The Boeing 787: Innovation Through Co-Creation: A Case Study.

 Would Boeing be able to develop the plane on its own?

Most likely the answer to this quetion is negative.

Before they started to use “Working together” concept, they were quite successful in the industry they
were working. But times change (XXI century), different things happen (i.e. 9/11 terrorist act,
environmental issues, oil price increase) and due to these circumstances company in order to not to
lose the success and customers and etc. that it has already gained, it should keep in step with the
times, be innovative and flexible. That is what Boeing did. Without the collaboration of Boeing’s
cross-functional team, customers, suppliers and stakeholders the design, development and build
processes would lead to completely different results. And obviously those results would be opposite
to those we see in the real life and in this case study.

 How did Boeing involve its customers and its customers’ customers in the early stage of design of the
Boeing 787 model?

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After already having the experience in “Working together” with customers in the case of Boeing’s

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Sonic Cruiser in 2001, company made a decision to give customers the opportunity to make even
bigger contribution to the creating of a new aircraft by engaging them again in the innovation process.

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Boeing created a showroom for company’s airline customers where they can make the interior
choices, to touch and feel things, to sit in the seats, and make sure it is what they want to see in their
airplane."
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In 2003 company announced a global “Name your Airplane” contest where four participants were
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competing in the final to win. Many countries from different parts of the world participated and voted
for the favorite candidate. So people not the company itself made a decision about what name to give
to the new airplane.
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In January 2005, the Marketing Vice President of company has started to make weekly entries in his
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blog and encourage 16.000 bloggers to suggest new ideas.

In 2006 company launched a website, www.newairplane.com as a tool to present the new airplane and
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let people to become a part of the world design team. This webpage allowed its visitors to take a
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virtual tour and to see aircraft inside.

 What are the advantages and disadvantages of Boeing’s innovation through co-creation program in
comparison with the more traditional approach of company-based, R&D-led innovation in the
industry?

All these points shown above let people think, feel and know that they are needed, their views from
the outside and their contribution are very important, and that the primary goal of the company is not
just to gain the profit, but also to satisfy its customers.

In case of the Boeing 787 it would be impossible for the company to create a Dreamliner using the
traditional approach (R&D-led innovation) due to big changes in customer requirements in last years.
The only right decision was to work in close co-operation with company’s customers and suppliers.
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 Boeing’s innovation through co-creation is a win-win concept.

R&D requires spending huge amounts of money, while the first approach does not.

 What are the competitive advantages that Boeing developed over Airbus?

 By using new technologies Boeing made flights super-comfortable (i.e. reduced noise emissions,
improved the internal airplane environment, etc.).
 Use of composite materials, high-efficiency engines, cutting-edge cabin technologies and a
‘smoother ride’, automatically reducing the effect of turbulence,1 reduced carbon footprint.
 Fulfilling a wide range of customers needs (i.e. large luggage bins, big and technologically
advanced windows, larger seats and aisles, improved fuel efficiency and etc.).
 Showroom for airline customers.
 New supply chain strategy, that helped Boeing to become as much a system integrator as it was a
manufacturer.
 A second plant in North-Charleston.
 GoldCare service that helps customers to decrease operating costs and risks. This factor will
ensure engagement with customers and ongoing revenue for the lifetime of the Dreamliner. And

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also it will help company to move to a full-service provider from aircraft manufacturer.

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 New approach to communication and promotion.

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 Strong brand position.
 Stakeholders’ confidence.

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 Being due into service with the first customer in 2008 whereas the Airbus in 2013.
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 Were Boeing’s marketing strategies developed in tandem with the supply chain capabilities?

No, they were not.

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In case of developing marketing strategies in tandem with the supply chain capabilities the marketing
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team would not be mistaken about a new market segment created by 787, with expected demand of
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2500 planes over the next two decades. Because this number is much higher than the one that Boeing
itself can provide.
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Appendices
1
Boeing case, 2013, p. 4.
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