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June 14, 2024

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Boeing made major management changes this morning. In the wake of the 737 MAX crisis, Boeing’s CEO, David Calhoun, will step down, and the board chair and head of commercial aircraft will be replaced.

  • Boeing CEO Dave Calhoun will step down at the end of 2024 in a management shakeup.
  • Chairman Larry Kellner is resigning and will leave at Boeing’s annual shareholder meeting in May.
  • Sten Deal, President of Boeing Commercial Aircraft, is immediately leaving the company.
  • The new team will include Stephanie Pope, who will be president of Boeing Commercial Airplanes, replacing Deal.  
  • Steve Mollenkopf, a Boeing director since 2020, will replace Kellner as Chairman of the Board.

 

Stephanie Pope, incoming President of Boeing Commercial Airplanes

In a statement to Boeing employees, Calhoun wrote, “As you all know, the Alaska Airlines Flight 1282 accident was a watershed moment for Boeing. We must continue to respond to this accident with humility and complete transparency. We also must inculcate a total commitment to safety and quality at every level of our company.

The eyes of the world are on us, and I know we will come through this moment a better company, building on all the learnings we accumulated as we worked together to rebuild Boeing over the last number of years,” wrote Calhoun.

This comes after airline CEOs requested meetings with Boeing’s board of directors without Calhoun present in the wake of a litany of quality problems emerging with both the 737 MAX and 787 Dreamliner.

The Bottom Line

Given the depth of the problems at Boeing and Calhoun’s inability to solve them, the management changes are not unexpected. We believed that management changes were imminent and had editorially called for Calhoun’s departure as it became clear that Boeing’s safety culture was not improving.  Culture change is difficult, and I know first hand how difficult that change can be, having once been unsuccessful in that role.  We wish Stephanie Pope and Boeing’s next CEO well as they face a difficult task that needs strong attention.

author avatar
Ernest Arvai
President AirInsight Group LLC

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