Amid safety issues and controversies, Boeing had to conduct a major management overhaul, with Boeing CEO Dave Calhoun resigning by year-end.
Larry Keller, board chair, and Stan Deal, head of the company’s commercial plane business, followed Calhoun’s exit. The Boeing leadership is trying to do damage control amid the loss of public confidence in the company.
One of the aircraft’s incidents was a panel explosion on January 5. Airline executives had expressed support for Calhoun but were soon overshadowed by a series of production delays as regulators pointed out quality issues in its manufacturing outlet outside of Seattle.
Since the January incident, the company has been going through a turbulent period, as shares in Boeing were down by 25 percent while they faced a series of aircraft mishaps.
Another incident was when a Boeing aircraft lost a wheel upon takeoff while the flight departed from San Francisco for Japan in early March. The flight was then diverted to Los Angeles International Airport.
The aircraft damaged multiple cars.
“The 777-200 has six tires on each of its two main landing gear struts. The aircraft is designed to land safely with missing or damaged tires,” the airline said.
Robert Pavlik, senior portfolio manager at Dakota Wealth, remarked “[Boeing] needs more than just a shakeup at the CEO and the chairman of the board level; they’re just paralyzed from making decisions.”
“It’s going to take a little bit more time for Boeing to get it straightened out.”
“The problems in Boeing’s executive suite are systemic. Nothing is going to change for the better without company leadership acknowledging their failures and thoroughly committing to fixing them,” said Ray Goforth, executive director of the Society of Professional Engineering Employees in Aerospace, representing more than 19,000 workers at Boeing and Spirit AeroSystems.
Meanwhile, Calhoun admitted the aircraft manufacturer’s concerns and said, “The eyes of the world are on us, and I know that we will come through this moment a better company.”
The CEO also addressed Boeing employees, “As you all know, the Alaska Airlines Flight 1282 accident was a watershed moment for Boeing.”
“We must continue to respond to this accident with humility and complete transparency. We also must inculcate a total commitment to safety and quality at every level of our company.”
Last week, US airline executives met with Boeing and discussed possible strategies to fix quality-control issues on their aircraft.
Calhoun was not there during the discussions.
Transparency? Boeing has been stalling NTSB investigators.