Boeing Creates New Group

Boeing is consolidating the management of key programs, including the KC-46 aerial refueling tanker and the presidential aircraft, to ensure it stays on schedule and budget, the company said today.

Boeing said the new group, dubbed Boeing Defense, Space Development or BDS Development, is modeled on a similar organization within its commercial airplane business. The new organization will take on six programs to start: tanker, presidential aircraft, CST-100 spacecraft for NASA's Commercial Crew program, NASA's Space Launch System rocket, 502 small satellite effort and BDS work on Boeing's 777x commercial airplane.

Jim O'Neill, formerly president of the BDS global services and support business, will lead the new organization. Leanne Caret, chief financial officer of BDS, will take over as president of the global services and support unit.

Chris Chadwick, chief executive of Boeing's defense business, said in a company announcement that he expects customers to see "step-function improvements in affordability and schedule performance" as a result of the change.