Global supply chain quality integration strategies and the case of the Boeing 787 Dreamliner development

Abstract

Managing the quality of global supply chains is critical for the success of global companies. Quality disseminates through the supply chains. Supply chain quality integration facilitates each company to use its main expertise which can lead to higher quality and cost reductions. Digital audits enhance the possibilities to ensure the production quality at the suppliers. A global supply chain quality integration is illustrated through the case of the Boeing 787 Dreamliner development. The development process was a major challenge for Boeing because not only several innovations were introduced in the 787 plane, but the supply chain quality integration reached new levels for the company. The 787-program had process, management, labor, and demand risks. The first 787 plane was delivered three years later than planned and the budget was exceeded by 10 billion USD. To solve the issues, Boeing created the Production Integration Center. It sent engineers and production workers to its suppliers in several countries of the world to smooth the supply chain quality integration. Boeing supported its suppliers with its knowledge. Onsite cameras were used as digital audits. The Production Integration Center intervened when it estimated delays in the shipments. Boeing successfully solved the issues, but they cost the company a lot. Examining this supply chain restructuring case can help supply chain managers to diagnose and overcome issues in supply chain quality integrations.