Structure: Boeing adopted the principles of lean manufacturing. The objective was to implement an automated system of assembly lines. They also hoped to coordinate and facilitate easier channels of communication between Boeing staff and suppliers.
Information technology within the organization was decentralized and over 400 systems were being used to meet the needs of various departments.
Relationships: According to The CEO of Airbus( Noel Foregeard), the process of diversification was demoralizing for Boeing employees. Boeings vice-president of marketing contradicted Foregeard and said “what affects morale right now is that we are in a down cycle” (Palmer, 2009). Regardless of why the employees morale was low, Boeing had to take steps to rectify it. Rewards: There isn’t anything annotated in the case study about incentive for employees. Management has recognized that morale is low and they are working the issue.
Leadership: Harry Stonecipher came on as the new chief operating officer of Boeing. The first decision he made was to produce the 7E7 jets. He also promised to work closely with the unions that the low morale is reversed and that the planes are produced at a quicker pace and for less money.
Helpful mechanisms: The had a shaky relationship with their suppliers. In order to regain their trust, Boeing implemented a Web-based procurement system that allows suppliers to monitor stock levels and replenish supplies when they dipped below a predetermined minimum.
2. Explain the Boeing situation in terms of your selected model.
The model can be used to help identify what needs to be realigned to improve performance, or to maintain alignment (and performance) during other types of change. Boeing was in need of a strong board and a rejuvenated culture. They lost their competitive advantage and they...