- Push-out Score determined
- After about four and a half years in the position
- Dave Calhoun taking over
(exechange) — Chicago, Illinois, December 23, 2019 — Dennis Muilenburg, chief executive of Boeing, leaves. As announced by Boeing Co. in a news release on Monday, December 23, 2019, Dennis A. Muilenburg leaves his post as Chief Executive Officer at the aerospace company after about four and a half years in the role, effective immediately.
Among the 3,000 largest publicly held companies incorporated in the U.S. based on market capitalization, the average tenure of the CEOs who announced their departure over the past 12 months was 7.6 years, according to data compiled by exechange.
Dennis Muilenburg’s duties as CEO will be taken over by David L. (Dave) Calhoun, most recently Chairman of Boeing Co.
“To restore confidence”
Dennis Muilenburg’s departure from the CEO post is explained as follows. Boeing said: “The Board of Directors decided that a change in leadership was necessary to restore confidence in the Company moving forward as it works to repair relationships with regulators, customers, and all other stakeholders. Under the Company’s new leadership, Boeing will operate with a renewed commitment to full transparency, including effective and proactive communication with the FAA, other global regulators and its customers.”
Precise information regarding Dennis Muilenburg’s future plans was not immediately available.
“Resigned”
Boeing said: “The Company also announced that Dennis A. Muilenburg has resigned from his positions as Chief Executive Officer and Board director effective immediately. Boeing Chief Financial Officer Greg Smith will serve as interim CEO during the brief transition period, while Mr. Calhoun exits his non-Boeing commitments.”
Share price decline
The announcement follows a decline in Boeing Co.’s share price of 26% since March 2019.
In the position of CEO since 2015
Dennis Muilenburg became CEO of the Company in 2015.
Dennis Muilenburg was president and chief executive officer of The Boeing Company.
He served as a director of the Boeing board since 2015.
Muilenburg oversaw the strategic direction of the Chicago-based, $101.1 billion aerospace company.
With roughly 150,000 employees across the United States and in more than 65 countries, Boeing is the world’s largest aerospace company and top U.S. exporter.
It is the leading manufacturer of commercial airplanes, military aircraft, and space and security systems, and a provider of global services; it supports airlines and U.S. and allied government customers in more than 150 nations.
Muilenburg became chief executive officer in July 2015 and president in December 2013.
He served as chairman of the board from March 2016 to October 2019.
Until July 2015, Muilenburg served as vice chairman, president and chief operating officer of Boeing, where he supported the company’s aerospace business operations and focused on specific growth enablers, including important global relationships, leadership initiatives and development program performance.
Before that, Muilenburg served as president and chief executive officer of Boeing Defense, Space & Security (BDS).
Earlier, Muilenburg was president of BDS’s Global Services & Support business, vice president and general manager of the Boeing Combat Systems division, and program manager for Future Combat Systems.
Prior to that, he served as vice president of Programs & Engineering for Boeing Air Traffic Management and director of Weapon Systems for the proposed Boeing Joint Strike Fighter aircraft.
He also held program management and engineering positions on F-22, Airborne Laser, High Speed Civil Transport and the Condor reconnaissance aircraft, among others.
Muilenburg, who joined Boeing in 1985, spent the first 15 years of his career in the Puget Sound region of Washington, where he held a number of program management and engineering positions in support of both the commercial airplanes and defense businesses.
Muilenburg is a member of the board of directors of Caterpillar Inc., the U.S.-China Business Council, the Congressional Medal of Honor Foundation, Northwestern University and FIRST (For Inspiration and Recognition of Science & Technology).
He is past chairman of the Aerospace Industries Association (AIA) board of governors and a current AIA executive committee member.
He is a board of directors member of Business Roundtable, an association of chief executive officers of leading U.S. companies.
Appointed by the administrator of the National Aeronautics and Space Administration, he serves on the National Space Council’s Users Advisory Group.
He also serves on the board of trustees for the National World War II Museum.
He is an honorary fellow of the American Institute of Aeronautics and Astronautics (AIAA), a fellow of the Royal Aeronautical Society and a member of the National Academy of Engineering (NAE).
A native of Iowa, Muilenburg holds a bachelor’s degree in aerospace engineering and an honorary doctor of science degree from Iowa State University as well as a master’s degree in aeronautics and astronautics from the University of Washington.
Push-out Score determined
The Push-out Score™ determined by exechange gauges the pressure surrounding the management change on a scale of 0 to 10.
exechange reached out to Boeing and offered the company the opportunity to comment on the score.
Read the full story in the exechange report 52.2019 ($).