Sustainable Value Framework in the Boeing Company
Question
1. Choose a company-preferably one that has readily available information with a public web site
2. Understand the SVF framework
3. Apply the SVF to the company you chose and answer/apply as much as possible in each of the 4 quadrants


Solution
Sustainable Value
Framework in the Boeing Company
Several individuals across the globe
think that sustainability is an aspect that is quite expensive to nurture;
however, their thoughts are irrelevant based on the underlying facts.
Businesses strive to attain their success by integrating strategies to
potential elements of transformation within their operations. Sustainability is
a business strategy that drives an organization to look impressive and
substantial in front of its consumers, shareholders, and other individuals (Spechler,
2017). I chose Boeing company to center my analysis and application of the
Sustainable Value Framework. The multinational corporation manufactures, designs
and vends airplanes, rockets, rotorcrafts, satellites, telecommunication
equipment, and missiles worldwide. The company based in the United States form
part of the top manufacturers and exporters of aerospace products. It has been
recognized as a global firm that embraces sustainability and innovation,
leading to the emergence of the following five divisions. The Boeing Space,
Boeing Capital, Boeing Security, Boeing Commercial Airplanes, and Boeing
Defense. As a result, the wider role played by this company in the global market
poses notable issues. Developing a culture that aids swift resolution or crisis
prevention is a global challenge Boeing is working towards achieving. The
company faces enormous systemic issues, cultural differences, environmental
concerns, improper manufacturing, engine exploding, crashes' adverse impacts,
crashes, and compensations (Petrescu et al., 2017). The SVF embraced within the
multinational firm has helped extend the life cycle of their products and
services as they maximize the quality, mitigate risks, and embrace advanced
technologies. Therefore, this paper will discuss the sustainable value
framework and apply it to the Boeing Company.
An Overview SVF
According to Yacob et al. (2020), SVF
is a model that assists an organization in identifying strategies and practices
that pave the way for a sustainable world while boosting shareholders' value.
Mark Milstein and Stuart Hart constructed a quadrant that shows how
sustainability leads to added value. If the framework is applied correctly,
creating the sustainable value and win to win approach becomes simpler in a business
setup. In simple terms, the framework entails making
informed decisions, fostering value creation, and considering sustainability
challenges. The quadrat constructed involves four essential components. Clean
technology, pollution prevention, product stewardship, and the base of the pyramid.
Below is a quadrat's model of SVF:
Figure 1.0: SVF (Hart, n.d.).
#1. Clean Technology
In the sustainable value framework, clean
technology is a substantial component for companies in attaining a competitive
edge and opportunities in the future. This denotes that developing advanced
technologies and practices within a business setup forms aspects seeking to
develop future opportunities (Yacob et al., 2020). The common segments that the
Boeing Company operates with include global services, security, commercial
airplanes, space, and defense. The segment that entails commercial planes
involves manufacturing and marketing them across the globe. In addition, the
segment entails managing essential fleet services. For the segments dealing
with defense, space, and security, their aims entail participating in continued
research to enhance the production within the company while advancing the
military aircraft. On the other hand, this segment engages the development of
modern weapons while improving the current ones to enhance their usage during global
strikes. Boeing has facilitated battles' control, command, and management (Lehmann,
2016). For instance, the company manufacturers missile systems, global mobility
equipment, and combat rotorcraft aircraft.
Subsequently, the elements within these varied
segments form part of clean technologies and their relevant practices.
Technological innovation and modification create value in business; the modern
world encounters several upcoming trends that demand active participation to
adapt and embrace them in developing current products, services, and
sustainable skills. Suppose fewer adverse impacts on the local communities and
environment, the products' life cycle will be longer. The clean technology
component of SVF aids in developing future business opportunities. The Boeing Company
successfully utilizes this component to recognize where their business is well
endowed with product opportunities, the communities to engage, and activities
with less adverse environmental impacts. These activities gravitate around
clean technology to aid space surveillance and transform commercial airplanes
worldwide. Some of the terms used across the company are innovation, customer-responsive,
efficiency, and quality. These terms are substantial in enhancing the
productivity of the internal services, which stimulate the desire to advance
their productivity in due course (Lawrence & Thornton, 2017). Furthermore,
the value chain of this multinational company is developed based on a back and
forward channel that engages the supply of raw materials and the final consumer
of the services.
