Thursday, 12 December 2024
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Boeing names Kelly Ortberg as new president and CEO

Industry veteran to take helm of aerospace giant on Aug. 8 as company faces legal and safety issues

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A brand-new Boeing 737 MAX 8 arrives at Boeing Field in 2016. (Photo: wilco737 on Flickr)

Boeing has appointed Kelly Ortberg as its new president and chief executive officer, effective August 8, 2024. The aerospace company’s board of directors announced the decision Tuesday, following a months-long search process. This appointment comes at a critical time for Boeing, as the company grapples with ongoing legal and safety challenges.

Ortberg, 64, will succeed Dave Calhoun, who announced his retirement earlier this year after serving as president and CEO since January 2020. Ortberg will also join Boeing’s board of directors.

“Kelly has the right skills and experience to lead Boeing in its next chapter,” said Steven Mollenkopf, chair of the board. “Kelly is an experienced leader who is deeply respected in the aerospace industry, with a well-earned reputation for building strong teams and running complex engineering and manufacturing companies.”

Ortberg brings over 35 years of aerospace leadership to the position. He began his career as an engineer at Texas Instruments in 1983 before joining Rockwell Collins in 1987. He held various leadership roles at Rockwell Collins, eventually becoming its president and CEO in 2013. Ortberg later guided the company’s integration with United Technologies and RTX until his retirement in 2021.

“I’m extremely honored and humbled to join this iconic company,” Ortberg said. “Boeing has a tremendous and rich history as a leader and pioneer in our industry, and I’m committed to working together with the more than 170,000 dedicated employees of the company to continue that tradition, with safety and quality at the forefront.”

Ortberg acknowledged the challenges ahead, stating, “There is much work to be done, and I’m looking forward to getting started.”

Kelly Ortberg (Photo: Boeing)

The leadership change comes as Boeing faces significant hurdles. Just days before the announcement, the company finalized a guilty plea deal with the U.S. Justice Department, agreeing to pay at least $243.6 million for breaching a 2021 agreement related to the 737 MAX crashes. The Justice Department found that Boeing had allowed potentially risky work at its factories and failed to ensure accurate and complete record-keeping.

Additionally, Boeing is still under scrutiny following a January in-flight panel blowout on an Alaska Airlines 737 MAX, which exposed ongoing safety and quality issues. The incident occurred just two days before the expiration of a 2021 agreement that had shielded Boeing from prosecution over the previous fatal crashes.

As part of the recent guilty plea deal, Boeing has agreed to spend at least $455 million over the next three years to boost safety and compliance programs. The company will also be subject to an independent monitor who will oversee compliance and file public annual progress reports.

Ortberg’s appointment signifies Boeing’s commitment to addressing these challenges head-on. His extensive experience in the aerospace industry, coupled with his background in engineering and manufacturing, positions him to tackle the complex issues facing the company.

Boeing, headquartered in Arlington, Virginia, is a leading global aerospace company that develops and manufactures commercial airplanes, defense products, and space systems for customers in more than 150 countries. As Ortberg takes the helm, he will be tasked with rebuilding trust in Boeing’s products and processes while steering the company towards a more stable and secure future.

Written by
Dirk Andrei Salcedo

Dirk is the founder and editor-in-chief of Aviation Updates Philippines (AUP), a platform dedicated to providing the latest news and insights on the aviation industry in the Philippines. With a strong passion for aviation and a background in computer engineering, he manages all aspects of AUP, from website development to content curation.

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