What steps should Boeing take to address the cash burn it experienced during the third quarter, according to their preliminary financial report?
To address the cash burn Boeing experienced during the third quarter, as indicated in their preliminary financial report, the company should consider several strategic steps: 1. Cost-Cutting Measures: Boeing should look into reducing operational costs. This could include scaling back non-essential projects, renegotiating supplier contracts, and optimizing workforce management through furloughs, layoffs, or voluntary exit programs, while ensuring critical operations continue. 2. Production Efficiency Improvements: Streamlining production processes and improving supply chain management can help reduce bottlenecks and inefficiencies that may be driving up costs. Addressing delays in aircraft deliveries is crucial to improving cash flow. 3. Reevaluating Capital Expenditures: Boeing could postpone or reassess non-critical capital expenditures (e.g., R&D for future projects) to conserve cash, focusing only on essential investments that are expected to yield returns in the short term...