Boeing announced important changes to its leadership on Monday, including the resignation of Dave Calhoun, who had held the position since January 2020, as CEO.
Calhoun, however, will remain Chairman and CEO until December while the company searches for a replacement, a task for new chairman Steve Mollenkopf, who replaces Larry Kellner.
The most immediate change involves Stan Deal, who will retire immediately and step down as CEO of Boeing Commercial Airplanes to be replaced by Stephanie Pope effective March 25.
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“I have been considering for some time, in discussion with our board of directors, the right time for a CEO transition at Boeing. I want to share with you that I have decided this will be my last year as CEO of our great company, and I have notified the board of that decision,” Calhoun said in a message addressed to employees.
CEO’s burnout
Although board changes were expected, Boeing’s announcement on Monday is a reflection of the quality and safety issues facing the commercial aviation division.
Dave Calhoun had taken over from Dennis Muilenburg, CEO who had tried to deny the company’s responsibility in the accidents involving Lion Air’s 737 MAX 8 in 2018 and Ethiopian Airlines in March 2019.
The chief executive was successful in resuming the aircraft’s flights and also in recovering deliveries and sales, however, the Alaska Airlines 737 MAX 9 episode threw all efforts to the ground.
The fall of the door plug due to a probable forgetfulness to attach it to the fuselage was the last straw in persistent problems on the assembly line.
Despite his efforts to try to show transparency and initiatives to remedy flaws, Calhoun no longer enjoyed the respect of some customers, according to Reuters.
The agency said U.S. carrier executives had met with Boeing directors without Calhoun present, an unmistakable sign of the CEO’s burnout.
The company’s shares, which had fallen nearly 25% this year, rose 1.33% on Monday.
