Boeing Co. reorganized leadership in its commercial airplane division as the company cuts costs and slows production of the 747 jumbo jet.
Elizabeth Lund, general manager of the 777 program, will also oversee a combined operation for the 747 and 767 aircraft, Ray Conner, head of the commercial unit, said Tuesday in a memo to employees. The general managers of the 747 and 767 programs will assume new roles reporting to Lund.
“Given the competitive environment we face, it makes sense to realign our leadership in a big-picture way instead of making piecemeal adjustments,” Conner said in the memo. “This new lineup will give airplane programs a more direct link to the leadership team and strengthen ties between the manufacturing and operations parts of the business.”
Conner said last month that the Chicago-based planemaker would slim management and cut jobs in the commercial division amid increased competition from Airbus Group SE. Boeing announced in January that it will trim production of the 747 to six aircraft a year starting in September, the latest in a series of reductions made as the order backlog for the jets has shrunk.
Tuesday’s announcement follows the promotions last week of four executives, including Scott Fancher and Pat Shanahan, who will split the duties previously handled by former Chief Technology Officer John Tracy, who retired. Shanahan’s position as senior vice president of airplane programs won’t be filled, Conner said in the memo.