Human Resource Management Policies for Boeing Corporation

Human Resource Management Policies for Boeing Corporation


In today’s highly competitive markets, Human Resource is faced withthe challenge of attracting and retaining the next-generationworkforce. Boeing, the world’s largest aerospace company with over330, 000 employees across 28 countries, is facing the same challenge.According to Arkell (2007), in about five years to come, 37% ofBoeing’s workforce will be eligible for retirement. However, thecompany’s human resources have come up with several strategies toovercome this challenge. The company’s human resources departmentaims to make Boeing stand out from the rest of the competitors in themarket and make it the most preferred employer by potentialemployees. The goal of the life sustaining activities and servicesthat Boeing’s HR is offering is to reinforce the company’spracticability and competitiveness through enhanced growth andefficiency. The company aims to create an atmosphere that supports adiverse, comprehensive and loyal workforce.

One of the strategies used by Boeing’s HR to support the health ofits employees is an online survey to monitor the health risks of itsemployees. The company contracts Mayo clinic to carry out the studyand give advice to the employees and their spouses or partners onhealthy living and how to address various health risks. According toArkell, healthy personnel lead more productive lives and in the longrun, the strategy helps Boeing in cutting down medical costs (2007).Boeing`s goal is to provide an environment that supports the healthof its employees attract and retain employees in an extremelycompetitive market. Many of the organizations have not realized theimportance of such activities, and this explains the reason as to whyemployees keep on hopping from one organization to another. Thenext-generation workforce requires an employer who engages andsupports them in all aspects of life.

Another HR policy for Boeing Corporation is an online Pay and BenefitProfile. The profile that is in electronic format gives an overviewof all the benefits offered by the employer to the employees andtheir families. According to Arkell, the profile is an efficientstrategy for retaining employees (2007). Through the electronicplatform, the employee can assess the full worth of their salariesand the benefits package offered by the employer, and hence makeknowledgeable decisions. For instance, an employee may decline a joboffer by a competitor offering a better salary, based on the factthat the competitor offers fewer benefits compared to Boeing.

In his article, Chebium points out that Boeing gives a good exampleof a company benefits leadership training programs cutting acrossmany cultures (2015). Through leadership development programs, acompany creates strong leadership necessary for driving employeeengagement. Boeing has realized the importance of such a strategy andinvests in internal and external trainers and a variety of approachesand tools for leadership training. The goal of this approach is tocreate leaders that are competent across many cultures henceeffectively manage a culturally diverse workforce. According toChebium (2007), strong leadership is linked to higher employeecommitment, greater employee retention, and good performance.

Gaming Technology is another tool that Boeing is utilizing to engageits employees and change their behavior. According to Robert (2014),gaming technology is a strategy used by many successful companies increating fun for their employees, engaging them and changing theirbehavior. Robert points out that gamification has proved to be aneffective HR strategy and among the most recent latest trends butstill many organizations have not implemented it. Boeing is one ofthe companies that is already benefiting from gaming technology.Robert explains that at Boeing Corporate games are used to teachagile software development. Three of the IT specialists in BoeingCompany use a training program based on a football game. The trainingprogram with a theme of a football game was launched in the year 2009and today, Boeing is reaping significant benefits from it. Apart fromagile software development, the program has enhanced employeeparticipation, engagement, and teamwork.

According to Bersin (2015), the increased competition in theavailable markets has forced employers to build organizations thatengage workers to enhance their creativity and productivity. One ofthe strategies that Boeing uses to increase commitment and employeeretention is pay increases and rewards (Arkell, 2014). Boeing has aprogram for salary review based on annual performance. The employeesreceive pay increases and bonuses depending on their performance. Theunderperforming employees are enrolled in programs to encourage andenhance their performance. The pay increase and reward system makework meaningful, and employees remain committed towards betterperformance. According to Arkell, this strategy has not only helpedBoeing achieve good performance but has increased employee retentionand loyalty.

Boeing HR has strategies to reduce cost and at the same time improvecustomer support. One of these strategies is an employee survey thatis carried out throughout the company to assess employee engagement.This approach enables Boeing to establish and retain diverse andsatisfied employees (Bersin, 2015). Boeing utilizes a DependentEligibility Verification program to cut health costs. According toArkell (2014), the program guarantees that the company`s healthbenefits plan only covers only qualified dependents. Therefore, theprogram enables the company’s resources are used appropriately.


Arkell D. (2007). Bringing it all together: Boeing Human Resourcesbalances ‘high tech’ with ‘high touch. Boeing Frontiers.Retrieved from: [Accessed on 26th September 2015]

Bersin (2015). Becoming irresistible: A new model for employeeengagement. Deloitte Review Issue 16. Retrieved from: engagement-strategies/[Accessed on 26th September 2015]

Chebium R. (2015). How to Create an Effective Cross-Cultural TrainingProgram. Society For Human Resource Management, Vol 60:1.Retrieved from: es/010215-cross-cultural-training.aspx [Accessed on 26th September 2015]

Robert B. (2014). Gamification: Win, Lose or Draw for HR? SocietyFor Human Resource Management, Vol 59:9. Retrieved from: [Accessed on 26th September 2015]