Preview

boeing

Powerful Essays
Open Document
Open Document
1731 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
boeing
Analysis of Boeing Supply Chain Individual assignment

Word Count: 1613

March 2013 The Boeing Company (Boeing), incorporated on July 19, 1916, is an aerospace company and the largest manufactor of commercial and military aircrafts in the world. The Company operates in five segments: Commercial Airplanes, Boeing Military Aircraft (BMA), Network & Space Systems (N&SS), Global Services & Support (GS&S) and Boeing Capital Corporation (BCC). Boeing's supply chains across its business units are quite complex and, more importantly, quite different from one another. In this report I will focus on commercial airplane supply chain and analyze the Dreamliner case. Commercial Airplanes is the other major revenue generating business unit of Boeing. This business unit produces large commercial aircraft varying from a capacity of 100 to 550 passengers as well as providing various support services for life-cycle management of its product lines. The operating model and supply chain network for Boeing commercial aircraft is explored in five main areas: Orders by Channel, Order Fulfillment, Facilities, Customers and Suppliers.

Orders by Channel

The ordering process is perhaps the starting point for the analysis of the commercial aircraft supply chain network. Boeing receives its orders from either leasing companies or airlines. Orders from leasing companies and large national and commercial airlines are part of long-term supply agreements.

Order Fulfillment

Boeing only manufactures aircraft to order. The usual delivery lead-time is anywhere from 12 to 18 months depending on the product. New products take longer to deliver from the time orders are taken as capacity is set-up for the entire supply-chain of the newly designed aircraft. For example, the Boeing board for sale approved the 787 series on December 16, 2003. On April 26, 2004, All Nippon Airways became the first customer for

You May Also Find These Documents Helpful

  • Powerful Essays

    First making people more aware of what Boeing is and what it stands for brings more awareness of how successful the company is. In obtaining the attention of the people, we can go on from there. Boeing is a global company made of different business units, which is why Boeing is so successful. In offering different products, it opens doors for more adverse business. The different business units are Boeing commercial Airplanes (BCA), Boeing Defense, Space & Security (BDS) Engineering, Operations & Technology, Boeing Capital, and Boeing Shared Services Group.…

    • 1823 Words
    • 8 Pages
    Powerful Essays
  • Powerful Essays

    BOEING AUSTRAILIA (BAL)

    • 2120 Words
    • 9 Pages

    suppliers to get the best prices available. Like reverse auctions or group buying with the Boeing…

    • 2120 Words
    • 9 Pages
    Powerful Essays
  • Better Essays

    Beck, K., Downey, T., & Kim, J., Proctor, P. (2002, June). How Boeing is Changing the Way it Works Around the World. Boeing Frontier, 1(2).…

    • 1864 Words
    • 8 Pages
    Better Essays
  • Good Essays

    Supply Chain Managment

    • 848 Words
    • 4 Pages

    Trude, S. (2009, November). Doing Business with Boeing. Retrieved July 13, 2012, from Tinker and The Primes : http://www.aeroeoc.com/wp-content/uploads/2010/06/Boeing-Supplier-Management-Steve-Trude.pdf…

    • 848 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Aircraft Solutions (AS) located in beautiful southern California has become a recognized leader in the electronics, commercial, defense and aerospace industries. This is due their design and fabrication of component products and services available to their customers in the various industries. What set Aircraft Solutions apart from other design and fabrication companies are their dedicated, trained workforce and the maintenance of a large capacity plant and extensive equipment that enables the company to meet customer requirements. The company is made up of a large highly skilled work force that works its highly automated production systems from design engineers, programmers, machinists and assembly personnel. Aircraft Solutions goals are to provide excellent customer service and success through its machined products and services. This is achieved while at the same time keeping their cost, quality and scheduled deliveries in check.…

    • 679 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Boeing

    • 1302 Words
    • 7 Pages

    Written Cases Study 4: Boeing Australia Limited: Assessing the Merits of Implementing a Sophisticated e-Procurement System…

    • 1302 Words
    • 7 Pages
    Good Essays
  • Powerful Essays

    future competitive environment in the global jetliner industry. This paper will also demonstrate how Boeing and Airbus approach the aircraft marketplace, how they are alike and different (particularly their production processes), where the rivalry is likely to head, and the most probable outcome of their ongoing competition.…