2#. Pollution Prevention
Pollution prevention is another
component of a sustainable value framework that entails mitigating waste and
emissions from the existing facilities and operations. Cost management and risk
mitigation take the core value of the businesses. For the case of sustainability
value, the Boeing company has been evaluating its practices while engaging its
workers and relevant stakeholders while searching and identifying means to
minimize waste and efficiently utilize the available resources. As a result,
the multinational company had succeeded in lowering the tendency to risky situations,
diminishing the operational costs, stimulating engagement within the task
force. Boeing's organizational culture and policies have impacted several
processes across its units like other companies. Some individuals might think
about mitigating waste despite implementing sustainable practices in the
internal management being a notable activity forming part of the pollution
prevention aspect of the SVF (Yacob et al., 2020 and Hart, n.d.).
The manufacturing company engages its
employees and other individuals to offer solutions and interventions for
addressing an issue. Integrity is a cultural aspect that companies embrace to
ensure the existence of honesty among their owners, clients and the task forces.
For the case of Boeing company, the chairperson usually hosts the broadcast
event annually with the company's workers from places across the globe to
create awareness about ethical decision-making. Air pollution is a common
environmental concern that companies like Boeing encounters. Responding to
environmental issues demands informed decision-making and policy formulation.
For instance, commercial airplanes are manufactured and designed to emit fewer
chemical gases detrimental to human survival and climate change. In addition,
the company faces several lawsuits, online insecurity and unprecedented events
such as craft crashes. For example, between the years 2018 to 2019, Boeing
incurred fatal crashes that left 346 individuals dead on the spot.
3#. Product Stewardship
Product stewardship is another
component of a sustainable value framework that engages stakeholders in managing
the company's products. Sustainability leads to reputation development with
other stakeholders from other companies operating in the same line of
production (Hart, n.d.) Due to this, Boeing, the multinational company, can
differentiate itself from a larger pool of competitors. Engaging third parties
and a full value chain will enable the company to develop and manage its
products, meaning liaising with sustainable companies in the value chain adds
value. Companies promote respect by abiding by the views of their employees and
stakeholders. Boeing considers its varied team players' strengths, skills, and
perspectives. It creates a situation where employees are engaged in finding the
solutions concerning their products. Also, Boeing company incorporates a
collaborative workforce, stakeholders, customers, and suppliers. The vision of
the company considers collaboration and teamwork. The vision denotes that the
corporation embraces diversity while taking advantage of the disparities within
varied groups within a company (Agyeman, 2021).
On the other hand, the multinational
company maintains its reputation and brand for being a global enterprise as stipulated
in its mission statement. It achieves these through the proper organization of
teams with relevant knowledge and skills to attain the set goals. Moreover, this
company arranges internal events like training programs to sharpen their
employees' skills and embrace diversity and inclusiveness (Hart, n.d.). Boeing
company manufactures airplanes, rotorcrafts, and missiles. These products are
fatal if mishandled; the company considers safety part of core values that
influence their daily operations. Boeing company values human health and life
significantly compared to other aspects within the company; thus, considering
all the recommended precautions to promote the safety of its workplaces,
products, and services. The denotes Boeing considers the development and
manufacture of safer products as they are rendered to the market. It is a
safety policy in the company that employees are in charge of safety
precautions; since there is no room for compromise when it comes to safety. For
individuals to manage any business externally, they need to develop new
products in the global market that incorporates core values of sustainability (Agyeman,
2021). Considering certification leads to legitimacy and development of a positive
reputation among the stakeholders in the company while joining hands with
collaborative groups to champion for and create sustainable practices for the
value chain.
#4. The Base of Pyramid
This component of the sustainable
value framework focuses on creating modern business activities and practices to
address needs and gaps that emanate within a group of underserved and poor
individuals. This component aids in developing business opportunities and
utilizing distinctive techniques like bringing together companies, competitors
and customers to recognize sustainable biofuels and developing appropriate air
traffic management approaches within the Boeing company. A suitable corporate
culture within the organization improves productivity and the employees'
financial well-being due to the motivation it guarantees to them. The
multinational company embraces a suitable corporate culture that depicts the
highest level of its efficiency (Yacob et al., 2020 and Hart, n.d.).
