This essay discusses the mistakes made by Boeing and Airbus in the airline industry and provides strategies for Murasaki Aircraft Corporation to avoid repeating them. The essay also highlights MAC airlines and its plans to grow by producing medium-sized passenger jets.
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Running head: INTERNATIONAL PROJECT MANAGEMENT International Project Management Name of the Student Name of the University Author Note:
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1INTERNATIONAL PROJECT MANAGEMENT Introduction The following essay highlights MAC (Murasaki Aircraft Corporation) airlines which is a new kind of aircraft which is based in Japan (Clark, 2018). The stakeholders of this organization are attached with organization that is Murasaki Heavy Industries, Mitsubishi Corporation and lastly Sumitomo based corporation and many others. It is considered to be as one of regional jet production organization and does not aim to compete with organization like Airbus and Boeing (Dörfler & Baumann, 2014). The CEO of this organization that is Lisanne focus that the organization can easily grow to next level. It can easily proper provide next level by providing medium size passengers. It can easily compete with the given big two. The notion of head of this organization is to make use of concept of lightweight construction for Boeing’s 787 Dreamliner. It is mainly needed for reducing the overall weight of aircraft and its strategy for planning. In the coming pages of the essay, the various mistakes of these two organization that is Airbus and Boeing have been discussed in details. After that, a list of strategies has been provided which can easily recommend to the CEO of MAC (Murasaki Aircraft Corporation). These strategies are needed to be followed so that the mistake of Boeing and Airbus are not repeated. Discussion In the domain of airlines, there is tough competition between the two airlines. There is large brand of airlines which tend to cover large part of the organization. It is considered to very much difficult for understanding the best airlines in the industry (Das et al., 2016). Both the organization that is Airbus and Boeing tend to become very much popular with proper names in the given industry. The main reason is all about having close look on the aircraft and they can
2INTERNATIONAL PROJECT MANAGEMENT easily provide the users with proper kind of landmark. It is mainly used by various kind of organization which are easily provide each user for the current need. Two factors that is intense marketing and advancement for aggressive in the domain of aircraft technology have led both the organization on the top. Boeing 737 is considered to be as one bestselling airline in the history of airline industry (Elahi, Sheikhzadeh & Lamba, 2014). Still in the year 2014, it is considered to be a one of popular model and considered to be as one of the common kind of improved aircraft. Vietnam war brought huge amount of damage to the profit of this organization. Project Apollo was almost there for competing (Bennett, 2016). After the harsh time of 1970, the organization that is Boeing was involved in large number of military projects. It ultimately signaled the organization for new kind of territory. The time between 80 and 90 brought huge amount of changes for this organization as it helped in differentiate itself for the growing competition from Airbus (Vasigh, Fleming & Humphreys, 2014).In the year of 1990, the organization was involved in building military aircrafts like F-22 Raptor. In the same year, the organization become first organization to build aircraft by making use of computer based design. This particular airline that is Boeing 777 become very popular due to its unique design. Boeing has played a key role in the market of airlines industry though in the year of 2000, the organization provided an idea regarding overall taking control. Airbus understood the power of American Air force in the second world war. It helped for the proper pinnacle of technology for airline industry. Airbus tends to offer some kind of logistic improbability along with building a low cost airline (Shenhar et al., 2016). The airline was designed in such a way that carry 100 people to the given distance at much faster rate. Airbus is considered to be very much fanciful which is accepted by government of many people (Mocenco, 2015). The organization aim to come with notion which is not needed by any kind of
3INTERNATIONAL PROJECT MANAGEMENT European Standard. Airbus focused on building innovation in the given market rather than changes which are small and incremental changes (Sun, Zhao & Zhang, 2015). In the year 2007, Airbus 380 was launched and it is considered to be largest passenger jet in the globe. The organization focused on grand instead of anything else and in the last few years the organization tend to move ahead of Boeing in some of the aspect. It is considered to be an important factor for organization to focus on some section of airline industry (Denning, 2013). In the end, it become an important factor for organization with the given industry. It ultimately helped organization is having much more competition and also inspired airlines based organization to easily get involved in this method. After building a proper balance, the US market has recently changed in the whole industry of airlines. In the few years, the competition between the two organization that is Boeing and Airbus has grown a lot ("Airbus A380 - Project Failure Lessons Learned", 2018). In most of the scenario, it is seen that there has been a tough competition (Cassagnard & Regibeau, 2018). As the jet airline is considered to be hard to break into the given brand due to the strength of time which is considered to be biggest drawn out. The fact should be taken into consideration that both Boeing and Airbus helped in establishing themselves as two in the town (Denning, 2013). There is large number of issues in these two organization that is Boeing and Airbus. Production and supply problems:Boeing aimed to deliver its first 787 Dreamliner airplane to large number of people three years than expected (Cassagnard & Regibeau, 2018). 787 is considered to be the future of air travel along with future of Boeing. It is considered to be sophisticated kind of carbon composite aircraft. 787 aircraft come up with large number of issues like delay and issues related to quality control over the given complex (Sun, Zhao & Zhang, 2015). In the year of 2011, Boeing facility which is based in Seattle led to blowing up of engine
