· Frontline Communications Partners1880 Century Park East, Suite 1011, Los Angeles, CA90067 0 25 50 75 100 3C 4C 50K 50C 41M 41Y THE US ARMY’S FUTURE COMBAT SYSTEMS. Continuous

May 2007Volume VI, Issue I

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This Integrated Defense Systems ad is one of four new ads supporting Future Combat Systems (FCS), the core of the U.S. Army’s modernizationstrategy. The ad is designed to position FCS as a real, relevant and critical modernization program that is on track to deliver what the warfighterneeds in both the near and long term. All four ads emphasize the importance of FCS to the individual warfighter. These ads will run in key trade

publications including Aviation Week, Defense News, Army Magazine, Congressional Quarterly and National Journal.

Date: 4/9/07file Name: BOEG_IDS_FCS_1012M_B

Output printed at: 100%Fonts: Helvetica (Bold), Helvetica (Plain), LI Helvetica Light ObliqueMedia: Frontiers Magazine

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Bleed: 8.875 in. x 11.25 in.Production Artist: D.Seymour

GCD: P. SerchukCreative Director: P. Serchuk

Art Director: P. DekoninckCopy Writer: P. Serchuk

Print Producer:Account Executive: D. McAuliffe

Client: BoeingProof Reader:

Legal:Traffic Manager: Jenny Wu

Digital Artist:Art Buyer:

Vendor: Schawk

Job Number: BOEG_IDS_FCS_1012M_BApproved

Date/InitialsClient: Boeing Product: Integrated Defense Systems

PUBLICATION NOTE: Guideline for general identification only. Do not use as insertion order. Material for this insertion is to be examined carefully upon receipt.

If it is deficient or does not comply with your requirements, please contact: Print Production at 310-601-1493.

Frontline Communications Partners 1880 Century Park East, Suite 1011, Los Angeles, CA 90067

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THE US ARMY’S FUTURE COMBAT SYSTEMS. Continuous modernization is crucial for the success and

safety of our warfighters. Future Combat Systems delivers dramatic leaps in lethality, network capability,

protection and supportability, making forces stronger, safer and more knowledgeable in any environment.

What’s more, FCS technologies are continually integrated into the current force, bringing the capability

of the future to the warfighter today.

THE POWER OF THE FUTURE, MAKING THEM STRONGER TODAY.

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BOEING FRONTIERS May 2007 �

May 2007 Volume VI, Issue I

LEAN SCENE 12The Boeing facility in Mesa, Ariz. (above), is one of many sites where Lean processes have made a difference. Here’s an explanation of what the Lean+ companywide growth and produc-tivity initiative is about—and how Boeing teams are drawing inspiration and lessons from it.

SEE THEFUTURE

FEATURE STORY

COVER STORY

32 Employees at the Boeing-SVS facility in Albuquerque, N.M., design, develop and build electro-optical systems that help see and track re-

mote objects and events. Their work helps support customers of Integrated Defense Systems—and illustrates that Boeing is looking to tomorrow.

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ON THE COVER: What’s Lean+ really about? See page 12.

Cover art by Heather Dubinskas (©iStockphoto.com)

May 2007 BOEING FRONTIERS�

May 2007 Volume VI, Issue I

INSIDE 8 Historical Perspective 10 New and Notable

5 Leadership Message 6 Letters

36 Focus on Finance38 Milestones

40 Around Boeing42 Spotlight

20 The Learning, Training and Development organi-zation and its partner, Commercial Airplanes

Manufacturing and Quality, are working together to en-sure the 787 program’s manufacturing technicians have the needed training.

New airplane, new skillsBUSINESS UNITS

26 The C-40C, a U.S. Air Force 737 derivative used to transport government leaders, comes together

through the synergistic efforts of IDS and BCA. Derivative Airplane Programs and the Mission Integration Center are collaborating to streamline the modification.

This is the Mod-ern world

25 Boeing’s proposal to build the upper stage of NASA’s Ares I rocket is based on two areas where

Boeing is an expert: Lean manufacturing practices and human space flight experience.

Sights set on future

29 Boeing devised a way to get the Kuwait Air Force up to speed on maintaining its new AH-64D

Apache Longbow helicopters—while expanding Support Systems opportunities throughout the Apache program.

Keep ’em flying

31 You don’t find many employees who have been with a company for 60 years. And there aren’t

many of these people who work in computing and data management. But that describes Boeing’s Shirley Haines—who’s kept up with change and continued to learn during her tenure at Boeing.

Keep on learningPEOPLE

24

30 Why is the Transformational Satellite Communications System Space Segment project

important? It will give the U.S. Department of Defense a secure, high-capacity global communications network. Boeing leads one of two contractor teams developing and demonstrating critical technologies.

Connected to tomorrow

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The 747 Program recently recorded its 1,500th order. Among the reasons for its longevity: new technology upgrades to the jetliner, as illustrated by Lufthansa’s order last year for the 747-8 Intercontinental passenger airplane.

24 The 747 Program recently topped the 1,500-order mark. That milestone is a testament to the capabili-

ties and popularity of the 747—a reputation continued by the all-new 747-8 Intercontinental and 747-8 Freighter.

747: 1,500 and counting


Working togetherto get the mostfor your benefitsRick Stephens Senior Vice President, Human Resources and AdministrationThe Boeing Company

People come to work for Boeing for a lot of reasons—to name a few: exciting work, great products and customers, a world-class reputation, and comprehensive pay and benefits pro-

grams. Offering a competitive pay and benefits package—along with information, tools and resources to help employees plan and make decisions—is part of Boeing’s strategy to attract and retain the people that we need to run our businesses effectively.

Employees want peace of mind about their health and their finan-cial future. Boeing cares about employees and wants to provide ben-efits that help provide this peace of mind and improve employees’ health, productivity, financial well-being and quality of life.

For Boeing to continue offering competitive benefits, we all need to do our part, as individuals, to help manage the business impact so that Boeing can continue to deliver the products and services our cus-tomers need in an ever-changing competitive environment.

Boeing invests a significant amount—$19 billion in 2006—in the pay and benefits package it offers. Of this $19 billion, the company spent $1.9 billion on health care and insurance in 2006. Meanwhile, health care cost increases in the United States continue to significant-

ly outpace inflation. And, of that $1.9 bil-lion, Boeing spent ap-proximately $480 mil-lion on employees’ top five chronic health conditions—several of which might be pre-vented or managed through individual be-havior. Our long-term pension liability is more than $40 billion; although our plans are fully funded, the liabil-ity continues going up.

So, why are these numbers important? A couple of key reasons: First, every cost the company carries (including benefit costs) has an impact on the prices we must ask of our customers for our products and services, and therefore on our ability to compete in the global market-place. So we need to manage our benefit costs just like we manage costs in the other areas of our businesses. Second, the best time to focus on managing costs is when the business is performing well—to avoid a cri-sis situation down the road like so many other companies have faced.

As we look ahead, the company’s objectives for employee benefits will continue to be

• Maintain a competitive benefits package.

• Work with the health care system to improve quality, reduce costs, and make quality and cost data available to consumers.

• Shared responsibility between Boeing and employees, with in-centives for employees to save for retirement, live a healthy lifestyle, and make well-informed health care decisions.

Boeing is already doing a lot as a company to try and improve the health care and retirement systems in the United States. The main objective is to make cost data and information about quality available to employees as consumers. That way, we as individuals can make informed decisions about health care just as we do when we buy a house or a car.

Boeing is working with national and regional organizations in the United States on these issues. The company holds our health plans accountable for helping to ensure employees receive high-quality care as efficiently as possible. Some of the company’s ef-forts are definitely longer-term. But the work Boeing is doing is critical to bringing about the type of change in the health care sys-tem that will make a difference for many employees.

To complement the company’s larger efforts, you can take sim-ple steps to improve your own and your loved ones’ health and well-being—and help keep the cost of benefits affordable for em-ployees and for Boeing while improving your own quality of health care and quality of life:

• Ask the right questions and do your homework whenever you need health care. Research your condition. Ask your doctor questions. Make sure you understand your options and your doctor’s advice.

• Take steps to be and stay healthy. Take a daily walk. Try a healthy option from the menu for lunch. Understand your health risks and take the right steps to reduce those risks.

• Take care of your finances, too. Make the most of the company savings plan and the match it offers, if one is available to you. Figure out how much money you will need in retirement; then make a plan and follow through toward your goal.

Boeing provides a wide variety of programs, information and re-sources to help you improve your health and plan for your future. If you are a U.S. employee, flip to pages 10 and 11 for some simple things you can do to make sure you’re getting the most out of your benefits and other resources available to you. If you work outside the United States, look for the box with the “International” icon next to it on page 11 for the tools and services available to you. n

n LEADERSHIP MESSAGE

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Boeing’s objectives for employee benefits • Maintain a competitive benefits package

• Work with the health care system to improve quality, reduce costs, and make quality and cost data available to consumers

• Shared responsibility between Boeing and employees, with incentives for employees to save for retirement, live a healthy lifestyle, and make well-informed health care decisions


“[Boeing Frontiers] is terrific. It’s timely, lively and good looking, and it covers a

wealth of subjects.”—William Garvey, Ridgefield, Conn.

Publisher: Tom DowneyEditorial director: Jo Anne Davis

EDITORIAL TEAMEditor: Paul Proctor: (312) 544-2938

Managing editor: Junu Kim: (312) 544-2939

Designer: Heather Dubinskas: (312) 544-2118 Cal Romaneschi: (312) 544-2930

Commercial Airplanes editor: Dick Schleh: (206) 766-2124

Integrated Defense Systems editor: Diane Stratman: (562) 797-1443

Engineering, Operations and Technology editor: William Cole: (314) 232-2186

Shared Services editor: Mick Boroughs: (206) 919-7584

Copy editor: Walter Polt: (312) 544-2954

CONTRIBUTING EDITORSBoeing Capital Corp.: Donna Mikov: (425) 965-4057

ONLINE PRODUCTIONProduction manager: Alma Dayawon: (312) 544-2936

Web designer: Michael Craddock: (312) 544-2931

Graphic artists: Heather Dubinskas: (312) 544-2118 Cal Romaneschi: (312) 544-2930

Web developers: Lynn Hesby: (312) 544-2934Keith Ward: (312) 544-2935

Information technology consultant: Tina Skelley: (312) 544-2323

How to contact us:E-mail: [email protected]

Mailing address: Boeing FrontiersMC: 5003-0983100 N. Riverside PlazaChicago, IL 60606

Phone: (312) 544-2954

Fax: (312) 544-2078

Web address: www.boeing.com/frontiers

Send all retiree address changes toBoeing Frontiers, MC 3T-12P.O. Box 3707Seattle, WA 98124-2207

Postmaster: Send address corrections to Boeing Frontiers, MC 3T-12P.O. Box 3707, Seattle, WA 98124-2207(Present addressees, include label)

Boeing Frontiers provides its letters page for readers to state their opinions. The page is intended to encourage an exchange of ideas and information that stimulates dialogue on issues or events in the company or the aerospace industry.

The opinions may not necessarily reflect those of The Boeing Company. Letters must include name, organization and a tele-phone number for verification purposes. Letters may be edited for grammar, syntax and size.

Letters guidelines

A nice discovery

While searching for in-formation on the 787, I

chanced upon Frontiers and was delighted with my discov-ery. The publication is terrif-ic. It’s timely, lively and good looking, and it covers a wealth of subjects. Your team should take great pride in it.

—William GarveyRidgefield, Conn.

Something in the water

Great stories in your April 2007 edition. On the cov-

er photograph and in the water, just to the starboard side of the T-45’s nose, is a dark, round “metal looking” object. It does not appear to be in path of the carrier launching the aircraft. However, I’m curious if you can identify the object.

Thanks for your help and please continue producing the outstanding magazine.

—Gary RahnSt. Louis

Editor’s note: The item in question appears to be a dol-phin—or some other “resident of the sea.”

Support for Support

One of the most basic con-cepts I saw as the Boeing

of today formed up and began to march was the statement that we design, build and support products that satisfy our cus-

tomers. Now I see that “Boeing’s Global Strike Systems orga-nization designs and manu-factures … systems” (Boeing Frontiers, April 2007, Page 3).

The absence of “support” was too much for me to over-look! We need to keep it togeth-er! Single-managed things work best! Single-management is the secret ingredient in Lean+!

Let’s keep moving forward!—Bob Kellock

Long Beach, Calif.

n LETTERS

Editor’s note: Chris Chadwick, Global Strike Systems vice president and general manager, of-fered this response:

“You are exactly right about the importance of integrating design, pro-duction and support, and within Integrated Defense Systems that is exactly how it is done. While the Global Strike Systems mission is to understand customers’ needs and design and produce the highest quality and most affordable systems to meet those needs, the GSS divi-

sion is fully integrated with the IDS Support Systems business both at the leadership-team and the program levels. That way we ensure supportability is factored in at every phase of the product life cycle.”

CorrectionsThe photograph of the

F-15 on Page 12 of the April 2007 issue was misattributed. The photo was taken by Ron Bookout.

A welcome sightRecently I flew on Alaska Airlines from Seattle to Denver. I was glad it was on a Boeing 737-400—and I especially appreciated the nose art (see photo at right).

—Roger Nicholson Seattle

Editor’s note: For more on Alaska Airlines, which oper-ates an all-Boeing fleet, see Page 34 of the April 2007 issue of Boeing Frontiers.


No promotions listed for periods ending March 30 and April 6, 13 and 20.

IAM PROMOTIONSYou can reach the Office of Ethics & Business Conduct at 1-888-970-7171; Mail Code: 14-14; Fax: 1-888-970-5330; TDD/TTY: 1-800-617-3384; e-mail: [email protected]; Web site: http://ethics.whq.boeing.com

ETHICS QUESTIONS?

QUOTABLE

We have clearly captivated the world’s airlines

with this airplane.”—Mike Bair, vice president–general manager of the 787 Dreamliner program, upon the 787’s surpassing the 500-order milestone on April 3

We have gone through a deliberative process, and we believe this is

the most capable system.”—Lt. Gen. John Castellaw, U.S. Marine Corps deputy commandant for aviation, on the Bell-Boeing V-22 Osprey tiltrotor aircraft, in the April 14 Philadelphia Inquirer. The Marine Corps said last month it plans to deploy the V-22 Osprey in Iraq in September.

The fact that we are one Boeing company execut-ing this program, with

our military side and our com-mercial airplane [business] all being within one company—that lowers execution risk.”—Mark McGraw, Boeing vice president of Tanker Programs, in the April 12 Defense Daily

n NOTEBOOK

SNAPSHOTHOLD IT RIGHT THERE U.S. Air Force Staff Sgt. Martin Walker directs into place a KC-10 Extender during last month’s Red Flag–Alaska 07-1 exercise at Eielson Air Force Base, Alaska. Red Flag–Alaska is a Pacific Air Forces–directed field training exercise for U.S. forces. It is flown under simulated air combat conditions. U.S. AIR FORCE PHOTO By AIRMAn 1ST CLASS JOnATHAn SnyDER


n HISTORICAL PERSPECTIVE

By Erik SimonSEn

Today, a single pilot-operator can di-rect several high-performance au-tonomous unmanned aircraft. In

1975, the Highly Maneuverable Aircraft Technology (HiMAT) program initiated the first steps in this new technology.

