Boeing by Kevin

Boeing by Kevin https://padlet.com/heffernank4/8yehvov9u89 Global Markets en-us 2018-11-28 11:10:17 UTC 2025-12-12 14:34:44 UTC hello@padlet.com Russia https://padlet.com/heffernank4/8yehvov9u89/wish/308710038 Having a globally dispersed supply chain can prove a challenge especially when meeting deadlines and promising your consumers a date. Boeing had an issue with the supply of "special fasteners".
Other than this key partners couldn't match up to the delivery schedule, having facing issues of their own. E.g. their Italian supplier had to build a new factory which in turn created delays for Boeing.
The supply chain can be difficult to manage as vought one of their 'outsourcees' was also outsourcing to an israeli company who didn't report any incidents to boeing.]]> 2018-11-28 11:20:32 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308710038 Valerie https://padlet.com/heffernank4/8yehvov9u89/wish/308711678 •to reduce the risks with technological factor
•cost optimisation - partners contribution in development
•access to expertise
•bulky production on multiple locations - cut down the production time from 6 years to 4 years

]]> 2018-11-28 11:26:19 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308711678 Russia https://padlet.com/heffernank4/8yehvov9u89/wish/308711959 One of the benefits was that different companies were working on different parts, that way in theory would be more efficient since more than one company is working on certain sections of the
aircraft and could focus better, rather than one company doing all
the work. Outsourcing is also done to save on labour costs.]]> 2018-11-28 11:27:16 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308711959 w1392979 https://padlet.com/heffernank4/8yehvov9u89/wish/308712051 Although Boeing remains committed to its outsourcing programme, the company has realised the issues with outsourcing 70% of their supply chain. In turn, Boeing signaled it will not outsource key components that are seen as a competitive advantage, such as wings.
The company has also learnt that in order to successfully oursource work, much closer management oversight and coordination is required.
This learning curve for Boeing will allow the company to reduce risk by
1. micromanaging the outsourcee's
2. Keep the manufacturing of key components to themselves.]]> 2018-11-28 11:27:31 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308712051 https://padlet.com/heffernank4/8yehvov9u89/wish/308712062 Boeing wanted to benefit of outsourcing by reducing its risk and get access to expertise, no matter where in the world this might be, reducing overall production costs.

]]> 2018-11-28 11:27:32 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308712062 https://padlet.com/heffernank4/8yehvov9u89/wish/308712281 There are many risk associated by outsourcing to this amount of different countries at once

· Will the local suppliers be able to meet Boeing’s deadlines?

· Cultural conditions -

· Location – will the supplier have working factories or will they have to build new?

· Safety – will the suppliers meet Boeing’s safety requirements?

]]> 2018-11-28 11:28:25 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308712281 https://padlet.com/heffernank4/8yehvov9u89/wish/308712674 one of the benefits was
- to reduce the risks associated with the technological gamble Boeing
- to save valuable time (during the making process)
in addition boeing believed that it could tap into the expertise of the most efficient producers, wherever in the world they might be located.

]]> 2018-11-28 11:29:51 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308712674 Chotchanok https://padlet.com/heffernank4/8yehvov9u89/wish/308712953 The benefits of outsourcing are present as many of the components of the aircraft required high quality and specialised parts . Being to be able to find partners to outsourced who are specialised in their niche helps save the company time by internally producing these necessities and inevitably increasing their efficiency financially as well . In this case Boeing outsourced a total of 70% for their 787 .However the potential risks of this can be that by outsourcing many of their parts could result in a loss in degree of control as the business would have to spread their resources and work force to control . Without doing so could affect the fluidity of production with examples of the case showing parts not being on time or standard (Israel) or at the same time carelessness resulting in a delay in work with the language issue from Italy as an example .]]> 2018-11-28 11:30:49 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308712953 https://padlet.com/heffernank4/8yehvov9u89/wish/308713310 Boing can benefit with lower manufacturing costs and save time (during the process) (from 6 years to 4).]]> 2018-11-28 11:31:58 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308713310 https://padlet.com/heffernank4/8yehvov9u89/wish/308713338 The core issue was the fact that key partners weren’t able to meet Boeings strict delivery schedule

· Boeing decided to outsource to suppliers, who then decided to outsource meaning the supply chain got more complicated

