Case Study “Philip Condit and the Boeing 777: from Design and Development to Production and Sales”
Case Study
“Philip Condit and the Boeing 777: From Design and Development to Production and Sales”
12/13/2010
Contents:
1. Executive summary 3
2. Problem statement 4
3. Data analysis 4
4. Key Decision Criteria 5
5. Alternatives Analysis 6
6. Recommendations 7
7. Action and Implementation Plan 7
8. Conclusion 9
Executive summary
The case study „Philip Condit and the Boeing 777: From Design and Development to Production and Sales“ deals with the launch and development key points of the Boeing 777 model in the 90s.
Generally, the aircraft industry is described as a very risky one as failure is the norm due to high product development costs. Furthermore it consists of a rival duopoly of the survival jet makers Boeing and Airbus.
The Boeing company’s history of producing jets can be split into two eras. In the 1920s, 1930s and during Worlds War II., it was a military contractor producing bombers and fight aircraft. Later on, in the 1950, Boeing became the world‘ s largest manufacturer of commercial aircraft. Their first jet was the 707 model. Although Boeing was very successful, Airbus remained a serious rival.
In 1988, Boeing planned to upgrade the 767 model in order to meet the level of Airbus‘ competition which launched two new models. As Boeing had no 300-seat jetlines, nor plans to develop such a jet, the Executive Vice President Philip Condit proposed to design a 767 double-decker jet. To explore the risks, he tried to find out if the customers were interested in such a launch. But United Airlines rejected the idea of a 767 double-decker, as it had no chance against Airbus‘ new model transports. Instead, Condit was won over to develop a completely new commercial Boeing jet which would be called the 777 project.
One of the main characteristics of the Boeing 777 jet was that it was a consumer driven product. In order to decrease the risk of developing the new jet, Boeing approved the project only until it
“Philip Condit and the Boeing 777: From Design and Development to Production and Sales”
12/13/2010
Contents:
1. Executive summary 3
2. Problem statement 4
3. Data analysis 4
4. Key Decision Criteria 5
5. Alternatives Analysis 6
6. Recommendations 7
7. Action and Implementation Plan 7
8. Conclusion 9
Executive summary
The case study „Philip Condit and the Boeing 777: From Design and Development to Production and Sales“ deals with the launch and development key points of the Boeing 777 model in the 90s.
Generally, the aircraft industry is described as a very risky one as failure is the norm due to high product development costs. Furthermore it consists of a rival duopoly of the survival jet makers Boeing and Airbus.
The Boeing company’s history of producing jets can be split into two eras. In the 1920s, 1930s and during Worlds War II., it was a military contractor producing bombers and fight aircraft. Later on, in the 1950, Boeing became the world‘ s largest manufacturer of commercial aircraft. Their first jet was the 707 model. Although Boeing was very successful, Airbus remained a serious rival.
In 1988, Boeing planned to upgrade the 767 model in order to meet the level of Airbus‘ competition which launched two new models. As Boeing had no 300-seat jetlines, nor plans to develop such a jet, the Executive Vice President Philip Condit proposed to design a 767 double-decker jet. To explore the risks, he tried to find out if the customers were interested in such a launch. But United Airlines rejected the idea of a 767 double-decker, as it had no chance against Airbus‘ new model transports. Instead, Condit was won over to develop a completely new commercial Boeing jet which would be called the 777 project.
One of the main characteristics of the Boeing 777 jet was that it was a consumer driven product. In order to decrease the risk of developing the new jet, Boeing approved the project only until it