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Case Study: Boeings Global Supply Chain for the Dream liner 787 (Prepared by Research Assistant: Amrita

Patwa) Q1. How has IT helped Boeing to expedite design and reduce problems along the supply and value chains of the design process? Ans:-IT tools and techniques played a critical role in the design and development of Boeing. These could be divided into three categories: Those that were used during the process of designing and developing the aircraft i. Integration of computer and telecommunication systems to support processor ii. Integration of CAD/CAM technologies and availability of CATIA, ENOVIA,DELMIA and SMARTEAM () iii. Improving the part tracking system() iv. Use of robotics in manufacturing process v. Improvement of material handling technology Those that were integrated into the final product i. The overall important tool is Avionics Information Management System (AIMS) which had 2 million lines of computer codes. AIMS catered to three sets of customers: flight crews, maintenance people and passengers. ii. AIMS consisted of dual cabinets that contained all the central processing and input/output hardware, flat panel cockpit displays and central maintenance of the plane. iii. AIMS interfaced with the Global Positioning System (GPS) to allow accurate navigation of the aircraft over long distance. iv. Every passenger seat should have the facility of telephone with fax, video screen and in the sky shopping facility by credit cards. Those that were used for testing the aircraft and trainers for the workers i. The test program called the Extended Range Twin Operation (ETOPS) to facilitate certification for long flights. ii. An ambitious test program was developed that requires 1000 cycles of (take off and landings) per test aircraft. iii. Boeing created training centers at Seattle to provide comprehensive world class support services for its airliner products.

Q2. With reference to the case, how essential is it for a business to have Supply Chain Management systems? Give examples, if applicable. Ans:- With the increasing challenges Supply Chain Management system has a key role to play in supporting the business, delivering savings and ensure sustained performance. Key responsibilities: Identify and qualify suppliers, analyzing their capacity to deliver Conduct performance management audits, implement improvements and drive supplier development

Ensure delivery of material and equipment through the most appropriate ordering and logistics solutions Negotiate and ensure effective management of contracts

Positions: SUPPLY CHAIN FIELD ENGINEERS Solve operational issues on-site and develop suppliers, for example through reengineering processes and manufacturing resources to ensure performance is in line Spend about 90% of time off-site at supplier locations around the world SUPPLY CHAIN QUALITY MANAGERS Assess, manage and implement improvements in the supply chain process with strategic partners and suppliers Manage all operational performance aspects of suppliers and work with them to maximize their ability to meet quality, delivery and cost objectives BUYERS Manage suppliers at different stages of the relationship (sourcing, selecting, contracting) by assessing performance, communicating efficiently and monitoring contracts Provide best purchasing conditions to support the business and ensure long-term performance Q3. What are the applications of IT and web based technologies that we have witnessed in this case? How have these applications and technologies helped in the business? Ans:-Application and web based technologies used in Boeing which were developed by Dassault Systems and are marketed worldwide by IBM. CATIA - Computer-Aided Three-Dimensional Interactive Application ENOVIA will be used for virtual product and process management DELMIA (Digital Enterprise Lean Manufacturing Interactive Application) is a tool that is used for computer-aided process planning and engineering solutions. SMATEAM a web based system to facilitate collaboration which included predefined and auditable process.

In addition to integrate all databases associated with dream liner teaming up with IBM to employ a DB2 universal database. These technologies and application benefits the business world by allowing organizations to work more efficiently and to maximize productivity. Faster communication, electronic storage and the protection of records are advantages that IT can have on your enterprise. Information technology has to do with computer applications, on which nearly every work environment is dependent. Since computerized systems are so widely used, it is advantageous to incorporate information technology into your organization.

Q4. What are the benefits and challenges of having a global information system? Illustrate with examples from the case. Benefits: Cost savings resulting from greater efficiency. Better decision making Improved communication. Better geographic information recordkeeping Managing geographically.

Challenges: Technological barrier Different measurement standards Million of different parts and component Thousand of different suppliers, partners, contractors and outsourcing vendors Difficulty of absolute precision and meticulous attention Close collaborations and communication among thousands of employees

For example Boeing used sophisticated information technology to support its operation to create global collaboration environment i.e. a project management life cycle solution.

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