Spirit AeroSystems, Inc. started its existence with the sale of Boeing Commercial Airplanes to investment firm Onex. Providing a tier essential parts for aircraft, the company has built a strong management policy to govern such a huge corporation. The board of directors is a main key governance instrument of the company. Spirit AeroSystems, Inc. has a chairman of the Board and president. Another person may be appointed as a director, president and Chief Executive Officer to perform the main responsibilities that a director has. Since 2013, this position is held by Larry A. Lawson. There is also an independent director that play a role in Spirit AeroSystems, Inc. management, so-called advisor. These non-executive directors can be referred to as external directors. Ms. Irene Esteves became a director of the Spirit AeroSystems on May 8, 2015. Formerly, she was Chief Financial Officer, an Executive Vice President and Chief Financial Officer of XL Group plc from May 2010 to June 2011. Prior to that position, Ms. Esteves was Senior Vice President and Chief Financial Officer of Regions Financial Corporation. Usually, an independent directors focus on board matters and provide independent view of the company to its board directors ("Spirit AeroSystems Holdings Inc Board of Directors", 2016).
The next level under board directors of the company includes key executives. Sanjay Kapoor is a Senior Vice President and Chief Financial officer since 2013; Thomas C. Gentile is an Executive Vice President and Chief Operating Officer of the Company and Spirit since 2016, and the third Senior Vice President is Duane Hawkins who manages operations. All three of them form the executive management team. The vice presidents report directly to the chairman of the Board of the company. Each of them is responsible for specific business divisions: Finance, Security, and Operations ("Leadership - Spirit AeroSystems", 2016).
Operational management includes all activities related to the conversion of materials, information; it is connected to the production process and includes business development management, administration. The last chain of the link in operational management is customers. Therefore, this department carries many functions, liable for business sustainability, marketing strategies, and its sales goals. Basic operations management functions in Spirit AeroSystems, Inc. include calculation and allocation of production facilities and premises; the design of aero parts, logistics, mainly material delivery schedules, determining the level of centralization of activities and manufacturing process time management.
Financial management seeks to control the movement of financial resources and financial relations that occur between business entities in the process of movement of financial resources. Thus, financial management also includes strategy and control tactics. Under the strategy, in case with Spirit AeroSystems Inc., it refers to the general direction and method of fund use to achieve the goals. This is a process corresponds to a specific set of rules and restrictions for the decision. Therefore, financial department of Spirit AeroSystems, Inc. is in charge not only of finance management but also it closely collaborates with operation and security department. It should coincide with the developed strategy and implementation of operational strategies of the operational department while operational department should stick to its annual budget plan.
Security department comprises risk management that in turn implies a process of adoption and implementation of management decisions aimed at reducing the likelihood of an unfavorable outcome and minimizes potential project losses caused by its implementation. While there is a close cooperation between financial and operation divisions, security department is in charge of controlling the operation processes and make sure it is legal, ethical, environmentally friendly.
References
Leadership - Spirit AeroSystems. (2016). Spirit AeroSystems. Retrieved 21 June 2016, from http://www.spiritaero.com/about-spirit/leadership/
Spirit AeroSystems Holdings Inc Board of Directors. (2016). Insiders.morningstar.com. Retrieved 21 June 2016, from http://insiders.morningstar.com/trading/board-of-directors.action?t=SPR®ion=usa&culture=en-US
