Boeing’s Organizational Strategic Planning

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  • Topic: Boeing, Competition between Airbus and Boeing, Airbus
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  • Published : February 23, 2013
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AN OVERVIEW ON BOEING
COMPANY’S STRATEGY

BY: FARIBA MIANJI
PHD STUDENT
LIMKOKWING UNIVERSITY OF CREATIVITY
NOV 2012

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Contents
Introduction .................................................................................................................................................. 3 Boeing’s Organizational Strategic planning ................................................................................................. 4 Vision and Mission ........................................................................................................................................ 5 External Analysis of Boeing ........................................................................................................................... 7 Internal Analysis of Boeing ........................................................................................................................... 6 Competitive Advantages ............................................................................................................................... 8 Core Competencies ................................................................................................................................... 9 Boeing SWOT Analysis ................................................................................................................................ 10 Boeing 5 Forces Analysis ............................................................................................................................. 11 Boeing outsourcing Issues .......................................................................................................................... 12 Boeing Fastener Issues................................................................................................................................ 14 Unexpected finding ..................................................................................................................................... 15 Recommendation for Outsourcing and Fastener Issues ............................................................................. 16 Conclusion ................................................................................................................................................... 17

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Introduction

Outsourcing refers to a firm run-through of commending to an external entity the performance of an activity that was former performed in-house. The outsourced activity could either be the manufacturing of a good or the performance of a service. Subcontracting to third party firms based in other nations is generally referred to as offshore outsourcing, and sourcing from a firm's subsidiaries located in other countries as off-shoring. Anyway, both offshore outsourcing and off-shoring fundamentally organize international trade in goods and services. Nevertheless the current high level of interest in offshore outsourcing and off-shoring, it should be noted that they are only a part of a much larger pie that also includes outsourcing that does not exceed national limitations, and outsourcing to objects other than to a firm's suppliers. The assessment by firms to outsource is often determined by as well as drives the appearance of high-quality organizations in various fields and the supplementary balance driven cost efficiencies. While much of the discussion relating to outsourcing is focused on the cost of performing an activity within the boundaries of the firm versus entrusting to a third party, situations in which cost may not be the major consideration in a firm's outsourcing decisions also merit careful consideration.

Outsourcing the assembly of parts of the airplane was a main step Boeing has taken to diminish cost and control capacity at its main plant. They have outsourced to countries such as China and India, where labor is much cheaper. In return, they have obtained aircraft sales from these countries, which is also two of the major and fastest growing...
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