Gaining exposure at IAI

Shay Gal, the vice president of external relations at Israel Aerospace Industries (IAI), says that keeping the company in the public eye is critical to its success.

In an interview with The Jerusalem Report, Gal recalls joining MK Amir Peretz in 2018 and accompanying him in his various positions as chairman of the Labor Party and minister of economy. Peretz’s term at the Economy Ministry took place during the coronavirus crisis. Gal accompanied Peretz in his actions to save the Israeli economy and ensure that in a period of economic uncertainty, owners of small and medium-sized businesses could continue to live with dignity.

When Peretz completed his term as economy minister, Gal was appointed head of the Knesset and Government Department at the Forum of Self-Employed and Freelancers of Histadrut, where he continued what Peretz had begun in the Economy Ministry. In that position, he worked extensively to promote the rights of the self-employed and improve their working conditions. Gal was in contact with the government and Knesset officials to promote legislation that would improve the conditions of the self-employed in Israel. Among other things, he strived to promote legislation that would provide unemployment benefits for the self-employed and an economic safety net for small and medium-sized businesses, especially during the COVID-19 crisis. Gal was also involved in campaigns to improve loan conditions for small businesses, calling for allocating additional resources to state-guaranteed loans.

During his activity in the Forum of the Self-Employed, he worked in cooperation with government and legislative bodies to promote amendments to the National Insurance Law and improve financial support for small businesses. He spoke about the importance of providing credit to small businesses, especially in light of the coronavirus crisis, and argued that additional resources should be allocated to state-guaranteed loans. He appealed to the president and the justice minister to promote legislation that would prevent additional debts to the self-employed and help them emerge from the economic crisis caused by the coronavirus.

Gal was appointed vice president of external relations at IAI in July 2023. Since assuming the position, the value of the company’s unpaid domestic media exposure has doubled to NIS 35 million in the past year. Gal explains that keeping the company in the public eye is critical to its success. “Telling the story of Israel Aerospace Industries to the world helps us reach markets and meet our business goals. In wartime, this helps our partners and customers understand that despite the war and our full commitment to the IDF at this time, we are not neglecting the needs of our customers outside Israel.”

Gal says that over the past year, IAI highlighted its accomplishments to the Israeli public to increase awareness of its capabilities in sea, land, air, and space, which has been especially needed during wartime. In his previous positions in the Knesset, he explains, he learned the importance of reaching the public and influencing public opinion through the media.

Established in 1953, Israel Aerospace Industries started as an all-purpose service and supplies provider, known as the Bedek Aviation Company, specializing in air defense solutions.

Gal relates that his grandfather Israel Ingber was one of the founders of Israel Aerospace Industries. “I have a personal number with seven digits; my grandfather proudly had a personal number with three digits. He lovingly talked about the first planes he worked on until he moved to fighter jets. He was so happy and proud in his last years that his eldest grandson also works at Israel Aerospace Industries.”

Since that time, IAI has grown to become a world leader in both the defense and the commercial markets, developing, producing, and delivering state-of-the-art technologies and systems across a range of domains, including air, land, sea, space, cyber, homeland security, and ISR (intelligence, surveillance, and reconnaissance).

The company, which is today headquartered at Ben-Gurion Airport, has some 15,000 employees and is divided into four distinct groups: ELTA Systems, which develops radar, intelligence, and electronic systems; Systems Missiles and Space, which includes all activities related to missile systems; Military Aircraft, providing unmanned aerial systems (UAS) solutions for land-based, aerial, and maritime domains; and the Aviation Group, which designs, integrates, tests, certifies, manufactures, markets, and provides product support of manned and unmanned aircraft, from business jets to the conversion of passenger jets, cargo planes, aerostructure assemblies, and parts.

“These disparate worlds make up one company,” says Gal. “When we list all of IAI’s accomplishments, it is not just the Arrow anti-ballistic missile system. It also includes radio detection and ranging of the Iron Dome system and the David’s Slingshot anti-missile system. IAI is where the first aerial unmanned vehicle was developed, and it is the only company in Israel, and one of just 10 in the world, that can plan, produce, and issue a license for aircraft, including executive business jets. There are so many worlds in IAI. We are not just defense.”

While IAI represents a complex array of groups, Gal says that the company’s branding strategy is simple. “Branding represents a company’s values. As an Israeli company, we want to communicate the message that IAI dwells among the people, a company deeply rooted in our community. It not only contributes to security and innovation, but as a government-owned company it contributes to the economy. Over the past two years, it provided a dividend of more than NIS 1 billion to the government. It is one of the largest employers in the country, and it is filled with homegrown talent – Israeli engineers who have grown up in Israeli society.”