That year, Rockwell Internation-al took a giant leap into the world of un-manned aircraft. Under HiMAT, Rockwell was awarded a $17 million contract from

Turning time aheadHiMAT’s flight markedthe dawn of unmanned highly maneuverable aircraft technology

NASA and the (U.S.) Air Force Flight Dy-namics Laboratory for two Remotely Pilot-ed Research Vehicles. Flight vehicles No. 1 and No. 2 were delivered in March and June of 1978. The unmanned futuristic de-sign was a 0.44 scale of a full-size fighter, offering a low-cost and low-risk solution.

The HiMAT program was initiated to explore high-speed maneuverability and test new lightweight composites, which made up 30 percent of the vehicle’s total weight of 3,400 pounds (1,540 kilograms). Mike Robinson, now in international busi-ness development with Integrated Defense Systems’ Advanced Systems organization, was the HiMAT project engineer. “The core of the HiMAT program was to show the benefits of composites, and in particu-lar aeroelastic tailoring to attain optimal aerodynamic conditions (lift and drag) at several very different design conditions,”

Robinson said. “On a higher level, it was one of the first really serious unmanned vehicles that presaged much of today’s Un-manned Combat Air Vehicle work.”

The primary flight objective was to verify HiMAT’s sustained turning radius at air-combat altitudes—a turning radius that was half that of the F-16. HiMAT was designed to maintain 8G (eight-times-the-force-of-gravity) turns above 25,000 feet (7,620 meters) at Mach 0.9, and 6G turns at Mach 1.2 at 30,000 feet (9,140 meters). The airframe was constructed to with-stand +12G/-6G at subsonic speeds and +10G/-5G while supersonic. Its top-end structural limit was 18Gs.

The design also featured close- coupling of the canard and wing, with “aeroelastic tailoring”—which permits optimum airfoil camber through con-trolled bending of the wing surface. Les-

In this 1980 photo, the Highly Maneuver-able Aircraft Technology subscale research vehicle makes a research flight. The air-craft helped pave the way for many high-tech, high-performance aircraft, including unmanned air vehicles.

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Turning time aheadsons from this were later applied to the NASA/Grumman X-29 Forward Swept Wing program from 1984 to 1988, and from 2002 to 2005 on the NASA/Boeing F/A-18 Active Aeroelastic Wing program.

HiMAT’s maneuvering performance was further enhanced with an airframe configuration that was inherently unstable and artificially stabilized with digital fly-by-wire. This was one of the key data points

that brought Rockwell and German air-craft manufacturer Messerschmitt-Bolkow-Blohm together for what became the X-31A Enhanced Fighter Maneuverability program that explored extreme high-alpha (high-angle-of-attack) flight regimes during the early 1990s. HiMAT’s exotic design, with a 22.5-foot length and 15.6-foot wingspan (6.9 meters and 4.8 meters, respectively), was powered by a modified General Elec-

tric J-85-21 engine with afterburner, giving the vehicle a top speed of Mach 1.6.

History was made on July 27, 1979, as HiMAT was released from a NASA NB-52B at 45,000 feet (13,700 meters) over the Edwards Air Force Base range in California. The pilot, in a ground-based cockpit, used a throttle, stick and rudder pedals, and received visual cues from a nose-mounted camera on HiMAT. Pilot commands were telemetered to an onboard computer, then fed via the digital fly-by-wire system to the control surfaces. To aid the pilot in the first few flights, HiMAT carried lead ballast to achieve a normal center of gravity and to help familiarize researchers with HiMAT’s handling.

The first flight lasted for 22 minutes. The program eventually completed 26 suc-cessful test flights in the transonic and su-personic flight regimes. Programs of this type are a stepping stone for further explo-ration, resulting in a compilation of data and knowledge. HiMAT proved to be a tremendous starting point in the realm of high-speed unmanned flight.

Last month, Boeing Advanced Sys-tems submitted its Unmanned Combat Air System–Demonstrator (UCAS-D) propos-al to the U.S. Navy’s Naval Air Systems Command. A downselect is slated for July; and in 2013 UCAS-D will demonstrate the feasibility of autonomous aircraft carri-er operations. Boeing’s X-45N will be of-fered, with a high level of sophistication in manufacturing techniques and autonomous mission flight time. The Boeing entry is fur-ther enhanced by the 64 mishap-free flights of the X-45A demonstrator flight-test pro-gram, which concluded in 2005. n

[email protected]

The Highly Maneuverable Aircraft Technol-ogy research vehicle is shown attached to a wing pylon on a nASA nB-52B during a 1980 test flight. The HiMAT used sharply swept-back wings and a canard config-uration to test possible technology for advanced fighters.

n HISTORICAL PERSPECTIVE

Above: A schematic look at the Highly Maneuverable Aircraft Technology research vehicle, including its dimensions.

Top right: As depicted in this chart, the Highly Maneuverable Aircraft Technology vehicle had a sustained turning radius less than that of frontline fighters of its era.

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May 2007 BOEING FRONTIERS�0

Maintaining a healthy weight may help prevent a variety of future health conditions. Boeing provides tools and resources to help you reach your goals.

• Weight management tools: Some are free; others involve a fee,

though usually discounted from typical public rates. Tools and services available to all U.S. employees include Weight Watchers Online and the

Online Mayo Clinic Healthy Weight Program. Some sites also

offer Weight Watchers at Work. To learn about the tools and programs at your site, visit www.BoeingWellness.com.

• Exercise opportunities: Boeing makes it convenient and affordable to get some exercise. Many Boeing sites offer employees health & fitness and activity centers. U.S employees can find a fitness center in their region and its rates at http://companyfitness. web.boeing.com on the Boeing Web. This site also offers information on GlobalFit, a com-pany that provides Boeing employees and their family members savings on commercial fitness club memberships.

HEALTH. WELLNESS. RETIREMENT PLANNING.Here are some of Boeing’s notable wellness- and retirement-related benefits. The map icons reflect regions where these programs are available.

What a relief!A look at some of Boeing’s benefits offerings and related resources

Feeling stressed? Take a deep breath. Exercise. Or use these programs for U.S. employees.

• Employee Assistance Program: The EAP is a confidential service that connects Boeing

employees and their families with ex-perienced counseling professionals at no cost for up to six sessions per issue each year. Legal and financial counseling is also available for U.S. employees. Call 866-719-5788 or visit http://eap.web.boeing.com on

the Boeing intranet.

• Family Care Resources: This program provides free, confidential referral services

for Boeing employees, retirees and their family members. Available services include day care, family care, elder care and other conveniences. Visit http://familycare.web.boeing.com on the Boeing web to learn more. U.S. employees can also call 800-985-6895.

• Stress Management Web Site: This site offers “one-stop shopping” for all the stress-related resources Boeing offers, including the EAP and Family Care Resources. All services are confidential and free to eligible Boeing employees and family members. Visit http://www.boeing.com/stressmanagement.

De-stress for a healthier you

Lose weight, feel great

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BOEING FRONTIERS May 2007 ��

None of us wants to develop health conditions down the road. That’s why we should do what we can to get and stay healthy. • Physical exams: Boeing recognizes how important preventive exams are to your overall health, so you and your dependents covered by a Boeing medical plan in the United States are likely eligible to receive preventive care exams at low or no cost. For more information, review your health plan benefits online at Your Benefits Resources through TotalAccess (click the Health & Insurance Plans quick link). Or call TotalAccess at 866-473-2016.

• Free & Clear Quit for Life: Available free of charge to employees and family members age 18 and older enrolled in a Boeing health plan, this program provides a quit-tobacco plan that’s tailored for you. It includes free nicotine replacement therapy products (if recommended), one-on-one telephone support from a specialist Quit Coach, and online progress track-ing. To learn more or get started, visit http://www.freeclear.com/boeing or call 866-QUIT-4-LIFE (784-8454).

• Disease management programs: Have a health condition that requires ongoing care and management? Disease management programs are available through most of Boeing’s U.S. health plans, and participation is

voluntary and confidential. Boeing doesn’t have access

to any patient’s health data. To learn what your medical plan offers, call your plan through Boeing TotalAccess at 866-473-2016.

Financial security can play a big role in our health and well-being, and we each need to take responsi-bility for planning our future. Taking the right steps now will better prepare you for what lies ahead.• Maximize your savings plan participation: The Boeing savings plan offers U.S. employees the opportunity to save for the future on a tax-advantaged basis—and in many cases, a company match helps build your savings. If a match is available to you, try to contribute at least enough to maximize those company dollars. And remember, the earlier you start saving, the more time your money will have to grow.

• Use the planning tools: How much will you need for the future? How much future income will you have based on your current savings level? Are you maximiz-ing the company match if one’s available to you? The Boeing Savings Plans Online (through TotalAccess) offers U.S. em-ployees a variety of resources, including plan savings calculators, retirement income calculators, articles and other information to help you determine your needs and build a plan. In addition, your personalized Pay & Benefits Profile, also available through TotalAccess, provides retirement modeling tools.

For Boeing employees working internationally, there are a variety of tools and resources to help you focus on your health and wellness. A few of these are outlined below. For more details about the benefits available to you, consult your local HR representative, or visit the Boeing International Pay and Benefits web site at http://www.boeing.com/benefits/global.• Employee Assistance Program: The EAP is a confidential service that con-nects Boeing employees and their families with experienced counseling pro-fessionals at no cost for up to six sessions per issue each year. International locally hired employees should call Canada collect at +1-905-270-7658 or visit http://eap.web.boeing.com/international on the Boeing Web.

Tools, resources for international locally-hired employees

• Weight management tools: Tools and services available to all employees include Weight Watchers Online (fee applies), and the Online Mayo Clinic Healthy Weight Program and Fitness for EveryBody Programs (free of charge). Visit www.BoeingWellness.com for more information.

• Free & Clear Quit for Life: Available free of charge to employees and family members age 18 and older enrolled in a Boeing health plan, this program provides a quit-tobacco plan that’s tailored for you. To learn more or get started, visit http://www.freeclear.com/boeing.

Prevention: Key to a healthy future

Focus on your financial future

n NEW AND NOTABLE

May 2007 BOEING FRONTIERS��

It’s been a year and a half since Boeing launched its four com-panywide initiatives to increase growth and productivity. Frontiers recently sat down with Bill Schnettgoecke, leader of

the Lean+ initiative, to discuss progress to date, review Lean suc-cess stories and talk about what still needs to be accomplished.

Lean+

n COVER STORY

Initiative is gaining traction, making progress by bringing together Boeing and its suppliers, customers, partners

Q: Help us understand what Lean+ really is.A: It’s really very simple. Lean+ is about creating an environ-

ment and culture of continuous improvement. It’s about ensuring we have the right approach in place to achieve the right results: value for our customers.

That approach includes the right processes, principles, tools, work flow, subject matter experts, discipline and culture. These include

• A one-Boeing approach.• A common language.• Consolidated and aligned tools and principles.• Consolidated and standardized training.• Sharing, learning and replication across the enterprise.

It ties us together


No corner left unturned

n COVER STORY

“Working together, we’ll make Boeing the benchmark for

productivity.”—Bill Schnettgoecke, vice president

and Lean+ leader

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• A focus on the entire value stream—from supplier partners through our customers.• Leaders as teachers.• Engaging our employees, since the people who do the work know the best ways to do it better.

Q: What do you mean by a one-company approach?A: The environment in which we do business only gets tougher

every day, and it will not get any easier. Some large companies that have more complex and diverse product lines than ours have found a common way. This opens up careers and makes it easier for peo-ple to move around the company. There’s no reason why we can’t do the same. But we need to use a standard approach while eliminating the non-standards to achieve optimal results. We need to improve much more rapidly. The hardest part is adjusting our mindset.

Way too often, people tell me they are confused by all the vari-ous tools and approaches. Collectively, we are not as effective as we could be, and we all need to fix that. When we set standards, we need to discontinue those that don’t make the cut. I’m convinced that we have tremendous, untapped potential to work more closely and leverage the one Boeing. We have much to learn from and share with each other. Our customers are counting on it.

Q: Are we making real progress? How do we know?A: The real measure of how we are improving our productivity

is how we’re doing relative to our customers’ satisfaction and our business plan. When we look at the results for 2006, we had great performance, and our customers, stakeholders, employees and communities benefited from that. Productivity through the use of Lean+ clearly was instrumental in achieving those results.

We know we’re making progress, because we’ve seen Lean+ evolving in nonfactory areas. Every function across the enterprise

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Since 2002, Boeing Site Services has conducted Lean Energy Accelerated Improvement Workshops and Lean Energy Assessments at numerous Boeing sites. John Norris, regional energy manager, Enterprise Utilities Management, said the workshops identified many potential improvements. Among them: retrofitting with more efficient lighting; improving heating and air conditioning (HVAC) systems; scheduling lights and HVAC so they’re off when people aren’t present; improving processes for setting thermostats; and increasing employee awareness. To date, the 37 Lean workshops have identified potential improvements that could save Boeing more than $10 million annually in energy costs.

—Kathrine Beck


GMD uses Lean+ to add value to customer

n COVER STORY


The Ft. Greely, Alaska, “Frozen Chozen” Em-

ployee Involvement team of the Ground-based Midcourse Defense

program installs a recent Lean+ project: handling equipment to properly route product cables.

Continued from Page 13

has had some level of success at adapting Lean principles. We can no longer say, “Lean doesn’t apply to us.” At some level, these prin-ciples will work for everyone; we know that because we’ve seen it.

Even with the progress we’ve made, there’s still tremendous op-portunity ahead. Many are just starting the journey. As people start to learn and get training, it’s important that they apply what they’ve learned in their workplace. When each employee and every team understand their levels of productivity and are living the culture and using the tools, then we’ll know we’re on the right path. And our cus-tomers’ satisfaction and our financial results will reflect that.

Q: There’s a lot of confusion out there about what tools to use to help improve our productivity. There’s Six Sigma, Accelerated Improvement Workshops, 5S, 3P and many others. How do these tools relate to Lean+, and do they conflict?

A: When it comes to tools, it really gets down to using the right tool for the job and providing standardization and standard work.

In your garage, you have various tools, such as screwdrivers, pliers, wrenches and hammers. You know that to do a job right it takes a variety of tools used properly. Likewise, all these continuous- improvement tools you just mentioned are part of the Lean+ toolkit. However, I’ve seen that we’re losing efficiency in many cases be-cause we are misusing tools and often not using the tools we have. The Lean+ team is working with others from across the enterprise to

Eliminating duplicate documentation in the weapons system inte-gration processes. Improving the drawing release cycle. These are two of 27 Lean+ activities the Ground-based Midcourse Defense program is working on in an effort to provide better support and improved value to the customer.

The program is so serious about making process improvements that add value to the customer, in fact, that every organization within it has identified key Lean initiatives that will address its particular challenges. Their commitment to achieving the cost savings result-ing from the initiative is documented in an opportunity database that’s part of the program’s cost-management system, and tracked until the savings are realized.

To achieve the estimated $14 million in savings from improve-ment activities, the GMD organizations are using a three-phase improvement plan: Value Stream Mapping to identify high-impact Lean+ focus areas for improvement projects, a detailed action plan for each project, and after-action reviews to capture lessons learned and future opportunities.

“The detailed after-action review allows us to see other opportunities, leading to a regenerating improvement process,” said Geoff Schuler, director of Production System Operations and Lean leader for GMD.

The Boeing GMD team is conducting Lean+ activities with key suppli-ers and plans to hold joint Lean+ activities with the customer as well.

“The focus in the supply chain is not only [improving] the processes within each tier of the supply chain, but also the processes that link the tiers,” said Scott Fancher, Boeing vice president and GMD program director. “Ultimately, by working closely throughout the entire supply chain and with our customer, we are delivering the best product to America and its allies.”

