Story of Boeing’s success: how leaders fly
On July 26 Campus students met with Boeing in Russia and the CIS President Sergei Kravchenko. The expert was in Moscow at the time, and spoke with the students via video link.
Sergei Kravchenko spoke about effective management strategies, which are used by Boeing, and also the success story of the Boeing 787 liner. The story began with the fact that over the course of the second half of the 20th century, the company firmly held the leadership position in the field of aircraft production, and the Boeing 737 liner consistently remained the best-selling civilian aircraft in the world. In the 1990s, the European producer, Airbus, succeeded in overtaking its American competitor and become the leader. When Boeing’s management learned about the fact that they were in second place, this forced them to completely change the company: from the production aspect to the selection of personnel.
The company head sent Boeing’s executive management to Japan, to learn lean technologies from Toyota, which is based upon the minimization of losses while maintaining quality. The company managed to introduce three production lines, and in three years increased the number of produced aircraft from 28 to 60. Besides production, the system of management also underwent modernization at the company. “No one likes change,” Sergei Kravchenko said. “But if you manage to involve all of the company’s employees in this process, then the result will exceed expectations.” In order to change the personnel policy, Boeing hired the most expensive expert in HR, who changed people’s attitude towards work, and led a number of training sessions on the development of leadership. In a short period of time, a system of micromanagement was introduced, control over each action of managers, which brought its own results. Since then, Boeing has not lost first place in global hierarchy of aircraft producers.
Sergei Kravchenko spoke about the history of the launch of the Boeing 787, a unique liner, which is capable of taking on 280 passengers and flying for 18 hours. The company should have launched the liner in 2008, but for a number of reasons its premiere took place only in 2012. On this plane there were so many innovations, that its launch was repeatedly postponed. Boeing is trying to never repeat this mistake and announce the real timeframes for the introduction of new products. Despite the hitch at the start, today the Boeing 787 is the most advanced civilian aircraft in the world.
At the end of the meeting Sergei Kravchenko wished all the Campus students, future businesspeople and managers, to keep their interest in life, curiosity and striving towards leadership.
The organizers of RANEPA’s Summer Campus are RANEPA, the government of the Republic of Tatarstan with the support of ACIG Group of Companies.
The website of RANEPA’s Summer Campus: www.campus4youth.ru
Media Accreditation: Dmitry Sokolov, RANEPA press secretary (tel. +7 903 788 38 02)
The Summer Campus’s general partner is Coca-Cola. The strategic partner is Johnson & Johnson. Partners are AIRR, Tatneft and ACIG Group of Companies.
The strategic information partner is TASS. The main information partner is Lenta.ru. The campus’s information agency is Interfax. The campus’s internet media is Gazeta.Ru. The campus’s journal is Forbes. The newspaper of the campus is Parlamentskaya Gazeta. The main regional information partner is Realnoye Vremya. The regional information partner is Tatar-Inform information agency. The information partner for the Republic of Tatarstan is Expert Tatarstan.
Campus partners are RBC Tatarstan, Russian News Service (Russkaya Sluzhba Novostei), Rossiyskaya Gazeta, Polit.ru, Tatarstan State TV and Radio Company, the weekly newspaper Komsomolskaya Pravda, Radio Svoboda, Kazan TV and Radio Company, Tatcenter.ru, Kazanskie Vedomosti and the Strategia journal.