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Boeing Names Kelly Ortberg as Its Chief Executive | The New York Times



Boeing’s board named the plane maker’s next chief executive on Wednesday, putting Robert K. Ortberg, a veteran of the aerospace industry, in charge as the company tries to recover from a crisis prompted by a panel blowing away from a 737 Max plane in January.

 

Mr. Ortberg, known as Kelly, will inherit a long list of difficult tasks. He will have to oversee sweeping cultural changes, complete the acquisition of an important suppliers, shore up Boeing’s supply chain as it tries to increase production and develop its next generation of planes. His appointment takes effect on Aug. 8.

 

Mr. Ortberg, 64, brings decades of industry experience and an outsider’s perspective to the role. He is a former chief executive of Rockwell Collins, which made electronic systems and other technology for aircraft, including those made by Boeing. Speculation about the airplane manufacturer’s next chief executive had focused on other candidates for months, but Mr. Ortberg’s name entered the public discussion this week after The Air Current reported that he was being considered.

 

A mechanical engineer, Mr. Ortberg began his career at Texas Instruments in 1983. He joined Rockwell in 1987, quickly rising through the ranks, overseeing development programs for the Boeing 787 and Airbus A350 planes, and eventually becoming chief executive in 2013. He remained in that position until late 2018 when Rockwell was acquired by United Technologies. He retained a senior role at the new company until it merged with Raytheon in early 2020 and became RTX. Mr. Ortberg retired from RTX in 2021.

 

“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,” Steven Mollenkopf, the Boeing board chairman, said in a statement. “We look forward to working with him as he leads Boeing through this consequential period in its long history.”

 

Boeing’s board had been searching for a new chief executive since March, when Dave Calhoun announced plans to step down. Mr. Calhoun, a member of Boeing’s board since 2009, became chief executive in 2020 to steer the company through crisis after two fatal crashes in which 346 people died.

 

The crashes, in Indonesia and Ethiopia, involved the 737 Max 8 jet. After the second accident, regulators banned the plane worldwide for almost two years. The Max started flying passengers again in late 2020 and enjoyed a few relatively uneventful years. But, in January, a panel blew off a 737 Max 9 plane operated by Alaska Airlines, sparking a new crisis and raising concern about the quality of Boeing planes.

 

The company has made a raft of changes in recent months, including adding more internal inspections, increasing scrutiny of suppliers, expanding training for new hires and simplifying processes and procedures.

 

This month, Boeing agreed to plead guilty to a federal felony charge that stems from the Max 8 crashes in a deal with the Justice Department that will result in appointment of an independent compliance monitor at the company.


By Niraj Chokshi

July 31, 2024, Updated 8:18 a.m. ET

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