—Amy Reagan

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n COVER STORY

BCA, IDS work together on Material Management

Kevin Mcnab (right), director of S&IS Electron-ics Products, and sensors manager neal Morikawa study a production board at the S&IS satellite facil-

ity. This site used Lean tools to improve its

performance.

The Material Management orga-nization of Commercial Airplanes brought Lean into the office. Its vision: Make Boeing the preferred supplier of parts, materials and logis-tics information to customer airlines. Now, IDS Support Systems is adapt-ing best practices from BCA’s process to improve satisfaction of Boeing’s government customers.

The BCA team set a goal to reduce dra-matically the time it takes to respond to airline requests. Documentation of processes and flow analysis led the team to banish the in-box from the response process and establish the First Responder Cell. Now, customer requirements are routed directly to an employee who has the knowledge, re-sources and authority to respond quickly. Many requirements can be resolved within half an hour of the initial customer contact. Require-ments that take more than 30 minutes to resolve are directed to the appropriate follow-on cells for resolution.

A scoreboard and “andon” lights (above, on pole in front of screen)—familiar Lean fixtures from production areas—allow teammates to communicate the status of their tasks and give cell managers visual cues on any bottlenecks. The goal: Complete every response within four hours.

To reach that time target, the cell has implemented three shifts to support all customer regions. A newly designed dashboard (progress indicator) that measures total transactions and time to complete each item provides each team clear visibility. The current volume is 6,200 transactions a week, with 30 percent completed within 30 minutes. This percentage is significant in light of a 25 percent jump in workflow volume in the cell since December.

IDS Material Management is adapting the First Responder Cell concept to fit the way government customers conduct business. With an initial First Responder Cell in place at St. Louis, sites at Philadelphia, San Antonio, Mesa, Ariz., and Long Beach, Calif., are adopting the concept.

Common, streamlined processes will reduce duplication and help Material Management aggregate and leverage demand across Support Systems operations. Since St. Louis implemented its First Responder Cell, the number of proposals to customers completed within five days jumped from 73 in August 2006 to 256 in February.

“Lean leadership is about empowering people to remove waste, take pride in their work, and continuously share what they learn with other team members,” said Mark Owen, Material Management vice presi-dent. “BCA and IDS Material Management employees will continue to work together and share process improvements and best practices to ensure success on both sides.”

—Jeff Wood

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Lean in action: El Segundo, Calif.


Ask Boeing employees Chris McInelly, Scott Bowman and Kevin Bates who has the best job in the company, and their answers will sound similar. Each will say, “I do.” They form a team on a new Lean design and production concept in Boeing Commercial Airplanes. That concept is called the Pre-Production Center (PPC), located at Boeing Fabrication’s Interiors Responsibility Center (IRC) in Everett, Wash. Started a year ago by McInelly, the PPC develops, validates and refines assembly procedures for aircraft interiors before the products go into production.

The PPC gives IRC mechanics and engineers the opportunity to work together, simulate and perfect build processes in a safe environment before drawings are released. “This is monumentally different from how we designed products in the past and has taken collaboration to a whole new level,” said McInelly.

“We recognized there was rework and waste in the system,” said IRC Director Beth Anderson. “We developed the Pre-Production Center to bet-ter support the vision of the Boeing Production System.”



In the Pre-Production Center at the Interiors Responsibility Center in Everett, Wash., cross-functional teams experiment with aircraft interior assembly procedures before products go into production. From left are Chris McInelly, IRC engineer; Kevin Bates, IRC me-chanic; and Scott Bowman, IRC operations manager.

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n COVER STORY

McInelly, an engineer by trade, is the PPC’s Lean and workshop facilitator, while Bowman is an operations manager and Bates represents manufac-turing. Over the last decade, they’ve seen the IRC make significant strides in productivity and quality through the use of Lean principles. Traditionally, those improvements were made on interior products already in production. “A drawback to this rework approach is that you incur additional costs not only from the redesign of products, but also from shop-floor-layout altera-tions and disruptions to the production system,” said Bowman.

The 787 interiors work package, which the IRC won in 2004, offered a unique opportunity for the IRC to use its accumulated Lean knowledge in designing and building the new interior. “The PPC became a location where cross-functional teams could safely experiment on new ideas for the 787 work we’d be doing,” said Bates.

One of the latest concepts to come from the PPC, in collaboration with the IRC Right-Sized Equipment Lab, is a moving production line for 787 stowbin strong back assemblies that’s considered “right-sized” for the job. At more and more locations across BCA, Boeing is using right-sized equipment to improve flow, quality and turnaround time while minimizing capital spending.

“Instead of creating parts in large batches that must be stored, right-sized equipment produces just the amount of product needed. So errors in the process can be quickly exposed and eliminated,” said Brad Reeves, IRC Right-Sized Equipment Lab leader. In addition to being “right-sized,” the strong back assembly line is a third-generation moving line that runs on small robotics.

The moving line the 787 stowbins will be produced on is separate and consid-ered “more traditional.” Beginning in June, the IRC will use these two moving lines to produce the stowbins and strong back assemblies for the third 787 airplane—which will be the first 787 flight-test airplane with a full interior.

—Carrie Thearle

Q: You’ve talked about extending Lean+ into our en-tire value chain, from supplier partners to customers. How does this help Boeing?

A: Working together helps our customers because the entire value stream is engaged and working to create products or servic-es that our customers value. And by working our improvements across the value stream, we will get optimum solutions.

We must be careful when we make improvements so that we don’t suboptimize at a team or group level. We can all think of ex-amples where we’ve been a victim of someone else’s improvement. So we must work across the boundaries of functions, programs and even Boeing itself to ensure we’re being inclusive at working prob-lems together and doing what’s best for our customer.

Partnering in Pre-Production in Everett

standardize our Lean+ toolkit, just as we have done in our factories. But we must also stop using the tools that no longer support

our standards. In your garage, you need a flat screwdriver and a Phillips screwdriver. But you probably don’t need a dozen screw-drivers. So when you purge the extra tools from your tool boxes at home, you create more room in your garage and get organized. As many of you know, this is called 5S-ing (Sorting, Simplifying, Sweeping, Standardizing, and Self-Discipline).

We’re doing something similar with Lean+ training and tools. We’re applying the Lean+ principles of 5S and standardization so we get optimized results for our customers. As we set the stan-dards, we must adhere to them in everything that we do—and not fall back to our old ways, because when we hang on to the non-standards, that creates variation and waste in the system.


Inspiration takes many forms, and sometimes it springs from the smallest of comments.

For the Super Hornet–46 High Performance Work Organization, one offhand comment led to a better way to see foreign objects in jets being assembled. (An HPWO is a group of co-workers who are responsible for a common function or product, share common goals and exercise self-determination in continuously improving the qual-ity of their output and the efficiency of their processes.)

Finding foreign object debris (FOD) before it causes damage to an aircraft is a high priority, and finding such objects involves painstaking inspections. Those inspections are traditionally done by shining lights into the aircraft and hunting in tight and often dark spaces for small objects—such as washers, nuts or pieces of debris—that can dam-age or even destroy an aircraft.

During one such inspection, Dan Wagoner of the F/A-18 Final As-sembly Splice team wondered, “Why can’t we make FOD glow in the dark?” Wagoner’s frustration turned into inspiration, as the team de-cided that making the potential FOD glow was exactly the right idea.

To make FOD glow, they began working with support people, such as Greg Benfer, a process-control engineer, and a company that specialized in making fluorescent dyes. The team spent more than a year to find the right formula. They dyed hand tools, marked up fas-teners and small parts, and then “hid” them in an aircraft and tried to find them. When the team shined a black light on the aircraft, sure enough, the items glowed.

The team has received a patent for the idea, and the fluorescent coloring has been added to hand tools in the assembly process. Benfer said fluorescent drilling fluid also is being tested.

“Lots of things have changed since we’ve become an HPWO,” Wag-oner said. “If we have an idea to contribute, no one brushes it off. It’s empowering, and it’s really made a difference in team morale.”

—Kathleen Cook

Shining a light on F/A-18 improvements

Members of the Super Hornet–46 High Perfor-

mance Work Organization show off fluorescent dye

materials. Clockwise from upper left: Michael Taylor, Greg Benfer, Dan Wagoner

and John Clayton.

737 empennage team members Dean Miskimens (left) and Ross Simmons

work on a 737’s vertical fin. The 737 Program’s many

Lean improvements include cutting Final Assembly flow

time from 22 days to 10.

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Lean in action: Renton, Wash.


Hiring gets Lean, too

Q: What’s your vision of how Lean+ will shape Boeing for the future?

A: It starts with leadership setting the environment and expecta-tions that will nurture the culture, where we’re always focused on continuous improvement. Leaders teaching; leaders setting the ex-ample. It’s about the questions you ask and the actions you take. It’s about a culture where our people are engaged and empowered.

The Lean+ culture is about 155,000 employees today and in our future, and the thousands more across our value stream, being fo-cused on first-time quality and continuous improvement every day as a way of life. It’s about engaging the hearts and minds of our employees and empowering them to make the improvements nec-essary to reach ever-challenging goals. It’s an environment where our employees understand why we need to remain competitive to achieve long-term growth. They can see what they need to do to improve their piece of the business. And they have line-of-sight vis-ibility to how they fit into the big picture and how they can make a difference every day. We’ll then achieve levels of performance that we have never seen and where our competitors can’t reach us.

Together we will establish Boeing as the benchmark for pro-ductivity. n

Munitions mechanics Steve Landis (clockwise

from bottom right), Terrance Griffin and Donna Lauser

assemble Joint Direct Attack Munition tailkits. Through Lean, the JDAM program increased its production

rate from 39 units per day to 146.

What’s Boeing’s greatest resource? People. So it makes sense that Lean improvements focused on processes that identify and attract great people would be of significant value.

Two recent changes are part of a Human Resources–sponsored initiative known as the End-to-End Hiring Improvement Program. The program’s primary goal: Improve the overall hiring process by removing inefficiencies, simplifying processes and reducing the time it takes to hire an employee to 30 days, a benchmark for best-in-class companies. Here’s a look at these improvements:

• Three Global Staffing–led Value Stream Mapping events resulted in several improvements to the end-to-end hiring process. One major enhancement that came from an Accelerated Improvement Workshop was the collocation of the dedicated functions required to hire an hourly employee. This production-based hiring approach, established through partnering with Commercial Airplanes, is focused on meeting the significant increase in demand for employees with production skills. It’s reducing hiring cycle time by decreasing the number of handoffs and improving on-time delivery of personnel. Since the collocated center in Seattle opened in early March, staff members are seeing increased ef-ficiency in coordinating tasks associated with evaluating and assessing applicants and processing an employee through the system.

• The Single Point of Contact project has simplified the process for applicants and hiring managers looking to fill salaried job openings. The project has reduced the number of handoffs during the requisition-and-offer process to a single point of contact. Since the phased implementation began early this year, some areas have seen a 20 percent reduction in the cycle time for completing this process and a significant improvement in the ease of use.

—Bill Woten and Cindy Wall

n COVER STORY

As we continue to add more value to our customers than our competitors do, our customers will continue to bring their business to Boeing. That’s how we benefit—and that’s why we’re here.

Q: If you haven’t started on the Lean+ journey yet, how do you begin?

A: Start by thinking out of the box—especially if you’re in a non-factory part of the value stream. Think in terms of “We’re all here to ‘produce’ something that our customers value.” Our “product” could be a part for an airplane or a satellite, or it could be an engi-neering work package, a financial document, or a new hire. Once we put our minds around what it is that we produce, we can begin to measure how productive we are in terms of quality, flow time, customer value, etc. Then we can learn about continuous improve-ment and Lean+ so we can improve all that we do. And because it all starts with leadership setting the example, in late 2006 Boeing laid out a requirement for all executives to complete Lean training by June 2007. Those leaders are now developing and implementing plans to flow down training requirements to their respective orga-nizations. If you are just beginning the training journey, ask your manager how to get involved, contact your local Lean+ representa-tive, or go to the Lean+ Web site (http://leo.web.boeing.com on the Boeing intranet) for more information.


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Lean in action: St. Charles, Mo.


The Finance Transformation Lean Enterprise Office also worked with Boeing Capital Corporation in aligning its accounting processes with those of the companywide accounting system.

One area they examined was how BCC accounting employees record data about airplane leases or loans—referred to as “deals.” Brenda Johnson, technical accounting specialist who helped lead the deal-booking workshop, said training, collocation and technology played significant roles in efficiency improvements.

“We ended up rearranging our work statement and collocating team members capable of doing all the deal-booking and analysis,” Johnson said. “This helps us work together more efficiently and eliminates the wasted time we had spent going back and forth within the building.”

BCC subsequently assigned a specific group of people to manage the entire process of booking deals from beginning to end, reducing hand-offs and authorizations. It also replaced the manual paper approval process with an electronic review and approval process that meets regulatory approval requirements.

The changes are paying off, said Walt Skowronski, president of BCC. The cycle time for booking transactions fell from 16.5 days in August to 7.2 days in December. And making the review and approval process electronic helped BCC zoom along when a snowstorm hit earlier this year. The team was able to work virtually and processed an amazing amount of work: eight airplane deals in two days.

—Kathrine Beck

Frank Colaw knows it’s not easy at times to get people to participate in a Lean workshop.

“It can be very painful to say to very busy people, ‘We need a week of your time,’” said Colaw, director of Integrated Defense Systems Contracts and Pricing in Seal Beach, Calif. “But people see the power of what they’re doing and they’re staying with it and following up.”

Colaw’s Lean team is working to eliminate waste in preparing business offers for contracts IDS is bidding on. With the help of Lean professionals from the Finance Transformation Enterprise Office, this team of IDS financial professionals used Value Stream Mapping to identify the 57 sub-processes that made up the overall business-proposal-generation process.

One discovery the team made through VSM was wasteful complex-ity in the review and approval process for proposals. The team is now taking on those subprocesses, one by one, analyzing them and improving them.

The Finance Transformation Lean Enterprise Office trains and coaches Finance organizations in Lean principles and strategies, and helps them analyze and change processes to reduce waste and improve efficiency.

The team also supports company goals of standardizing accounting procedures across Boeing and reducing the number of systems and tools in use—goals that are part of the Finance Transformation under way across the company. The IDS business-offer workshops are just one example of many events the Finance Transformation Lean Enter-prise Office is sponsoring all over Boeing.

Boeing Capital Corp. accounting employees,

including yeri Hong (left) and Sidney Strong, recently collocated team

members. The result: reduced cycle time and more-efficient working together.

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Adding up to good financial sense


n COMMERCIAL AIRPLANES

By Tim DEaTon

The Learning, Training and Develop-ment organization and its partner, Commercial Airplanes Manufac-

turing and Quality, are focusing on lean practices as they prepare the highly skilled workers who build the Boeing airplanes of today and tomorrow.

Training the Dream(liner) TeamBuilding cutting-edgejetliner requires peoplewith unique skill set

The two organizations have a strong re-cord of collaboration, with LTD developing and delivering training to address BCA’s business needs. That is especially true on the 787 Dreamliner program. The Dream-liner is a cutting-edge airplane, and assem-bling the jetliner with components from around the world will require manufactur-ing technicians with cutting-edge skills.

“The 787 production system is a culmi-nation of the lessons we’ve learned build-ing previous airplanes,” said Steve Westby, 787 vice president for Manufacturing and Quality. “Our training and production pro-cesses are structured with that in mind. That

Lean focus will help us hold down produc-tion costs and ultimately reach our ambitious goal of building a 787 every three days.” The job functions of 787 manufacturing technicians are vastly different from those of their counterparts on legacy airliner pro-grams. One example: Dreamliner produc-tion, designed with Boeing’s Lean+ ini-tiative in mind, requires technicians to be cross-trained and certified in a variety of disciplines—instead of just one, as before.

