Category: Writing

Driving cost out of the supply chain has kept businesses on their toes for the last 30 years, but in doing so many have incrementally increased their exposure to risk; sometimes to catastrophic levels. This may be expected in situations of pure cost reduction with no regard to product quality or service delivery, but even some of the wunderkind of procurement, who recognize that cost reduction can be allied to innovation and competitiveness, have not been immune to this folly. One classic and high-profile case which I’m exploring in this paper is Boeing. With a globe-spanning supply chain, the Boeing 787 Dreamliner became the fastest-selling aircraft in aviation history. Boeing’s share price skyrocketed, and the C-suite received their bonuses. Procurement supporting the business at its best and the work was done, or was it?
Background
On 10 November 2013, a 787 Dreamliner flight operated by Japan Airlines developed a problem with its battery – the latest in a spate of problems plaguing Boeing’s 787 aircraft. A cockpit indicator in the aircraft pointed to a problem with the battery connected to the aircraft’s auxiliary power unit. The 787 Dreamliner was developed by leading airplane manufacturer the US-based Boeing Airplane Company (Boeing). The 787 Dreamliner was Boeing’s modern jet in which the aircraft manufacturer used new technology to cut the cost of fuel used for operating the plane by 20 per cent. To reduce weight and improve fuel efficiency, the aircraft manufacturer used carbon-fibre materials and electronic systems with more powerful generators and higher-energy lithium-ion batteries.
Boeing’s 787 Dreamliner was expected to be a game-changer for the commercial airline industry. According to public sources, although nearly 900 aircraft have been sold, Boeing’s profitability came into question as the organization’s far-reaching global supply chain began to quickly suffer fatigue. The 787 dream was to systematically reduce development time from typically six to four years and cut associated costs from around $10 billion to $6 billion. The result has been catalogued more like a nightmare. The project is reported to be billions of dollars over budget and three years behind schedule.
Let’s examine the back story. Reports say that the 787 was Boeing’s response to losing market share to Airbus in the late 1990s. It decided to innovate with a new aircraft that would generate revenues by creating value for customers in two ways:
• First it aimed to improve the passenger travel experience. Using a composite material in the 787 allowed increased humidity and pressure to be maintained in the passenger cabin, which offered substantial improvement to the flying experience.
• Second, the lightweight composite materials would enable the 787 to fly non-stop to and from anywhere in the world.
At the heart of the problem is Boeing’s mimicry of other organizations ‘best practice’ (supported by experts).
Attachments:
3046833_1_Boeing.docx
3046833_2_Block-chain–Supply-chain-frame-work-Framework.docx

Use this checklist to ensure you have provided what is needed for your Assignment 1 Part B submission. You DO NOT have to submit this Checklist, it is for your personal use only. Remember you can submit your assignment to your class submission box as many times as you like UNTIL the due date and time for submission (Sunday 5 May 2019, 11.59 pm).
? I have read the feedback from my Assignment 1 Part A and made all changes needed to help with this submission
? I have read the marking rubric for this assignment
Title Page (first page)
? I have provided an appropriate title for my report, centred in middle of title page
? I have provided Unit code, my name and Deakin College ID, lecturer’s name, class number, day and time all on bottom left of title page
Page 2 (Executive Summary – approx. 200 words)
? I have provided an Executive Summary
? My Executive Summary provides a summary of the whole report: I have outlined the purposes of my report, explained the research used (I have told readers I used academic text(s) and journals articles, the company website ..) and provided a brief summary of findings for all 4 tasks
? I have used single spacing and 12 point font for my Executive Summary
Page 3 (TOC for Part B)
? I have provided an appropriate Table of Contents for this report
? I have included headings and subheadings for each of the sections and subsections I used for Assignment 1 Part B
? I have used an appropriate numbering system for the sections and subsections of my report
? I have NOT put my Executive Summary in my TOC because it comes before my TOC
? The first entry in my TOC is the Introduction
? My Table of Contents is correctly formatted (leader dots and correct page numbers provided). (NOTE: you can use the automatic TOC in MSWord)
Page 4 (Introduction – approx. 150 words)
? I have provided an Introduction to my Report
? My Introduction provides: a brief background of the organisation, the purposes of my report and the structure or outline my report will use
Pages 5, 6 etc (responses to tasks 1, 2, 3, 4)
? I have provided appropriate headings for each section, and appropriate subheadings throughout my report
? These headings, subheadings, and page numbers match those in my TOC
? I have correctly and appropriately referenced direct quotes, parts of direct quotes and my paraphrased information throughout all task responses using Deakin Harvard Referencing Style
? My Reference List includes all sources I used in my report
Attachments:
2969393_1_Checklist-for-Assignment-1-Part-B-Submission.docx
2969393_2_Deakin-College-Assignment-1-Parts-A-and-B-201901.docx
2969393_3_Topic-6-Guide-for-Assignment-1-Part-B-Tutorial.docx