]]> 2018-11-28 11:32:04 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308713338 Russia https://padlet.com/heffernank4/8yehvov9u89/wish/308713815 Having faced these issues Boeing can do a number of different tasks to help prevent these issues in the future.
Having a closer management style and co-ordination with their outsourcees can allow them to understand any implications which may occur.
Boeing has signalled 'it will not outsource key components that are seen as a competitive advantage' this will allow them more control over the predicted time frame of when they will be able to release their product and potentially less issues their current outsourcees may be facing. ]]> 2018-11-28 11:33:24 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308713815 https://padlet.com/heffernank4/8yehvov9u89/wish/308714248 The risks were the fact that by outsorcing sometimes the suppliers can't meet the deadlines or worse they sent parts not properly fixed and not in line with quality standards. In consequence these issues cause late delivery for leading customers and million dollars of penalty]]> 2018-11-28 11:34:46 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308714248 https://padlet.com/heffernank4/8yehvov9u89/wish/308714297 - Closer management – will be able to keep control with the outsourced activity
- Make use of fewer locations, however this will mean that Boeing won’t be able to optimize their value chain as wanted ]]> 2018-11-28 11:34:55 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308714297 Valerie https://padlet.com/heffernank4/8yehvov9u89/wish/308714482 •Delays due to loss of managerial control
•lack in quality control
•addition expenses - development cost and penalties for the delays of the delievery to the customer (damaging the brand image and reputation)

]]> 2018-11-28 11:35:31 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308714482 Russia https://padlet.com/heffernank4/8yehvov9u89/wish/308714839 Many different companies under different management, since the
number of outsourcees was too large, it won't be easy to organise and manage them all when it comes to things such as meeting the delivery deadlines and quality
standards.]]> 2018-11-28 11:36:41 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308714839 w1392979 https://padlet.com/heffernank4/8yehvov9u89/wish/308715432 Yes.................. Regardless of the job types that are being exported overseas, jobs are still being taken away from the country. Comapnies like Apple outsource mainly low level jobs, so there is an argument for outsourcing, as not many american citizens would take the jobs. However, in Boeing's case, all types of jobs are being outsourced. A lot of these jobs would be taken in the USA. This is backed by looking at where Boeing outsource, most of the jobs are not being exported to developing countries, rather developed. ]]> 2018-11-28 11:38:36 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308715432 Chotchanok https://padlet.com/heffernank4/8yehvov9u89/wish/308715709 As stated previously it seemed that Boeing had a lack of control over their outsourcee resulting in the issue with their supply chain . The causes occurred due to a lack of communication between the outsourcer and the outsourcee. A major problem occurring as the outsourcee further outsourced their assigned task , with it not being up to the Boeing standard resulting in a disruption of the supply chain , causing a delay in the finishing of the final product . To prevent problems like this happening in the future Boeing should take more care towards who they outsourced , potentially employing individuals to properly overlook and stay updated with the outsourcee to ensure the best result for both. Upon looking at the case study it’s also stated that Boeing agreed of going too far for a Outsourcing and because of this reinforced the previous point made of ]]> 2018-11-28 11:39:34 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308715709 https://padlet.com/heffernank4/8yehvov9u89/wish/308716084 Both yes and no. The criticism is fair when looking at the core action – yes Boeing closed manufacturing sites, meaning that many jobs was lost. However in other companies, such as Apple, the jobs that have been outsourced, are jobs that many Americans would't do them selves.]]> 2018-11-28 11:40:51 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308716084 Valerie https://padlet.com/heffernank4/8yehvov9u89/wish/308716431 As the Boeing remains committed to its outsourcing programme , it means benefits do outweigh. However, it is more likely to affect brands reputation dramatically. ]]> 2018-11-28 11:41:59 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308716431 https://padlet.com/heffernank4/8yehvov9u89/wish/308716922 yes, I think that in this case the benefits outweighed the risks because it's true that Boeing had to face with several issues during the development of the project of the Boeing but it's also true that they figured out how top solve them by keeping using the ousorcing strategy and now Boeing is one of the most successful company in the aircraft industry.]]> 2018-11-28 11:43:43 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308716922 Russia https://padlet.com/heffernank4/8yehvov9u89/wish/308717029 Outsourcing is the direction Boeing had decided to take of course it is an American company however they decided to minimise the title by benching out to other nations expertise.
Is this bad for usa jobs? Yes and no.
Yes because having outsourced to other nations they have created jobs for other countries however in doing so there are less jobs for 'boeing' in the US. Even so, Only 70% of the content for their new model.
After the incident of 2007/2008 they may create further jobs in the USA by changing their outsourcing method, from out tasking to managed services allowing them to oversee in more context ]]> 2018-11-28 11:44:05 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308717029 Valerie https://padlet.com/heffernank4/8yehvov9u89/wish/308717122 Supply chain problems occurred due to lack of managerial control , as the production was at multiple locations. The problems with supply of special fasteners led to the loss of $2b ]]> 2018-11-28 11:44:31 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308717122 https://padlet.com/heffernank4/8yehvov9u89/wish/308717755 They spend $2b more because of delay, because suppliers couldn’t meet the schedule. Probably, they will spend even more for late delivery to their customers.

