The Boeing

Company

Organizational Structure

Presented by Group Of Himanshu Shakyawar

Company Overview
Founded in 1916 William E. Boeing in Seattle, Washington, US.
Customers and customer support in 150 countries Total revenue in
2011: $68.7 billion
70 percent of commercial airplane revenue historically from customers
outside the United States
Manufacturing, service and technology partnerships with companies
around the world Contracts with 22,000 suppliers and partners globally
Research, design and technology-development centers and programs in
multiple countries
More than 170,000 Boeing employees in 50 states and 70 countries

Boeings Organizational structure

Boeing uses the Matrix Structure:

- Each Department has a Senior Vice President

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Business Development and Strategy

Communications
Engineering, Operations & Technology
Finance
Human Resources and Administration
Internal Governance
International
Law Department
Public Policy

Boeing Organizational Chart

W. James McNerney, Jr.

Chairman, President, and CEO
Michael J. Cave,
Tom Downey,
Sr. Vice President
Sr. Vice President
Business Development and Strategy
Communications
hn Tracy,
James Bell,
. Vice President Engineering, Operations,
Executive Vice President
Technology
Chief Financial Officer
Richard Stephens,
Wanda Denson-Low
Sr. Vice President
Sr. Vice President
Human Resource & Administration
Internal Goverence
Shep Hill,
J. Michael Luttig,
President
Sr. Vice President & General Counse
Boeing International
Timothy Keating,
Sr. Vice President
Public Policy

Boeings span of control is wide:

-163,851

employees
-In 70 countries

Boeing is a Centralized Organization:

-high-level executives make most decisions and
pass them down to lower levels for implementation.

Boeings hierarchy
Vertical Structure

Has hierarchy levels where top supervisors make decisions

for organization
Uses Differentiation - the organization is composed of
many different units that work on different kinds of tasks,
using different skills and work methods.
Uses Integration - the differentiated units are put back
together so that work is coordinated into an overall product.
Authority trickles down organization from top to bottom
CEO and CFO and COO
President and Vice President
Department Heads

Horizontal Structure

Organization is subdivided or departmentalized into smaller

units or departments.
Each Department has a Department head that oversees
that division and all employees in the division.
Lower level management reports to department head who
reports to CEO, CFO, or COO.
This structure works to create individual and specific
divisions that oversee specific functions of the organization.

Analysis of Vertical and Horizontal

Structure

Vertical and Horizontal Structure often work

synonymously.

Vertical Structure establishes top supervisors who make

decisions about how to run the organization.

Horizontal Structure breaks down the organization into

smaller divisions overseen by department head who
report to top supervisors.

Vertical Structure dictates how authority is delegated

(top to bottom)

Horizontal Structure dictates how each division is

integrated into the organization.

Matrix Structure

Boeing uses the Matrix structure to runs its organization.

- Different divisions run independently due to the diversity
of Boeings products.
- Boeing is an organization that has constant changes in
technology, which means that collaboration amongst the
divisions is essential for success.
- Boeing is a network organization with independent,
single-function firms that collaborate on a good or service.
- Resource utilization is efficient because key resources are
shared across several important programs or products at
the same time.