Case Study: Boeing
Case Study about Boeing. Questions: I think that there are two diagnostic models that provide a framework that succinctly identifies the key factors at the center of the Boeing situation : the 7-S framework model and the Six-Box organizational model .
Based on these two models, we can more easily assess the internal situation of a company. First of all the 7-S model is based on seven major elements such as: Strategy, Structure, Systems, Style, Staff, Skills and subordinate goals.
Boeing has therefore seed this 7-S Framework In the following manner by using for major elements: – Strategy: Boeing’s strategy was to update Its technology systems. Then streamline their operations and Improve their relationships with different suppliers and finally the only chance of reducing various operating costs. – Structure: The trouble of 1 994 was the Airbus. This shocked the management executives and began series changes that were implemented to overcome the bureaucratic structure, outdated technological systems, and unnecessary processes in a company that reportedly changed little since World War II.
Systems: With this element, Boeing decided to create more value for its customers by using the least possible resources. – Style: They wanted to extend their power In order to differentiate themselves from traditional commerce of aviation and that they have made numerous acquisitions in order to create solutions for the enterprise. They also wanted to create a climate of stability for the company by integrating the space industry. – Shared Values: This means the shared values among Boeing Staff.
Indeed, following their diversification into other markets, Boeing employees become demoralized which causes problems in the culture and performance of the company. – Skills: This exposes the different strengths of the company.
Indeed, before launching on other markets, Boeing had to Identify the strengths allow It to be competitive. Staff: Boeing has had various problems with his staff. Indeed, the company felt that tense employees were not succinctly Involved In ten Dustless. On the space market has many demoralized the employees.
Page 1 of 3 I née entry AT Belong Then , the Six-Box Organizational Model provide a framework that identifies the key factors at the center of the Boeing situation. This model is based on six major elements: Purposes, Structure, Rewards, Helpful mechanisms, Relationships, Leadership.
All these elements are very important for the Boeing’s development. – Purposes: Boeing was originally in the area of commercial airlines and has diversified into the aerospace industry and information services. – Structure: Principles of Lean Manufacturing have been used by Boeing.
Their main objective was to implement an automated system of assembly lines. They also try to coordinate and facilitate communication channels between Boeing staff and appliers.
– Leadership: Harry Stonecutter had come as the new chief operating officer of Boeing. The first major decision he made was to start production fee Jets. He also held the promise to work with the unions to produce aircraft faster and cheaper. – Rewards: Boeing’s entry in the space industry has greatly demoralized employees. Indeed, the company should take into account this phenomenon so that it tries to restore this factor in order to develop itself.
Helpful mechanisms: One of the main concerns was Boeing technological placement: in fact, in 2001 , the company wanted to change their operations by adopting a new manufacturing technology. However, the company lacking in collaboration on product. – Relationships: The organization of the modern enterprise seeks to diversify its business culturally. However, there are problems facing this diversification: in fact, ethics is different depending on the country and an adaptation time is needed. 2. These models are used to determine what needs to be reorganized to improve business performance in various changes.
Boeing was facing to different problems. Firstly the company needed a board of directors and had a duty to renew its culture. Then they lost their advantage against the competition and therefore had find a way to become competitive again. These models allows to analyze how the company is positioned to achieve its different goals. Walt tense models, ten company can Improve It performance : Inane, It snows want they need to do to improve themselves.
Then, they can examine the likely effects of future changes within a company : this allows to analyze the situation and be able to make changes that will benefit later in he company.
Determine how best to implement a proposed strategy: From this point, the company will arrive to implement a strategy as the best way as possible. Page 2 of 3 Moreover , the use of six box Organizational model allows to the company to measure and determine the appropriateness and effectiveness of various activities within Boeing. Finally, this model can also determine places where the company is faced with difficulties and what means it must put in place so that the company transforms these problems by force to become more competitive. Page 3 of 3
