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Full-Text Articles in Business

Procurement Total Cost Analysis: A Supply Chain Strategy For The Aviation Industry, Tulia S. Badillo Jan 2018

Procurement Total Cost Analysis: A Supply Chain Strategy For The Aviation Industry, Tulia S. Badillo

Walden Dissertations and Doctoral Studies

In the aviation industry, purchasing departments spend approximately 80% of revenues on procurement. Additionally, 62% of companies experience unforeseen expenses or hidden costs in the procurement process. Grounded in a conceptual framework of activity-based costing, the purpose of this case study was to explore strategies used by 5 upper-level supply chain management leaders at a maintenance repair and overhaul company in the aviation industry in the Southeastern United States to accurately forecast procurement costs. Data collection included 5 semistructured interviews, company documents, and annual reports. Through thematic analysis, the major themes that emerged from the data analysis were accuracy, competitive …


The Effect On Stockholder’S Wealth On Critical Systems Failure And Remedy: The Boeing 787 Case, Jayendra Gokhale, Sunder Raghavan, Victor J. Tremblay Jan 2014

The Effect On Stockholder’S Wealth On Critical Systems Failure And Remedy: The Boeing 787 Case, Jayendra Gokhale, Sunder Raghavan, Victor J. Tremblay

Accounting, Economics, Finance, and Information Sciences - Daytona Beach

In this paper we analyze the effect of Boeing Dreamliner 787’s battery problems on stockholder wealth. Using the event study methodology, we show that the recall in January of 2013 initially caused the company’s cumulative abnormal returns to fall by almost 4% in four trading days after the recall. This was followed by an announcement by two major airlines to ground all of the 787 Dreamliner jets. The FAA also ordered all US airlines to ground their 787s and announced an investigation to review all critical systems of 787s. However within four months of the investigation, FAA approved Boeing’s revisions …