Friday, January 21, 2011


If you missed the posting on AOL of the article by Peter Cohan titled “Boeing’s Dreamliner Delays: Outsourcing Goes Too Far” about the delays that have faced the much anticipated new plane, here is a link for your consideration:

I am certain this story will ultimately be a case study analyzed by students at the Harvard Business School and other institutions, because it is a perfect example of management making a major mistake of losing say in quality control and production costs as a direct result of outsourcing. This is a perfect example that cheaper production costs do no always lead to efficient product development. Outsourcing is not always the answer.

Just consider all the American jobs that have been lost on this one project and the impact the delay in Dreamliner deliveries have cost our economy and the company’s stockholders. Boeing’s management team should be embarrassed and humiliated. This product development blunder may just go down in business history as one as outrageous as Coke’s “New Coke” fiasco.


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