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Case Study

Tale spin: Piloting a course through crises at Boeing

By Arnaud Chevallier, Mahwesh Khan, Okechukwu Aguoru, Leandro Dantas, Juliano Maia and Andrea Smith

23 pages

April 2021

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Reference: IMD-7-2279

In 2019, two fatal plane crashes plunged Boeing in an unprecedented crisis, setting off a maelstrom of controversy about Boeing’s corporate practices and the safety of the 737 MAX — the recently redesigned version of its most successful commercial jetliner. Within weeks, the MAX was grounded worldwide, and Boeing faced financial, legal, regulatory and reputational pressures. All while under intense media scrutiny and heightened safety concerns from the flying public. And then the COVID-19 pandemic hit the aviation industry, escalating the crisis into an existential threat to Boeing’s commercial aviation business. Amid this perfect storm, Boeing executives faced one key question: How to restore Boeing’s reputation as a leading aircraft manufacturer?

Learning Objective

The case enables participants to: 1. Identify the key elements — the question, alternatives, and criteria — needed to make a strategic decision under uncertainty. 2. Structure the decision process to bring together these key elements while managing complexity. 3. Understand the narrow-body passenger plane market and what led Boeing to face its biggest crisis to date

Keywords

Strategy, COVID-19, Crisis Management

Settings

United States of America
Boeing, Manufacturing, Aeronautics and Aircrafts
2019-2020

Type

Published Sources

Available Languages

English

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