AEROSPACE & DEFENSE

Major Systems Integrators & Defense Contractors

World’s Most Productive Companies

Major Systems Integrators & Defense Contractors

Major Systems Integrators and Defense Contractors deliver large, software-rich defense platforms and mission systems. Productivity reflects program mix, development-to-production transitions, and the pace of defense budgets.

The group was about flat in 2025, sitting about 3% below its 2019 baseline. Rheinmetall and Leonardo DRS led as World’s Most Productive Companies. Gains were concentrated in the leaders, with most of the group giving back ground.


Major Systems Integrators & Defense Contractors peer group IPI trends

Major Systems Integrators & Defense Contractors World's Most Productive Companies

Rheinmetall logo
Leonardo DRS logo

Productivity Snapshot

  • Major Systems Integrators & Defense Contractors ranks fourth of four Aerospace and Defense peer groups in 2025, at an Industrial Productivity Index of 0.97, about 3% below its 2019 baseline.
  • 1 of 8 companies grew productivity in 2025.
  • They are the group’s World’s Most Productive Companies: Rheinmetall (1.09), Leonardo DRS (1.02).
  • The group eased modestly below its 2019 baseline in 2025 even as defense demand stayed firm, with heavy development content weighing on near-term productivity.

Interested in learning more about how you stack up, where to improve, and the impact on margin, cash, inventory, and assets?