A significant difference for 787 techni-cians is the Verification and Acceptance Planning program, in which they verify their own work to assure that it meets pro-

Instructor Thomas Mariano (left) demonstrates proper sealing techniques on a 787 subas-sembly as part of the hands-on training for new assembly technicians John Dieckman, Jorge Rodriguez Leon, Stephen Lacy, Jeanine Spencer, Jeremy McMurrin and Lance MacKay.

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cess standards. They also follow a “clean-as-you-go” regimen to eliminate foreign object debris. For example, the technicians vacuum up the shavings as they drill, rath-er than cleaning the drill area later.

“It’s a totally different skill set,” said Duane Noble, operations manager for 787 final assembly and delivery. “If we are successful, and I have no doubt we will be, this could be the model for future airplane assembly lines.”

TRAINING APPLICANTSTo meet BCA’s aggressive production

schedule on legacy airplane programs, LTD provides preemployment training (PET) for job applicants. The course pro-vides basic training in such areas as drill-ing, sealing and working in a confined space. Approximately 3,000 job applicants will complete PET this year before being evaluated for work at BCA.

“Just as the new airliner has been de-signed from the ground up to support a lean, efficient manufacturing process, so too has the training,” said Norma Clayton, LTD vice president. “The partnership with BCA has created a comprehensive training program that’s as unique as the airplane. LTD brings its curriculum development and training experience to the table, and [BCA Manufacturing and Quality] contributes its knowledge of the manufacturing processes. The result is fast-paced, cost-effective in-struction that doesn’t sacrifice quality.”

On the Dreamliner program, LTD works with Edmonds Community College in Washington state to deliver PET at the new Employment Resource Center in Everett, Wash., near where 787 final assembly will take place. After undergoing an assess-ment process, applicants must complete the 87 hours of PET training on their own time before being considered for employment. Participants receive training similar to ap-plicants on legacy programs plus special-ized instruction on the 787, such as working with composites. It was from this pool of candidates that manufacturing technicians for the 787 program were chosen.

Training for the first class of new man-ufacturing technicians began in January, with trainees completing five weeks of core-curriculum training followed by five more weeks of hands-on job simulation training.

Developing the curriculum began with LTD and Final Assembly & Delivery working together to define the skill set the manufacturing technician would need to assemble the airplane. From this, exist-

ing courses were updated and new courses developed to provide the highest quality classroom learning experience.

“The instructors break down the most complicated processes step-by-step, and they take the time to make sure we under-stand,” said Jami Sage, a former window-shade-company manager and one of the first technicians to complete the training.

James Burge, another trainee, said the training has been concentrated and in-tense. “But it’s laying a very sturdy foun-dation for the years to come,” he said. Burge is no stranger to aviation, having worked as an FAA-certified airframe and powerplant mechanic.

During their five weeks at the Employ-ment Resource Center, the new 787 as-sembly technicians earn certification in 44 crucial job functions. Then they move to the high-bay assembly area for five more weeks of hands-on training. On oth-er programs, this usually involves work on small detail parts and assemblies. By con-trast, the new technicians receive realis-tic experience by working on actual 787 fuselage sections. “We want to simulate everything in their training so the techni-cians know what to expect when they get to the real aircraft,” said Al Boardman, LTD program manager for 787 final as-sembly and delivery.

The training schedule is tied to the 787 production schedule. The first group of em-ployees completed training and transferred to the 787 program in March. They will be assembling the first airplane, scheduled to roll out on July 8. Other groups will finish training and move to the production line as additional components arrive from sup-pliers and assembly work builds momen-tum toward the airplane’s July rollout and August first flight. The final group will graduate in late May as work begins on the second airplane. An additional team of 787 manufacturing technicians will be trained beginning in September.

Current Boeing employees who transfer to the 787 line will receive training in ar-eas unique to the program. They also will receive training in two tools—Velocity and Tablet PC—that support the Lean manu-facturing process by providing the step-by-step work instructions and processes manu-facturing technicians need to perform their jobs. Velocity is the online system techni-cians use to receive their work instructions, and Tablet PC is their shop-floor computer.

“It feels great to be part of a new gen-eration of mechanics working on the lat-est and greatest design for Boeing,” Sage said. “We are anxious to get the first planes built and delivered.” n

[email protected]

787 Assembly Techni-cian Chandra Miller prepares to measure and record structure thickness on a side-of-body structure to determine the required fastener length. Miller is among the first em-ployees to complete 787 assembly training.

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By Tim BaDEr

The 747 Program flew by a major milestone in March. With a follow-on Cargolux order for 747-8 Freight-

ers, the 747 Program surpassed the 1,500-order mark. Not bad for an airplane that initially was projected to enter a market of about 200 units.

As the past 40-plus years have shown, those forecasts underestimated the air-plane’s capabilities and popularity. The 747, along with the 737, has become one of the longest-lasting and most successful programs in commercial airplane history. With its distinctive shape that features an upper deck near the front of the airplane, the 747 stands out as a well-known icon among the world’s commercial jetliners.

The journey began in the 1960s with Joe Sutter, then chief engineer for the 747 Program, and his design team. The work force that produced the initial 747 became

Legendary milestone747 Program exceeds1,500-order mark

known as “The Incredibles” for their ef-forts to develop the world’s first jumbo jet, despite numerous challenges and an ag-gressive schedule. Pan Am became the 747 launch customer in April 1966.

Since the first delivery in 1970, the 747 has logged more than 30 billion nautical miles (34.5 billion statute miles) and trans-ported more than 3.5 billion passengers. The 747 also has positioned itself as a lead-er in the air cargo market. Today, it carries more than half of the world’s air cargo.

It is no wonder the 747 has become one of the most-ordered commercial airplanes in Boeing history. Only the 727 and 737 programs have tallied more orders.

“The success of the 747 Program speaks to the foundation that was laid more than 40 years ago,” said Dan Mooney, vice pres-ident of the 747/747-8 Program.

Now, an all-new 747 is adding to the or-der books. The 747-8 Intercontinental and 747-8 Freighter deliver more range, better fuel economy, a smaller noise footprint and lower operating costs than previous 747s. Seat-mile costs for the 747-8 Interconti-nental are 10 percent lower than for the 747-400, while ton-mile costs for the 747-8

Freighter are 14 percent lower than the 747-400 Freighter. Also, the 747-8 In-tercontinental will accommodate about 50 more passengers than the 747-400. “The 747-8 represents an evolutionary leap over its predecessors,” Mooney said.

These economics are translating into or-ders. Since the program’s launch in Novem-ber 2005, the 747-8 family has secured firm orders for 87 airplanes from 10 operators.

That reflects a strong market for the airplane. According to the 2006 Current Market Outlook, the large-airplane market (747 and larger) is estimated to be approxi-mately 990 units over the next 20 years.

“The 747-8 is the right size for the large-airplane market,” said Randy Tinseth, vice president–Marketing for Commercial Airplanes. “It’s the only airplane serving the 400- to 500-seat market between the 777 and the Airbus A380. As a freighter, the 747-8 provides a value proposition that is critical for large cargo operators.”

In recent years, some have questioned the 747 Program’s future. Yet as shown by the early success of the 747-8 Program, it’s clear the 747 is here to stay. n

[email protected]

The Boeing 747-8 (left) offers airlines the lowest operating costs of any large pas-senger or freighter airplane. This jetliner continues the legacy of operating- performance excellence that started with the 747-100 (below).

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By ED mEmi

Boeing is leveraging its cost- saving Lean manufacturing prac-tices and human space flight

experience in its proposal to build the upper stage of NASA’s Ares I rocket at NASA’s Michoud Assembly Facility in New Orleans.

Ares I is the first of a new family of rockets NASA is designing to launch crews and cargo into low Earth orbit as the United States steps up its efforts to re-turn to the moon by 2020. For Boeing, the upper-stage production contract repre-sents a key opportunity to support NASA’s Constellation space exploration program.

The Ares I capture/proposal team start-ed its efforts more than a year ago; that

This artist’s conception of the Ares I crew launch vehicle shows scheduled jettison of the escape tower as the upper stage powers its payload toward orbit. Boeing is competing to produce the upper stage for the Ares I, nASA’s first new human-rated launch vehicle since the space shuttle.

A plan for production Boeing team would useLean, space experiencein NASA’s Ares I rocket

culminated in the final proposal submitted April 13. Now, the team is preparing for discussions with NASA about the proposal and awaiting NASA’s decision in August.

“We offer unique capability to NASA’s Ares I team. We bring value based on our experience in commercial, defense and space programs, along with innovation and new advocacy and outreach efforts,” said Jim Chilton, vice president of Explo-ration Launch Systems. “We listened very closely to the customer, and that drove our approach to meet their needs.”

Representatives of the Ares I capture team and the Space Exploration Engi-neering and Operations functional or-ganizations visited six facilities across Boeing to survey and leverage company large-scale production and manufactur-ing expertise. The team visited facilities in San Antonio, Philadelphia, Seattle, St. Louis, El Segundo, Calif., and Macon, Ga. Each visit included tours of produc-tion facilities and detailed presentations from production and manufacturing subject-matter experts.

“A large portion of our business is ef-ficiently producing products for the highly competitive commercial marketplace. We looked across Boeing and tapped that exper-tise for our proposal,” Chilton said.

NASA’s Marshall Space Flight Cen-ter in Huntsville, Ala., will manage the contract to manufacture and assemble the Ares I upper stage and is responsible for integration and overall design of the Ares family of rockets.

Boeing is competing against an Alli-ant Techsystems–led team that includes Lockheed Martin and Pratt & Whitney Rocketdyne. Boeing formed a team of sup-pliers on the Ares I upper stage production that includes Hamilton Sundstrand, Moog, Northrop Grumman, Orion Propulsion, SUMMA Technology, United Space Alli-ance and United Launch Alliance.

“We waited until we had a good understanding of NASA’s program re-quirements before finalizing our team-ing relationships. We have a team that is tailored for this procurement and should do very well in the evaluation. We be-lieve NASA will see the benefit our team brings,” Chilton said.

About half of Boeing’s business is in production programs like the upper stage. “We know how to produce efficiently, on schedule and on cost. We will share inno-vative Lean manufacturing concepts with NASA to provide additional cost reduc-tions,” Chilton said. “We know Lean man-ufacturing can help transform Michoud Assembly Facility using the best practic-es of our commercial airplanes, defense and space divisions.”

Boeing’s Space Exploration unit also is busy competing to produce the instrument unit for the Ares I rocket, which sits below the crew exploration vehicle and on top of the upper stage. It includes the avionics and guidance system.

The 309-foot-long (94 meters), two-stage Ares I rocket is capable of launching approximately 25 metric tons (27.6 tons) into low Earth orbit. It is slated for its first flight in 2009. n

[email protected]

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By Doug CanTwEll

Synergy may be an overused term, but it’s still sweet to see in action— especially when it combines the best

efforts of two Boeing business units.To support the unique mission of the

U.S. Air Force 932nd and 375th Airlift

The mod squadIt’s synergy in action: IDS, BCA collaborate to design, build C-40C

Wings—transporting government lead-ers on official business—Integrated Defense Systems’ Seattle-based Deriva-tive Airplane Programs (DAP) team took delivery of an off-the-shelf 737 Boeing Business Jet from its next-door neigh-bor, Commercial Airplanes’ 737 plant in Renton, Wash. Then a crew of 14 specialists at the Mission Integration Center (MIC)— together with the program engineers, planners, expediters and numerous folks supporting them—spent nine months transforming it into a military aircraft.

The Air Force had ordered three C-40Cs in February 2005. Upon deliv-

ering the first of these to the Air Force Reserve Command (AFRC) at Scott Air Force Base, Ill., in February of this year, the DAP team sensed they’d gotten the customer-focus thing right. “You are an outstanding group of people … who un-derstand what the customer needs,” said Col. Maryanne Miller, wing commander of the 932nd. “You have given us every-thing we asked for.”

C-40C Program Manager Maureen Carlson reflected on what it took to get there. “By working together with our cus-tomer, with BCA and with the MIC—real-ly listening to each other and being willing

Mission Integration Center electrician Ador Bocalan installs sophisti-cated satellite communications equipment in a C-40C cargo bay, which Derivative Airplane Programs engineers had to redesign in the process of transforming a 737 Boeing Business Jet into a military aircraft.

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to take some risks to make things work—we were able to bring together the best that Boeing and our industry partners have to offer and meet our customers’ operational needs at an affordable price,” she said.

SPECIAL MISSION, CAPABILITIES The C-40C has carried U.S. govern-

ment dignitaries such as the First Lady, the Secretary of State and the Speaker of the House. To match the aircraft to the mission, DAP engineers ordered auxiliary fuel tanks to extend the BBJ’s range to more than 4,400 nautical miles (5,100 statute miles). They revamped the cargo bay where suit-cases would normally go to house racks of sophisticated satellite communications equipment and other hardware. They inte-grated military avionics into the flight deck and added informal meeting areas, crew seating and an office support station

Bob Bayliss, who heads the MIC, said the C-40C program draws on Boeing’s long and successful heritage of adapting commercial platforms to various military missions.

The collaboration between IDS and BCA on 737 mods started to evolve with Airborne Early Warning and Control programs—Wedgetail for Australia and Peace Eagle for Turkey. “We’ve taken it a little further with C-40C,” Bayliss said, “and with P-8A [the U.S. Navy’s new anti-submarine/maritime patrol aircraft], it will happen big-time.”

David Wenndt, director of Govern-ment and Military Sales for BCA, point-ed out a couple of examples. “To support the AFRC’s unique mission, as well as our DAP colleagues’ modification effort, we committed to some unique configuration features for C-40C,” he said. “We deliv-ered this BBJ with large overhead storage bins already installed, and worked with the DAP team to figure out a way to uti-lize spare wiring for some unique post- production avionics installation.”

Before it made the short hop over to IDS’ Mission Integration Center, the 737 had met many of the Air Force’s mission require-ments right out of the gate. As an off-the-shelf platform, it saved its owners a bundle in research and development costs. The 737 has established the benchmark for Lean air-plane production, and because it’s the most-ordered and most-produced commercial air-liner of all time, parts, operational support and training are available and affordable.

Even better, many Air Force Reserve pilots, mechanics and flight attendants al-ready fly or work with 737s in their civil-ian careers. The U.S. Navy Reserve also

has taken advantage of this commonal-ity: It took delivery of its ninth C-40A, a 737-700C variant designed for intratheater troop and cargo transport, in May 2006.

MIC TACKLES CHALLENGES Bayliss’ team at the MIC has to deal

with the messy aspects of the modifica-tion. And these do get messy, because mission requirements call for a fair amount of custom work that gets into the guts of the airplane. In dealing with the challenges that emerge, line manager Larry Walker and his crew of 14 elec-tricians and mechanics have risen to the occasion in a way that epitomizes em-ployee involvement at Boeing—and helps support the Lean+ companywide growth and productivity initiative.

One example: the C-40C’s custom gal-leys, or kitchen units, which wouldn’t fit through the cabin doors. The team figured out a way to cut them in two and then reas-semble them inside. On the second airplane,

however, they went one better and per-formed all the prep work in advance, adding custom brackets and modifying floor panels before taking the two halves on board. This shaved hours off installation time.

For the wiring, they developed a failsafe process for tracking those sections that had (and hadn’t) been tested for electrical con-tinuity, and another for red-lining the sche-matics in areas that required deviation from the original wiring plan. They also figured out a system for assuring operator signoff on sections that had been completed. All told, these critical quality-assurance pro-cedures took three weeks on the first air-plane—but a mere five days on the second.