    • 2365 Words
    • 10 Pages
    Powerful Essays
  • Good Essays

    Boeing Executive Summary

    • 806 Words
    • 4 Pages

    Boeing is a market leader in aviation manufacturing in the U.S. and abroad. Its structure not only revolves around manufacturing, the company is a leader in defense, space and security development. These multitude of industries are all tied and synched together by their shared services group which responsible for human resources, staffing, wellness, recruitment programs, construction, virtual workplace and various implementations to connect all these industries into a world-wide operation. Boeing has established itself as a differentiator in the aerospace manufacturing industry. An industry that is driven by innovative ideas of flight since the early 1900s when William Boeing start this company by building the first sea-plane. A century later Boeing's immediate future is hinged on the success of a super lightweight aircraft that it hopes to revolutionize the industry and retain its position as the market leader.…

    • 806 Words
    • 4 Pages
    Good Essays
  • Better Essays

    Boeing prides itself on offering augmented product levels through superior customer relationships both during and after the sale. Boeing invests heavily in managing customer relationships during the lengthy sales cycle, through its sales and service technicians, financial analysts, planners, engineers etc., all dedicated to finding ways to understand and satisfy airline customer needs. After the sale, the sales executives stay in almost constant contact with the customer to ensure that they stay satisfied. In this case of the delayed product delivery, Boeing augmented the product by announcing its commitment to working with its customers to minimize the impact of the delays as well as offering incentives and penalty payments to those customers.…

    • 1955 Words
    • 8 Pages
    Better Essays
  • Powerful Essays

    Supplier power in the U.S. airline industry is high as passenger jets are the most significant cost for airlines and there are only a handful of suppliers. Additionally, planes must be ordered far in advance, leaving airlines with little choice but to place orders in anticipation of industry growth. Major U.S. airlines have only two primary choices for supply of their jets and there can be significant differentiation between products from the perspective of the airlines. The long-term nature of these purchases creates a long-term relationship whereby the airline is often motivated to purchase the same kind of jets to reduce maintenance and service costs, adding to the leverage held by major jet suppliers.…

    • 1590 Words
    • 7 Pages
    Powerful Essays
  • Powerful Essays

    Boeing is organized into two divisions. The first division is Boeing Commercial Airplanes, which is comprised of commercial jetliners that service the globe. Boeing Commercial Airplanes is approximately 75 percent of the world fleet currently in service (Boeing, 2010). The second division is Boeing Integrated Defense Systems. The division provides defense systems, space system products, and supports the United States government and several defense agencies.…

    • 5226 Words
    • 21 Pages
    Powerful Essays
  • Satisfactory Essays

    Fleet Planning

    • 1046 Words
    • 5 Pages

    One of the most difficult decisions airline managements must make is whether to buy new or used aircraft and what type to purchase. Factors that have an effect on this fleet planning process come from two (2) points of view; the Airline point of view, and the aircraft manufacturer point of view.…

    • 1046 Words
    • 5 Pages
    Satisfactory Essays
  • Best Essays

    The main suppliers of air travel industry are dominated by Airbus and Boeing (Kotler et al. 2009). Other suppliers of airline industry could include Commercial Supplies (in-flight amenities and equipment, catering services, cleaning services, uniforms, fuel, office supplies and equipment for organization), IT Products & Services and Engineering suppliers (aircraft parts and non-aircraft parts, services to support the aircraft maintenance and operation) (Singapore Airlines Invites Tenders 2010)…

    • 1779 Words
    • 8 Pages
    Best Essays
  • Satisfactory Essays

    the initiative for Phase I is to identify and research excellent supply chains in the aerospace,…

    • 254 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Boeing 767 Case Study

    • 1104 Words
    • 5 Pages

    Boeing adopts a very thorough, well planned out process to manage the project. The stages are defined clearly and tasks involved in each stage are carried out sequentially. The first stage of their approach is the project definition phase during which Boeing identified holes in the market not met by existing planes, assessed future airline needs, considered alternative plane configurations, explored feasibility of possible technologies and performed preliminary estimation of costs. During the market assessment, analysts gathered information regarding future needs of airlines by speaking directly to major airlines. Design specifications are then identified during configuration followed by formation of technological divisions. Technology development includes four major areas, and each area has its own chief engineer responsible for overseeing research, development and application of the technology. Audit teams are active during the program definition phase; auditors are usually experienced managers within the company and they are assigned to review every significant element of the program. The second stage is cost definition phase during which a parametric estimating technique is used to predict costs from initial design characteristics and to estimate the number of labor hours. The third phase consists of supplier and production managements. The suppliers are risk-sharing program participants or major subcontractors who worked closely with Boeing engineers from initial to final phase to meet deliverables of the project. After part fabrication process begins, a management visibility system is adopted with schedules prominently posted and marathon status meetings held to ensure that preset deadlines are met. During the final stage, a First Flight Committee, who reported directly to the general manager and met daily during the six…

    • 1104 Words
    • 5 Pages
    Powerful Essays

Related Topics