Boeing Case Study

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Case Study Analysis Boeing May 3, 2015 ORGB 2605 Group 5 Wendy McLeod - A00545182 Courtenay Anderson - A00665468 Ana Cielo Tanjuaquio - A00748789 Taylor Nicholson - A00839192 Contents * Overview * Symptoms and Evaluation of Key Factors * Statement of the Problem * Congruence Model * Star Model * Conclusion * Recommendations Overview As one of the highly regarded manufacturers of aircraft, we look into the problems that Boeing had to overcome in terms of implementing drastic changes within the company and the merger that dealt with integration issues. Symptoms and Evaluation of Key Factors * Loss of market share * Merging of two different cultures * No strategic plan as to how they were going to get to a certain goal. The focus was based on production and costs, “not on airy vision statements” * Low moral * Lack of faith by the community and stockholders * Lack of communication within the organization * Unprepared for the encroachment of Airbus into their market share Statement of the Problem Boeing was not strategically prepared for the market intrusion of Airbus, nor with trying amalgamate two different cultures, with the takeover of McDonnell Douglas. Analysis * not centralizing IT systems to be used * not developing an effective transitional plan with the purchase of McDonnell Douglas * lack of planning when doubling their production capabilities which resulted in a loss of 20 production days Congruence Model In reference to the congruence model we see Boeing, who had been a leader in the aeronautics industry, falter when they failed to keep strategically current in production and information systems as well as when faced with competition. With Airbus taking over market share Boeing reacted without forethought and without forming a strategic plan. Boeing failed

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