Management

Near the end of our text, in Ch. 14, there will be content on how we can learn from risk management leaders. These are well thought of profitable companies. Please look at one of these companies and provide a description of it that includes information about their business. Additional information can be found online about based on current events. We are not yet looking at risk management but only trying to gain some general information about them. The paper should be a minimum of 500 words, but not more than 1000 words.

ANSWER

Company Description

The Boeing Company

The Boeing Company is the world’s largest manufacturer of commercial jetliners, space systems, defense systems and equipment, and security systems (Boeing, 2020). Boeing is the largest aerospace company and also provides aftermarket support to its customers. It is the largest manufacturing exporter in the United States and supports airlines and government customers in more approximately 200 countries. The company’s products and services include military aircraft, commercial aircraft, weapons, satellites, electronic and defense systems, advanced information and communication systems, launch systems, training, and performance-based logistics (Boeing, 2020). With a tradition of innovation and leadership in aerospace, Boeing has been expanding its services and product line to meet the everchanging and emerging needs of customers. The company has a broad range of capabilities including developing new, more efficient commercial airplanes, creating advanced technology weapons and technology solutions, designing, building, and integrating defense systems and military platforms, and providing innovative financing and service programs for its customers.

The Boeing Company employs more than 170,000 people across the United States and in more than 70 other countries (Boeing, 2020). It was founded by William Edward Boeing in 1916 and has corporate offices in Chicago, IL. The company’s workforce in all the countries of operation represents one of the world’s most talented, diverse, and innovative workforces. The company enjoys a talented and hardworking workforce in its facilities and a well-established supply chain network worldwide. The company is organized into three major business segments: Defense, Space and Security; Commercial Airplanes; and Boeing Global Services. These business units are supported by a global financial solutions provider, Boeing Capital Corporation. There are also functional organizations that work across the company, focusing on program management and engineering; advanced design and manufacturing systems; technology and development-program execution; safety, quality, finance, and productivity improvement; and information technology. The company’s Commercial Airplanes unit deals with the design, development, production, and marketing of commercial jet airplanes. It also provides fleet support services to commercial airline companies across the world.

The Defense, Space and Security unit conducts research, development, production, and modification of unmanned and manned military aircraft and weapon systems for global strike, including combat rotorcraft aircraft and missile systems; airborne surveillance and reconnaissance, including control and command, battle management, and airborne antisubmarine aircraft; and global mobility, including tanker, tilt-rotor, and rotorcraft aircraft (Boeing, 2020). The Global Services unit provides services to defense and commercial customers, while the Boeing Capital segment ensures that all customers of the company access the financing that they need to purchase and take deliveries of Boeing products and manages the company’s financing exposure. All the business units of the company are related to the three major groups of services and products that the company deals in – military aircraft and missiles, commercial aircraft, and space and communications. Boeing produces seven brands of commercial aircraft assembled in two facilities in Washington and one in California. It also has an assembly facility in North Charleston, South Carolina. Boeing Business Jets is a joint venture organization of General Electric Co. and Boeing (Boeing Business Jets, 2020). The company develops and markets business airplanes whose design is based on commercial airliners.

Risk Management at Boeing

Large companies such as Boeing are often faced with unpredictable events and challenges in operations. When a company cannot determine and prepare for risk exposure, it usually has to deal with adverse negative outcomes of such events. Boeing has more than 170,000 employees in the US and more than 70 other countries. Also, the company has thousands of partners, suppliers, and customers distributed across the world. With such a large number of people and operations, the company is bound to be affected in one way or another by unexpected events and disasters such as hurricanes, tornadoes, pandemics, earthquakes, terrorism, and product failures. Severe risk events have the possibility of causing adverse effects on the company and its stakeholders. It is, therefore, necessary that the company develops ways of monitoring different locations for potential risks and methods of ensuring quick response in case of unexpected events.

To ensure that it remains ready for any unexpected risk events, Boeing uses a wide range of systems. ThreatNavigator is a system used to monitor different locations and potential risks, tracking and contacting the company’s employees (Schlegel & Trent, 2014). The Desktop Emergency Notification System (DENS) provides computer alerts to all employees about any emergencies. The Boeing Employee Accountability Network (BEACON) system accounts for the well-being and location of employees in case a site evacuation is necessary (Schlegel & Trent, 2014). The Dialogic Automated Notification (DAN) system sends messages across the world through an automated phone notification system. The Travel Risk Intelligence Service (TRIS) system monitors the company’s employees when they are traveling and the safety and health risks around them. The company also uses other systems such as emergency numbers and websites to keep its employees and partners safe in case of unexpected risk events (Schlegel & Trent, 2014). Through these risk preparedness systems, the company can react and respond quickly to events, mitigating risk, and ensuring that operations are maintained during a crisis.

References

Boeing. (2020). Boeing: The Boeing Company. https://www.boeing.com/.

Boeing Business Jets. (2020). Boeing: Boeing Business Jets. https://www.boeing.com/commercial/bbj/.

Schlegel, G. L., & Trent, R. J. (2014). Supply chain risk management: An emerging discipline. CRC Press.