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QUESTION

Which financial metrics are "innovation killers"?

  1. Which financial metrics are "innovation killers"? For each of the metrics the authors claim kill innovation, briefly describe what the metric is, what it is used for, and why the authors believe misapplying it leads to the wrong decisions.
  2. Why does Boeing choose to modularize the design and manufacture of its aircraft? What benefits has Boeing enjoyed as a result of its choice to modularize? What potential downsides so do you see, if any, for Boeing of the decision to modularize design and manufacturing for?
  3. Briefly summarize the situation Boeing faces in the case. Why is Boeing considering selling the Wichita division?
  4. What should Boeing do? Please provide a compelling argument to support your answer. 
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