]]> 2018-11-28 11:46:33 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308717755 https://padlet.com/heffernank4/8yehvov9u89/wish/308717818 First, Boeing should discuss with suppliers if their needs meet supplier’s opportunities. ]]> 2018-11-28 11:46:44 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308717818 Russia https://padlet.com/heffernank4/8yehvov9u89/wish/308717909 It appears that they do, since even though it took a longer time than
predicted they still ended up saving time on the manufacturing
proccess, it's definitely worth it. They just need to keep the
delivery dates realistic and management tighter.]]> 2018-11-28 11:47:06 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308717909 https://padlet.com/heffernank4/8yehvov9u89/wish/308717931 There is possibility that suppliers won't meet the schedule, the quality won’t be as good as expected and work can be done in the wrong way]]> 2018-11-28 11:47:12 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308717931 w1392979 https://padlet.com/heffernank4/8yehvov9u89/wish/308717934 Boeing need to make money, just like all companies, who also outsource. The company had made over $100 billion from the 770 alone by 2007. ..

How the money brought in by Boeing is spent would be the companies best way to respond. This money would have to be reinvested into the country, and have to benefit the USA.
T

]]> 2018-11-28 11:47:12 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308717934 https://padlet.com/heffernank4/8yehvov9u89/wish/308718264 When flying, safety is the most important factor. Outsourcing allows Boeing to place value chain activities around the world, with access to expertise in the different activities leading to better safety, as the local companies will have know-how.]]> 2018-11-28 11:48:31 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308718264 https://padlet.com/heffernank4/8yehvov9u89/wish/308718630 one of the biggest causes was the loss of managerial control and the fact that Boeing faced major problems in terms of quality and delay caused by the italian company Alenia which decided to build a new factory that takes a lot of months to be built and several delays in the supply chain production. Furthermore when Alenia sent the product requested to Boeing it has been discovered that the section did not meet the required quality standards ]]> 2018-11-28 11:49:45 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308718630 Chotchanok https://padlet.com/heffernank4/8yehvov9u89/wish/308720442 The case of outsourcing can be a very hard to debate on which side of the usage is fair . This can be boiled down to the needs of the people involved . Business would want to be as cost effective towards producing their products to gain competitive advantage. Doing so requires specialised individuals who can effectively fill in the needs of the business. At the same time this could cripple the business’ image as as the criticism states; not everyone wins from this mentality . Many people loose their opportunity for jobs to others can be seen as unfair but within the perspective of the business , it is understandable as this is in order for them to become as efficient for their service as possible . For the case of those who loose or unable to get jobs . It may be possible to state that it’s due to their lack of skills for this specific job as there are those better at it or at the same time however , Boeing stated that there will be a reduction in outsourcing which would increase the potential for job availability for these Americans and to also decrease the uneasiness from these potential employees as well. At the same time giving them more control over the product as they do not need spread themselves too thin as there is less out sourcing

]]> 2018-11-28 11:56:48 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308720442 https://padlet.com/heffernank4/8yehvov9u89/wish/308720609 Company could confess that they exporting jobs overseas, but the good point is that it helped the company to share the financial risks with suppliers. If Boeing would fail, it could hurt the US economy.

]]> 2018-11-28 11:57:17 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308720609 Russia https://padlet.com/heffernank4/8yehvov9u89/wish/308720635 Thanks to outsourcing and having access to other experts from all over they were able to build more efficient aircrafts, lighter, that use less fuel, they also made the planes more comfortable, bringing benefits to both the consumers (passengers), and the airline companies]]> 2018-11-28 11:57:25 UTC https://padlet.com/heffernank4/8yehvov9u89/wish/308720635