Boeing Value Chain Analysis in 2022 (Detail Analysis)

Boeing is the biggest aviation corporate in the world, specializing in passenger planes, defense, military, and surveillance systems, as well as services and spare parts.

Serving as the world’s largest export aerospace manufacturer, the company supplies both private airlines and other governments of over 150 countries worldwide.

In addition, customers may choose from a wide range of commercial and military airplanes, weapons, defense systems, satellites, turbojet engines, and other advanced aerospace systems.

Background of Boeing

Boeing has been a leading innovator for a long time when it comes to aerospace. In order to fulfill the ever-changing demands of its customers, the firm is constantly expanding its product and service offerings.

Moreover, its diverse set of competencies includes the development of upgraded efficiency and reliability of commercial airplanes. Also, the company focuses on assembling, crafting, and coordinating military and defense operating systems.

Lastly, this aerospace corporate always comes up with proven technologies and simplified financing alternatives for its customers.

Since its establishment, the company has employed 140,000 employees in the US and 65 other countries. The firm’s headquarter is located in Chicago, where it brings in and presents the most creative, hardworking, and intelligent employees from diverse backgrounds.

Additionally, the organization makes use of their skilled workers employed by the suppliers globally.

What is Boeing Value Chain Analysis in 2022?

The value chain is generally conducted to discover core competencies for the company for further development.

On the other hand, it also allows the company to watch out for any prospective threats regarding new entrant barriers or cost disadvantages.

On top of that, both internal and external cooperations within the firm can be identified as well. Simultaneously, this approach helps the organization’s executive management make strategic decisions.

Boeing Primary Activities

The main activities of the aerospace manufacturer are to manufacture and sell their products to the customers. Thus, the assessment of core activities of Boeing’s value chain helps enhance its performance.

Inbound Logistics

It is critical to cultivating excellent connections with supply because their assistance is required for distributing, receiving, and storing the product.

Besides, analyzing an entire supply chain requires a business to consider every part of the operating process.

However, the corporate may encounter a number of difficulties during the operating process if the analysis is not thoroughly examined. Therefore, the company has developed rigorous and advanced plans to manage its complicated supply chain.


Once all the raw materials are in stock, analyzing the operating process will be taken care of more thoroughly.

From there, the manufacturing specialists and workers will fully focus on the developing process, such as packing, assembling, and testing the product from the raw materials to the launch of the product on the market.

Nevertheless, it is inevitable that there might always be trial and error during the process as well. For example, the error of equipping spare parts.

Moreover, by analyzing operational processes, the company can maximize efficiency, enhance productivity, and ensure competitive performance in both service and manufacturing.

Additionally, the analysis helps assist the company in increasing market share, establishing a strong foundation, and achieving robust economic growth for competitive advantage.

Outbound Logistics

When it comes to outbound logistics activities, it refers to any operations involved in getting a good or service to a client after it has passed through a number of channels.

Outbound logistics are important because the company can use the data to find out more about new opportunities for growth.

Those activities include warehouse, schedule, material handling, transport, delivery, and ordering process.

In addition, once all activities are correctly and timely processed, the product will be produced and delivered at a lower cost while maintaining the highest quality. Simultaneously, in addition to potential growth opportunities, customer satisfaction will also be maximized.

Marketing and Sales

Without sales and marketing operations, the corporate cannot make money by only making premium quality products at low prices with unique features.

Sales and marketing play the most important role at this stage. Therefore, the firm must emphasize the advantages and unique features of the products to attract the customer’s attention.

Moreover, the firm has done several sales and marketing schemes that can be simplified, including pricing, relationships among its channel associates, advertising, sales forces, and so forth.

Furthermore, while the firm further develops a funnel approach to utilize the marketing activities, well-integrated and competent marketing operations are established to build the firm’s brand recognition, differentiating it from competitors.

On the other hand, the mismatching expectation between the product and the company’s own capacity is not good for the company’s reputation. Therefore, the product representation and performance must go together.

After-Sales Services

Nowadays, customers would think about the maintenance and support services as critical as the discounts or other promotional programs. Thus, the aerospace corporate already has good marketing and promotions to its customers.

However, the organization needs to assess the back-line operations in order to prevent undermining reputation. For this reason, after-sales services need to be carefully delivered to the customers in a timely and efficient manner.

Boeing Support Activities

Support activities, such as coordination and facilitation to the primary value chain operations, are critical to their success. Hence, analyzing the secondary activities, as described below, can potentially be beneficial to the company.


To maximize overall value, the aerospace corporate builds the right management of the infrastructure. It includes how well the company manages the strategic planning, accounting, financing, and legal issues.

These matters will help the company to have better control over its overhead, enhancing its positioning in the market.

Human Resource Management

Effective human resource management enables Boeing Co to minimize competitive threats by capitalizing all over the workforce’s ambition, dedication, and talents.

Moreover, the human resource analysis helps the firm to hire or train its employees in a very cost-effective way.

By doing this, the company can accomplish its budget expenditure plan. Training, hiring, performance appraisal, rewarding, and other human-resource-related activities are examples of how the firm does.

Technology Development

There are a lot of things that happen in the world, depending on technology.

The company invested a huge chunk of investment into the technology because the firm would not survive without this investment.

Thus, every process in product development must be supported by updated technologies like aerospace software, customer support, data management and analytics, and other aerospace-related technology.

Furthermore, it is crucial that the company needs to synchronize the innovation and development of technology into other aspects, such as distribution, marketing, and human resource management.


As a part of a value chain analysis, procurement is a term used to describe the activities involved in procuring the various inputs needed to produce a finished product, from inbound logistics to outbound logistics.

Those activities comprise raw materials, suppliers, machinery, spare parts, and other compulsory equipment related to aerospace goods. This complicated operational expenditure requires an effective procurement.

Key Takeaways

As previously stated, the applicability is contingent upon an appreciation for the significance of all operations.

Thus, Boeing Co. might identify and decide on various aspects in which improvements are made, the production cost is lowered, distinctive requirements are established, and procedures optimized.

Because of this, the aerospace manufacturing company has to understand that not every operation or process is subject to the same degree of inspection.