It has been getting harder for staff to find parking spaces at Boeing’s Renton plant outside Seattle. For much of this year, the world’s largest aircraft manufacturer has been using the employee car park to store planes which it cannot deliver.
Renton is home to the 737 Max, the latest model of the best selling commercial jet in history. Since two fatal crashes prompted global regulators to ground the entire Max fleet in March, the plant’s 12,000 people have been confronted each day they arrive for work with hulking reminders of the biggest crisis in Boeing’s 103-year history.
The company has been producing 42 Max jets a month, even while it could not send them on to customers, leaving it with 400 “white tails” — finished planes awaiting airline liveries — in need of novel storage solutions.
They will soon have more room, after Boeing announced this week that it is halting production at Renton for an indefinite period. Employees will be parking at other nearby Boeing facilities where the $188bn company has promised to find them work.
Dennis Muilenburg, Boeing’s engineer-chief executive, had hoped the Max would be flying again by this summer, yet analysts now think it will not return until March 2020 at the earliest — almost 18 months after the first of two crashes, in Indonesia and Ethiopia, that killed 346 people. But even that might be optimistic — United Airlines said on Friday that the Max would not return to its fleet until June.
The crisis has not only cost America’s largest exporter billions of dollars: it has challenged many of the global aviation industry’s core assumptions about the political, regulatory and competitive context in which it operates.
Boeing’s announcement left employees who had feared lay-offs relieved, but it rattled suppliers who will find it harder to replace work lost during any prolonged interruption to orders.
With its shares down almost a quarter since March, and economists estimating that the disruption could shave half a percentage point off US gross domestic product in the first quarter of 2020, its troubles have also caught the attention of the passenger of its best known plane, Air Force One. Donald Trump reportedly called Mr Muilenburg on Sunday to ask about the company’s health highlighting that in election year the president will be weighing Boeing’s economic impact against his voters’ safety fears.
Boeing’s failure to put the Max crisis behind it has baffled even experts who have studied corporate crises, from Johnson & Johnson’s 1982 Tylenol pain relief recall, to BP’s Deepwater Horizon environmental disaster in 2010.
The drawn-out saga has few parallels, says Eric McNulty, associate director of the National Preparedness Leadership Initiative, but he believes it stems from “tone-deaf” management and an inability to understand that Boeing’s world was changing even before the pride of its fleet proved fatally flawed.
When questions first arose about the role its MCAS anti-stall system played in the Max crashes, Mr McNulty argues, the company’s first reaction was to think “we’re Boeing; this can’t be happening to us”; it failed to question potential failings in its culture, its close relationship with its domestic regulator or its fast-changing market.
“When you have a worldview that makes sense it’s almost impossible to break out of it,” he adds: “The system made perfect sense until it didn’t.”
Boeing is accused of producing a flawed design for the MCAS system, which pushed the nose of the plane down when sensors detected it was about to stall. But Boeing opted to use one instead of two sensors to deliver that crucial data to the flight control system, leaving it exposed if the remaining sensor was defective. Compounding the problem, Boeing lobbied to keep information on the system out of the manual to avoid costly pilot training, arguing that crew should be able to handle the system from existing checklists.
One analyst, a former aerospace engineer, says: “I don’t think they think they did anything wrong. They think they designed an aeroplane that was fine and this never would have happened if they had pilots who knew what they were doing . . . Deep down inside they think they are being picked on.”
If Boeing has been blindsided by the hostile response to its predicament, that is partly because its status as one of America’s most politically significant companies has offered it surprisingly little protection. With plants dotted around the country, the company donated $4.2m to politicians of all stripes from 2016 to 2018. It also gave $1m toward Mr Trump’s inauguration.
But if it hoped such patronage would shelter it, it was mistaken. Boeing does not face insurmountable technical problems, says Richard Aboulafia, vice-president of aviation consultancy Teal Group. Instead, “it’s a hideous mix of political pressure, messaging incompetence and regulatory misalignment” that is confronting the company.
In the view of one former supplier who asked not to be named, its problems with the Max began when the Federal Aviation Administration let it “ram through” alterations to a 737 design which was first certified in 1967, rather than face the more arduous approval process for an entirely new aircraft.
