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Issues that Boeing Company Faces

The main concept of the paper is to understand the various problems that Boeing Company faces ever since the CEO has entered the company and has started to analyze the situation that he needs to deal with and resolve. The paper will also incorporate the basic functions of management that will be required to be implemented for the company to improve on its internal constraints. Issues that Boeing Company Faces The three major issues that the have been highlighted in the case study that is of great importance are as follows:

1. The bureaucratic environment that exists within the company that stifles innovation, resists change, and tolerates rule-bending remains largely intact 2. The ease of the management in terms of human resource development and the tolerated behavior that they show which has led to sexual harassment suits, debarment, and criminal prosecution for the company 3. The inability to submit deliverables on time and the ability to cause missed deadlines or big cost overruns Functions of Management to be undertaken

As has been read and understood in all management books that there are five functions of management that can be fulfilled. These five factors have been identified as follows: 1. Planning 2. Organizing

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3. Staffing 4. Directing 5. Controlling (Ervin, 1995 ) Each of these functions will be defined on a one on one basis throughout the paper along with the various situations in which the CEO can use the functions in the most efficient and effective manner so that the existing issues can be resolved in the most appropriate manner.

Planning Planning is defined as: “the (psychological) process of thinking about the activities required to create a desired future on some scale. ” (Wikipedia, 2007 ) The CEO can use this function in order to re-plan all the work and the deadlines that need to be met so that there is a better understanding of the procedures that need to be followed so that the work is completed on time. This would allow the company to get rid of its missing deadlines and overhead costs by a large amount.

There would still be some discrepancies in the process, however, they would be too minor to handle at the current stage where the CEO would try to improve the image and reputation of the company as a whole so that the market would continue to consider McNerney as a competent CEO. Organizing The next function that the CEO should work on is that of organizing where it would allow the team to understand how things need to be done.

Whereas planning defines what has to be done and a part of how it must be done, the organizing portion of management also defines till when the work should be done and the procedure that must be followed. In completing a project, there are a number of procedures and follow up documents that need to be filled out and duly signed. However, to do so, there must also be an organized manner in which all this work can be completed, without which if work was done in a haphazard manner, there could be a lot of blunders that could take place for the company.

Staffing “Staffing involves finding the right people, with the right skills, abilities, and fit, who may be hired or already working for the company (organization) or may be working for competing companies. ” (Wikipedia, 2007 ) Since the CEO cannot do everything on his very own, he will require a team with competent skills in order to fulfill all the requirements of being a successful firm and gaining a competitive advantage in the industry. Directing

In order to overcome the human resource issues as well as the bureaucratic environment that has been created, the CEO will need to ensure that there be clear cut directions in how to go about implementing his plans and forcing the employees to conform and adjust to the new changes to the environment. There are a number of issues that will be faced by McNerney for ensuring that the plans are well worked upon and that the there are no internal problems that arise causing further damage to the company. Controlling

“Controlling is directly related to planning. Controlling is the final link in the functional chain of management activities and brings the functions of management cycle full circle. ” (Management Modern Supervision, 1998 ) In relation to all the other functions of management, this last one allows the manager or the CEO to ensure that all the processes are streamlined and to also monitor any blocks or barriers that may be caused within a process that should be resolved immediately for better results.


1. Ervin, B. (1995). The Five Functions of Management. The Foundation of ManagementExcel. Department of Agricultural Economics. Ohio State University Extension. Retrieved on February 12, 2008 from: http://extension. osu. edu/~mgtexcel/Function. html 2. Wikipedia. (2007). Planning. Retrieved on February 12, 2008 from: en. wikipedia. org/wiki/Planning 3. Wikipedia. (2007). Staffing. Retrieved on February 12, 2008 from: http://en. wikipedia. org/wiki/Staffing

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