Northrop Grumman Corporation creates products, services, and solutions for aerospace, electronics, information systems, and shipbuilding. It currently ranks number 69 on the Fortune 500 list, and is one of the leaders in its industry. Northrop Grumman, like Lockheed Martin, considers itself to be one of the leaders in global security. The company has been divided into five main business sectors: Aerospace Systems, Electronic Systems, Information Systems, Shipbuilding, and Technical Services. The company delving into the shipbuilding field is a unique area compared to the competitors listed in this analysis. The main focus of most of these companies is in the aerospace industry, but Northrop Grumman takes their technology a step further to assist in creating ships for the US Military. The goals and vision of this company is to be the leader and most trusted company in the industry when it comes to the security and technological systems they create.
While looking at the table below, you can see that in 2008 they reported a negative net income which showed a very large negative net growth in comparison to 2007. According to the Northrop Grumman’s Annual Report from 2008, much of the negative growth in the company was attributed to the economic conditions of the United States starting at that time. Despite the negative aspects and the effect of the economy, the company still reached record sales.
Raytheon Company is known for its designs, development, manufacturing, and integration of technological services and products. It works with commercial as well as government customers. It has six business sectors which are Integrated Defense Systems, Intelligence and Information Systems, Missile Systems, Network Centric Systems, Space and Airborne Systems, and Technical Services. Raytheon holds the rank of number 108 on the Fortune 500 list and is considered among the leaders in the Aerospace and Defense Industry. This company is much smaller than many in the industry, but is still able to function as one of the leaders in the global economy. Raytheon prides itself on its Six Sigma program used to transform its culture and to create more of a people-to-people network. They feel this will help lead them into being a leader and looked up to by its competitors and customers. The six steps are Visualize, Commit, Prioritize, Characterize, Improve, and Achieve, and these steps are just a continuous circle.
The table below shows that the company has seen a large growth in its sales from 2007 to 2008; over 9%. At the same time they have seen a negative growth in its net income. According to the 2008 Annual Report, this could be attributed to the negative economy, which has obviously affected all companies in the industry. Despite the negative economy, they were still able to grow and improve upon the company.