Ideal response to this discussion post?
There are many benefits to outsourcing design and manufacturing. First of all, outsourcing limits the cost of production significantly. By outsourcing Boeing can find cheaper alternatives to building a plane in separate segments and places. Like we saw with Coca-Cola, it is better to focus on one idea at a time rather than multiple different projects at the same time. Outsourcing also allows a plane or project to be finished in a quicker manner as there are many different people in different places working on the same plane that specialize in that specific part of the project.
The difficulty with Boeing is that they outsourced too much. they worked with “50 suppliers on four continents” this makes it hard for Boeing to monitor projects and communicate and coordinate with one another regarding projects. This lack of communication has caused Boeing to be unaware of many issues with their suppliers and mistakes on their planes. Design and integration are taken very seriously with planes as they have to be flawless due to the possible risks they carry.
I think Boeing should learn that they made the mistake of outsourcing too much. They need to stay more connected in the future and be more knowledgeable about what is going on with every project. It is very important for a company to be interconnected with their suppliers and for them to be on the same page together. This will limit the amount of mistakes Boeing will commit and will allow them to be more successful.
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