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Category Boeing

Additional Delays Cripple Boeing’s Strategy and Finances

With announcements of another 787 and another 747-8 delay this week, the credibility of Boeing being able to deliver on its promises has taken another hit -- and leaves folks wondering if these aircraft will enter service in the first quarter of 2011. The additional costs from delays and corrective measure threaten profitability and the timing of 737 and 777 replacement/enhancement programs, eroding Boeing’s future competitive position.

747-8 delay illustrative of program problems

The news that the head of the troubled Boeing 747-8 program, Mohammad “Mo” Yahyavi, was removed August 27 is long overdue and only endemic of the slow pace at Boeing to address and correct program difficulties. Inexplicably, Boeing CEO Jim…