Boeing Business Report 2022

Boeing Business0
Boeing Business
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EXECUTIVE SUMMARY
In the year 2018, 189 people were killed in a Boeing 737 Max Lion Air flight crash
followed by another similar incident in the year 2019 where 157 lost their lives, and the main
issues for the crash were due to a software default that was not made aware to the pilot flying
the aircraft. Such software was introduced for the smooth functioning of the sensors of the
aircraft, but due to the lack of training, this accident occurred that resulted in the loss of life
of so many people. This primary focus of this report is to understand the fact that such
airlines shall be made operational as it was evident that the crash occurred due to the lack of
awareness of the pilot about the new software. This report further aims at understanding the
unethical behaviour of Boeing’s reputation and the fact that it should continue its operation or
not.
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Table of Contents
EXECUTIVE SUMMARY........................................................................................................1
INTRODUCTION......................................................................................................................3
ANALYSIS................................................................................................................................3
Technical Factors..................................................................................................................4
Ethical and Moral Issues.......................................................................................................5
Fundamental Canon..............................................................................................................5
Informed Assent....................................................................................................................5
Precautionary Principle.........................................................................................................6
Leadership Issues..................................................................................................................6
FAA (Government Body Issues)...........................................................................................7
CONCLUSION..........................................................................................................................7
RECOMMENDATION.............................................................................................................8
Reconstruct the company policies.........................................................................................8
Investing more money for the development of new technologies........................................8
Reforms in the Management.................................................................................................9
REFERENCES.........................................................................................................................10
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INTRODUCTION
The word ethics is taken from the Latin word “ ethos” that defines the fundamental
ethical and moral values of the society. Business ethics regulate the conduct that dictates to
go beyond the legislative provisions and follow that would be morally and ethically right.
Boeing is one of the leading companies in aviation, considered a leader in industrial and
delivering aircraft globally, with customers in over 100 countries and employees in over 65.
In October 2018, Boeing model 737 max of Lion Air, soon after departure from Indonesia,
plunged into the Java Sea, homicide nearly 189 passengers on board (Fischer and Dov 2014).
Five months later, in March 2019, the same model aircraft of Ethiopian Airlines, nosedived in
the countryside, just outside the capital Addis Ababa, causing the death of 157 people. Both
accidents caused the tragic deaths of 346 people. As a result, the blame fell on software issues
and mainly on the faulty Manoeuvring Characteristics Augmentation System (MCAS), which
original design was to keep the aeroplane stable in take off but instead malfunctioned and
pushed its nose down, overriding any actions taken by the pilots Further, the Federal Aviation
Administration has banned the jets temporarily (Nytimes.com 2020). Boeing planned to
upgrade their software by the end of summer and stated that they would be back in the
process before the end of summer. The primary issues that this report focuses upon are the
ethical and the moral concerns of the Company about putting the business first then the safety
of the people. It further focuses upon the fact of whether Boeing should continue its operation
or end them.
ANALYSIS
The key focus of this report is to analyze the main key factors that resulted in two
fatal crashes of Boeing 737 MAX in the year 2018-2019 that resulted in 346 fatalities. The
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