The messiest part of the C-40C mod is one its passengers probably never will see. The bulkhead in the forward cargo bay had to be moved to accommodate hardware for special satellite communications equip-ment and accompanying power supply units. The requirements were challenging for all three parties involved: DAP engi-

“Life is too short not to have fun at what you do for a living,” said Mission Integration Center modification electrician Lynn Pugh (right), who, along with fellow electrician Minh Tang (center), works with Tyvon Swain, material clerk with C-40C partner/supplier Greenpoint Technologies.

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neering, subcontractor Greenpoint Tech-nologies Inc. (which did the interior layout) and the mod crew. Communicating what was needed versus what was physically possible became the chief stumbling block.

In working on the second C-40C, the team again applied lessons learned. On this process, they saved a fourth of the hours expended on the first aircraft. In fact, as this article goes to press, the crew is nine

days ahead of schedule on modification of the second aircraft.

Yet you don’t see the MIC crew rush-ing frenetically. The first thing you notice about them is their smiles. They seem to enjoy dealing with the surprises—others might call them pitfalls—that come with customizing an off-the-shelf product. Maybe they’re pumped by the opportuni-ty to exercise their creativity.

“I’m a hands-on guy,” said Mike MacInnes, an MIC electrician. “I love do-ing this. I went to a technical high school, then worked on avionics in the Air Force. If I had it to do over again, the only thing I’d rather be doing is flying.”

“This is a fun group of people,” said Lynn Pugh, another mod electrician. “We take our jobs seriously, but we manage to have a good time pretty much every day.”

In spite of the sharp contrast in both the rhythm and momentum of the work, morale is high over on BCA’s moving line as well. Although they spend 11 days final-assembling a 737—as opposed to nine months fine-tuning a C-40C—em-ployees like the Lean environment because it makes it easier for them to do their jobs. They have all the tools, parts, plans and work instructions delivered to them where and when they need them.

Meanwhile, Bayliss over at the MIC ex-presses optimism about the evolving col-laboration. “The more we work with BCA up front to get the airplane built and deliv-ered to us in a configuration we don’t have to totally rebuild,” he said, “the faster we can deliver a derivative product.” n

[email protected]

“I’m a hands-on guy,” said mod electri-cian Mike MacInnes (right), who integrates military avionics into the C-40C flight deck under the watchful eye of airworthiness inspector Tom Gillespie.

Boeing test pilots take Air Force customers from the 932nd and 375th Airlift Wings aloft for a demo flight from Boeing Field in Seattle before the customer officially accepts delivery of the freshly painted C-40C. “you’ve given us everything we asked for,” said Col. Maryanne Miller, wing commander of the 932nd.

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By Hal kloppEr

From the beginning, the Kuwait Air Force wanted more-than-typical support from Boeing in maintain-

ing its new AH-64D Apache Longbow helicopters. Boeing saw this need as a way to get an important customer up to speed on main-tenance of its Apaches while creating ex-panded Support Systems opportunities throughout the Apache program. The re-sult is helping both the Kuwait Air Force (KAF) and Boeing.

Work is getting under way in Kuwait, where the first six of Kuwait’s 16 Apache Longbows debuted in February at Ali Al-Salem Air Base, home of the KAF Apache fleet.

It helps keep ’em flyingKuwait Apache plan marks new capability for Support Systems

“We’re enabling a new customer to achieve its defense goals without the growing pains usually associated with fielding a new aircraft,” said Dave Coon, Support Systems program manager for Kuwait. “And we’ve added a new capabil-ity to our portfolio.”

What makes this effort unusual?Typically, Boeing provides a mix of

contractor field-support representatives and logistics experts, who help Boeing’s 10 other Apache customers with mainte-nance needs. Some customers, such as the U.S. Army, perform maintenance them-selves or contract with companies to do it. In Kuwait, a total package was created to ensure that Kuwaiti Apaches are ready to fly when needed. Since the Kuwaitis are new at Apache maintenance, an augmen-tation team has been created to meet the KAF’s needs while its soldiers gain the ex-pertise to maintain the world’s most capa-ble combat helicopter.

“We have brought together our stan-dard support package, including spares, re-pairs and technical support, with our highly

skilled Maintenance Augmentation Team (MAT) and Sustainment Data System,” said Coon. “We’ll be training the Kuwaitis to do the maintenance and understand what it takes to support the Apache. But for a long time, we’ll be taking the lead on just about every aspect of maintenance.”

Success in Kuwait could mean oppor-tunities on other Apache programs.

“The next time a maintenance contract is opened to competition, Boeing will look seriously at competing,” said Brad Actipis, who manages the overall Boeing Support Systems Apache efforts worldwide. “As the original equipment manufacturer, we provide unique capabilities such as engi-neering, supplier management and main-tenance expertise that other companies will never have. We have the ability to di-rectly affect change in all areas if some-thing is needed quickly.”

The people handling the work are look-ing forward to meeting the challenge.

“I always enjoy new experiences,” said Thomas McManus, the MAT Operation Manager in Kuwait. “This one promises to be extremely satisfying because we’re do-ing something for the Boeing Apache that has never been done before.”

Joe Belin, an AH-64D Flight Line Tech-nician on the MAT, has been working on the Apache for more than eight years, includ-ing a year as a soldier in Iraq in 2003 dur-ing Operation Iraqi Freedom. “This is the best attack helicopter in the world,” he said. “I’ve never seen an aircraft take such a beat-ing and still manage to fly from point A to point B and get the mission accomplished.”

Robert Mabrey, the Team Lead for Maintenance Control on the Kuwait MAT, came to Kuwait “to experience another as-pect of aviation maintenance.” After 20 years with the U.S. Army, he was anxious to try something new. “So far, the experi-ence has been very good,” he said. n

[email protected]

Michael Dowd (left), contractor field-service representative, and Casimir Vital, quality control lead of the Kuwait Air Force Mainte-nance Augmentation Team, examine a new KAF AH-64D Apache Longbow in Kuwait.

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Once deployed around 2015, the Transfor-mational Satellite Communications System Space Segment will give the U.S. Depart-ment of Defense a secure, high-capacity global communications network. It also will enable network-centric operations for U.S. military services, providing Inter-net-like capabilities for armed forces.

By JoEl r. nElSon

When you’re seeking to help trans-form the way the U.S. military communicates globally, it makes

sense to build on advances you’ve made over the last 40 years.

That’s what Boeing Space & Intelli-gence Systems is doing under a $514 mil-lion risk-reduction and system-definition study contract for the Transformational Satellite Communications System Space Segment (TSAT SS), which eventually will include five satellites plus ground con-trol and gateway elements. Working under a contract awarded in January 2004, S&IS, a unit of Integrated Defense Systems, leads one of two contractor teams that are devel-oping and demonstrating critical technolo-gies and preparing a preliminary system design. The U.S. Air Force is expected to select one contractor late this year for the development and production phase.


Tomorrow’s connectionsBoeing-led team workson developing future military satellite system

Once deployed around 2015, TSAT will give the U.S. Department of Defense a secure, high-capacity global communi-cations network. Even more significant, it will enable network-centric operations for U.S. military services, providing In-ternet-like capabilities for armed forces anytime, anywhere. TSAT will be the backbone of the DoD’s high-bandwidth networked communications.

“TSAT is the space-based link of the future communications network,” said John Peterson, Boeing’s TSAT SS program director. “It will provide the high-capacity bandwidth required for evolving airborne intelligence, surveillance and reconnaissance missions. It also enables true communications on the move for warfighters—meaning they can always be connected, whether traveling on foot or riding in a vehicle, or anywhere else.”

USE WHAT WORKSReducing risk is a key objective of the

current study contract effort. Boeing’s ap-proach is to use what’s known to work. Ac-cordingly, S&IS applies proven technolo-gy from its four decades of experience.

One example is Boeing’s onboard digi-tal signal processors, which redirect com-

munications bandwidth to different areas on the ground as service demand shifts. These processors have long been a differ-entiator in S&IS-built commercial satellite programs such as Thuraya, which provides mobile phone service to an area encom-passing more than two billion people.

Also, TSAT’s antennas draw upon de-signs S&IS originally created for military and commercial satellite communications programs in the 40-plus years it has been building satellite systems.

With Spaceway—whose two satellites (S&IS is building a third) were designed to deliver high-speed, two-way Internet, data, voice, video and multimedia applica-tions across North America—S&IS can lay claim to having launched and demonstrated the only true space-based communica-tions network. Such expertise translates to higher mission assurance and lower risk for the Air Force.

Moreover, in contrast to its study-contract competitor, S&IS draws upon best-of-industry expertise. The team in-cludes Cisco Systems (routers), Hughes (Spaceway network design) and IBM (high-speed electronics). Achievements of the team’s members include devising technology such as the routers that car-ry more than 80 percent of traffic on the World Wide Web.

“Our teammates bring their domain expertise in specific areas; we bring our expertise in space-qualifying them,” Peterson said. “The network aspect of TSAT is critical. We actually see TSAT as a network program, not a satellite. We specifically sought network expertise in selecting our teammates, not only the usual satellite developers.”

Considering the ambitious scope of TSAT, Peterson is confident the S&IS team understands its customers’ needs and is fully prepared to meet them.

“The team has worked extremely hard on the technical challenges, and every-thing has gone very well so far. There have been no showstoppers. We’re ready to go on TSAT,” he said. n

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By DEBBy arkEll

It’s not every day that you run across an employee with 60 years of company service—let alone one who’s worked in

computing and data management for near-ly 40 years. But Shirley Haines, computer operator at the Data Center in Bellevue, Wash., has done just that—keeping up with lightning-paced changes in technol-ogy along the way and continuing to make valuable contributions to Boeing.

Haines’ Boeing career began in 1946 in the mail room at Plant 2 in Seattle. It was a job she admits she disliked at first. She stuck it out, however, on advice from her father.

Still learning—and going strongMeet 60-year employee Shirley Haines, who’sembraced change

“When I wanted to quit during my first month at Boeing, my dad explained what I needed to do and why I needed to do it,” she said. “Understanding what, why and how has always helped me, and my phi-losophy still is to learn everything I can about a situation.”

Learning and understanding are at the foundation of Haines’ career and many of her life experiences. She couldn’t afford to go to college, but she took advantage of classes Boeing offered. In the early 1970s, Haines and a co-worker decided they want-ed to learn a computer programming lan-guage, so they took a COBOL class.

One of her first management jobs was in Data Control in Renton, Wash. This orga-nization controlled the flow of all data pro-cessing materials for engineering, payroll and accounting, and other internal systems using a punch-card system. More than 100 keypunch operators put holes in rectangu-lar cards that were fed into Boeing’s earli-est computers to produce reports.

Since then, she’s witnessed the evolu-tion of computing technology from punch cards to tape reels, discs and ultra-high-density tape cartridges. Haines was on hand as Boeing acquired its first Cyber computer and later its first Cray. The Cray X1 computer in her work area today, one of the fastest computers in the world, is used for computation of fluid dynamics in Com-mercial Airplanes design work.

Part of Haines’ longevity at Boeing comes down to her willingness to deal with change. Steve Burns, Haines’ manag-er, said that Haines has always kept abreast of new technologies and availed herself of training on new systems and process-es. “Being fearless in the face of change makes a huge difference,” Burns said.

Her attitude is an inspiration to Radha Radhakrishnan, vice president of Comput-ing and Network Operations for Boeing Information Technology.

“At some point in time we all tend to stop learning,” said Radhakrishnan. “Not Shirley. She’s constantly learn-ing. The passion for what she’s doing is an inspiration.” n

[email protected]

n PEOPLE

Shirley Haines sits in front of a Cray X1 supercomputer, one of the fastest comput-ers in the world. She’s holding a wire board and punch cards that she and her team used 40 years ago to produce reports.

Sixty-year Boeing employee Shirley Haines enlisted in the U.S. Marine Corps Reserves in 1952, one of only a few women in that branch of the service at the time. The Marine Corps Reserves was one of her passions in life; she served honorably for 30 years until her retirement in 1982 at the rank of Sergeant Major—the first woman to reach the highest enlisted rank that can be attained.

Her Marine Corps experience complemented many of her attitudes about work at Boeing. “Take care of your troops, and they’ll take care of you,” she said. “It doesn’t matter who gets the credit as long as we accomplish the goal.”

An important ‘first’

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By walTEr polT

Boeing-SVS sits in the sunbaked, high desert of Albuquer-que, N.M. The surrounding mountains and looming extinct volcanoes bring to mind prehistoric times. But B-SVS is a

nerve center of “directed energy” technology—and proof Boeing is looking to tomorrow.

If you’ve tried zeroing in with binoculars on a soaring bird—especially while you’re in a bouncing vehicle—you have a sense of

n FEATURE STORY

Welcome to Albuquerque, where the Boeing-SVS team works on high-tech electro-optical systems for IDS

Tomorrow’s

in sightthe challenges B-SVS engineers tackle. Even if you catch sight of the bird for more than an instant, the smallest jiggle puts you back at square one. So imagine this: find a target 100 miles off (it’s in motion, and you’re on a pulsating plane in flight), “lock in” a close-up view of the target, and direct a beam of laser energy at it.

Impossible?Boeing-SVS people design, develop and build the electro-

optical answers to such challenges—which ultimately help support customers of Integrated Defense Systems. Their sys-tems—intricate computer programs linking laser radar, cam-eras, telescopes, lenses, fast-steering mirrors, gyroscopes and GPS instruments—let you see remote objects and events. They can track speeding trucks or mortar rounds in flight and can help precisely eliminate a cell-phone node. They keep laser beams in line and correctly pointed through the swirling, light-bending “pool” of the atmosphere.

Photos by Bob Ferguson

Boeing-Albuquerque employees Jeff Waitkus (from left), Matt Ross, Kurt Warden and Drew Riedle make adjustments to the B-SVS Relocatable High-Energy Laser System.


n FEATURE STORY

“Acquisition [finding], tracking and pointing,” said Drew Rie-dle of the B-SVS Test and Evaluation group, “are large, generic terms for what we do at B-SVS.”

SVS TO B-SVSIn quest of the crest of this game-changing wave of technology,

Boeing seven years ago spotted a small company called SVS Inc. Named after founders Sherman Seltzer, Robert Van Allen and Paul Shirley, SVS was working and competing with major high-technol-ogy companies in Albuquerque. The Directed Energy Directorate of the U.S. Air Force Research Lab is there, too—with an annual budget of more than $300 million. So in 2000 SVS Inc. became Boeing-SVS Inc., a wholly owned subsidiary of Boeing. It, along with Boeing-LTS (also in Albuquerque), is part of Boeing Directed Energy Systems (formerly Laser and Electro-Optical Systems).

B-SVS is the home of some important work—most of which isn’t done anywhere else in the world. Examples:

• Dual Line of Site research. DLOS features two optical paths working at the same time: a receiver of a laser beam, and a trans-

mitter that sends on the beam to a target. DLOS has become a part of other programs and systems, such as the Aerospace Relay Mir-ror System (see box on Page 35, and Page 5 of the March 2007 Boeing Frontiers). Also, Riedle’s DLOS team is designing very-short-range (6-mile, or 10-kilometer) tactical weapons called the Relocatable High-Energy Laser System. Field tests in late 2006 showed its mirror system on wheels can align with a stationary la-ser source and receive an optical signal from it.

