NEW TERMINAL AND AIRPORT

CONSTRUCTION

The importance of Technology Master

System Integration (MSI)

Ned Macesic

VP Airport Business Development

INDIA AVIATION CONFERENCEHyderabad- 13 March 2014

INDIA AVIATION CONFERENCE | 13 March 2014 | Hyderabad

AGENDA

Presentation • Introduction and Agenda• Balancing the goals of the airport and challenges

of construction• Characteristics of a successful MSI• Summary/Conclusion

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INDIA AVIATION CONFERENCE | 13 March 2014 | Hyderabad

Passenger growth and airport capacityAirport infrastructure is no longer fit for purpose

The Forecast:• In the next 10 years pax will increase at higher rate than

physical capacity• Investments in Airport Infrastructure over the next 7-10

years are planned in the order of $500Bn – $750Bn • More than half of the investments are in N. America and

Asia• North America and Europe: High percentage of

investments in improving / expanding existing infrastructure

3

The Challenge• Many airports are managing fairly old infrastructure which

constrains their growth• Demand can only be met by

• Upgrading existing facilities to increase efficiency and throughput (intelligence, automation)

• Building new capacity (new terminals or new airports)

North America

34%

Asia Pacific24%

Europe22%

Middle East17%

LAC2%

Africa1%

Airport Investment by region

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INDIA AVIATION CONFERENCE | 13 March 2014 | Hyderabad4

Minister of State for Civil Aviation K.C. Venugopal

• Build 17 new airports in the 12th Five-Year Plan (2012-17) period. (New Indian Express, 07 August, 2013)

Airports Located at

India New Airport Construction Landscapeand Budget

• Gulbarga, Karnataka• Bijapur, Karnataka• Hassan, Karnataka• Shimoga, Karnataka• Aranmula, Kerala• Kannur in Kerala• Sindhudurg, Maharashtra• Navi Mumbai, Maharashtra• Shirdi, Maharashtra,

• Mopa, Goa, • Darba, Madhya Pradesh, • Karaikal, Pudducherry• Kushinagar, Uttar Pradesh, • Andal-Faridpur, West Bengal, • Itanagar, Arunachal Pradesh, • Kishangarh, Rajasthan • Deoghar in Jharkhand.

TOTAL INVESTMENT: 3.6 Billion USD / 229.05 Billion INR

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INDIA AVIATION CONFERENCE | 13 March 2014 | Hyderabad

Achieving the vision while managing risk

5

Innovation & Technology

Stakeholder Management

Resources Management

Project Risks Management

Striking the balance: Mitigating risk vs. creating

a world class facility.

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INDIA AVIATION CONFERENCE | 13 March 2014 | Hyderabad

An Airport Terminal – The basic premise

• As a result, an Airport Terminal is extremely dependant on IT and Specialist Systems

• At its core, an Airport Terminal is charged with:

• Safe and Secure Throughput of Passengers

• Safe and Secure Throughput of Baggage

• Safe and Secure facilitation of Aircraft Turnaround

• Much Discussion around ASQ, Dwell Time, Non-Aeronautical Revenue, Aerotropolis, etc..

Achieving the vision ...

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INDIA AVIATION CONFERENCE | 13 March 2014 | Hyderabad

…while managing the risk

• Cost containment and budget over-run

• Stakeholder management

• Supplier management and inter-trade coordination

• Schedule management

• Health & safety management

7

Construction management companies – the ever-present challenges they face

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INDIA AVIATION CONFERENCE | 13 March 2014 | Hyderabad

Airport MSI – Technology Integration

8

Airport automation adoption curve – addressing the goals of the modern airport operation

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INDIA AVIATION CONFERENCE | 13 March 2014 | Hyderabad

Airport MSI – Programme IntegrationA Master Level Trade – addressing the challenges of construction

• Divides the complete “Design, Build, and Handover” process into discrete stages that mirror the Master Building Programme

• Utilizes Best Practice for ensuring operational integration to the supplied technology

• Geared to provide Master Level Program and Contract Integration in a construction environment

• Provides business value, reduced risk, and improved performance

Construction Management

Company

Foundation Structural Steel Envelope MEP BHS Finishing Curbs &

Forecourts MSI

Construction Management

Company

Foundation Structural Steel Envelope MEP BHS Finishing Curbs &

Forecourts Ops Tech

Security Tech

PAX Tech

Comms Tech

etc.

A Single Master Trade for all Technology

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INDIA AVIATION CONFERENCE | 13 March 2014 | Hyderabad

Summary/Conclusion

• Traffic growth drives the need more efficient operation and/or for capacity

• Capacity can be improved through smarter technology & processes but eventually through new terminal/airport constructions

• Today’s modern airports are extremely dependant on technology to achieve their operating goals

• The more Trades they have to directly manage, the greater the challenge of the Construction Management Company

• The key is finding the right balance of managing the risk of construction, while achieving the goals with your new terminal investment

• Using a credible Airport MSI partner that provides both technology and programme integration services is essential in striking this balance

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INDIA AVIATION CONFERENCE | 13 March 2014 | Hyderabad

Thank you!

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