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Boeing Supply Chain Process

1419 Words6 Pages

Boeing supply chain

Supply chain is a system used by different organization that describes the different stages that a product or a service goes throw until it reaches a customer, how is it transformed from a a raw material into a finished good delivered to customers, it also involves and describes the information, activities people and resources used in the process.
The heart of the supply chain is the manufacturing process that involves production planning, scheduling and inventory control or ( MRP )Material requirement planning. MRP has different objectives to insure its effectiveness , those objectives are to Ensure the availability of components that will be used in the production process, maintaining the level of storage of material …show more content…

Capital investment
4. Labor relations
5. Market access
In term of product development, boing has increased its partnership with the suppliers sharing the cost along with the risk, designing, manufacturing and responsibilities. This partnership has enabled boing to reduce cost and in many cases obtain and applies better technology.
Back to boing processing, it has a complicated yet lean product business process applied to their six main product airplanes in order to be flexible to the current market needs or demand and they are as following:
• Product portfolio process
• Facility and Capacity planning
• Inventory planning
Boing product portfolio has been effected by boing main customers, airlines and the leasing companies, as they both base their buying decision on a long term planning boing has a clear vision to its future and now is able to change it product portfolio customized to those buyer quantity ,pattern or capacity needs. For example, boing use to have hundreds of interior designs for their product lines, now since it has a short list buys it reduced those designs and reduce their operational cost ,moreover , such reduction will make those designs more familiar to the second hand market to operate them as they are becoming more and more common. A win win

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