When a supplier you need fails to deliver a quality product, there is always the option of taking your business in another direction—even if you are United Airlines and the supplier is Boeing (NYSE: BA).
United Airlines CEO Scott Kirby said the grounding of the Boeing 737 Max 9 after a door plug blew out on Alaska Airlines Flight 1282 earlier this month represents the proverbial “straw that broke the camel’s back.”
United has 79 of the Max 9s in its fleet, which is more than any other airline. During an interview on CNBC, Kirby expressed frustration at the progress of the 737 Max 10, which has been delayed several years due to FAA certification challenges and quality-control issues. Kirby noted that United is looking at options beyond using the Boeing 737 Max 10 since the airliner is still several years away from certification. In 2018 Kirby, then president at United, noted the company had placed orders for 100 Max 10s and expected to have them in the air by 2020. That obviously didn’t happen for a variety of reasons, the first of which were two deadly accidents.
In 2018, one 737 Max 8 went down in Indonesia, the other in Ethiopia, killing a total of 346 people. This resulted in a global grounding of the 737 Max while Boeing, the National Transportation Safety Board (NTSB), and FAA conducted investigations.
Approximately two years later, the authorities released their final report, blaming the accidents on the 737 Max’s maneuvering characteristics augmentation system (MCAS).
A congressional investigation attributed both crashes to the “plane-maker’s unwillingness to share technical details.” Changes were made to the MCAS software, and new training protocols were developed. The aircraft returned to service in November 2020.
As reported by FLYING in October 2022, Boeing had to achieve regulatory approval for the Max 10 no later than December 2022 in order to meet its delivery deadlines. The deadline was not met, and industry officials note it is likely still years away.
In the meantime, Kirby said that the airline will consider alternatives to the Boeing product, as the issues are creating significant delays. Kirby told CNBC that United was “going to at least build a plan that doesn’t have the Max 10 in it” but did not specifically mention the alternative. The only other global manufacturer of large jets is Airbus.
FLYING reached out to Boeing for a response. Stan Deal, president and CEO of Boeing Commercial Airplanes, responded with a prepared statement: “We have let down our airline customers and are deeply sorry for the significant disruption to them, their employees, and their passengers. We are taking action on a comprehensive plan to bring these airplanes safely back to service and to improve our quality and delivery performance. We will follow the lead of the FAA and support our customers every step of the way.”
In a January 15 message to employees, Deal announced a list of immediate actions to address concerns over Boeing quality that included adding additional inspections throughout the build process at Boeing and Spirit AeroSystems, the Wichita, Kansas-based manufacturer that builds the fuselages for Boeing aircraft.
Additionally, Boeing has named retired Admiral Kirkland Donald to “lead an in-depth assessment of Boeing Commercial quality management system.” According to a statement from Boeing, “…Donald and a team of outside experts will conduct a thorough assessment of Boeing’s quality management system for commercial airplanes, including quality programs and practices in Boeing manufacturing facilities and its oversight of commercial supplier quality. His recommendations will be provided to [Boeing CEO Dave] Calhoun and to the Aerospace Safety Committee of Boeing’s board of directors.”
Donald spent 37 years in the U.S. Navy as a nuclear submarine officer. His last Navy assignment was as director of the service’s nuclear propulsion program, helping to ensure the safe and effective operation of all nuclear-powered warships and supporting infrastructure.
“The [Navy] program is recognized worldwide for excellence in reactor safety and reliability,” the statement said.
Donald currently serves as chairman of the board for Huntington Ingalls Industries, the largest military shipbuilding company in the United States.