• Laser radar, or ladar. “Boeing needed a laser-radar base,” said Joseph Paranto, B-SVS enterprise lead and head of discrimination and targeting and long-range strike. “A 3-D view of the field beats 2-D. In defense terms, that advanced precision sensing means you put the bomb in through the fifth window. You decide precisely where on the enemy plane to aim, track and maintain.”

What’s behind the superior B-SVS technical edge?Michael Dimmler, Senior Technical Fellow at Boeing-

Albuquerque, said 75 percent of its employees are engineers, and more than one in 10 of them is a member of the Boeing Technical Fellowship—a very high ratio in Boeing.

“The Tech Fellows’ job is to support the rest of Boeing through the exchange of ideas,” Dimmler said. Through the Fellowship, Boeing scientists advance their careers on a technical path; they don’t have to switch to a management path to move forward.

On top of this, B-SVS has a tradition of its own. When its sci-entists move into management, they continue growing their unique technical expertise and contributing it alongside fellow scientists. Riedle, for example, is engineering manager for the B-SVS Test and Evaluation group—and still develops electronics for high-speed-tracking sensor interfaces.

How does B-SVS develop priceless electro-optical equipment and control costs?

“The answer is simulation and analysis,” Riedle said. “You get the performance numbers from the simulation, so you know if your idea is feasible before you ever start making it.”

Tomorrow’s

Boeing-SVS Associate Technical Fellow Mary Jo Duncan (above) examines the transmitter telescope of the Aerospace Relay Mir-ror System at Kirtland Air Force Base in Albuquerque, while Bill Browning, ARMS program manager, checks the receiver telescope and its gimbal—a device that allows multidirectional movement.

From his B-SVS base—where complex algorithms even decorate walls—Senior Technical Fellow Mike Dimmler said he swaps spe-cialized information with other members of the Boeing Technical Fellowship in Albuquerque and throughout the company.

n FEATURE STORY

Site executive Lee Gutheinz underscored the importance of cost containment. “[Competitors] Lockheed Martin [which man-ages prestigious Sandia National Labs for the U.S. Department of Energy], Northrop Grumman, Raytheon—they’re all in town. They all go after the same business we do,” he said.

Despite this competition, SVS has grown from more than 100 employees when Boeing purchased it in 2000 to about 285 em-ployees in Albuquerque today. That’s not including some 20 to 25 in other places, including Southern California, Boston, Maryland, Pennsylvania, and Huntsville, Ala.

Business has grown, too. However, the financial focus is on growing future markets.

“Since the Boeing purchase of SVS, this [Albuquerque] part of the business dealing with advanced precision sensing and long-range-strike approaches has shown significant growth,” Paranto said, “and we believe the growth curve will continue.”

Directed Energy Systems, Gutheinz added, is a market- creation organization. “We’re trying very hard to create an ac-ceptance and openness to directed-energy systems within the U.S. Department of Defense and other parts of the government. That will allow Boeing to enter a market that will be billions of dollars in five or 10 years.” To this end B-SVS conducts its own R&D projects as well as receives support through Phantom Works (Boeing’s advanced R&D unit).

ENGAGED EMPLOYEESAlthough the B-SVS site’s population has increased, it’s been

one of the highest-scoring sites for several years on the Boeing Employee Survey. In fact, it’s No. 1 on the summary metrics for engagement. In addition to scoring more than 10 points higher than the total enterprise on “recognition for doing a good job,” B-SVS did exceptionally well in 2006 on the two diversity ques-tions: “having a climate where diverse perspectives are valued” and “manager treats all employees fairly.”

“Our motto from the beginning,” Seltzer said, “was, ‘Have fun; make a difference; and oh, by the way, make a profit.’ We’ve al-ways told employees, ‘If you’re not having fun, come in and talk. We’ll try to do something about it and report back.’”

In addition, the site’s small size helps it respond more spe-cifically to employees’ needs and desires. That size also enables recognizing accomplishments and disseminating information at standing-room-only meetings; indeed, at B-SVS, “all hands” means the whole facility.

The Albuquerque team participates in Boeing’s Key Differenti-ators project to identify engagement characteristics/behaviors that are common across sites that score high on the Employee Survey.

COMMUNITY HEARTBEATAnd B-SVS people like being part of Albuquerque, a city of

half a million. B-SVS has fewer than 300 employees but takes pride in being involved in the community. Business contributions of some $30,000 went to local schools and universities. Meanwhile, Albuquerque’s University of New Mexico engineering research department provides Boeing-SVS with technical research and ex-pertise. New Mexico State University in Las Cruces provides eval-uation of the Boeing-SVS flight-test telemetry system—and, along with the University of Texas at El Paso, boosts Boeing technical capabilities and subcontracting opportunities.

Top: Lee Gutheinz, B-SVS site executive and program director, ob-serves the progress of a monthly meeting of the entire membership of the facility—around 285 employees.

Above: Elizabeth Tingwall, facility security officer (left), confers with Launi Ritter Freiwald, Human Resources site lead.


n FEATURE STORY

Presents of the futureBoeing-Albuquerque’s electro-optical projects are becoming products. Here are a few examples:

Airborne Laser fire control. ABL is a high-energy chemical oxygen- iodine laser (COIL) intended to shoot down missiles during their boost phase of flight. It’s fired from the nose of a specially configured 747. About 25 Albuquerque people make up the fire-control-system team, said Mike Meline, B-SVS Systems Engineering manager and B-SVS Fire Control team lead for ABL. “Our job is to turn on the laser at the right time in the engagement,” he said. “First, the fire control system tracks the target passively, then actively with illuminator lasers. Then the adaptive optics system measures the atmo-sphere and corrects for the aberrations that can affect the beam. Then the high-energy laser is enabled to propagate down the corrected path.” Initial flight tests of the fire control system on ABL will be completed this spring.

Sean Burkland, engineering technician, adjusts the Advanced Tactical Laser turret below a C-130 aircraft, as a transparent cover reflects images of Boeing-LTS mechanical engineer Jim Johnson (left) and engineering technician Stuart Penner.

Advanced Tactical Laser optical-control module, or beam director. ATL, a high-energy COIL smaller than the Airborne Laser and mounted in a C-130 transport aircraft, sends its beam from a mechanism lowered below the plane during flight. “Our team designed and built the optical-control element in little more than three years,” said Ron Dauk, who led the Optical Control integrated product team at B-SVS. One of the system’s many tasks: Correct for “jitter” (all airplane movements).

The Aerospace Relay Mirror System. The ARMS payload, a half-scale version of a future relay system to be suspended from a high-altitude air-ship, will relay a high-power laser beam to targets beyond the horizon (see Page 5 of the March 2007 Boeing Frontiers). William Browning, head of the ARMS team at B-SVS said ARMS has two directed mirrors: One receives a beam from a ground-based low-power laser now standing in for a high-energy laser; the other mirror directs the beam to the target.

—Walter Polt

Boeing-Albuquerque gave some $25,000 to community charities in 2005. More than $10,000 of that was Employees Community Fund money directly from employees’ contributions. It bene-fited 12 charities, including schools, a shelter for battered women and their children, and the His-panic Women’s Council.

Volunteering thrives, too, including efforts such as these:

• Joining with Albuquerque’s Kirtland Air Force Base and Sandia National Labs to spon-sor students going to a “Marsville” event, where students built a sort of Mars module. This effort encouraged employees to support inner-city-school science.

• Allowing high schoolers to shadow engi-neers at a Junior Achievers “shadow day.”

• Sponsoring a home-school Science Olympi-ad event at the New Mexico Institute of Mining and Technology. “Our team won state and went on to compete in the National Science Olympiad in Indianapolis,” Roark said.

So seven years later, do Boeing-Albuquerque people like being a Boeing company?

“We have grown. We gained interesting work folks really enjoy doing. We’ve had investments from the company which have made everybody’s professional lives better,” said Gutheinz. “I don’t think anybody here would disagree: Yes, it was a good thing to join Boeing.” n

[email protected]



n FOCUS ON FINANCE

Explaining Wall Street to airplane builders can be as daunting as explaining Bernoulli’s Principle

to financial analysts. Now imagine doing it at 4:30 a.m.

“It wasn’t too bad, because I was still on Central Time. But I stopped for a huge cup of coffee before I started,” recalled Denise MacNeil, Investor Relations senior man-ager, about the morning she briefed the 737’s third final assembly shift, which runs from 11 p.m. to 6 a.m.

Investor Relations is a Corporate func-tion reporting to Chief Financial Officer James Bell. It’s responsible for explain-ing Boeing’s strategy, performance and outlook to financial analysts and inves-

Talkin’ Wall St. at 4:30 a.m.Renton hears about linkbetween stock priceand employee efforts

tors while relaying Wall Street’s perspec-tives to all of Boeing. That’s what brought MacNeil to Renton in March for a doz-en sessions—including predawn gather-ings—with the 737 team.

“It’s important that all of us under-stand what investors think and expect of us,” said Vice President of Investor Re-lations Dave Dohnalek. “Wall Street’s feedback can make Boeing better.”

Grasping what makes Wall Street tick is the first step toward understanding it. That’s a step many employees don’t know how to take. “I was getting a lot of ques-tions about why the stock does what it does,” said Willy Geary, director of manu-facturing for 737 final assembly in Renton, Wash. “That led me to think it would be good to bring Investor Relations in to help educate my team about how those on the outside look at Boeing and how our perfor-mance has a direct correlation to that.”

“The Street is always asking about productivity and profitability,” MacNeil said, “and those are two things people can influence directly.”

Geary said his team members are now able to appreciate better how they and

the company benefit as productivity im-proves. “Denise helped connect what we’re doing on the floor to the value of the shares that many of us hold as per-sonal investments,” he said.

For all the complex calculations and as-sumptions behind Wall Street’s analysis, MacNeil said its opinions of Boeing boil down to “meeting our commitments, ex-panding our [profit] margins and leverag-ing growth opportunities.” She added, “On the 737, the Street wants to see continued Lean progress. For the 777, the focus is successful implementation of the moving line. And with the 787, it’s absolutely criti-cal that the airplane be delivered on time and that we meet our promises.”

While her week focused on Commercial Airplanes, MacNeil noted that Wall Street is keenly following Integrated Defense Systems. “At IDS, analysts want to see the same things they want from BCA: meeting commitments with great first-time quality and strong profitability,” she said.

By the way: Bernoulli’s Principle ex-plains how air flowing over a wing moves faster than that flowing beneath it, creating the lift that makes flight possible. n

Your role on Wall StreetHere are some of the points Denise MacNeil of Investor Relations made during her meetings with 737 Final Assembly teammates.

Why does the Boeing stock price matter?

Among the many reasons:

• Customers would rather do business with a strong, stable company.

• Cost of doing business: A higher stock price means Boeing can raise capital and borrow money at lower cost.

• Personal-finance reasons: A higher stock price can benefit employees who have Boeing stock, such as in their Boeing savings plans.

How do employees affect the stock price?

Wall Street is counting on Boeing to meet commit-ments, boost profit margins and leverage growth opportunities. Employees can fulfill these expecta-tions by contributing to continued Lean progress, continued first-time quality and strong profitability. To help meet these expectations, employees and teams can become involved with the company-wide growth and productivity initiatives.

The 737 line in Renton, Wash., is a busy place. In a series of recent meetings there, rep-resentatives of the Investor Relations function explained to employees how their actions affect the Boeing stock price.

JIM

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lEy

PH

OTO


STOCK WATCHThe chart below shows the stock price of Boeing compared to other aerospace companies, the S&P 500 index and the S&P 500 Aerospace and Defense index. Prices/values are plotted as an index num-ber. The base date for these prices/values is April 16, 2004, which generates three years of data The prices/values on that date equal 100. In other words, an index of 120 represents a 20 percent improve-ment over the price/value on the base date. Each data point represents the end of a trading week.

Boeing vs. U.S.-based competitors

Boeing vs. stock indexes and international competitors

Boeing General Dynamics

Lockheed Martin Northrop Grumman

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n FOCUS ON FINANCE

Boeing stock, ShareValue Trust performance

Comparisons:4-week, 52-week

BOEING 91.03 90.00 1.1% 82.93 9.8%U.S. COMPETITORSGeneral Dynamics 76.72 77.55 -1.1% 63.89 20.1%Lockheed Martin 96.24 97.80 -1.6% 72.83 32.1%Northrop Grumman 74.75 72.57 3.0% 68.33 9.4%Raytheon 54.37 53.04 2.5% 43.69 24.4%

INT’L COMPETITORSEADS * 23.62 21.80 8.3% 32.28 -26.8%

U.S. STOCK INDEXESS&P 500 1452.85 1386.95 4.8% 1289.12 12.7%S&P 500 Aerospace 392.04 389.18 0.7% 341.18 14.9%and Defense Index

Price/value as of 3/16/07


Percentchange


Percentchange

Four-week comparison 52-week comparison

* Price in Euros

ShareValue Trust is an employee incentive plan that allows eligible employees to share in the results of their efforts to increase shareholder value over the long term.

The program—which runs for 14 years and ends in 2010—features seven overlapping investment periods. The program is currently in Periods 6 and 7.

The above graphs show an estimate of what a “full 4-year participant” ShareValue Trust distribu-tion (pretax) would be for Periods 6 and 7 if the end-of-period average share prices were the same as the recent price shown.

The share price shown is the average of the day’s high and low New York Stock Exchange prices. Updates to participant/employment data will be made periodically.

For more information on the ShareValue Trust, visit http://www.boeing.com/share.

Period 6Ending June 30, 2008

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Estimated ShareValue distribution

Stockprice

as of 4/19/07$93.80

$5,200

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Period 7Ending June 30, 2010

$100

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$70

$120 $3,000

$0

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Estimated ShareValue distribution

Stockprice

as of 4/19/07 $93.80

$600

$110


Russel ThomasPeter ThompsonRaymond ThompsonRobert UlrichDavid UnderhillGary UpshawNels Van BenthuysenGlenn VenablesBasil WalkerDavid WarrenGrant WasneyJohn WeberWayne WeidnerGary WhittemoreMark WickstrumRichard WilhelmCarol WilkersonMarion WilliamsColin WilliamsonCharles WintersRobert WiseBradley WolfGerald WolfDonald WoodsKestutis ZigaitisDean Zvorak

25 Years Gregory AchterkirchenBruce AllenElizabeth AllensworthJohn AlvaradoCharles AndersonJohn AntonioJodi ArnoldChristopher AvisonAndres BaletaScott BarnesTerry BarnhardtEric BarreraPatricia BaxterMichael BeitlerDaryl BennettAlfred BerumenPeter BeskPaul BogdanowiczPaula BookerDexter BordesMark BoringRichard BottomleyLarry BoyerKurt BraatenEugene BrandtGayle BressieEllen BrooksJohn BrooksDavid BrownFrank BrucePaul BruinsmaCarl BrumfieldMichael BryanLeslie BucariStephen BurkeClarence BurpeeLesta CampbellThomas CareyRaymond CarrilloPaul CatoMichael ChampeauxPatricia CharronDaniel ChaseNan Chen

Eugene ClarkRaymond ClydeRandall CoffeyDebra ConnLelia CookMichael CookRaymond CookWinnie CookElaine CooperJeffrey CothermanDana CousinsCarloes CoxRobert CrawleySharon CreswellGail CrossBart CruzDaniel CruzJeffry CulpJohn CutlerRenee CutlerNathaniel De ArmondGlenn DegnanMervin DemaretGrant DentonDavid DionMichael DonovanJames DoughertyDoris DruidRonald Du ChateauBernice DudeckJerry DunnNoel DunnavanWayne DuttonDawn DysartCandace DysonRonnie EddlemanJohn EdwardsWilliam EdwardsKevin EllertsonSteven EllisRamon EstradaJerry FayGeorge FeierRichard FeltWarren FeyDuane FlorenceEdward FlynnJames FosterJames FoxWade FranckGlenn FujihiroDouglas FunderburkLawrence GantRichard GarciaPeter GarlandTimothy GartonMelchor GarvidaLawrence GaryEdward GetzDavid GintzRonald GoldenJames GoudyNancy GrahamStephan GrebelDavid GreenMichael GreenleafLee GriesemerGlenn GualtieriStephen HanonDiana HansonRobert HardenDean Harlow

SERVICE AWARDS: Boeing recognizes the following employees in May for their years of service.