As House of Representatives and Senate committee members have learnt how keen Boeing was to avoid having the Max classified as a new jet, rather than an update of an old one, they have taken a tougher tone in questioning Mr Muilenburg and other executives.
The House transportation committee wants to find out who was pushing regulators to minimise how much training pilots would need on the Max. With 500,000 documents to review, its investigation has months to run.
“There is clearly a cultural issue at Boeing,” says one congressional official. “It is going to take a lot of things to turn this company around — a new leadership, and possibly a fresh perspective.”
Much of the scrutiny Boeing has faced on Capitol Hill has focused on a relationship with its domestic regulator that many now paint as excessively cosy. An official report from representatives of the FAA, Nasa and seven regulators, concluded that the FAA’s practice of delegating many of the steps required to certify an aircraft to Boeing’s own staff had created “conflicting priorities”.
Under fire, the FAA has appeared determined to demonstrate its distance.
Where once the regulator might have accepted Boeing’s reassurance that its aircraft were airworthy, now it is “reasserting itself”, Mr Aboulafia says.
The manufacturer’s timetable for getting approval for the Max to fly again was “not realistic”, the FAA said last week, reprimanding Boeing for appearing to try to “force” it into moving faster.
The FAA is not Boeing’s only concern. Despite a tradition of domestic regulators taking the lead in such decisions, China was the first country to ground the Max and the FAA’s international peers have all demanded a say in the process for getting it airborne again.
Authorities ranging from the European Aviation Safety Agency to Canada’s civil aviation body have peppered Boeing with questions. The FAA’s hopes of avoiding a piecemeal return to service have required unprecedented co-ordination with peers, which some in the US industry see as eager to challenge its standing as the leading regulator.
Their suspicions have been fed by other tensions between Washington and its trading partners. Mr Trump’s tariffs have sharpened competition with China, while the US recently won World Trade Organization backing for its case that the EU has provided unfair subsidies to Airbus, Boeing’s European rival.
Despite this win, one senior industry executive warns that “time is against Boeing” because the Max crisis may have set back the planned launch of its “new midsized aeroplane”, by three years. The popularity of Airbus’s recently launched A321XLR and re-engineered A330neo could leave little of the mid-market for it to go after, he says.
For now airlines faced with an effective duopoly between Boeing and Airbus cannot afford for either to fail. “The market needs [Boeing] to recover,” the executive says.
Despite the discomfort Mr Muilenburg showed while being grilled in October’s congressional hearings, many still expect Washington to temper its urge to punish the national champion.
“Boeing will receive all the support it needs to recover from airlines, the government, the agencies,” the executive says. “Boeing was too optimistic and arrogant in the way it predicted the aircraft would fly again but the FAA and EASA will authorise the 737 to fly again.”
If Boeing has had to rethink its assumptions about Washington and the wider regulatory environment, it has had to do the same with its planes.
The company faced angry reactions when it suggested earlier in the year that its errors with MCAS had been just one link in a “chain of events” but the pilot error at which it hinted remains a concern for manufacturers and regulators.
As the industry’s growth forecasts depend on emerging markets, Boeing faces the need to reassess its different pilot training programmes. That will mean building more technological safety nets into cockpits, and a level of automation which it had resisted.
The Boeing board, for now, is trusting Mr Muilenburg to execute these longer-term shifts, even while leading the urgent work to return the Max to the skies and responding to challenges like the malfunction which prevented its Starliner astronaut capsule from reaching the International Space Station on Friday.
But the chief executive will have one eye on the planes sitting in the Renton car park. A 737 does not take well to being grounded: its tyres go flat, its electronics need retesting, and its engine must be turned over. Much like one of the cars at Renton, one employee says, “you’ve got to take it out for a spin”.
AIB agrees to life and pensions joint-venture with Canada Life
Allied Irish Banks on Wednesday said it would form a joint venture with Canada life as it seeks to plug gaps in its life, savings and wealth products.
The joint venture will be equally owned by Canada Life, a subsidiary of Great-West Lifeco Inc.
“The move to create this joint venture is aligned with AIB’s stated ambition to complete its customerproduct suite and diversify income,” AIB said in a statement.
