New Boeing Chief Faces Daunting Task of Restoring Trust
New Boeing CEO Kelly Ortberg is making efforts to restore trust by engaging with U.S. plant workers, addressing a recent safety crisis, and aiming to boost production of the 737 MAX jets. Ortberg will focus on mending relationships with employees and suppliers, and ensuring high safety standards.
On Thursday, Boeing's new CEO, Kelly Ortberg, will meet with U.S. workers manufacturing the company's highly-sought 737 MAX jet. He aims to be closer to production lines as he tackles the immense challenge of restoring trust, as outlined in a message to employees. The former Rockwell Collins CEO will focus on close interaction with workers, suppliers, government officials, and regulators from day one as Boeing's new head, facing years of problems and financial losses.
Ortberg, who is 64, plans to stay based in Seattle to be near key Boeing commercial airplane programs, including the MAX produced in nearby Renton, Washington. The output of the MAX jets has slowed since a mid-air panel blowout incident on January 5, sparking a safety crisis. In his letter, Ortberg emphasized the importance of being closer to the production lines and development programs across Boeing. He expressed his intention to be on the factory floor in Renton, discussing challenges directly with employees.
Among Ortberg's priorities are rebuilding relationships with airlines and employees, ramping up the production rate of the MAX jets from 25 to 38 planes a month by year-end, and securing a labor deal to prevent a potential strike this year. The National Transportation Safety Board head criticized Boeing for ignoring repeated warnings which led to the Alaska Airlines 737 MAX 9 emergency, labeling it an avoidable incident. Ortberg's agenda includes a visit next week to Boeing’s key supplier Spirit AeroSystems in Wichita, Kansas, following Boeing's agreement last month to buy back Spirit Aero for $4.7 billion in stock.
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