NOTES :
BIBLIOGRAPHY IS ON A DIFFERENT COMPUTER
STILL WANTING TO ADD MORE NUMBERS
I DO NOT KNOW IF THE LAYOUT IS GOOD
Extended Essay
Business and Management
David Procek
Research Question:
To what extent were the causes of the delay of the 2011 Boeing Dreamliner launch preventable?
Abstract
Table of Contents
Abstract……………………………………………………………………............
Introduction………………………………………………………………………
Research Question………………………………………………………………..
Methodology………………………………………………………………………
Body……………………………………………………………………………….
Conclusion…………………………………………………………………………
Appendix I…………………………………………………………………………
Appendix II………………………………………………………………………...
Introduction
Without the
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I obtained the Boeing report on the 787 Dreamliner, the sales reports from the construction years and reports from the managers of that time. These documents will show me what actually caused the delays, what outsources were involved, how much money was lost and other potential problems. The documents will be able to show me the magnitude of each problem, which will help me answer my question of whether the delay was preventable, or not. I will analyze the problems using a SWOT analysis and then I will break up my research into different categories such as, Problems with Outsources, The analysis of the Risk Sharing Partnership and the 2008 Strike. The SWOT analysis will not be able to cover everything and that is why I need to go deeper in other …show more content…
Boeings Channel Co-ordination would have to be more complicated depending on how many suppliers it has which means higher cost for management. Tier-2 would be managed by Tier-1, meaning Boeing would have even less control of the Tier-2 Suppliers.
Boeing fostered strategic partnerships with approximately 50 tier-1 suppliers who will build the sections of the 787 and ship them to Charlestone, which allowed Boeing to focus on just putting the parts together making the construction of the plane simpler, efficient and it would reduce the lead-time. This relies heavily on Boeing’s management, which is that when Boeing reduced the direct supply base, the bargaining power of the manufacturer (Boeing) reduces. The size of the project means that downward communication was more complex. Multi-Channel communication becomes much more difficult because of the outsourcer’s locations around the world. The Boeing center had 28 translators running around the clock to communicate with its 700 external companies that provided for the 787
Albers, S. B. (2009, March 13). crisis of Qantas. Retrieved May 14, 2014, from Qantas crisis: http://wenku.baidu.com/view/31572f48cf84b9d528ea7a56
Along with the low stock index numbers of September 17th, the airline industry and travel stocks were also rocked. One of several airlines announcing layoffs, US Airways said that they would be terminating 11,000 jobs. These heavy losses were contributed to airlines “being grounded last week [week of September 11th], plus passengers have been apprehensive to fly, in the wake of the hijackings” (Stock Markets Reopen 1).
The Airline Industry is a fascinating market. It has been one of the few industries to reach astounding milestones. For example, over 200 airlines have gone out of business since deregulation occurred in 1978. Currently, more than 50% of the airlines in the industry are operating under Chapter 11 regulations. Since 9/11, four of the six large carriers have filed for and are currently under bankruptcy court protection. Since 9/11 the industry has lost over $30 billion dollars, and this loss continues to increase. Despite the fact that the airline industry is in a state of despair, JetBlue has become the golden example, a glimpse of what the industry could be.
As airline industry is a competitive marketplace, the airline companies use new technologies to improve their efficiency and decrease the overhead costs, including ‘advanced aircraft engine technology, IT solutions, and mobile technology’ (Cederholm 2014). The technology changes including technology improvement, new innovation and disruptive technology. The disruptive technology need to meet the characteristics of ‘simplicity, convenience, accessibility and affordability’ (Christensen 1995). The technology changes would bring both opportunities and threats to airline companies. Since Labour cost and fuel costs occupy 50% of most airlines operating cost (Groot 2014). Therefore, if new technologies could be disruptive in the two aspects, there will be important changes to current airline
The SWOT process will start by examining the internal strengths of the Boeing Company today. One of the dominant strengths possessed by Boeing is its ability to follow the changes in a market that is continually changing. The type of products produced by The Boeing Company demands the use of state of the art technology while maintaining all the proper safeguards for safety, regulatory compliance and profitability.... ... middle of paper ... ...
This paper analyzes the goals and actions of Boeing by analyzing its critical success factors as well as its strategic roadmap.
1- Issues The main issue of this case is the lack of profits of the airline industry, an industry that should be more than profitable due to the large amount of customers, the necessity of using airlines’ services and the high prices charged by most of these airlines. What we are going to deal with is, why is this happening? And how is American airlines dealing with this problem?. To be able to discuss how American airlines wants to regain profitability, we must identify and analyse different issues such as, the company’s background, the airline industry as a whole, the demand for air travel, the marketing strategies, the distribution systems, pricing policies etc.
A standout amongst the most noteworthy vital choices Boeing made in the 787 undertaking identified with out-sourcing. Truly Boeing had both composed and fabricated the vast majority of the parts for their airplane. For the 787 undertaking a choice was made to move further towards a frameworks joining model. In the combination model Boeing might band together with outsider suppliers around the globe who might help plan, produce and supply segments for the airplane. Those parts might be transported to Boeing production lines in the USA and gathered into the last item. On paper the choice to go about as a "frameworks integrator" instead of maker had bid. It spreads the danger and moves expenses to the suppliers while lessening the venture required by Boeing....
McQuade, D., Atwan, R., Banta, M., Kaplan, J., Minter, D., Stepto, R., Tichi, C., Vendler, H. (1999). The Harper Single Volume: American Literature, (3rd Ed.)
Bibliography:(sorry, I did this paper a while ago and I didn't have to do a bibliography so not really sure)
Economies of Scale: - Company had to have a substantial amount of orders in order to earn economies of scale. Otherwise the cost of production would usually be more than the selling price of the aircraft.
...ember 25). Boeing hails ME investments. Times of Oman [Muscat], p. 1. Retrieved from http://search.proquest.com.ezproxy.libproxy.db.erau.edu/docview/1073420766?accountid=27203
The 777 would be manufactured differently than previous Boeing aircraft. Various efforts would be undertaken to increase demand and reduce manufacturing costs of the 777 in an attempt to create positive cash flows sooner. To increase demand, the 777 would be the first fly-by-wire Boeing aircraft, a feature Boeing’s competitors already added to their aircraft. Boeing also made an effort to get their large customers involved in the design process from the beginning in an effort to increase its competitive advantage and long-term demand for the 777. As a cost saving measure, the design and manufacturing teams would work together to create a detailed simulation of the manufacturing process that would reduce the cost of “improvements” that were often made during manufacturing thereby reducing the overall manufacturing cost. Furthermore, Boeing would invest in more training for its engineers on the new CAD system. This new manufacturing process would lead to large capital outflows in the short-run. The challenge for Mr. Shrontz is determining whether these capital investments will lead to an increased return on equity for Boeing.
Tom, Y. (2009). The perennial crisis of the airline industry: Deregulation and innovation. (Order No. 3351230, The Claremont Graduate University). ProQuest Dissertations and Theses, , 662-n/a. Retrieved from http://search.proquest.com/docview/304861508?accountid=8364. (304861508).
a. Environmental Analysis: The international war on terror, with its attendant rising cost of oil has created havoc in a number of ways (Lufthansa Annual Report, 2004). Rising costs have resulted from the increase in fuel prices. Customer check-in wait times and flight time delays have resulted from new regulations designed to ensure passenger and plane safety, including more rigorous bag searches, more extensive passenger screening, and the like. This has resulted in customers paying higher prices and a less enjoyable flight experience.