“Through this strategic initiative AIB intends to offer customers a range of life protection, pensions, savings and investment options enhanced by integrated digital solutions withcontinued access to our qualified financial advisors.”
The Irish lender highlighted Canada Life’s “deep experience” of the Irish bancassurance market through Irish Life Assurance, which is also a subsidiary of Great-West Lifeco.
AIB currently operates under a tied agency distribution agreement with Irish Life, and will enter into a new distribution agreement with the new joint venture company.
Chief Executive Colin Hunt highlighted the need to plug gaps in AIB’s life, savings and wealth products when he set out the bank’s medium-term targets last December.
AIB expects its equity investment in the joint venture will be around 90 million euros ($107.51 million), equating to around 10bps of CET1.($1 = 0.8372 euros)
(Reporting by Graham Fahy;Editing by Elaine Hardcastle)
Interac: Canada’s Latest Payment Solution Phenomenon
Few can argue that digital payment methods aren’t central to modern-day society. In recent times, increasing numbers of payment solutions have come to the forefront, offering consumers more choice regarding their transaction preferences. Canada, in particular, has embraced a wide-ranging selection of secure, forward-thinking options. Of those available throughout the country, Interac has piqued the interests of local consumers the most. So, let’s look at why this payment solution is an especially popular option throughout Canada.
Usable Across Various Markets
It speaks volumes about Interac’s versatility in that it’s usable across a variety of different industries. Since being founded in 1984, the Canadian interbank network has become integral to numerous markets, including local air travel. Air Canada, which has been operating since 1937, has expanded their accepted payment methods, and now passengers can pay for their flights using Interac. According to the airline’s official website, the Interac Online service lets consumers pay for their tickets via the internet directly from their bank account.
Not only that, but Interac is also available at Walmart. In November 2020, the two organizations partnered together to expand in-store and online payment options. Walmart has adapted well to the digital trend, with American Banker reporting that they’ve opened Interac Flash sale points throughout their stores.
Aside from the above, Interac has also taken the digital world by storm. Following its rapid rise to prominence, the solution has also altered the online casino industry, with platforms like Genesis Casino now accepting the transaction type. The provider, which features Interac Canadian casino options, uses the popular payment method to enhance transaction speeds of deposits and withdrawals, as well as security. Players can use Interac Online and Interac e-Transfer to make deposits or withdrawals from their desktops or mobiles as the platform is fully optimized.
A Reflection of Modern-Day Society
In recent times, Interac recorded a 55 percent increase in transactions between April and August 2020 compared to the same period the previous year, as per BNN Bloomberg. These figures somewhat reflect the current state of e-Commerce and modern consumerism. Following the rise of Interac and other payment methods, it’s now less troublesome for consumers to complete in-store and online purchases.
There’s an ever-growing perception that land-based businesses need to adapt within the digital era and accept forward-thinking payment methods. According to Cision, Interac is of utmost importance to the Canadian economy, and a year-on-year increase in Interac Debit payments of 333 percent reflects that. Not only that, but Interac e-Transfer payments are growing at 52 percent each year. This Interac-oriented trend appears unlikely to fade over the coming years, with the network being selected as the country’s provider for a new real-time payment system, as per Lexology.
Consumer Habits are Changing
There can be no doubt that consumerism has changed drastically over the past decade. The popularity of Interac suggests that a cashless future may be on the horizon, with increasing numbers of shoppers enjoying the security of online payment methods. While it’s currently unclear if that will happen, Interac appears to be prevalent for the long run.
Your Education and Certificates Need to Align the Job Requirements
After your professional experience, your education/certifications (verified skills) will be the next section on your resume the reader will use to judge whether you go into the “to be interviewed” pile.
Many job seekers apply to job postings knowing they don’t have the education/certification requirements. They believe their “experience” will compensate. With so many highly qualified job seekers now on the job market this is rarely the case. If your education/certifications align with the job requirements, the education section of your resume will play a critical part in setting you apart from all the “spray and pray” job seekers.
