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DOT IG Audit: FAA Oversight of Boeing Issues ‘Not Effective’
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Agency's weaknesses exposed in report on how it handled Boeing 737/787 production issues
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The FAA’s focused efforts to resolve Boeing production issues and address allegations of undue pressure were hampered by ineffective oversight, the DOT IG said.
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The FAA’s focused efforts over the last year to resolve Boeing 737 and 787 production issues and address allegations of undue pressure in the production environment are “not effective” because of weaknesses in the agency’s “oversight processes and systems,” according to a recently released DOT Inspector General audit.

Specifically, the audit determined that the FAA’s oversight of Boeing manufacturing and production does not use “data-driven assessments to target” audits and the agency has not structured its audits to perform comprehensive assessments. In addition, the audit said the agency has not adequately ensured that Boeing and its suppliers can produce parts that conform to approved designs, nor does the FAA require its inspectors to review “first article inspections” that are intended to ensure a manufacturer’s processes can produce parts that meet requirements.

Further, the FAA’s compliance system cannot track milestones or determine whether potential repetitive non-compliances have occurred, nor has the agency assessed the effectiveness of Boeing’s safety management system. Finally, the agency has not established criteria to return delegated authority to Boeing’s organization designation authorization (ODA).

Regarding allegations of undue pressure, the IG report concluded that the agency has not enforced requirements that Boeing provide information in sufficient detail. Additionally, changes to the FAA’s review process have delayed its ability to resolve allegations of undue pressure reported by Boeing. Agency managers also did not know about the investigations of ongoing undue pressure allegations when they initiated a request to expand the authorized functions of Boeing’s ODA.

The IG submitted 16 recommendations to the FAA, and the agency concurred with all of them with proposed actions and completion dates. “We consider all recommendations as resolved but open pending completion of the planned actions,” the IG concluded.

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Newsletter Headline
DOT IG: FAA Oversight of Boeing Issues ‘Not Effective’
Newsletter Body

The FAA’s focused efforts over the last year to resolve Boeing 737 and 787 production issues and address allegations of undue pressure in the production environment are “not effective” because of weaknesses in the agency’s “oversight processes and systems,” according to a recently released DOT Inspector General audit.

Specifically, the audit determined that the FAA’s oversight of Boeing manufacturing and production does not use “data-driven assessments to target” audits and the agency has not structured its audits to perform comprehensive assessments. In addition, the audit said the agency has not adequately ensured that Boeing and its suppliers can produce parts that conform to approved designs, nor does the FAA require its inspectors to review “first article inspections” that are intended to ensure a manufacturer’s processes can produce parts that meet requirements.

Further, the FAA’s compliance system cannot track milestones or determine whether potential repetitive non-compliances have occurred, nor has the agency assessed the effectiveness of Boeing’s safety management system. Finally, the agency has not established criteria to return delegated authority to Boeing’s organization designation authorization (ODA).

The IG submitted 16 recommendations to the FAA, and the agency concurred with all of them with proposed actions and completion dates. “We consider all recommendations as resolved but open pending completion of the planned actions,” the IG concluded.

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