Boeing is a company that also follows
Carroll's pyramid of CSR that forms four main business responsibilities: legal,
economic, ethical, and philanthropic. The concept in the company is a view in
the form of a pyramid, stating the four business responsibilities are developed
to address all aspects of the CSR and the expectation of stakeholders
concerning both social and economic issues. The importance and implementation
of the company's responsibilities rely on the company size and the economic
status. In addition, innovation helps address the existing market needs and
meet the new requirements that have been put in place. The company presents
dynamism in various dimensions like the products, consumer preferences, and evolving
technologies (McCurdy, 2019). On the other hand, global services form part of
the major divisions existing in the Boeing company that focuses on the offering
which offers its services to the defense and commercial aircraft while the
capital segment offers product financing to the consumers of the multinational
company (Lehmann, 2016). The process of financing when the need arises, the
process of financing forms part of the activities for the pyramid base
component. In addition, the segment manages the overall financing. Boeing seeks
to advance its interest by strengthening competition while safeguarding its
reputation.
Conclusion
In the final analysis, Boeing manufactures,
designs and vends airplanes, rockets, rotorcrafts, satellites,
telecommunication equipment, and missiles worldwide. The company based in the
United States form part of the top manufacturers and exporters of aerospace
products. Sustainability is a business strategy that drives an organization to
look impressive to its consumers, shareholders, and other individuals with relevant
interests. SVF is a model that assists the organization in recognizing strategies
and practices that pave the way for a sustainable world while boosting
shareholders' value. Mark Milstein and Stuart Hart constructed a quadrant that
shows how sustainability leads to added value. As a result, the wider role
played by this company in the global market poses notable issues. Boeing seeks
to address a global challenge by developing a culture that aids swift
resolution or crisis prevention. They face enormous systemic issues, cultural
instilling, environmental concerns, improper manufacturing, engine exploding,
crashes' adverse impacts, and huge fines and compensations. The sustainable
Value Framework embraced with the multinational firm has helped extend the life
cycle of their products and services as they maximize the quality, mitigate
risks, and embrace advanced technologies. The framework entails making informed
decisions, fostering value creation, and considering sustainability challenges.
The four components embedded in the sustainable value framework are clean
technology, product stewardship, pyramid base, pollution prevention. The
framework components pose substantial changes in the Boeing company due to
inclusivity. Clean technology is a substantial component for companies in
attaining a competitive edge and opportunities in the future. This denotes that
developing advanced technologies and practices within a business setup forms
aspects that seek to develop future opportunities.
References
Agyeman,
N. E. S. (2021). The impacts of principles on the production of civil aircraft
in Boeing. Aircraft Engineering and Aerospace Technology.
Lawrence,
P. K., & Thornton, D. W. (2017). Deep stall: the turbulent story of Boeing commercial
airplanes. Routledge.
Lehmann,
C. F. (2016). Strategy and business process management: Techniques for
improving execution, adaptability, and consistency. Auerbach Publications.
McCurdy,
H. E. (2019). How Corporate Executives Approach Business Decisions: Financial Planning
for the Boeing 707 Jetliner. In Financing the New Space Industry (pp. 27-32). Palgrave
Pivot, Cham.
Petrescu,
R. V., Aversa, R., Akash, B., Corchado, J., Berto, F., Apicella, A., &
Petrescu, F. I. (2017). When Boeing is dreaming–a review. Journal of Aircraft
and Spacecraft Technology, 1(3).
Sustainable
value: Stuart L. Hart. (n.d.). Retrieved January 1, 2022, from https://www.stuartlhart.com/sustainablevalue.html
Spechler,
J. W. (2017). The Boeing Company and the International Association of
Machinists and Aerospace Workers Union. In Reasonable Accommodation (pp.
45-55). Routledge.
Yacob,
P., Nodeson, S., Yee, C. F., & Sai, M. L. (2020). Operationalization of
Sustainable Value Framework. In Charting a Sustainable Future of
Business and Social Sciences (pp. 287-306). Springer, Singapore.




About Author
Tough Essay Due? Hire Tough Essay Writers!
We have subject matter experts ready 24/7 to tackle your specific tasks and deliver them ON TIME, ready to hand in. Our writers have advanced degrees, and they know exactly what’s required to get you the best possible grade.
Find the right expert among 500+
We hire Gradewriters writers from different fields, thoroughly check their credentials, and put them through trials.
View all writers