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4INTERNATIONAL PROJECT MANAGEMENT which resulted huge amount of damage to the given testing facility. The facility required to be easily shut down for the required repairs. Various officials at Boeing deny the delay with respect to Rolls Royce as a result of explosion. Labor and legal problem:In the last few years, Boeing has encountered large number of issues. The problem is mainly inclusive of Boeing plant in the South Carolina. National labor relation board (NLBR) is mainly accused with certain number of violent action related to right of worker (Mocenco, 2015). The overall controversy of Boeing decision leads to assembly for fuel efficiency for 787 Dreamliner. NLBR is mainly in charged with Boeing for retailing with various workers which are based in Washington state. It was mainly done for punishing them against the strike (Shenhar et al., 2016). It was mainly done for understanding the right to work where various unions are not prominent in nature. Dependency on US government:As per the annual report of 2010, the department of union states defense (DoD) is considered to be prime customer of this airline organization. This particular customer results in generation of 82 % of the revenue (Bennett, 2016). Boeing jet has mainly three capabilities for business-driven that are Boeing Military Craft, Global support and system and lastly Network and support system. Boeing mainly depends on the contracts for subject which come up with unique kind of risk (Vasigh, Fleming & Humphreys, 2014). Apart from normal risk, the organization was subjected to large number of risk which is considered to be beyond their control. MAC (Murasaki Aircraft Corporation) should take a large number of strategy so that the mistake of Boeing and Airbus are not repeated. Boeing made a large number of changes related to manufacturing and supply chain (Dörfler & Baumann, 2014). So MAC organization should
5INTERNATIONAL PROJECT MANAGEMENT not repeat the same kind of mistake. This organization should focus on strategies which will help them in attaining much better analyzing of dates. All the given projects have been delayed in the last few years.So MAC should focus on not repeating the same mistake. A three-year delay with 787 can be stated as unreasonable and unacceptable (Elahi, Sheikhzadeh & Lamba, 2014). The project of 787 should be monitored for understanding the development with the project schedule. Projects like 787 need to be properly monitored with proper kind of precision (Das et al., 2016). The given level to which Boeing can manage the project team is considered to be unclear. It is considered to be a proper kind of copy of project management plan. Conclusion From the above pages, it can be easily stated this essay is all about Murasaki Aircraft Corporation (MAC) which is a good aircraft manufacturer based in Japan. The shareholders of this organization are inclusive of Murasaki Heavy Industries, Mitsubishi Corporation and lastly Sumitomo Corporation and Mitsui & Co. The organization is planning to produce jets which do not have any kind goal to compete with Boeing and Airbus. MAC is planning is to manufacture wings of 787 of Boeing. The CEO of this organization is planning to grow the organization to the next level by getting into medium passenger jet industry indirect way by properly competing with the given two. She is planning to use the lightweight construction technology which will help them in reducing the overall weight of the aircraft and it partnering strategy. Both Boeing and Airbus encountered manufacturing risks, which in the end turn out to issue for the organization.
6INTERNATIONAL PROJECT MANAGEMENT References AirbusA380-ProjectFailureLessonsLearned.(2018).Retrievedfrom http://globalprojectstrategy.com/lessons/case.php?id=23 Bennett, D. R. (2016). An empirical study of industrial consumer buying behaviour: how airlines buy airplanes. Cassagnard, P., & Regibeau, P. (2018).Collective Entry Deterrence and Free Riding: Airbus and Boeing in China(No. 2017-2018_11). Clark, N. (2018). The Airbus saga: Crossed wires and a multibillion-euro delay - Business - InternationalHeraldTribune.Retrievedfrom https://www.nytimes.com/2006/12/11/business/worldbusiness/11iht-airbus.3860198.html Das, S., Warren, J., West, D., & Schexnayder, S. M. (2016). Global carbon fiber composites supply chain competitiveness analysis.Clean Energy Manufacturing Analysis Center, Golden, CO, Technical Report No. ORNL/SR-2016/100—NREL/TP-6A50-66071. Denning, S. (2013). What went wrong at Boeing.Strategy & Leadership,41(3), 36-41. Dörfler, I., & Baumann, O. (2014). Learning from a drastic failure: the case of the Airbus A380 program.Industry and Innovation,21(3), 197-214. Elahi, E., Sheikhzadeh, M., & Lamba, N. (2014). An integrated outsourcing framework: AnalyzingBoeing'soutsourcingprogramforDreamliner(B787).Knowledgeand Process Management,21(1), 13-28.
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7INTERNATIONAL PROJECT MANAGEMENT Mocenco, D. (2015). Supply Chain Features of the Aerospace Industry Particular Case Airbus And Boeing.Scientific Bulletin-Economic Sciences,14(2), 17-25. Shenhar, A. J., Holzmann, V., Melamed, B., & Zhao, Y. (2016). The Challenge of Innovation in HighlyComplexProjects:WhatCanWeLearnfromBoeing'sDreamliner Experience?.Project Management Journal,47(2), 62-78. Sun, R., Zhao, K., & Zhang, X. (2015, August). Research on Error Proofing Design of Boeing and Airbus Cockpit from Pilots Survey. InInternational Conference on Engineering Psychology and Cognitive Ergonomics(pp. 492-504). Springer, Cham. Vasigh, B., Fleming, K., & Humphreys, B. (2014).Foundations of airline finance: Methodology and practice. Routledge.