Investigates several Critical Success Factors, Controls and Evaluation measures to provide precision for scorecards.
Compares industry earnings per share and price to earning ratios to assess Northrop Grumman's position relative to its primary competition in the aerospace and defense industry.© BrainMass Inc. brainmass.com October 17, 2018, 3:25 am ad1c9bdddf
Segment Operation Margins: Listed in the annual report on pg 44-48. For example, the Aerospace Systems margin is 11.5% whereas the Electronics System margin is 13.4%. These are highly dependent on the contract award. NG-and the aggregate industry- has very little flexibility in determining the revenue side of the margin. Profit increases must come from productivity improvement.
Northrop Grumman Corporation earnings per share (a fair overall determination of its profit margin) were $6.77 in 2010 (Northrop Grumman, pg 1), and estimated at $6.86 for 2011, (Reuters, 2011a). Compare this to Boeing at $4.23, (Reuters, 2011c) and Raytheon at $5.01, (Reuters, 2011b). Owing to its efficiency and high profit margin, Northrop Grumman is positioned well to capitalize on market growth.
Another estimation of company efficiency is the Price to Earnings ratio (P/E ratio). This is the equity markets' valuation of the profitability and potential growth of a company. The higher the P/E, the more investors are willing to wager on future growth. Northrop Grumman trades at 8.44, Boeing at 13.68, and Raytheon at 7.94, (Reuters, 2011a, b, c). This illustrates equity market investors have higher confidence in Boeing's growth, and lower confidence in Raytheon's growth as compared to Northrop Grumman. This may focus Northrop Grumman's efforts against its competitors, or illustrate areas in which its corporate governance can be improved in relation to Boeing.
Supply effects on Northrop Grumman performance or its ability to perform contracts:
In 2010, total backlogged contracts totaled $64 billion (Northrop Grumman, pg 1). Total awards for the year were $30 billion-the supply bottleneck comprised 213% of new business for 2010! This situation is improving, however, as 2009 backlog was $69.2 ...
Mission and Vision Paper for Northrop Grumman
Discuss Northrop Grumman -- the Organization would be Property Management
i. Identify the organization for which you would like to complete or are considering completing a strategic plan. You may focus this study on a specific department, group, division, or function, within the organization.
ii. Provide a brief background of this organization, including its products/services and customers.
iii. Document the organization's mission and vision statements.
iv. Research the opinion of at least two experts each on mission and vision statements and then conduct a comparative analysis of the company statements against the expert statements.
v. Modify or suggest improvements to the company statements to assure they achieve the expert requirements as much as possible.
vi. Discuss how the mission and vision statements aid the organization in reaching its desired end state. Specifically address how you see your organization incorporating these statements into their strategic plans.View Full Posting Details