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Supply Chain Risk Leadership Council

Learn how Boeing, the world's leading aerospace company, partners worldwide to overcome challenges and seize opportunities for mutual growth and prosperity in the global supply chain.

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Supply Chain Risk Leadership Council

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  1. Supply Chain Risk Leadership Council Mike Bair Vice President, Business Strategy and Marketing Boeing Commercial Airplanes June 4, 2008

  2. The Boeing Company • World’s leading aerospace company • 153,000 employees in 48 US states and 70 countries • 2007 revenue: $65 billion • Customers in more than 90 countries • Second largest U.S. defensecontractor • Suppliers in 100 countries • One of largest U.S. exporters and in top twenty U.S. importers Partnering worldwide for mutual growth and prosperity

  3. What We Do Today • Design, assemble and support commercial jetliners • Design, assemble and support defense systems • Design and assemble satellites and launch vehicles • Integrate large-scale systems;develop networking technology and network-centric solutions • Provide financing solutions focusedon customer requirements • Develop technology and advanced systems to meet future customerneeds

  4. Boeing Growth Perspective 1996 - 2006 Integrated Defense Systems 53% Integrated Defense Systems 25% Commercial Airplanes 75% Commercial Airplanes 47% 1996 Revenue $23B 2006 Revenue $61.5B Boeing…the global leader in aerospace

  5. International Business Environment • Increased global trade and traffic • Asymmetric security threats • Rising oil prices • Enriched Middle East • Ascent of China, India and Russia • Environmental focus Increased opportunity amid heightened uncertainty

  6. Export - Import Laws Administrative Agreement Federal Sentencing Guidelines Patriot Act Federal Acquisition Regulation NYSE New York Stock Exchange Safe Harbor Procurement Law Consent Decrees Equal Employment Opportunity Commission Japanese Commercial Code Sarbanes-Oxley Financial and Accounting Disclosure Information U.S. Securities and Exchange Commission Regulatory Landscape

  7. Africa 14 Suppliers $28m BCA Global Spend - 2007 62 Countries / 6,717 Suppliers / $22.1B Spend Europe 280 Suppliers $1,308m N. America (excl. U.S.A.) 609 Suppliers $666m Asia 118 Suppliers $1,892m U.S.A. 5,657 Suppliers $18,094m Middle East 10 Suppliers $61m S. America 12 Suppliers $289k Australia 17 Suppliers $56m

  8. BCA Lean Global Enterprise Winnipeg Puget Sound London Toronto Moscow Design Center Seattle Beijing Long Beach Atlanta Dubai • Legend: • Top 20 partners, • Global partners and IP suppliers • Boeing Internal • Top CAS suppliers • Major Boeing Spares Centers • Boeing Field Offices Bankstown Melbourne Aligning global operations

  9. 787 International Team at Work

  10. 787 Supply Chain

  11. Dreamlifter – 747 Large Cargo Freighter

  12. Section 11/45 Nagoya, Japan to Charleston, SC Section 44 Grottaglie, Italy to Charleston, SC Section 41 Wichita, KS to Everett, WA Horizontal Stabilizer Foggia, Italy to Charleston, SC Section 43 Nagoya, Japan to Charleston, SC Joined Section 47-48 Charleston, SC to Everett, WA Section 46 Grottaglie, Italy to Charleston, SC Joined Section 43-46 Charleston, SC to Everett, WA Wing Nagoya, Japan to Everett, WA Dreamlifter Route Structure

  13. Globalization and What Comes With It • Suppliers are both partners and customers • Opportunities and challenges spanthe supply chain • Expect challenges to increase Working together is critical to our success

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