GCAA STRATEGIC PLAN 2011 - 2013 STRATEGIC PLA… · Air Space Capacity 22 ... I hope you find this...

GCAA STRATEGIC PLAN 2011 - 2013

Contents

Message from the Chairman 4 Message from the Director General 6 Forward 8 GCAA Achievements 10 Overview of UAE Aviation Sector 13UAE Macroeconomic and Aviation Sector Overview 14 Globalization and Its Impact on UAE Aviation Sector 19 Global Financial Crisis 20 Aviation Safety and Security 20Challenges 21State Safety Program 22 Air Space Capacity 22 Air Transport Bilateral Agreement 23 Environment 23 New Technologies 23 Staffing and Skill Gap Issues 24 Budgetary Constraints 24Strategy Development 25Strategic Planning Process 26 UAE Government Strategic Priorities and Initiatives 27 Stakeholder Expectations 28 Benchmarking 28 SWOT Analysis 30Vision 31

Mission 32 Values 33 Strategic Objectives 34Objective 1 34 Objective 2 34 Objective 3 35 Objective 4 35 Objective 5 36 Objective 6 36 Objective 7 37 Objective 8 37Par Excellence 40 Way Forward 42

Contents

The General Civil Aviation Authority’s (GCAA) fundamen-

tal mission is to lead the UAE Civil Aviation Sector by

establishing and developing the policies and rules re-

lated to the regulation of air navigational services; rais-

ing safety and security standards. This industry plays a

vital role in the economy and society through tourism,

manufacturing and servicing. In upholding this mission,

the Authority has focused on the future of the industry

at large when deciding how best to promote the national

carriers and has encouraged a healthy competitive en-

vironment of improved standards of safety, security and

services. At a time when major airlines are struggling

with decreasing load factors and increasing costs, the

UAE carriers are expanding their fleets, hiring staff and

increasing flight frequencies.

While many of the legacy carriers are pushed into bank-

ruptcy and cost-cutting initiatives, such as lay-offs, ca-

pacity reduction and cancelling plane deliveries, the UAE

airlines are placing huge orders and looking for new

markets.

I believe that the keys to success in this highly com-

petitive environment are technological innovation and

management reforms. We are leveraging the combined

strength of the UAE aviation sector without favoring or

disfavoring any carrier. Together we will develop inno-

vations aimed at taking the initiative in key areas such

as next- generation technology, environmental sustain-

ability and the highest standards of safety, security and

services. This will be our winning formula.

Eng. Sultan Bin Saeed Al MansooriMinister of Economy Chairman of the GCAA Board

Message from the Chairman

4

GCAA plans to integrate risk management systems and

business practices. Through this world-leading initiative,

the aviation industry in the UAE stands to gain better

safety performance with less regulatory intervention.

These are important steps towards improving safety and

enhancing the public’s confidence in the safety of the

UAE aviation system.

Eight Strategic Objectives have been included in this

plan with outcome-based performance measures for

each Objective. The Authority is using these indicators

to instill a performance-based culture of transparency,

accountability and measurability of the achievement of

its outcomes, resulting in an improved gauge of success

for the realization of overall Strategic Objectives.

I hope you find this Strategic Plan provides a clear un-

derstanding of the GCAA, its mission, mandate, and the

strategic planning process.

Saif Mohammed Al SuwaidiDirector General – UAE General Civil Aviation Au-thority

Message from the Director GeneralI am pleased to present the 2011–2013 Strategic Plan

for the UAE General Civil Aviation Authority (GCAA). This

strategic plan includes the Authority’s Vision for the next

three years, its updated Mission Statement, Strategic

Objectives and associated performance measures for

managing the Authority’s operations.

GCAA has been in the forefront of aviation safety and se-

curity issues, gaining valuable accident investigation ex-

perience and making considerable progress in the area

of Air Navigation Services. Now, with this Strategic Plan

and the process undertaken by the Authority to develop

it, GCAA intends to be in the forefront of best business

practices for long-term planning.

Over the next three years, we will not only continue fo-

cusing on safety, security and the services we provide,

but also improve the internal management of operations

and staff.

6

Forward

7

GCAA’s Strategic Plan was formulated from the outcomes

of gap analysis in three main areas: Regulatory, Sup-

port and Operations. The 2007–2010 Strategic Plan was

focused on developing internal capabilities through the

enhancement of processes and systems. Looking ahead,

GCAA is determined to build on its past achievements

and aims to create an environment that enables the en-

tire civil aviation system to make world-class progress

in the areas of safety, security and environmental sus-

tainability. More specifically, GCAA has set its sights on

becoming a globally recognized leader in civil aviation.

