Commercial Airplanes Reorganized; Airplane Programs Revamped

With mounting troubles for its 787 Dreamliner program and continued difficulties in returning to full production after a crippling labor strike, it's apparent Boeing currently finds itself in need of some assistance, and perhaps a clearer focus.

What it got, for better or worse, was a management reorganization.

The planemaker announced Thursday a series of executive leadership changes and a restructuring within Boeing Commercial Airplanes to "better align resources across its development and production programs and strengthen oversight of its global supply chain."

Effective immediately, Commercial Airplanes Supplier Management, Fabrication, Propulsion Systems and the Manufacturing and Quality functional organization are part of a new organization, called Supply Chain Management and Operations, led by Ray Conner. Conner, 53, has extensive experience in program leadership and manufacturing and supply chain management. He most recently was vice president of Sales for Commercial Airplanes.

All current production and development programs, including the 787 Dreamliner and 747-8, are being brought together in a new Airplane Programs organization reporting to Pat Shanahan, formerly vice president and general manager of the 787 program. Shanahan was brought in last year to revamp what was then a mildly-troubled 787 program.

In his expanded role, Shanahan (below) will continue to have direct oversight and accountability for the 787, with Scott Fancher becoming that program's vice president and general manager. Fancher, 50, who has extensive program management, systems engineering and advanced design experience, previously led the company's missile defense business.

"The steps we are taking today will sharpen our management focus and bring our organizational structure to bear to improve execution in our supply chain, as well as on our development programs," said Scott Carson, president and CEO of Boeing Commercial Airplanes. "These moves will help drive results through our entire development and production system, deliver value to our customers and enhance our overall competitiveness."

Carson said Shanahan's outstanding program management skills and leadership will "ensure complete focus on execution and the efficient, seamless use of resources, talent and best practices across all our programs, while he continues driving results on the 787."

Carson also said Conner's depth of experience "will be applied to improve supplier performance and ensure that the supply chain provides the best value to our organization and ultimately our customers." Conner's prior positions include leadership of the 777 and 747 programs as well as the Propulsion Systems Division. He also has held a number of positions in supplier management during his 30-year Boeing career.

"Together, Pat and Ray will work in strong partnership to drive results from our entire production system and supply chain," Carson said.

Carolyn Corvi, who led the previous Airplane Programs organization, has announced she will retire at year's end after a 34-year career at Boeing. "On behalf of everyone at Commercial Airplanes and the entire Boeing enterprise, I want to thank Carolyn for her outstanding vision and leadership in transforming our production system and dramatically improving our productivity throughout her career," Carson said.

Marlin Dailey succeeds Conner as vice president of Sales. Dailey, 52, is a 28-year Boeing veteran who most recently led Commercial Airplanes sales efforts in Europe, Russia and Central Asia.

FMI: www.boeing.com