Essay About Aerospace Industry And Bombardier Inc Case Study

Bombardier Inc Case Study
Executive Summary
Bombardier Aerospace, a division of Bombardier Inc. is the third largest leader in
the design and manufacture of innovative aviation products for the regional, business and
amphibious aircraft markets and defense services. Since 1986, Bombardier has acquired
various companies in the aerospace industry such as Canadair, Short Brothers plc, Lear
Jet Corporation and Boeing’s subsidiary de Havilland corporation. The Aerospace
division headquartered in Montreal employs more than 27,130 employees across 13
facilities around the globe and it generates over 50% of the entire company’s total
revenue.
Problem Statement
Over the last few decades, Bombardier Aerospace acquired various companies
and inherited the data, processes and systems of these companies. The diversified legacy
systems created a lot of integration problems and process inefficiency, as information
systems failed to communicate with each other effectively leading to increased
maintenance costs, low visibility of inventory, process delays, low inventory turnovers,
supplier proliferation and price inconsistency and multiple bill of materials. The
capability of the legacy systems was severely limited that it became very difficult to use
it for large scale projects which totally impaired the growth of the company.
Data Analysis
The legacy system Bombardier Management System (BMS) that supported the
aerospace manufacturing activities since 1990s failed to integrate with other business
3 partner’s systems and was unable to cope up with rapid business changes. This resulted in
huge operational costs and poor data management which affected the growth of the
company.
The executives in the top management identified the problem and shifted its focus
to develop an integrated large scale ERP system known as BMIS. The expectation of the
new system is to align all the operations of the acquired companies by implementing a
single set of unified system and processes. A budget of $363