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IS 329 - Spring 2009 :: Blog :: CASE 1-4 (Boeing)

February 19, 2009

In respond to Question 2:

How well does Boeing understand the key factors that drive business performance in its organization and industry? What must be down well to reduce costs, grow revenues, improve assets efficiency, and achieve sustainable advantage? How can IT be used to improve business performance?

 

In June 2003, Boeing has revealed a new strategy to expand its services by integrating business services into the core products; the strategy is to take advantage of "E-enabled" operating environment so that all data and information systems would be integrated through IT and synced between airplane, airline, and maybe third party. In 2004, a team been formed to evaluate and analyze the affect of this new strategy; the result reported tough transition into services and great amount of coordination among business units. Thus, Boeing's understood the risk of not differentiating its services and stay vulnerable to cyclic industry threats. Transition took place and Boeing used IT to drive revenue growth by launching new services, products and to embed IT into its physical products. Boeing used IT to streamline processes and cut cost a head of its competitors to even engage in a long term value planning instead of short-term with its customers.

With e-Enabled environment, the airplane was connected to every aspect of prospective airline's operations. Now from security point view, I think if a system gets compromised somewhat then the airplane and the passengers will be at risk. One say, well there will be a multiple security levels of controls, defense-in-depth, embedded into e-Enabled components and transactions/processes are audited/trusted before assigning final commit or complete. The point here, security needs to be an integral part during the early planning stage of e-Enabled advantage.

Posted by IS 329 - Spring 2009 - Fahad Al Ruwaili


Comments

  1. I agree with you, Fahad. Security is one of the main things that should be concerned. E-enabled would be vulnerable and not reliable if it's not focus on information security.  

    Pimpaka PrasertsilpPimpaka Prasertsilp on Thursday, 19 February 2009, 02:37 Pacific Standard Time # |

  2. I agree with you, too. Security is an important issue. But I think the system designers and maintainers pay attention to this critical need. Obviously, that's a vital feature for such an advanced system.

    Mehraneh ShantiaeiMehraneh Shantiaei on Thursday, 19 February 2009, 08:47 Pacific Standard Time # |

  3. Good point.  I have to concur with the others that security is something that although is probably being addressed, should be brought into the forefront. Due to the size and impact of this project, one little security related "mistake" could bring this whole project down like a house of cards and be devastating to Boeing.

    Claire StallardClaire Stallard on Thursday, 19 February 2009, 10:56 Pacific Standard Time # |

  4. Yes, security is key. Boeing should also include service business related performance metrics include asset efficiency, factory uptime, cost savings, and customer excellence.

    Sam OjoSam Ojo on Thursday, 19 February 2009, 18:09 Pacific Standard Time # |

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