Problem: Business Ethics
Boeing: The 737 Max Crisis
In March 2019, Boeing Company's (Boeing's) 737 MAX aircraft was grounded across the globe, following its second crash within five months. Investigations into the crashes concluded that the sensor in the Maneuvering Characteristics Augmentation System (MCAS) had failed, leading the aircraft to nosedive downward, crashing and killing all aboard. This situation left the public confused as to how this engineering error had occurred, given Boeing's strong history of aerospace achievements. The case traces the main developments in the aircraft manufacturing industry and Boeing's organizational changes over time. Study the case in detail and analyze the situation taking into account the following :
1. Why did the two Boeing 737 MAX planes crash?
2. What were the ethical issues at stake?
3. Given the difference in the cultures at Boeing and McDonnell Douglas, why did the two companies merge? What were the ethical implications of the merger?
4. How can Boeing ensure another crash does not happen?
5. What should Boeing do to regain consumer confidence?