2. Problems Encountered
Larson and Gray(2014) identifies the scope as being the final deliverable for the customer upon project completion. In the case of the 787, this would comprise the fuel-efficient jet body coupled with twin engines, technical systems, batteries, and landing gears. Technical requirements form part of the scope, including specifications such as the weight and materials used.
Milestones are also identified to estimate the time necessary for major parts of the project to be completed. The entire project was forecasted to cost $6billion, and have its duration shortened to four years owing to the radical outsourcing model adopted(Tang and Zimmerman, 2009).
Nonetheless, various issues have surfaced over the lifespan of the project. Firstly, technical specifications were were not met. As highlighted in the case, 'the first six 787s were overweight' and this would have an impact on the fuel efficiency. Additionally, the final deliverable was fraught with problems, including automatic landing gear failure, battery overheating, and consequent electrical problems. Owing to a multitude of supply chain and technical issues, the project was delayed and behind schedule by three years ...
... middle of paper ...
...ion, New York: McGraw-Hill Education
Olsson, N.O.E., and Magnussen, O.M. (2007): 'Flexibility at Different Stages in the Life Cycle of Projects: An Empirical Illustration of the Freedom to Maneuver', Project Management Journal, 38(4): 25-32
Tang, C.S., and Zimmerman, J.D. (2009): 'Managing New Product Development and Supply Chain Risks: The Boeing 787 Case', Supply Chain Forum: An International Journal, 10(2): 74-86
Thamhain, H. (2013): 'Managing Risks in Complex Projects', Project Management Journal, 44(2): 20-35
William, T., Klakegg, O.J., Walker, D.H.T., Anderson, B., and Magnussen, O.M. (2012): 'Identifying and Acting on Early Warning Sign in Complex Projects', Project Management Journal, 43(2): 37-53
Winch, G.M. (2013): 'Escalation in Major Projects: Lessons from the Channel Fixed Link', International Journal of Project Management, 31: 724-34
Need Writing Help?
Get feedback on grammar, clarity, concision and logic instantly.Check your paper »
- In order to reduce the development time for the aircraft, Boeing decided to follow a modified, Toyota style, multi-tier supply chain model. The company wanted to play a role of systems integrator, rather than that of a manufacturer in the production of 787 Dreamliner. Boeing found itself underprepared to manage such a complex supply chain model. A number of issues like delays in production, poor quality control, improper coordination among suppliers, mismanagement of subcontractors, disgruntled employees and production related issues were rampant.... [tags: aircraft, boeing, outsourcing, dreamliner]
3098 words (8.9 pages)
- INTRODUCTION TO THE REPORT Boeing 787 Dreamliner was first announced to the public in January 2003 with approximated costs of five billion dollars , since the sales of the aircraft were high it was supposed to enter commercial service during 2008 but the building up of aircraft seemed more anticipated than expected , since the management decided to use composite materials as an alternative for traditional metals as composite materials are lighter , stronger , cheaper and also resistance to wild variety of chemical agents including acid rain and salt spray as these are the conditions under which metals suffer , Boeing also shared their views in development of air craft with suppliers which... [tags: Boeing Case Study]
1082 words (3.1 pages)
- BOOK REPORT BOEING VS AIRBUS BY JOHN NEWHOUSE This book by John Newhouse provides an exhilarating account of the competitive battle between the world's dominant commercial aircraft manufacturers. In the Aviation Industry, there have always been various airframe producers which where competing against each other. Throughout the years, two of them gained the majority of the market share. It encompasses two of the biggest companies in the world, going to extremes to finalize sales, and more importantly, to gain a higher percentage of the market share and outmaneuver the other.... [tags: Boeing vs Airbus John Newhouse Book Review]
1729 words (4.9 pages)
- Boeing is the largest aerospace company and the largest manufactor of commercial and military aircraft in the world. Boeings military aircraft come equipped with missiles, satellite, launch vehicles and advanced information and communication systems. Boeing is the number one U.S. exporter when it comes to sales. Boeing’s management must understand the importance of the legal, ethical and social responsibility of their organizations. All of the above mentioned will have an effect on the planning function of management.... [tags: Business Analysis Boeing]
1097 words (3.1 pages)
- ... "And the 787 is a top-notch product that airlines need to help them cut costs" (La Monica (CNN), 2013). Boeing’s stock is near the highest it has ever been. The Boeing Company clearly outsteps its peers in investment profitability. According to many investors, Boeing is more profitable that competitors such as Airbus, Lockheed Martin Corp., and Northup Grumman. “Unless something horrific happens to a Dreamliner, it seems unlikely that the stock is going to slow down any time soon” (La Monica (CNN), 2013).... [tags: financial and business analysis]
2325 words (6.6 pages)
- The 787's supply chain was also targeted to spread the financial risks of development to Boeing's suppliers. Transformational Outsourcing Boeing’s 787 design and development was truly a transformational outsourcing project. Boeing set out to create a new product, which was significantly different from what the company had been producing. Through this project, it aimed at creating a new business model for sourcing, assembling and producing aircrafts. Boeing aimed at decentralizing the design and manufacturing of 787 Dreamliner.... [tags: boeing supply chain, aicraft, 787 dreamliner]
1647 words (4.7 pages)
- As with any business model, the aerospace industry strives to lower costs and increase profits. With this objective in mind, the practice of outsourcing has become increasingly popular. The concept of outsourcing the manufacture, production and design engineering to low-cost countries in order to reduce cost and increase profits has, in some cases resulted in the opposite effect. This study will explore the Boeing Airplane Company’s attempt to utilize the outsourcing method for its new 787 Dreamliner program.... [tags: history, expectations, network]
2384 words (6.8 pages)
- Introduction The Boeing aircraft company has a long history for creating commercial and military aircraft that are used throughout the world. It is considered to be the most prevalent aerospace company in existence today and employs thousands of workers in many different countries. Throughout its history, Boeing has produced some of the most popular aircraft known today. Possibly the most notable being the 747, which when first revealed was the largest commercial aircraft in existence. Other companies often benefit from Boeing’s existence, one example being General Electric, which supplies engines for aircraft such as the 777.... [tags: Aviation ]
1251 words (3.6 pages)
- The new Boeing 787 is the first all new jetliner built by the company in many years. As with any new product there have been great leaps in technology. I will discuss these advances, potential costumers, sales, competition and much more. There are three planed variants currently under development, the 787-3, 787-8 and the 787-9. Each has different range, size and passenger capability. The 787-3 will carry 290-330 passengers approximately 2500-3000 NMI (nautical miles), the 787-8 is set to carry 224 with a maximum of 375 approximately 7600-8200 NMI and lastly the 787-9 will carry 250-290 passengers approximately 8000-8500 NMI.... [tags: Aircraft]
933 words (2.7 pages)
- Boeing and Entrepreneurship Report by Barrington Black – s9303206 Introduction William Boeing was an engineering student whose love of aviation led him to form what is now the largest airplane manufacturer in the world. After making his fortune in real estate he decided that he wanted to design and build better aircraft having not been impressed by the then current models of airplane. The Boeing Airplane Company was established in 1917. Whilst industry consensus had far from confident views of aircraft and it’s place in society, Boeing used his own money to guarantee the wages of his 28 staff and by the end of 1917, with world war materializing, Boein... [tags: essays research papers]
902 words (2.6 pages)