Suppose a job posting for a Director of Finance lists as a qualification “Canadian Accounting Designation (CPA).” You have a university degree and 15 years of experience managing a mid-size company’s finances, but no CPA—don’t bother applying. Job postings generate an influx of applicants. Undoubtedly there’ll be many applicants who possess a CPA applying. There’s also the employer’s ATS to consider, which likely has been programmed to scan for “CPA.”
Education background information you should provide:
- Degree/certification obtained
- School’s name
- Location of school
- Period of attendance
- Relevant coursework
- Honors, academic recognition, extracurricular activities, or organizations participation worth mentioning
When it comes to presenting your educational background keep your ego in check. You may have impressive education background; however, it may not be impressive for the job you’re vying for. Prioritize relevancy over perceived prestige.
Here’s my suggestion how to present your education/certificates (there’s no hard formatting rule):
BS Biomedical Science
University of Calgary, Calgary, AB — 09/1992 – 06/1996
- Principles of Human Genetics
- Organismal Biology
- Principles and Mechanisms of Pharmacology
- Advanced Bioinformatics
Ryerson University Continuing Education, Toronto, ON — 10/2001 – 04/2003
- Planning and Scheduling
- Leadership in Project Management
- Project Cost and Procurement Management
- Project Risk and Quality Management
As I’ve pointed out in previous columns— there’s no universal hiring methodology. No two hiring managers assess candidates the same way. Depending on the job requirements respective employers search for different things when it comes to a candidate’s education. Read the qualifications in the job posting carefully. Then present your education/credentials accordingly. Don’t hesitate to add/remove courses to better tie in your education towards the job. It’s for this reason I suggest you list courses, not just your degree/certification. Listing of courses is rarely done, doing so will give your resume a competitive advantage.
You’ll have noticed my examples indicated start and end dates. Many “career experts” advise against this. The thinking being dates, even just the graduation year, will give employer’s a sense of your age, which if your over 45 can hinder and prolong your job search. This advice is supposed to be a workaround to ageism. However, these same “career experts” unanimously agree employment dates (month/year) need to be indicated. To me, this is a mixed message.
I believe in complete transparency from both sides of the hiring process. Full transparency ensures the likelihood of there being a solid fit for both parties. At some point, whether when the employer checks your digital footprint or interviews you, your interviewer will have a good indication of your age. Besides, not mentioning dates, which I call “obvious” information, is a red flag.
If your age is a deal-breaker with an employer, they aren’t the employer for you. The job search advice I give most often: Seek employers who’ll most likely accept you, where you’ll feel you belong—look for your tribe.
Some professions, such as finance or healthcare, require specific certifications or degrees. In such cases, show you have the necessary “must-have” (a deal-breaker if you don’t) credentials by placing your education at the top of the page just below your contact information before your professional experience.
One last note: Often overlooked is education in progress. If relevant, this should be included in your resume. In this case, list pertinent courses and the month/year you intend to graduate.
Using suggestions in this and previous columns you are now able to create a resume that “WOWs.” Next week, I’m going to begin discussing cover letters. Yes, many hiring managers, like myself, do read cover letters, which have one purpose—to give the reader a reason to read your resume.
Nick Kossovan, a well-seasoned veteran of the corporate landscape, offers advice on searching for a job. You can send him your questions at email@example.com.
Latest worldwide spread of the coronavirus
Canada’s M&A boom fuels hiring spree, higher pay
Sinclair to lead Canadian women’s team in her fourth Olympics
Silver investment demand jumped 12% in 2019
Europe kicks off vaccination programs | All media content | DW | 27.12.2020 – Deutsche Welle
Iran anticipates renewed protests amid social media shutdown
Business17 hours ago
Self-driving truck tech firm Embark to go public via $5.2 billion SPAC deal
Business16 hours ago
Your Education and Certificates Need to Align the Job Requirements
Economy16 hours ago
Canadian retail sales slide in April, May as COVID-19 shutdown bites
Business17 hours ago
4 Simple Reasons Why Doing Business With the Right Safety Equipment Supplier Matters
News15 hours ago
Canada Energy Regulator allows resumption of Trans Mountain oil project
Economy16 hours ago
Canadian dollar notches a 6-day high
Business14 hours ago
Interac: Canada’s Latest Payment Solution Phenomenon
News17 hours ago
Senate vote opens way for single event betting