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Boeing and ESG: An Examination of ESG Practices in the Aerospace Sector

By: Abir Hbibi | August 28, 2024

Boeing and ESG: An Examination of ESG Practices in the Aerospace Sector
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The aerospace and defense industry is essential to global technology and transportation, playing a crucial role in maintaining international security and connectivity. However, this sector faces intense scrutiny due to its significant impact on environmental, social, and governance (ESG) factors. Amidst challenges like safety lapses and whistleblower revelations, stakeholders are increasingly relying on advanced AI technologies to gain insights into potential controversies. Such technologies have enabled a deeper understanding of the complex ESG issues that permeate the industry, revealing not only the specific challenges faced by companies like Boeing but also providing a broader view of the sector's commitment to corporate responsibility and sustainability.
This article explores the aerospace industry and its ESG challenges, backed up by a case study of industry giant Boeing. It also explains how we used SESAMm’s AI-powered tools to detect these controversies beforehand.

This article is a preview of the webinar entitled "The Boeing Scandal: Can AI Predict Controversies Before Traditional Tools?" based on SESAMm's proprietary research. Sylvain Forté, CEO and Cofounder, and Emna Abid, Research and Analytics Team Lead at SESAMm, will lead the webinar and will share SESAMm's findings in detail on the Boeing case and the use of AI to detect these types of controversies ahead of time.

Register for the webinar on Boeing's early warning signs

Aerospace and Defense Market Mentions

The top market players in the aerospace and defense industry command 8.3% of the overall market's online mentions. This sector is increasingly scrutinized for its ESG practices amidst technological advancements and global policy shifts.

 

Overview

Competitive Data ShareOur study processed our large data lake to identify key aerospace players: Northrop Grumman, Lockheed Martin, General Dynamics, Airbus, and Boeing, from 2015 onwards. It found a surge in online mentions, especially after Boeing's plane crashes post-2018. Both Airbus and Boeing saw increased attention, highlighting the competitive and evolving aerospace industry, where online presence correlates with market position shifts and significant events.

 

 

Sentiment Analysis Over TimePolarity, indicating a company's mix of positive and negative opinions, ranges from -1 to 1. A zero score shows equal positive and negative sentiment. Brands with high e-reputation often score above 0.5.
The aerospace market experiences significant highs and lows. Lockheed Martin has seen a positive impact from new contracts and technological advancements, particularly between 2016 and 2018, boosting its reputation and value. In contrast, Boeing faces significant challenges due to safety lapses, including 737 MAX crashes, legal issues, and whistleblower claims, negatively affecting its perception and highlighting the industry's vulnerability to reputational risks.

Deep Dive: Boeing

The aerospace industry has faced increasing scrutiny over its ESG practices. Among the key players, the American aerospace company Boeing has been prominently featured in media discussions, not only due to its market distinction but also because of its ESG challenges that have sparked significant controversy.

Boeing Word Cloud

The word cloud displays key topics about Boeing, particularly the 737 Max controversies, including safety issues and FAA oversight. "737 Max," "Boeing," "safety," "death," and "FAA" are the main terms that show their prominence in discussions. The visualization also touches on "lawsuits," "Senate hearings," and "missed inspections," indicating the wide range of concerns surrounding Boeing's regulatory, safety, and ethical challenges.

Conclusion

These incidents underscore the aerospace industry's urgent need for reforms to prioritize safety and ethics over profit. SESAMm's TextReveal® platform plays a key role in detecting such ESG controversies early by analyzing vast amounts of data and helping stakeholders understand and address the intricacies of corporate accountability and regulatory compliance.

Register for the webinar on Boeing's early warning signs


Reach out to SESAMm

TextReveal’s web data analysis of over five million public and private companies is essential for keeping tabs on ESG investment risks. To learn more about how you can analyze web data or to request a demo, reach out to one of our representatives.