55 Years James Dorn

50 Years Yan FongBeverly Hoskinson

45 Years Norman ByrdIrwin ChinskyVernon DunnLouis FarahEjay FreemanGerald KazmierkiewiczRichard MannikkoEdgar PophamMaynard Webber

40 Years David BassettJohn BohlinWayne BruntonJames ClarkEarl CondermanJohn CoxOscar DavisFred EskridgeHelen HarkinsWallace HarrisBryant HawkinsThomas HollisIrving HuberEdward HulinekAlvin HuntJoseph KurowskiWilliam LewerenzJ.D. ManningJohn MuganConnie NorbyMichael NothaftFritz PaulsenWeldon PughLarry RemterDaryle SchroederPhillip ShawTommy SmithDavid TrikenskasGeorge VanbodegravenNathan WalkerClyde YamaguchiKenneth YataDanny Zerby

35 Years Robert AhuliiStephen BardRalph BehringerRobert BordenKaren BurmeisterDaniel ChaseRaymond ClarkMelba DavidsonJames DavisGlayde De PaloSylvester FischerPatrick FriesRuby GlassCharles HallSusan Hammond

Benita HaslettRaymond HolubSamuel HuertaBernice JenkinsJerry JohnsonLawrence KellerPhillip KingGeorge KoesterDonald KoetterRoy LangleyDavid LuddyAnastasia MarshallLinda McBridePatricia MillerMichael MiyagiStephen MorrealeSuzanne NagelJoann OgburnDorothy ParishJohn PetersonEvelyn ProbyRobert ReeceMarilyn SewellChristina ShinnMel SolodkyJames SurberKenneth ThurmonJohn TownsendMichael TroskeSteven VukelichJesse WebbDale WhiteheadDavid Wong

30 Years Rene AllenRosauro AmorantoMartin AndrusJames BennettDonald BingamanTeresa BingamanRichard BirdRobert BolenLouis BorreggineNeil BoswellSteven BransonRobert BremTonya BrendenGerald BrouwersAlvaro BuitragoErik BurrConnie ByersBarbara CassellThereatha ChandlerDennis ChaoDiane ChenowethLarry ClarkRobert CocciaBobby ColemanStephen CollinsSteven CoulterMichael CruseBradley CurtisRobert DaleRandall DalyMichael DavisDonald DeckerRobert DennisGail Dermit

Kim DivineyDavid DixonCheryl DunstonNorma EllisJames EnglandTerence EscottRobert FergusonDaniel FlahertyRichard ForknerFrederic FuJames GatesDiana GavolaJohn GiddingsDennis GliddenDonald HagenessGlenn HancockDaniel HanleyMichael HarrisRex HatfieldRaymond HavlickLarry HaydonGary HeinCheryl HeiseTimothy HickokDaniel HoldenDennis HoneyMichael HurleyCarl IrbyDouglas JacobsenDavid JanosikRoger JohnsonRonald JohnsonJohn JordethRoger JundtMelvin KarkiMark KayDavid KeitgesGordon KionPatrick KleinFred KleinschmidtThomas KletkeKim KoenigThomas KrogelDennis KruseJoseph KwanRaymond LamTri LamEugene LambDaryl LarsonLarry LaugerFongtsu LinHerman LipeMarcus LloydDavid LucasGerald MalkuchKathleen MarkleyCarlos MarquezMark MartinTerry MaxwellRichard McArdelDennis McBroomMack McCallRoger McCurleyRaymond McFaddenLinda McFarlandMary McGooganTeresa McKeanLarry McLoudPamela Meeks

Craig MerriganWilliam MertzTimothy MeyersGregory MillerHoward MillerRandall MillerJames MitchellKaren MoeDavid MonroeMark MorrisWilliam MurphySarah MurrKanivenahalli NagarajaJefferie NeiblerStephen NicholsBruce NicolettiGarth NoelManuel OchoaGeorge OhlmacherMeloney OldsDeborah PaceJulian PalaciosEsther PasslerChandrakan PatelDiane PatrickDaniel PegramCharles PerrinJames PhillipsVickie PillonGeorge PiontekJohn PottsRuthenia RaineyDavid RameyClyde RansomTheresa RebarMelanie ReedDonald RiderLarry RiehlJudith RileyLewis RinnertThomas RobinsonPatrick RoganGerald RohrNiles RosenDavid RossDavid RostadRonnald RussellJulie SandersLeslie Schad-AlfordHugh SchlossteinJerald SchmidtMarc SchoenSteven SeelyMicheal ShawDonald SheffDickie ShortCharley SmithJeffrey SmithThomas SmithWilliam SmithClifford SmithsonDale SnellCarl SorrellSalvatore StavaleJames SteinbaughRichard StraubDouglas SuttonSteven SwinglerCharphle Thomas

n MILESTONES


Douglas HarpleClarence HarrisMackle HarrisConnie HashMichael HatchRichard HaworthAlthea HaygoodTerri HearnBrad HebdaJoseph HernandezDonald HerrigDonald HigginsKimberly HillCharles HinesStephen HobbsJames HodginsRodney HornsbySteven HouseRobert HumeniukRonald HundahlDean IchiyamaSherryl JacksonFrances JamesPrincess JamesRay JanapatiMelissa JarrettAlan JetteSusan JohnsonSusan JohnsonDennis JolokaiJoseph JonesCelestine JordanMatthew JuneauGeoffrey KarstensCheryl KaszyckiAlice Kaul

Evelyne KennedyAndrea KeysTimothy KillingsworthMartin KirkThomas KnaupFrederick KnollSusan KnudsonDavid KohrnRonald KosaiDennis KranzDebra KrauterDebra KunigonisJoseph KwaitDebra LackeyEugene LackeyDeborah LarerKei LauMark LautherborenLarry LawnsdaleJeffery LevittDaniel LifritzJoseph LightEdwin LimSteven LindseyAnthony LombardiAlex LowMorris LuglianiCharles LumbertMark LumettaMichael MadisonRobert MarinoPhilip MartinPaul MartineauMartin MartinezFrancis MatthewsMark McCabe

Donald McClellanSteven McCorkleJames McCormickEdward McCraryRussell McFaddenDavid McFarlandYolanda MieraArthur MikaelianDavid MillarNenita MiyataSharon MoeBrian MoehlMaralee MonahanJames MoodyMichael MorandKevin MorganJames MorrisonKevin MossTom MulderRobert MullenJames NorrisJoseph NorrisJoseph OlschewskiWilliam OlsonSandra PaolicchiParamasivam

ParamanathanVincent ParksEugene PaterraAntoinette PembertonRobert PentzMark PetersonDavid PineAngelique PirnatMichael PizzutoDennis Prellwitz

Michael PriceTimothi PurcellSteven RadkeMichael RafteryWilliam RagsdaleDale RamezaniRita RamirezStephen RayRichard RebhanPeter RicciSteven RobertsonGregory RobsonRobert RoeJohn RoeckersEugene RogersMarcelline RohrichJames RollinsMichael RominesRocky RutlandGregory RyanTimothy RyanBarbara SanfordBrent SasakiWilliam SavageChristian SchaeferKenneth ScherbanKelly SchlegelWilliam SchultzGlenn SchulzRichard SchurmanWilliam SchweglerWilliam ScottCatherine ScribnerDick SellersRichard SellersAnthony Selto

Maria SerranoRobert SheppardSteven ShimamotoRichard ShinNancy SimmonsDouglas SloaneLaura SmithMichael SmithJoseph SnivelyScott SomersMono SongGayle SpearCharles StaffordGary StetzlerLeland StokesKaren StonerJames StrakaDaniel StraneyRichard SuhreMichael SuweRaymond SzczukaLyndon TalbottMark TamuraDon TeagueLloyd TerbrockRichard TerrellGregory TherrienGordon ThomasAlbert ThompsonPatricia ThompsonGeorge TibbsRonald TrickeyStanley TuckerSteven TuckerRosie TurnerGarry Tyree

Renee VanderbrinkMichael VannortwickNeal VanscyocVictor VazquezDonald VeronickHuong VuWendy WagnerJames WaibelMonte WarrenGregory WatsonPamela WaylandJames WeberDeborah WellmanCurt WhiteAlan WiechmanChristine WikstromJuanita WilderLinda WilliamsGeorge WilsonTerry WilsonMichael WingerHoward WingoVicki WinstonKevin WiseJoe WolvertonGary WomeldorffRichard WoodheadSteve WoodrowBart WulfmeyerAldous YeeEugene ZakrzewskiMark ZenorJames ZiolkowskiAnthony Zumwalde

RETIREMENTS: The following employees retired in March from The Boeing Company.

Evert Adams, 19 YearsJames Allen, 34 YearsJames Alvey, 27 YearsDonna Andersen, 27 YearsClayton Anderson, 26 YearsDan Anglim, 40 YearsSam Arciniega, 11 YearsCharles Arden, 19 YearsSteven Arnot, 33 YearsOscar Atienza, 27 YearsRalph Bacon, 21 YearsConnie Banks, 34 YearsSue Barnes, 19 YearsJerry Barnett, 24 YearsRobert Behrens, 41 YearsFredrick Behringer, 40 YearsWilliam Bent, 26 YearsWilliam Beverly, 37 YearsFred Bingisser, 21 YearsMalcolm Bolton, 17 YearsBrian Bonner, 19 YearsRalph Bonner, 23 YearsJames Booker, 38 YearsDavid Bressler, 28 YearsRonald Brink, 12 YearsJames Brooks, 24 YearsDorothy Brown, 23 YearsKenneth Brown, 20 YearsDaniel Bryant, 29 YearsDoris Bullock, 17 Years

Shar Burdick, 10 YearsAngela Burke, 26 YearsCheri Bush, 19 YearsGeorge Butler, 10 YearsJames Cain, 36 YearsGail Camp, 9 YearsJames Campbell, 32 YearsEdward Carl, 37 YearsRoger Carter, 20 YearsStanley Carter, 27 YearsKathryn Chalfan, 25 YearsAlexander Chee, 22 YearsCheng-Ping Chi, 23 YearsKirk Christensen, 16 YearsJudy Christophersen, 21 YearsCesario Cirunay, 26 YearsAllan Clements, 33 YearsCarolyn Collins, 30 YearsWayne Collins, 25 YearsRichard Cook, 33 YearsPatrick Cowley, 38 YearsLawrence Craig, 35 YearsTheresa Craig, 21 YearsSandra Darrow, 24 YearsJoan Davey, 22 YearsKenneth Davido, 20 YearsAnnie Davis, 20 YearsRichard Dionne, 26 YearsJoseph Dombrowski, 10 YearsBonnie Dowd, 21 Years

Andrew Druschba, 15 YearsJohn Dunn, 32 YearsDonald Earnest, 42 YearsCarolyn Ebbert, 9 YearsRonald Eigelberger, 37 YearsThomas Eldridge, 34 YearsFrank Eppler, 22 YearsJohn Espinoza, 22 YearsDonald Etzel, 16 YearsRichard Fairfield, 25 YearsEldon Farris, 19 YearsGerald Fassler, 38 YearsWilliam Fetterolf, 10 YearsJames Fields, 36 YearsLuis Figueroa, 22 YearsJoseph Finochio, 3 YearsRonald Ford, 35 YearsLouis Foster, 23 YearsThomas Frenock, 23 YearsGene Freville, 27 YearsLarry Fugere, 39 YearsWilliam Fullmer, 19 YearsJoyce Gilliam, 32 YearsHenry Gissel, 40 YearsBettye Glenn, 24 YearsAngelina Glomb, 17 YearsRobert Goike, 25 YearsGail Goldade, 10 YearsTerry Graham, 18 YearsConnie Gregerson, 27 Years

Sharon Gumm, 32 YearsChorng-Lin Guo, 20 YearsSusan Halligan, 21 YearsBetty Harper, 34 YearsAlan Hart, 20 YearsDavid Hata, 28 YearsCarol Hatlen, 20 YearsMelissa Heath, 30 YearsGene Helmsworth, 28 YearsSteven Hengeveld, 27 YearsClayton Henry, 21 YearsJon Hildrum, 40 YearsRobert Hodge, 22 YearsRichard House, 25 YearsPaul Hugge, 39 YearsPatrick Hughes, 30 YearsEdgar Idler, 34 YearsJon Ingebrigtsen, 9 YearsEdwin Jackson, 28 YearsKenneth Jallen, 46 YearsMichael Jeannequin, 23 YearsGilbert Jernigan, 30 YearsGerald Johnson, 20 YearsJeanette Johnson, 21 YearsRaymond Johnson, 10 YearsSteven Johnson, 26 YearsElden Jones, 14 YearsJohn Kamperschroer, 33 YearsLee Kartes, 40 YearsRonald Kay, 35 YearsMaryjayne Keenan, 37 YearsGary Keller, 36 YearsTeresa Kelley, 25 Years

Melinda Kelly, 27 YearsRobert Kiehl, 43 YearsAlice King, 25 YearsDennis Kirsch, 27 YearsKenneth Kissell, 18 YearsDavid Kleeberger, 29 YearsDaniel Kolb, 26 YearsSusan Kranz, 25 YearsCharles Kreutztrager, 44 YearsValerie Krieger, 27 YearsWilkin Kwan, 21 YearsAllen Kwant, 35 YearsBillie Lancaster, 31 YearsFrances Larkin, 17 YearsCheryle Lawson, 29 YearsLouise Lennon, 30 YearsGordon Leon, 28 YearsSidney Lewis, 28 YearsPaul Liles, 41 YearsSue Liles, 33 YearsDanny Lindahl, 32 YearsBilly Lindsay, 20 YearsMarikay Logan, 10 YearsDonna Loper, 5 YearsConnie Lopez, 25 YearsBernard Louth, 36 YearsJoseph Maclean, 7 YearsJohn Maier, 28 YearsMarlin Marks, 22 YearsJames Martin, 27 YearsTerry Martin, 29 YearsRuby Martinez, 21 YearsNorman Mason, 36 Years

n MILESTONES

Connie Matteson, 29 YearsDouglas Matthies, 28 YearsJohn Mattox, 9 YearsRobert McBride, 25 YearsTerry McClintock, 21 YearsKeith McCoy, 17 YearsLyle McKnight, 6 YearsJohn McLaughlin, 22 YearsAlan McLean, 14 YearsRamesh Mehta, 27 YearsSherry Meith, 16 YearsBruce Melnick, 10 YearsNancy Millione, 10 YearsDouglas Mitchell, 27 YearsMichael Monirzad, 10 YearsReuben Moore, 30 YearsWilliam Morgan, 21 YearsMichael Mull, 6 YearsJanet Murphy, 24 YearsJoseph Murphy, 11 YearsNorah Murphy, 37 YearsJuanita Neier, 18 YearsHelen Nelson, 25 YearsEugene Normand, 22 YearsBryan Ogden, 6 YearsGerard Olsen, 45 YearsGlenn Onodera, 17 YearsCynthia Oshiro, 31 YearsDoris Page, 17 YearsGlenn Palmer, 42 YearsWarren Parker, 28 YearsRaymond Parrish, 26 YearsDonald Patriquin, 20 YearsShirley Peery, 37 YearsCheryl Perhatch, 28 YearsGlen Phariss, 37 YearsPaul Pinkerton, 5 YearsThomas Piper, 41 YearsTeresa Pizzi, 38 YearsAslam Qazi, 17 YearsPatricia Quackenboss, 18 YearsNorman Radcliffe, 9 YearsElaine Reddick, 25 Years