In addition to Gal’s role in communication and government relations, there is another aspect: the social responsibility and community relations of the aerospace industry. “We know that security resilience and social resilience are intertwined,” explains Gal. “Our additional goal is to make IAI generate a positive social impact, address significant social issues, and examine how the aerospace industry can contribute to them. We focus on promoting resilience and mutual responsibility in Israel, mainly through the social involvement of employees in various fields, reducing hunger and poverty, assisting Holocaust survivors, helping women who are victims of violence, supporting young people in social and geographical peripheries, and, of course, residents living near the company’s sites,” Gal says.

“As a development-oriented and knowledge-intensive company, we strive to create social impact through the ‘civilianization’ of the company’s and its employees’ capabilities. We choose to use these capabilities not only for developing the next defense system but also to improve the quality of life for people with disabilities, for example.”

He adds, “When we examine our substantial impact as a business company, there is a significant place for intervention in the field of education, which often serves as an initial barrier for students [young people in the education system] to integrate into quality employment in the future. We lead and participate in many programs that expose young people to the world of engineering, with an emphasis on the fields of physics, electrical engineering, mechanical engineering, and aeronautics. Through our unique systems, we teach them about scientific principles and their civilian and military applications, combined with important skills such as teamwork, project management, and complex thinking. We manage to create a significant impact through many partners, most of which are nonprofit organizations and social organizations, and some are government ministries and local authorities. The pedagogical and social knowledge is not with us, so as a business company it is important for us to build partnerships that provide value to all parties.”

GAL EXPLAINS the difference between social justice and charity, saying: “We use our power as a large and successful company, and the skills and abilities of our employees, to give back to Israeli society what each and every one of them received from it, grew in it, and became who they are today. While charity is often seen as ticking a box and moving on, using what we have to create social justice is a long-term action that provides a fishing rod, creates means to develop and earn a dignified living – as opposed to giving fish. Therefore, social responsibility is not a donation or charity, it is much more than that.”

Getting back to the media’s role, Gal says that the war has presented unique challenges in communicating with IAI’s overseas clients. “Our customers around the world heard reports about the war that were not always true,” he states. Some IAI clients were asking him if the Hamas attacks had occurred because its systems had failed on October 7. Using the media, Gal provided updated and correct information. “Our business activity continued as normal,” he says.

“My team and I conveyed these messages not only through the media,” Gal continues. “Out of the chaos of the first days after October 7, we realized that our status as a global company with many representations around the world could assist in Israeli advocacy. Our role at this time is not only to take care of the company’s business but also to be there for the State of Israel. A comprehensive message kit was quickly prepared for our representatives around the world, containing the true story of October 7, Israel’s position and the righteousness of its path, as well as its right and duty to protect its citizens.”

Gal explains how he and his international media manager, Anna Nemkov, turned IAI into a secondary diplomatic force for the State of Israel in one day, and how he updated the message kit daily, thereby activating the company’s representatives around the world, who are in contact with governments, to do this very important work in addition to their regular duties, which will greatly assist Israel’s status in its most difficult days.

One particular event that he recalls was the explosion that took place in the parking lot of the al-Ahli Arab Hospital in Gaza City on October 17, 2023, which resulted in numerous Palestinian casualties. Hamas claimed that the explosion was caused by an Israeli airstrike, when, in fact, it was proven that the source of the blast was an errant rocket launch by Islamic Jihad. Gal worked through the entire night, using his sources, contacted media outlets throughout the world, and informed them about the actual source of the missile.

Gal’s success in this area is undoubtedly due to the trust that he has built up in the media, in Israel and around the world. How does one build trust in that area? Explains Gal, “Provide the media with reliable information. Don’t exaggerate, be timely, and take responsibility, for both the good and the bad.”

The two most visible figures to the public at Israel Aerospace Industries are Boaz Levy, president and CEO; and Amir Peretz, chairman of the board. Before becoming CEO, Levy was one of the key developers of the Arrow anti-missile system. He was honored as one of the torch-lighters at the Independence Day celebrations in 2024 for his work at IAI. The Arrow missile was used to intercept a missile launched toward Israel from Yemen in the Red Sea region in November and was used to counter the massive Iranian missile strike on April 14. “The day I celebrated my 40th birthday,” Gal notes.

AMIR PERETZ is expected to soon complete three years as chairman of the board of directors of Israel Aerospace Industries – the best three years in the company’s history in terms of profit, record order backlog, and many new markets. Gal notes that Peretz’s international reputation as a former defense minister and Israeli symbol contributes to the company’s business, opens markets, builds trust with governments, and raises the company to new heights. “Everyone knows Peretz as the father of the Iron Dome,” says Gal, “but his contribution to Israel’s security is much more than that. He changed the perception of the IDF from an army that relies on deterrence, warning, and attack to one that relies on an additional fourth leg – defense. The investment in the Arrow system over the years is also derived from this perception and has proven to be correct and necessary.”

As the interview comes to an end, Gal reveals what gives him the impetus to go to his job every morning at Israel Aerospace Industries. “My team and I help Israeli citizens feel more secure and take pride in presenting our country before the world.”