Started as an intern at Boeing in 1985. 34 year career down in flames. Ouch.
Boeing CEO ousted as 737 Max crisis deepens
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Re: Boeing CEO ousted as 737 Max crisis deepens
#62Re: Boeing CEO ousted as 737 Max crisis deepens
#63Mullenberg has been strongly criticized in part because he never accepted the buck stopping with him, didn't clean house, and acted as a mouthpiece, while saying nothing.
What people expect from Boeing is a gesture of humanity; an acceptance of culpability. An admission that something went wrong, and a genuine gesture of contrition and change.
The company culture needs a wholesale change, which means a hell of a lot more than the CEO need to be on their way out. Until you can rid Boeing of the taint of financial commoditization as a first order objective, Boeing is still going to suffer from a crisis of faith.
No one , or at least I don't, want to fly on a product of the "Boeing Corporation, stock ticker whatever". I want to fly on an aircraft made by the most committed people in the world to the challenge of designing and manufacturing the absolute best, most pilotable, most safe to be on, and most efficient/performant aerospace hardware in the world, all working under one group (if we take the over consolidation as a necessity in this day and age; I'm not personally sold on it). An engineering marvel built on human aspiration, commitment to good and safe work, and with profitability as an objective, but not an overriding principle. There needs to be a commitment to the nature of the endeavor as a physical struggle against the forces of Nature first and foremost, and an implicit understanding that the economic affairs of men must come secondary to the fulfillment of the requisite solution to the physical problems of aircraft making.
I know it's probably just a fiction in all likelyhood to expect all that. Some naive fantasy that I'm sure anyone whose run a business is shaking their head at. I'm not even sure I can wholeheartedly accept my own prioritization given the endless nature of the daily struggle with the balance sheet that is life, and the expectations placed on a publically traded company.
Alas, we have to accept that Boeing, and I think to a greater extent, any corporation should not be treated as primarily financial abstractions. We don't (or shouldn't be) running businesses just to make money. We should be out to solve physical problems first, with profitability keeping us from going overboard on the expenditure.
Sorry if this seems ranty. I always thought these ideas were a given; but the last few years have been real eye openers in terms of making clear that they are by no means universal, or at least universally applied.
Re: Boeing CEO ousted as 737 Max crisis deepens
#64Earlier quoted context omitted.
I can't tell if you're being sarcastic, or if this is actually "brutal" in this context (a context I have no experience with)?
Given that the normal standard is that 'x' has decided to spend more time with his family and is given a very nice golden parachute (pun definitely not intended nor applicable) this is indeed quite brutal. That doesn't rule out he will get lots of money for severance but it isn't going to come with a smile and a handshake.
Re: Boeing CEO ousted as 737 Max crisis deepens
#65> Senior industry source called the wording of Boeing’s statement “brutal”. Anyone have a link to this statement?
I would guess it's the following: https://investors.boeing.com/investors/investor-news/press-r... "The Board of Directors decided that a change in leadership was necessary to restore confidence in the Company moving forward as it works to repair relationships with regulators, customers, and all other stakeholders. " is quite brutal indeed, more something I'd expect from commentary.
Re: Boeing CEO ousted as 737 Max crisis deepens
#66Started as an intern at Boeing in 1985. 34 year career down in flames. Ouch.
Re: Boeing CEO ousted as 737 Max crisis deepens
#67Earlier quoted context omitted.
BS! Which of these was done by the accountants? 1. Drive MCAS with only one AOA sensor. 2. Don't tell MCAS to look for (or even think about) bad AOA data or AOA disagreements. 3. Don't actually bother to tell pilots that they don't have AOA disagree warning lights. 4. Don't bother to tell pilots that MCAS exists at all. 5. Don't test MCAS subsystem to see what it actually does with bad AOA data. 6. Give MCAS a ridicu…
I can easily see how any of these items could be explained by "pressure to deliver" and "reduction of costs".
Can you point to where in the PE Code of Ethics it says that cutting corners due to "pressure to deliver" is okay? The whole purpose of the PE designation is to avoid circumstances like that.
Re: Boeing CEO ousted as 737 Max crisis deepens
#68The big question for Boeing is how they will transition to a post-737 world. Until now, Boeing's business plan is that they will be building a starship for NASA in 2060, but you will still be stuck with a 737 on Southwest Airlines, a A320 on Jetblue, and never know that aviation could be better. The 737 throws off a lot of cash, but the single-aisle monoculture makes flying miserable. A 737 replacement will be expens…
Without that, there's no motivation to do anything but shave every marginal dollar. Competitive forces are limited and will get more so over time. My uncle drives freight trains for living, and they pay extra to remove seat cushions on the locomotives because they don't want to spend opex on replacing torn cushions down the road.
Re: Boeing CEO ousted as 737 Max crisis deepens
#69Earlier quoted context omitted.
>"Wasn't the design sound" What's so sound about a plane that stalls by default?
Flip that around, what's unsound with such a design? There are lots of things on planes where "if you don't do this" then "the plane crashes and burns". Having to adjust horizontal stabilizer trim as you gain speed is a minor addition. MCAS was problematic because of how it went about doing so, and how pilots weren't properly trained on the change in how the trim needs to be adjusted. The idea of adjusting the trim d…
If the end result is that a new type certification is required for the 737 MAX, it may still be a viable product but not the one customers were originally sold on.
Re: Boeing CEO ousted as 737 Max crisis deepens
#70Earlier quoted context omitted.
I would guess it's the following: https://investors.boeing.com/investors/investor-news/press-r... "The Board of Directors decided that a change in leadership was necessary to restore confidence in the Company moving forward as it works to repair relationships with regulators, customers, and all other stakeholders. " is quite brutal indeed, more something I'd expect from commentary.
I can't tell if you're being sarcastic, or if this is actually "brutal" in this context (a context I have no experience with)?
Richard Smith said, "Serving as CEO of Equifax has been an honor, and I'm indebted to the 10,000 Equifax employees who have dedicated their lives to making this a better company.
"The cybersecurity incident has affected millions of consumers, and I have been completely dedicated to making this right. At this critical juncture, I believe it is in the best interests of the company to have new leadership to move the company forward," Smith added.
"On behalf of the Board, I express my appreciation to Rick for his 12 years of leadership," Feidler said. "Equifax is a substantially stronger company than it was 12 years ago. At this time, however, the Board and Rick agree that a change of leadership is in order."
https://investor.equifax.com/news-and-events/news/2017/09-26...