When supply chain strategy does not match supply chain capabilities: Lessons that can be learnt from the supply chain of Boeing 787

Narasimha Lamba, Ehsan Elahi

Research output: Chapter in Book/Report/Conference proceedingChapterpeer-review

2 Citations (Scopus)

Abstract

During the early 2000s, the Boeing Company was experiencing a market shrink due to a downturn in the aerospace industry after the 9/11 terrorist attacks, as well as severe competition from its rival Airbus. To deal with the situation and salvage its market share, Boeing proposed the design of a new aircraft called Boeing 787 or the Dreamliner. This futuristic aircraft was received very well by the airlines. Very soon, it became the fastest-selling new airplane in the history of commercial aviation. Nevertheless, after the initial successful launch, the company faced many supply-chain-related problems, which resulted in repeated delays and huge extra costs. These delays (now more than two and a half years) could add up to as long as three years. In this research, the authors investigate how the mismatch between the supply-chain capabilities and the Boeing's strategy for developing this airplane led to these delays and extra costs.

Original languageEnglish
Title of host publicationCases on Supply Chain and Distribution Management
Subtitle of host publicationIssues and Principles
PublisherIGI Global Publishing
Pages159-177
Number of pages19
ISBN (Print)9781466600652
DOIs
Publication statusPublished - 2012
Externally publishedYes

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