Most defense company executive teams are spending a lot of sleepless nights these days. Their worry: how to create shareholder value in a market with a gloomy long-term outlook. Defense and security budgets are heading south. “Sequestration” looms large on Capitol Hill. New program starts are few and far between. Internally, most companies' cost structures are bloated from a 10-year growth cycle, and organizational complexity is rampant. With that backdrop, how does a defense contractor ...

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