through these space programs, aerospace companies are able to develop technical components and tools, like spaceships and satellites.
So integral is the aerospace industry in the country’s economy that in 2004, U.S. Secretary of Labor Elaine L. Chao announced initial investments amounting to $3 million. This fund was meant to address the special needs of the aerospace industry workforce. Just two years before, in 2002, the Department of Labor has also invested $4 million for the training of incumbent aerospace workers. In an effort to understand and resolve the problem of workforce shortages in the industry, the DOL had sought the recommendation of industry employers and industry association representatives. After all, a robust workforce is a requisite for the efficient functioning of the engines of the aerospace industry. With the eternal need for technological improvement and innovation, it is vital for the industry to motivate all employees from all organizational levels to deliver topnotch performance.
Among all aerospace companies, aerospace manufacturers are probably the most successful. These are the companies that have gained core competency in the production of aerospace products, such as aircraft, guided missiles, propulsion units, aircraft engines, and other similar parts. For these companies, it is vital to maintain a highly efficient global supply chain (GSC). It is expected that through supply chain management and logistics management, GSC for all aerospace firms will dramatically improve.
To achieve a high level of GSC integration, a major chunk of the aerospace industry had adopted Six Sigma processes. With the use of some relevant aerospace KPI and supply chain management success factors, industry players are also able to improve their logistics. With the synergy of all these evaluation tools, aerospace industry players will surely be able to keep up with the ever-changing needs and challenges that they face.