Why Did Boeing Decided To Extensively Outsource Its Production?

Why did Boeing decided to extensively outsource its production? What are the benefits to Boeing from outsourcing?
Boeing decided to outsource its production to maintain relations with foreign customers. Boeing realized that 80 percent of their customers were foreign airlines, and in order to nourish their business relationship they started outsourcing to those countries, with the hope that sales will remain stable or possibly increase. Moreover, they wanted suppliers who were the best in the world in a particular activity or component. Lastly, Boeing wanted to eliminate the costs of risks and costs associated with developing production facilities. Boeing benefits included lower costs in production, maintaining production facilities, strong
Their global outsourcing strategy meant that parts will be received at later times than anticipated, which slowed down assembly and crucial sales deadlines,. For instance, Boeing had to push the delivery date on the first 787 jet had to be pushed back for four years. Second, suppliers often made mistakes and the parts did not fit together which additionally slowed production. Lastly, since assembly production was slow the company had trouble meeting deadlines and was forced to pay million dollar fees to compensate. A major risks of outsourcing, was loosing expertise in part production, since they spent years outsourcing it meant that they did not have the skills or technology that would otherwise provide them with a competitive
According to a report, employees were paid a minimum of $50 a month, force to work overtime, and the dormitories were in poor living conditions. As a result Apple audited the subcontractors operations, but appears as if they failed to communicate, and instead the managers at Hongfujin--the subcontracting company being audited, filed a defamation lawsuit against the journalists. In order to avoid ethical issues or mismanagement issues, Apple needs to enforce strict labor standards with its subcontractors, moreover, oversee production, working, and living conditions. Furthermore, the lawsuit appears to be an intimidation tactic, Hongfujin should have waited for Apple’s report to be completed and then plan an action to improve conditions for its employees then follow up with issuing a face-saving