The F-47 Program:
Does It Include A De Facto Nationalization of Boeing? Or, At Least A Shadow Management Team?
Summary: With all the administrative and management and production fiascos, it appears to be a surprise the Administration awarded the F-47 contract to Boeing. But the Trump Administration may have a plan to use the program to accelerate the company back to profitability and management accountability.
OK, let's take stock of what's going on at Boeing.
· The DOT-imposed limitation on 737 production isn’t going to get lifted anytime soon. Not enough progress has been made at Boeing to get its act together.
· The next generation Air Force One program is years behind schedule and billions over budget. That's been going on since Trump's first administration and involves essentially just two airplanes.
· Deliveries of the new KC-46 tanker to the Air Force have been halted. Cracks have been discovered on two airframes. Oops.
· The 787 program is also in some stages of disarray, delaying deliveries.
· Boeing’s botched space program marooned two people on a tiny space capsule for months instead of a few days. It took a private company to figure out a way to get them back to earth. It could have degenerated into an earth-to-Major-Tom event. (Google it if you must,)
Not exactly a track record that builds confidence.
So, this week we just heard that the Trump administration has awarded to Boeing the contract to design and produce a new “6th generation” multi-mission fighter jet. One on which the future defense of the USA will depend.
On the surface, none of this makes any sense. Boeing can’t get a 737 delivered on time, yet they get this huge critical military contract.
Okay, think this one through. Boeing’s problems are due to inept leadership, not its actual capability to produce airliners, tankers and miscellaneous advanced airborne weaponry.
So, it actually it does make sense to inject this F-47 project into Boeing. Trump is a businessperson. He understands the importance of Boeing to the national economy and National Defense. He also probably understands that Boeing is wallowing around in an administrative and management heap of yogurt.
Think about it. This would be probably the biggest defense project ever, which means it will be one of the most monitored programs ever. This new F-47 represents a program that is going to infuse massive amounts of technical and administrative oversight into Boeing.
At all levels.
Okay, this is all supposition. But an interesting take.
In any case, you can bet on this. This is more than just a contract involving a flying machine. It is also an enormous Trojan Horse that is going to inject detailed independent oversight of Boeing. This dynamic has happened in the past, particularly during war time, where the federal government has essentially installed a team of shadow leaders at key suppliers to assure results.
So, the real bottom line here is that along with the F-47 contract, Boeing is getting new management oversight directly from the administration.
An administration that seems to be results oriented.
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