of Oxford College – Blackbird Leys Campus











Business Activities and Trade Considerations

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business functions and trade considerations that help engineering organisations














4: Applied Commercial and Quality Principles in Engineering




















The Boeing
787 Dreamliner is an American mid-sized aeroplane with a twin-engine jet
airliner made by Boeing commercial airplanes. They decided to focus on creating
additional value for its customers (airlines) and their passengers by
developing an inventive aircraft which was designed to improve the passengers
travel experience by redesigning the infrastructure of the aircraft to offer a
luxurious setting.



When they
were manufacturing the Boeing 787 they chose to get subcontracted to work on
various parts of the body on the plane. 
They decided to build the plane this way as the assembly line would be
simpler and the cost of the inventory would be lower. Having pre-installed
systems reduced the final assembly time by three-quarters to three days. The
parts of the plane were made in many countries. Such as Japan (Central
wing-box, Korea, India (software development), France (passenger doors), United
Kingdom (landing gear) and many more countries contributed to the development
of the Boeing 787. Boeing 787 first airframe which was overweight with the
first aircraft being 5,000 lb (2,300 kg) heavier than specified. The
aircraft contain 50% composite material (carbon fibre reinforced plastic) 15%
aluminium and 12% titanium. Some parts of the plane were redesigned to include
more use of titanium to lower the overall weight.


Chain Management


creating the Boeing 787 they decided to use an unorthodox supply chain design
to build the Dreamliner as fast as possible. They had a team of experts to
carry out this role so when things didn’t go to plan they would have a solid
contingency plans to mitigate the impact of different types of risks. The
supply chain management spent more of their effort on evaluating each
supplier’s capability on their ability to execute their task. Spending extra
effort evaluating suppliers enhanced communication and reduced the risks of
potential delays. Therefore, the Boeing 787 didn’t suffer from a major delay in
development time.


and Sales


The Boeing company is known to most of us around the world as one
of the leading manufacturers of commercial airplanes. Not many people know that
Boeing is also a leader in space technology, defence aircraft and systems, and
communication systems. Their advertising campaigns shows the world that they
are capable of manufacturing commercial airplanes and aerospace technology. Even
though the Boeing company knows most of the people watching advert on tv can’t
afford the plane. They do this to get competitive advantage over other big
companies such as Airbus, Cessna, Embraer and many more. When they advertise
they are normally looking for:


Stock – Helps
drive investor interest.


Valuation – By advertising it rises the overall value of the company.


Politics – They
drive the public towards their idea and get the votes they want when a public
election happens (presidential election or prime minister election)


Recruitment –
This is an effortless way to show potential candidates how big of a company
they are and the projects they are running.


Control – When there is bad publicity towards a company, they often come out
with an advert that shows them taking steps to improve themselves.





Boeing have a 24/7 Customer support which includes: Field
Services, Fleet Health, Operations Centres, Technical Experts and Instant
On-Line Access. Each department have skilled individuals making sure that all
flights that take off are safe to be in. Having a solid customer service gives
Boeing a competitive advantage over other companies as potential clients would choose
because of how reliable they are.


Field Services –  They have
330 Boeing field service representatives always on-site.


Fleet Health – They monitor the performance of each Boeing plane
to predict faults and prevent equipment failures before they occur.


Operations Centres – They have their customer service open 24/7 a
day and 365 days a year.


Technical Experts – They provide customers with updated and
accurate information to help them efficiently maintain their fleets.


Instant On-Line Access – This is a place where all the public
documents of Boeing are kept and is visited by more than 44,000 people.

