Boeing CEO Dave Calhoun and other top company leaders are set to meet with the Federal Aviation Administration to present a quality improvement plan that focuses on better staff training and production practices at its factories. This meeting comes after a serious incident involving a new 737 Max 9 airplane earlier this year, where an airplane door panel blew out. The FAA had given Boeing 90 days to come up with a plan to address these quality control issues.
Following the incident on the Alaska Airlines flight in January, federal safety investigators discovered that bolts holding the panel in place had not been properly installed. As a result, the FAA also prohibited Boeing from increasing 737 Max production until they were satisfied with the company’s quality control improvements. This has resulted in significant delays for airline customers like United and Southwest, forcing them to adjust their growth plans.
Boeing Chief Financial Officer Brian West has stated that the company is expected to burn cash this year instead of generating it. The company anticipates using around $4 billion for the current quarter alone. Executives at Boeing have acknowledged that the 90-day plan will not provide immediate solutions to the challenges they are facing. This ongoing crisis has damaged Boeing’s reputation, invited increased federal scrutiny, and led to a slowdown in 737 Max production.
Details of Boeing’s Quality Improvement Plan
Boeing’s update on Thursday is anticipated to outline the steps the company is taking to enhance staff training, including providing simplified instructions for mechanics and ensuring the availability of tools. Additionally, Boeing is expected to address the reduction of “traveled work,” where tasks on the planes are done out of sequence. The manufacturer is also likely to discuss its factory “stand-downs,” which involve pausing work to engage in conversations with employees about potential improvements on production lines. These brief work pauses were introduced in response to the incident involving the Alaska Airlines door panel blowout.
Boeing faces significant challenges in improving its quality control practices following the recent incidents involving its aircraft. The company’s meeting with the FAA to present a quality improvement plan is a critical step in addressing these issues and rebuilding its reputation in the industry. Moving forward, Boeing must prioritize transparency, accountability, and safety to regain the trust of both regulators and customers.