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Boeing announces leadership change amid financial challenges

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Boeing announces leadership change amid financial challenges
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Simple Flying | Simple Flying

The head of Boeing Defense's fighter jet division, Steve Nordlund, is set to retire after two years in the role. His position as vice president and general manager of Boeing Defense, Space and Security's Air Dominance division will be filled by Dan Gillian, who currently serves as vice president and general manager of Mobility, Surveillance & Bombers.

Nordlund has been with Boeing for over 15 years. He joined the company in 2009 as director of unmanned systems business development. Before that, he spent more than seven years at Insitu, a US-based unmanned aerial systems developer acquired by Boeing in 2008. Nordlund eventually became vice president of strategy at BDS and was general manager of Phantom Works before leading the Air Dominance division.

Nordlund's leadership came after a major reorganization within Boeing's defense unit in late 2022, which consolidated eight divisions into four: Vertical Lift, Mobility, Surveillance & Bombers, Air Dominance, and Space, Intelligence & Weapon Systems. The Air Dominance division oversees programs like the F/A-18, F-15, T-7, MQ-25 and MQ-28.

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Boeing is expanding its operations with a $1.8 billion project at its St Louis County facility called the 'Advanced Combat Air Facility,' covering 1.1 million square feet under Phantom Works management. The company is yet to appoint a new full-time head following Ted Colbert's departure in September; Steve Parker is serving as interim chief operating officer for BDS.

Dan Gillian will succeed Nordlund after almost 25 years with Boeing. He has previously worked as program manager for the F/A-18 and EA-18 programs and served as vice president of US Government Services. Jamie Burgess will replace Gillian in his current role.

Boeing faces financial challenges with losses totaling $2.3 billion in the third quarter due to fixed-cost contracts like the KC-46A Tanker and T-7 Red Hawk programs. Overall company losses reached $5.8 billion last quarter, prompting plans to reduce its workforce by around 10%. Recently appointed CEO Kelly Ortberg suggested potential divestment from Boeing's space interests for better focus on core areas.

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