OUR SERVICES
Airport Performance Improvement (API)
Successful airports are ultimately dependent on all stakeholders working collaboratively and effectively together to deliver top level performance continuously and consistently throughout each and every day. Everyone must be committed to a credible programme of continuous improvement.
To improve operational performance and profit VTM Aviation has developed an innovative collaborative process designed specifically for airports, called Airport Performance Improvement (API). API has proved to be a powerful catalyst to promote the engagement of all airport stakeholders and deliver both profit and customer service improvements.
For further information: Brochure (PDF)
Airport operational improvement
VTM Aviation has developed strong experience in detailed analysis of airport passenger and baggage and cargo activities, having contributed to the improvement of processes and supported the implementation of operational process changes at many airports. Our experience covers airport and ground handling management teams.
With the constant growth and development of all airport activities, identifying, measuring and monitoring the various interlinked processes becomes a major need not only for airport managers but also for all other stakeholders operating together at airports. Adequate and detailed process/ and sub-process analysis provides real knowledge of all activities and allows for effective intervention to achieve continuous service quality improvement. Furthermore the effective presentation of performance improvements can be highly valuable in the developmenting ofof airport marketing initiatives.
Demand and revenue forecasts
Today’s airport, airport managers and investors increasingly acknowledge that a thorough understanding of the economics of airports is essential to any decision making. Accurate forecasts of aircraft, passengers and freight movements are an important input to forecast aviation and non-aviation revenues of airports and also to plan infrastructure investments and operations.
VTM Aviation has experience in advising private sector investors on major and regional airport business development models and airport master plans, providing additional support with independent demand and revenue forecasts.
Surface Access
The economic value of efficient and well designed surface access to airports is of major importance to airports as they continue to develop into business hubs. Good land side accessibility to airports is essential for passengers, ‘meeters and greeters’, business visitors, airport workers, suppliers and cargo deliveries.
Integration with urban/regional public transport systems, with longer distance rail services and road networks (especially trunk roads and motorways) is also important to airport attractiveness for both airlines and the general public.
VTM Aviation has considerable experience in the complex aspects of integrating airport road and rail systems into major city and national networks.
Air cargo and logistics
As consumer habits evolve (due to much faster and more widespread communication) logistics has become critical in business differentiation and economic competitiveness, where in a globalised world, industry faces rapid major changes in the location of production and distribution of its products. Air cargo continues to be a fast growing segment in aviation across the world. Strong GDP growth of emerging markets and developing countries and just-in-time inventory requirements have boosted the demand for long distance transport of high value goods. Airports and airlines have recognized the value of this segment and have as a consequence been adapting their business models to match this challenge.
VTM Aviation has the experience of supporting industry players in the design of business models, organizational change and resource allocations to meet these opportunities.
Route development
VTM Aviation has the know-how to support route development for airlines and to develop business cases in support of airport negotiations with airlines. Route development is a critical factor for both airlines and airports and has led to an increasing choice of destinations especially for low cost airlines operating from major bases such as Gatwick, Stansted and Luton in the UK and from Paris Charles de Gaulle and Orly in France.
Full service airlines continue to add destinations at the major European hubs of Amsterdam, Paris CDG and Frankfurt. Munich is also becoming a significant longhaul hub in Germany with Lufthansa operating new routes every season.
VTM Aviation’s people have practical professional experience of route development and are able to apply this knowledge to assist airlines and airports to develop their route network.
General aviation and business aviation
General and business aviation are important business sectors especially at smaller airports. General aviation tends to be highly price sensitive while for business aviation quality and especially convenience are of key importance. Small airports are frequently able to offer much more convenience than large airports with standards of close proximity car parking and quick access airside-landside which are impossible at the large hub airports. However the problem for the small airport, depending on location, is that income from these sectors is subject to intermittent demand and it is difficult to ensure sufficient continuity to cover full operating and other costs. For small and medium sized airports wishing to exploit these sectors considerable attention needs to be paid to ensuring that the airport is highly attractive to these segments and that marketing of the airport is carried out appropriately and effectively. VTM Aviation is able to offer practical advice to airports in this area.
The economic impact of business aviation in Europe is estimated to be close to €30 billion per year, sufficient to justify the investment in significant analysis in the development of dedicated infrastructure and operational solutions.
The market perceives flexibility and convenience, time savings, cost savings, and, in certain regions, safety and security as being the main decision factors in making business aviation the choice for travel.
VTM Aviation has a thorough understanding of these aspects and has the practical experience of working together both with airports and aircraft operators to ensure successful results for all parties.
Transaction support
In an increasingly competitive business environment, it is vital for investors to be confident that they fully understand the market, operational and management strengths - and weaknesses - in the assets or projects in which they plan to invest. This allows investors to protect themselves against economic and operational risks which, in the case of the air transport sector, include those related to regulation, traffic volume, pricing policies, the financial situation of companies and their organisational models. For sellers it is important that the sales price appropriately reflects the development potential and ensures that they achieve maximum value for the disposal of any airport assets.
VTM Aviation has the experience to support transactions in the aviation industry namely:
- Airport privatization and Public Private Partnerships
- Concessions for airport operations
- Investment in airport expansion
- Negotiation between airports and airlines on the set up of compensation packages for new route developments
Air Traffic Management
Air traffic management in Europe is facing considerable change. National air navigation service providers (ANSP) are being encouraged to collaborate with their neighbours to form functional airspace blocks (FAB) and, at the same time, a new approach to air traffic management is being developed within the Single European Sky ATM Research (SESAR) programme, sponsored by the European Commission, EUROCONTROL and industrial partners. SESAR aims to enable a 3-fold increase in capacity which will reduce delays, both on the ground and in the air. It also aims to improve the safety performance by a factor of 10, enable a 10% reduction in the effects flights have on the environment and provide ATM services at a cost to the airspace users which is 50% lower than at present. These ambitious changes are planned to be implemented in three stages running to 2020.
Our consultants have extensive experience with air navigation service providers, regulatory bodies and key European agencies such as EUROCONTROL and EUROCAE. Their ATM knowledge and experience covers ATM operations, safety regulation, airspace design, ATM infrastructure and training.
Business and Financial Management in ATM
Air navigation service providers (ANSP) are under increasing pressure to improve their efficiency and reduce unit costs, particularly as a result of the new performance regime being implemented by the European Commission. At the same time, they need to invest in new technologies to be able to handle the growing volumes of traffic in their airspace. As a consequence, they have to be able to demonstrate the quality of their investment plans to regulators and potential investors.
In addition, proposals have been mooted for the increasing commercialisation of ATM. In the UK NATS is already part privatised and other ANSP have been considered for privatisation.
Our consultants have considerable experience in the preparation of business plans for the air traffic control bodies of European states, assisting them with fund raising and carrying out cost benefit studies for the development of new air traffic control centres and communications, surveillance and navigation systems. They also developed the first financial incentive scheme to promote more rapid avionics equipage by the airlines.
As a key element of the Single European Sky policy, the European Commission is developing a series of Implementing Rules which will be legally binding on service providers and aircraft operators. Our consultants have prepared the economic impact analyses for a large number of these Rules and supported their successful progress through the consultative process.
