.excelsior.edu/webapps/assignment/uploadAssignment?content_id=_1904954_1&course_id=_46636_1&assign_group_id=&mode=view”>M6A2 Case Analysis: Building the Boeing 787
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How does a major international company adapt production strategy to enjoy the benefits of globalized production and outsourcing?
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When it comes to production strategy, the choice of an optimal manufacturing location must consider country factors, technological factors, and product factors. Foreign factories can improve their capabilities over time, and this can be of immense strategic benefit to the firm. Managers need to view foreign factories as potential centers of excellence and encourage and foster attempts by local managers to upgrade factory capabilities.
An essential issue in many international businesses is determining which component parts should be manufactured in-house and which should be outsourced to independent suppliers.
In doing this Case Analysis, you will analyze the challenges faced by Boeing’s management, and come to appreciate them.
As the basis for the Case Study analysis:
Read Chapter 17 of the text.
Reflect on the Closing Case on page 668 in the Part 6 Cases segment.
The closing case explores Boeing’s strategy for its new 787 aircraft. As Boeing made the decision to outsource much of the production of the 787 in the hopes of significantly reducing the time to get the product to market, it also anticipated that its outsourcing strategy would allow it to generate additional sales from the countries that were partners in the process, and reduce its costs and risks. While Boeing’s strategy worked for some components, for other parts, the strategy was a disaster. Suppliers were late and some produced poor quality parts forcing Boeing to commit additional resources to the project.
Answer Questions 1, 2, and 3 at the end of the Closing Case on page 668. In addition, answer the following question:
Boeing received a lot of negative press regarding battery-related fires. This issue is now resolved, but to what extent were these problems the result of Boeings out-sourcing strategy?
You may also wish to visit the Boeing website: .boeing.com/”>The Boeing Company .
When ready to turn-in your Case Analysis on Boeing, please attach your Word file by clicking the Add Attachments button, and then the Submit button.
Review the SBT Case Analysis Rubric located in the “Start Here” section of the course for more information on grading criteria.
