PPRuNe Forums - Boeing Commercial Aviation's strategy

Deciphering Boeing Commercial Aviation's strategy.

A. Sporty bet: Boeing is betting its future on a major change
in the airline industry

worldwide deregulation that will allow more P2P flights
death of some old players and birth of start-ups
with rationalized cost structure (airline renewal)

This change is yet to happen. Open sky negotiation between
EU and US is on going.

B. Long-haul: One range - One speed strategy

eight thousand nautical miles at mach 85
with capacity step at around 200 passengers
747Adv - 773ER - 772ER - 7E9 - 7E8
Ultra-long range niche market (9000nm+): 772LR and 7E8LR

C. Short-medium-haul: Brand new short-haul family

revamp of the short-med-haul family in 2009/2010:
7E3 plus a new single aisle family that will be
built using the same manufacturing process as 7E7.

D. Manufacturing: Lower unit production cost and seek
new sources of income

7E7 composite manufacturing techniques for 7E7 and single aisle. 777 and 747 fuselage is too big to be built in composite.
reduce manufacturing facilities and sell or lease asset
zero storage

E. Suppliers: Global supplier network - dilution of risk

build parts where the cost is lowest
offset financial risk to suppliers
BCA is "only" system integrator

F. Creative financing: Use Boeing Capital and all sort of leasing techniques more often

In other words, they are looking to offer a simpler and
more affordable family of products.

BCA's financial risk exposure for a new aircraft programme
will be reduced to a minimum because much of the financial
burden will be distributed to its industrial partners.