Boeing also
have a page on their website where they welcome customers to give their
feedback about anything. This will give them an advantage over other companies
as it will give them an understanding of what areas they need to improve. On a
different page there’s a commonly asked questions answers. This is helps the
company focus on the questions that aren’t being frequency asked, rather than
keep answering the same questions. By having this page, it allows the customer
to get their answer quicker than having to wait for a response by the Boeing




Resource Management


Boeing 787 Dreamliner was created amongst several different
countries and fully assembled in Everett Factory in Everett, Washington. The stock control
was organised as the stocks were made in different countries. Each country
would only have the materials that would correspond with their part of the
plane. They spent a total of $260 million to build the plane. This money was
spent on materials, wages etc.


Human Resource Management


This department is responsible for the development of employee
training and education. Most of the training is done through a series of
processes. This develops employees work related skills. Boeing is one of the
biggest leading aircraft manufacturers. They realise the importance of training
and development. Their program consist of individual development and group
development as team work is essential as they are dealing with highly
complicated technology. Boeing have two types of training within their company.
First type of training is an off-site program which is commonly referred to as
learning together program. This type of training is for those who are taking
higher education. The other type of training is called on-the-job this is given
to those who have just entered the company or department. For this period the
employee is normally given a mentor to help them out. This training also
develops good relationships between employee and employer.







Staff Recruitment


There are many career options within Boeing which includes:
Business, Cybersecurity, Data Science and Analytics, Engineering, Information
Technology and Manufacturing. There’s something for everyone, not everyone who
is working with Boeing is flying aeroplanes. 



Business –
Boeing has a large citizenship program in five main areas: education, health,
human services, environment, the arts, culture, and civic engagement.


– They use a passive network monitoring system, Boeing have a solution that
rapidly identifies network threats without disruption to network operations.
Having more people recruited as a Cyber Security technician they can identify
and resolve threats quicker.


Data Science
and Analytics – Their job is to translate the numbers into English, so they can
take the data and use it to help Boeing make better business decisions.


Engineering –
Electronic & Electrical Engineering, Flight Engineering, Materials Process & Physics, Mechanical
& Structural Engineering, Production Engineering, Software Engineering,
Systems Engineering and Test & Evaluation. Becoming an engineer at Boeing
gives you the opportunity to apply principles of science and mathematics to
develop economical solutions for Boeing. You will use your skills to make sure
Boeing meets social standards and consumer needs.


Manufacturing – Their job as a manufacturer is to create new
additions to Boeing and planes, ensuring that the aerospace products they make
are safe to be used by customers.



Boeing also have a Business Intern
Program which is a 12-week program that involves working on projects with
different areas like Finance, Supply Chain Management, Business Operations and
Human Resources. Boeing have included extra activities like site tours,
community involvement, networking events and conferences to further the
development of the individual. This opportunity can be found on their website: http://www.boeing.com/careers/college/business-internships.page



Staff Management


The management within Boeing has a
job to understand everyone has diverse needs and that everyone should be
treated equally. They are also responsible for the development of their workers
by giving them the correct training and ensuring that all staff have continuing
professional development opportunities. Also, Boeing normally promote from
within the company which means its hard to come into the company and start from
the top. This way they give their current staff an advantage over others. By
doing this they are giving their workers an end goal.



In 2016 Boeing estimated that they
were going to make $29 Billion. By late 2016, the combined total of deferred
costs exceeded $33 Billion. This happened because they were able to increase
the number of planes they were creating every month. From creating three in
2011, they surprisingly created 46 in the following year. At the end of 2016
they managed to build 500 Dreamliner’s. That’s nearly 41 jets per month. In
2017 Boeing revealed that the revenue that they accumulated was between $90.5
Billion and $92.5 Billion.  


In Q1 of 2016 Dreamliner program
had $28.65B, this happened on the 393rd delivery of the jet. The
reason why Boeing was struggling to make profit on the Dreamliner was because
they were roughly losing $73 million on each plane they delivered. However, as
time goes on Boeing is creating their planes for cheaper compared to Airbus and
are improving their Profits by delivering more aircrafts


Boeing’s Competitors


Boeing work with suppliers from different
countries to develop technology and different design concepts.

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