John Reeves, 26 YearsDonald Reid, 30 YearsSamuel Rickett, 10 YearsJoyce Ridenbaugh, 7 YearsAngel Rivera, 22 YearsPriscilla Robb, 13 YearsMark Robinson, 37 YearsDavid Rockafield, 37 YearsPatricia Romines, 46 YearsRobert Rotta, 20 YearsDebbie Russo, 19 YearsDean Ryckman, 28 YearsRobert Salvage, 19 YearsDean Saremi, 27 YearsGregory Scheier, 33 YearsRandy Schlecht, 28 YearsLarry Scott, 40 YearsErnest Seary, 6 YearsDiane Seat, 21 YearsDavid Shaffer, 15 YearsGerald Shelar, 16 YearsAndrew Sible, 35 YearsDaniel Sigler, 23 YearsKathryn Sigmund, 45 YearsClinton Smith, 14 YearsKarlen Smith, 28 YearsRobert Smueles, 33 YearsRobert St. George, 25 YearsLeo Steiner, 45 YearsRobert Stelmack, 27 YearsLeon Stephens, 18 YearsJohn Stickler, 35 YearsJames Stilts, 21 YearsHarvey Stone, 29 YearsJack Stone, 16 YearsDaniel Strain, 33 YearsMary Strasburg, 17 YearsRobert Strohl, 22 YearsThomas Swaney, 27 YearsMaysie Swenson, 21 YearsBert Syms, 28 YearsDavid Tashiro, 34 YearsDenny Taylor, 32 Years

Phillip Taylor, 41 YearsThomas Taylor, 19 YearsKermit Terrell, 20 YearsJames Tesdall, 25 YearsBarbara Tetu, 27 YearsTommy Thompson, 22 YearsBrad Thorlton, 25 YearsJerry Tierney, 38 YearsCharles Tift, 26 YearsRobert Tompkins, 27 YearsMary Torlai, 19 YearsHung Tran, 23 YearsDonald Trautman, 18 YearsDarrell Tuntland, 19 YearsKazimierz Turek, 17 YearsFrank Turner, 32 YearsPamela Turner, 27 YearsMildred Tyree, 21 YearsKeith Underwood, 19 YearsFrederick Valentine, 28 YearsCharles Vargo, 29 YearsVidmantas Variakojis, 51 YearsAnthony Vela, 41 YearsArlene Visnyei, 45 YearsLynn Von Pein, 10 YearsDianna Wallace, 27 YearsWilliam Ward, 38 YearsHans Weaver, 29 YearsBarbara Webb, 10 YearsNancy Weiss, 29 YearsGaylen Whiteman, 21 YearsRichard Whiteman, 10 YearsDonna Wilderdyk, 27 YearsScott Wilkins, 10 YearsThomas Williams, 12 YearsDebbie Woods, 33 YearsJess Wright, 20 YearsRichard Wroblewski, 18 YearsVictor Yamamoto, 31 YearsRobert Young, 31 YearsRobert Young, 19 YearsJohn Zerr, 11 Years

IN MEMORIAMThe Boeing Company offers condolences to the families and friends of the following employees, whose deaths recently have been reported.

Victoria Battermann, office administrator; service date March 3, 2006; died March 26John Battisti, contract and pricing administration; service date Oct. 24, 1983; died April 10Sharron Brushert, staff analyst; service date Aug. 29, 1997; died March 23Dale Chalfant, crane maintenance; service date April 25, 1997; died April 1Robert Cohen, final assembly inspector; service date June 14, 1965; died April 15John Erickson, imaging resources specialist; service date March 3, 1969; died April 4Jeffrey Friend, project engineer; service date Jan. 20, 1999; died March 29John Graham, software engineer; service date Sept. 22, 1977; died March 22Danny Hill, business process analyst; service date Nov. 3, 1995; died April 5Colleen Kilcullen, industrial security specialist; service date July 6, 1970; died April 2Payow Kungkagam, software engineer; service date Aug. 29, 1978; died March 24Bernard McBurney, research technician; service date July 13, 1981; died April 11Michael Ochu, sheet metal assembly mechanic; service date Jan. 22, 1986; died March 14Mary Pommier, office administrator; service date Oct. 13, 1972; died April 16Randy Sauvageau, painter; service date Aug. 5, 1985; died March 27Kerry Scifert, test and evaluation engineering manager; service date Oct. 26, 1982; died March 10Scott Shaw, tech support; service date March 29, 1985; died April 8Jack Whitaker, product review engineer; service date May 12, 1986; died April 12

n MILESTONES/AROUND BOEING

February 2007 BOEING FRONTIERS�0

AROUND BOEINGBOEING OPENS FACILITY IN BRISTOL, U.K.

United Kingdom government offi-cials and Boeing executives gathered on April 16 for the official opening of Boeing Bristol, a new systems engineering and integration facility.

The Bristol facility and its staff will support the U.K. Ministry of Defence in designing and managing complex systems being developed for the U.K. Armed Forces. “This facility will act as a focal point for our efforts to provide even greater ca-pabilities to our U.K. military customer than ever before,” said Roger Krone, presi-dent of Boeing Network and Space Sys-tems, during the opening ceremony. “We have heard the call for industry’s support in designing and managing the complex and increasingly technologically challenging systems which are being developed for the Armed Forces, such as the Future Rapid Effect System for the British Army.”

FRES is intended to develop a new fam-ily of network-enabled, air-deployable ar-mored vehicles for the British Army. To support that and other efforts, Bristol will be linked to other Boeing engineering and inte-gration facilities in the United States. It also will provide a collaborative environment with the latest in modeling, simulation and analysis tools to explore and understand the implications of proposed systems like FRES in a real-time, dynamic environment.

In addition, the Bristol site will be con-nected to The Portal, the modeling, sim-ulation and experimentation facility that Boeing and U.K. defense technology and security company QinetiQ are creating in Farnborough, U.K.

Sir Roger Bone, President of Boeing UK, told the assembled guests that Bristol would build upon Boeing’s previous com-mercial and defense work in that nation.

“This new venture for us in Bristol takes us in a new direction that will gener-ate intellectual property, create and sustain


n AROUND BOEING

high-value engineering jobs, and also de-liver advanced operational capabilities to the Ministry of Defence,” he said.

BOEING-LED TEAM DEVELOPING SURFACE NAVIGATION CONCEPT

How would U.S. ground troops navi-gate precisely and effectively if Global Po-sitioning System signals weren’t available? A Boeing-led team is tackling that chal-lenge under a concept development con-tract awarded recently by the U.S. Defense Advanced Research Projects Agency.

The objective of the Robust Surface Navigation (RSN) program is to develop technologies that can exploit various “sig-

nals of opportunity”—electronic waves emanating from satellites, cell phone tow-ers and even TV transmission towers—to provide precise location and navigation in-formation to ground troops when GPS sig-nals are electronically jammed or blocked.

“The challenge is to develop an inte-grated system that can use all available sig-nals—not just GPS—to provide accurate navigation information through one small receiver, thereby eliminating the need for an expensive, fixed infrastructure,” said Bart Ferrell, Phantom Works Enterprise Strategic Growth program manager for Precision Navigation Programs.

The Boeing-led RSN team for the 15-month Phase 1 concept development

contract includes ROSUM of Mountain View, Calif., NAVSYS of Colorado Springs, Colo., and Shared Spectrum of Vienna, Va. ROSUM is the only company that has used broadcast TV signals to locate mo-bile assets. It’s also the first company to combine TV and GPS signals for truly ro-bust situational awareness in all environ-ments. NAVSYS provides high-quality technical products and services in GPS hardware design, systems engineering, systems analysis and software design. Shared Spectrum has developed innova-tive cognitive radio technologies for gov-ernment and commercial customers with challenging radio communications and networking needs. n

Boeing supplier Spirit AeroSystems last month rolled out the first 787 Dreamliner nose (above) at its Wichita, Kan., factory. More than 1,000 Spirit employees cheered the debut of the nose section, known as Section 41. Kurt Kraft, Boeing 787 Fuselage team leader, thanked the Spirit team for its efforts in building the complex section. “It wasn’t that long ago that people were telling us this couldn’t be done,” Kraft said.

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Renton Site Services: Paint-platform cable maintenance

We on the Renton [Wash.] Site Services team, a part of the Shared Services Group, recently put several ideas into place to reduce downtime needed for P2 paint hangar maintenance. There’s one idea we especially like. It completely eliminates cleaning paint-splattered cables on the paint platforms—a labor-intensive task we used to do by hand each month, working

from a boom lift. Because the boom lift was large, it was impossible to clean the cables while an airplane was in the hangar. But during a recent Accelerated Improvement Workshop, a participant suggested, “Why not cover the cables instead of clean-

ing them? When the covers are dirty, we’ll get rid of them.” After testing materials, we discovered that the material used in painters’ disposable coveralls worked well. But we still faced

a major challenge: How could we attach the covers to the cables without a boom lift? Our interim solution uses sala blocks. A sala block contains a retractable cable that attaches to a person’s safety harness. If a person

aloft slips, the cable locks in place and breaks the fall. We took extra sala blocks, affixed them to the overhead trolley, and then at-tached paint covers to one end of each cable. When the cables retract, they pull the protective sheaths upward, covering the cables.

We no longer have to interrupt the paint schedule, and we’ve reduced labor hours significantly. Cleaning cables typically took about 40 to 50 labor hours every month, often at overtime rates. Now, replacing the covers takes two employees about an hour for each platform—and is a task we’ll need to do just twice a year. This idea supports the Lean+ growth and profitability initiative.

Our group has adopted a pit crew mentality: Get in, get the job done quickly and get out without slowing down our business partners. This solution ties in perfectly.

Ronnie Craig PlumberRenton Site Services

Clockwise from bottom left:

Justin Hollibaugh MillwrightRenton Site Services

Richard Bohl Load test technician Renton Site Services

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Brett Anders Manager, Auburn-Frederickson Site Services

Jack Carr Engineer, Renton Site Services

Pat Devine Equipment engineer St. Louis Site Services

Lea Raffle Manager, Renton Site Services

Bill F. Williams Carpenter, Renton Site Services

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This Integrated Defense Systems print ad supports the Transformational Communications Satellite System (TSAT) campaign, a $10 billion satellite system that will provide the warfighter with critical communications services. The ad emphasizes TSAT as a

space-based network solution and underscores that the Boeing team is the most able to deliver this critical military communicationssystem. The ad will appear in key trade publications including Air Force Magazine, Aviation Week, Defense News and Space News.

Date: 4/10/07file Name: BOEG_IDS_TSA_1028M_C

Output printed at: 100%Fonts: Helvetica (Bold), Helvetica (Plain), LI Helvetica Light ObliqueMedia: Frontiers Magazine

Space/Color: Full Page–4/Color–BleedLive: 7.375 in. x 9.875 in.Trim: 8.375 in. x 10.75 in.

Bleed: 8.875 in. x 11.25 in.Production Artist: D.Seymour

GCD: P. SerchukCreative Director: P. Serchuk

Art Director: J. AlexanderCopy Writer: P. Serchuk

Print Producer:Account Executive: D. McAuliffe

Client: BoeingProof Reader:

Legal:Traffic Manager: Traci Brown

Digital Artist:Art Buyer:

Vendor: Schawk

Job Number: BOEG_IDS_TSA_1028M_CApproved

Date/InitialsClient: Boeing Product: Integrated Defense Systems

PUBLICATION NOTE: Guideline for general identification only. Do not use as insertion order. Material for this insertion is to be examined carefully upon receipt.

If it is deficient or does not comply with your requirements, please contact: Print Production at 310-601-1485.

Frontline Communications Partners 1880 Century Park East, Suite 1011, Los Angeles, CA 90067

0 25 50 75 100

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GLOBAL CONNECTIVITY STARTS WITH A GLOBAL NETWORK.

C I S C O , H U G H E S , I B M , H A R R I S , B A L L A E R O S PA C EL U C E N T, R AY T H E O N , G E N E R A L D Y N A M I C S , L - 3 C O M

TEAMTSAT

To fully connect warfighters anytime and anywhere requires a space

based global network. The Transformational Communications

Satellite System is integral to satisfying this critical requirement

As the only team to have demonstrated a space-based

network (Spaceway), Boeing and its partners are uniquely capable of

bringing the full value of TSAT to the warfighter—at the lowest risk

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Cyan Magenta Yellow BlackClient - FRONTLINE Job # - 04297 Ver. - AD01

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• AVIONICS - FLIGHT TEST

• COMMUNICATION SYSTEMS - MILSATCOM/

NETWORK/SATELLITE/WIRELESS

• ELECTRICAL ENGINEERING – COMPONENTS

• ELECTRONIC WARFARE

• FINANCE/ACCOUNTING/PLANNING

SCHEDULING/ESTIMATING/PRICING/EVMS

• FLIGHT CONTROL LAW ENGINEERING

• GIS/IMAGERY

• GROUND MISSILE DEFENSE/

GROUND-BASED MISSILES

• INFORMATION TECHNOLOGY

• MECHANICAL ENGINEERING - EM/STRUCTURAL/

DYNAMIC/THERMAL/STRESS

• MODELING & SIMULATION

• NETWORK ARCHITECT/NETWORK SECURITY

• NETWORKING/EMBEDDED/WEB/ARCHITECTURE

• OPERATIONAL CONCEPT ANALYSIS

• PAYLOAD SYSTEMS - SPACECRAFT/SATELLITE/AIRCRAFT

• PRODUCT REVIEW ENGINEER (LIAISON/MRB ENGINEER)

• QUALITY ENGINEERING

• RADAR DESIGN/ANALYSIS

• SIGNAL PROCESSING - SONAR/RADAR/DSP/

SIGINT SYSTEMS

• SOFTWARE ENGINEERING - REAL-TIME

• SYSTEMS ENGINEERING

EvEry planE in history took its first flight in someone’s imagination. at Boeing, we envision the most remarkable things,

and assemble the people and resources to make them take shape. that’s why we’re here. the job categories below reflect skills

we are seeking for various positions in alabama, arizona, California, Colorado, Florida, Kansas, Maryland, Missouri, oklahoma,

pennsylvania, texas, virginia and Washington. to view the available jobs at each location and to apply, visit: boeing.com/careers

To view a comprehensive listing of all available positions, please visit: boeing.com/employment. Security clearance requirements are indicated in the position listings. U.S. citizenship is necessary for all positions requiring a security clearance.

Boeing is an equal opportunity employer supporting diversity in the workplace.

Apply at: boeing .com /careers

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This image, from the “Epic” recruitment advertising campaign, is part of Boeing’s efforts to attract a talented, diverse group of college and experienced professionals, and encourage them to explore a career with Boeing.

The skill sets listed demonstrate the breadth and depth of Boeing opportunities. The ad directs candidates to view detailed job descriptions and apply online at: boeing.com/careers.

this is WhErE iMagination taKEs shapE.

· Frontline Communications Partners1880 Century Park East, Suite 1011, Los Angeles, CA90067 0 25 50 75 100 3C 4C 50K 50C 41M 41Y THE US ARMY’S FUTURE COMBAT SYSTEMS. Continuous

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