Boeing Internal Analysis

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Boeing Internal Analysis Purpose This report discussed the components of internal analysis, competitive advantage, and strategic competitiveness of Boeing Company. This is done by analyzing the tangible & intangible resources, capabilities, and core competencies in order to clarify Boeing’s strengths and weaknesses. Resources Exhibit 1 Tangible | Intangible | Manufacturing plants | Boeing’s digital design software | Composite and metal materials | Dynamic assembly line | Headquarters building | “Moonshine teams” strategy | Machinery used for lean production | Boeing’s brand name | Financing/ Launch aid from NASA | | Boeing’s newest jet, the 787, is made out of composite plastics and carbon fiber in order to…show more content…
The third core competency is Boeing’s dynamic assembly line. This was a valuable change to Boeing because it reduced assembly time by 50%, or from 22 days down to 11 days. The planes move 80 feet every shift and lights determine the status of the assembly line. Dynamic assembly lines are costly to imitate and rare due to the size of the plant and the components used in order to pull such a large craft throughout the building. The only substitute of a dynamic assembly line is a static assembly line, and the dynamic one performs much more efficiently. Weaknesses * Ineffective top management Boeing was recently faced with the scandals which hurt the reputation of Boeing. The top management recognized the problem and tried to figure it out by effective management strategies. * Outsourcing In 1997, Boeing lost $1.6 billion against their earnings due to problems with the supply of critical components. They had to halt the production of the 737 and the 747. In 2006, suppliers for Boeing’s 787 fell behind schedule which resulted in a delay of production. Value Chain Analysis The industry value chain is the process from the suppliers of the raw material to the end customers who demand the service of transportation. Boeing found itself in the crucial situation of having lost market share to Airbus. Boeing had to act
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