3 ms·
When you look at outcomes like this and start asking why or how this happens, you can often reach one of these conclusions: 1. Everything is fine. This is work
by jmyeet 2y ago
When you look at outcomes like this and start asking why or how this happens, you can often reach one of these conclusions:
1. Everything is fine. This is working as intended. The system (competition in this case) will "solve" this problem, if there is even a systemic problem; or
2. Therea are a few bad apples but the system is fine; or
3. The system is fundamentally flawed.
When it comes to capitalism, most people fall under (1) or (2). "The markets will solve it" is (1). "We need more or strong regulation" is (2). Even "we need less regulation" is also (2).
We can talk about how the finance people took over Boeing from the engineers and that's where these problems began. I agree with that. However, my view is that putting Boeing back in the hands of engineers won't solve this problem because it's a systemic issue. Financialization, profit-seeking and the lack of accountability at every level of Boeing is (IMHO* inevitable.
Boeing is really two companies right now.
The first is the part that makes commercial airplanes. It's a company that's really still coasting off the success and the ingrained culture from the hugely successful (but now reitred) 747. There are problems already evident however. We've seen it with the 737MAX and even the delays and cost overruns from the 787.
The second face of Boeing is the government and military contractor, which is where Starliner falls. It's the same basket as Lockheed Martin and Northrop Grumman. These companies sole purpose in existence is to extract wealth from the government and give it to shareholders. It is transferring all of the profits with none of the risk.
The last century really saw this idea take off of "small government" and outsourcing and "public-private partnerships". All of it is simply wealth extraction.
I would honestly be shocked at this point if Boeing was able to turn things around. The problems permeate every pore of the company and we live in a system where that outcome is arguably inevitable.