JIT, LEAN & AGILE

Paul Mills, 0800722

History• Founded in 1916 in the Puget

Sound region of Washington state, USA

• Became leading producer of military and commercial aircraft

• Carried out a series of mergers and acquisitions to become the world’s largest aerospace company. [3]

Founder: W. E. Boeing

What they do today• Design and construct commercial

jetliners

• Boeing 7-series family of airplanes lead the industry

• Commercial Aviation Services (CAS) offers broad range of services to passenger and freight carriers [3]

The Figures

• Customers in around 150 countries• Contracts with 26,500 suppliers and

partners around the world• Total revenue in 2011: $68.7 billion

[3]

• Cash to Cash Cycle time of 218 days [7]

• 70% of commercial airplane revenue from customers outside the United States [3]

Getting Lean – The 9 Step Plan

Is Agile?

A Definition of Agility:

‘Agility means using market knowledge and a virtual

corporation to exploit profitable opportunities in a volatile

marketplace.’ [10]

Recommendations• It might not be wise to be entirely

Lean

• Don’t rely on single suppliers

• Deliveries of subassemblies must be highly balanced and coordinated

• More flexibility in product design and product variety with use of mass customisation

References[1] Boeing and China’s COMAC Launch Joint Effort for Biofuel Research (August, 2012). 2012. Retrieved November 23, 2012 from http://airnation.net/2012/08/18/boeing-comac-biofuel-project/ [2] Boeing Logo (May, 2010). 2012. Retrieved November 23, 2012 from http://www.yapastl.org/2011/05/boeing-asian-professional-association-baapa-asian-american-expo/boeing-logo/[3]Boeing Overview Presentation. PDF (August, 2012). 2012. Retrieved November 24, 2012 from http://www.boeing.com/companyoffices/aboutus/overview/boeing_overview.pdf[5] History of Boeing (August, 2012). 2012. Picture retrieved from http://www.boeing.com/history/index.html[6] Who’s flying the next generation 737? (November 2012). 2012. Retrieved from http://www.newairplane.com/737ng/whosFlying/[7] Financial Data for Boeing (March, 2012). 2012. Retrieved from http://uk.advfn.com/p.php?pid=financials&symbol=NYSE%3ABA CCC[8] The Boeing 737/757 Lean Story (April, 2003). 2003. Retrieved November 19, 2012 from http://cs6260.userapi.com/u54638657/docs/02e944bcec6d/Boeing.pdf[9] The Lean Journey at the Boeing Company (2005). 2005. Retrieved November 19, 2012 from http://nathantnavarro.com/uploads/TheLeanJourneyAtTheBoeingCo.pdf [10] ES4C9 Supply Chain Management Lecture 9 JIT, Lean & Agile (September, 2012). 2012. Retrieved November 26, 2012 from http://www2.warwick.ac.uk/fac/sci/eng/eso/modules/year4/es4c9/[11] DON, A.B. and JOHN, F.E., 2003. The Boeing Journey to Excellence: Lean Production Transformation in the Internal and External Supply Chains at Boeing. Quality Congress.ASQ's ...Annual Quality Congress Proceedings, 57, pp. 649-660.[12] PILLA, A.L., 2005. The Lean Journey at the Boeing Company. ASQ World Conference on Quality and Improvement Proceedings,59, pp. 263-271.[13] Boeing Continues Partnership (September, 2012). 2012. Retrieved November 23, 2012 from http://www.themanufacturer.com/articles/boeing-continues-partnership-with-dassault-systemes/

Thank You for Listening

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