To meet future challenges, GCAA undertook an Over-

all Transformation Program (OTP). Some of the major

achievements of this OTP include a new Strategic Plan, a

Financial Plan, a new organizational structure and devel-

opment of a Project Portfolio Management function. In

recognition of its contribution to the International Civil

Aviation Organization (ICAO), GCAA was overwhelm-

ingly re-elected for the ICAO Council Seat in the 37th

Assembly session in October 2010.

This Strategic Plan has been developed to articulate

GCAA’s direction from 2011 to 2013 and describes how

GCAA will achieve desired results in line with the Strate-

gic Priorities of the UAE. Appropriate Operational Plans

have been drawn to disseminate the Strategic Objectives

into action plans. However, due to the dynamic nature of

this industry, changes and new challenges are expected.

Therefore, these plans will be revised as necessary to

reflect changing priorities and to achieve the most effec-

tive and efficient use of the GCAA’s resources.

Laila Ali Bin HarebDirector - Strategic Planning & Corporate Excellence

8

Our

Acheivments

9

GCAA is proud to have embarked on the road to imple-

mentation of a State Safety Program (SSP). Once fully

implemented, UAE will be among the very few countries

to have established an SSP. The development and imple-

mentation of ROSI (Reporting of Safety Issues) and the

automation of an oversight system through Q-pulse are

two of the system enhancements achieved during the

2007–2010 period. In order to support internal process-

es, the Enterprise Resource Planning system (ERP) has

been successfully implemented. To ensure that GCAA

processes and procedures meet world- class standards,

it has successfully achieved ISO 27001 and ISO 20000

certification for its IT processes and has also started the

journey to design, develop and implement an Integrated

Management System (IMS) through the certification of

ISO 14001 and ISO 18001, expected to be completed in

2011. Internal process enhancements also include the

completion of Administration, Procurement and Finance

Authority matrixes and manuals.

The GCAA has updated the specifications and require-

ments to obtain the Air Operator Certificate in line with

the standards set by ICAO (Annex 6) thus becoming

one of the first authorities to implement this initiative.

The implementation of ROSI has resulted in 470 reports

since the launch of this project in January 2010. GCAA

has also successfully implemented SAFA (Safety Audit of

Foreign Airlines) and Q-Pulse in Flight Operations and

Airworthiness.

10

Our

Acheivments

11

GCAA carried out National Aviation Security Program for

the industry. In order to enhance the standards and pro-

cedures for security of all cargo transported by air, GCAA

has developed and implemented National Screener Cer-

tification Program. GCAA also presented a draft amend-

ment to the procedure for the transportation of dan-

gerous goods by air, which was approved by ICAO and

implemented by the states. In line with International As-

sociation of Air Transport (IATA) guidelines, GCAA car-

ried out a study to improve the services and procedures

for passengers with special needs or requiring medical

attention.

GCAA held many successful conferences and conventions

in the area of safety and security. One of the prominent

conferences was Aviation Security Conference, held in

June 2010 and resulted in Joint Abu Dhabi Declaration.

Search and Rescue Conference (SAR) was held in Abu

Dhabi and attended by the President of the ICAO, coun-

cil members and more than 250 delegates from around

the world.

Other system implementations or enhancements that

were focused on improving GCAA services to its custom-

ers included full stand-alone Online Data Interchange

(OLDI) capability and introduction of OLDI connections

to major domestic airports and capable adjacent cen-

ters, introduction of Arrival Metering and Sequencing

(AMAN) for UAE airports and an automated Aeronautical

Information Management (AIM) system with electronic

Aeronautical Information Publication (AIP) and Notice

to Airmen (NOTAM) distribution and database. To im-

prove communication standards with customers, GCAA

successfully implemented four communication channels,

e.g. Twitter, Call Centre, and Interactive Voice Response

(IVR).

12

Overview of

UAE Aviation Sector

13

UAE Macroeconomic and Aviation Sector Overview

While the Gulf Cooperation Council (GCC) makes up 9 percent of the total population of the Middle East and North African region, it captures 47 percent of the region’s GDP. Despite its small size, UAE is a major economic power within the GCC.

GCC population has been increasing at 2 percent CAGR since 2000 and is expected to reach the 47-million mark in 2020.

GCAA_selected_19h29.ppt Booz & Company DATE

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1) MENA figures include Algeria, Tunisia, Sudan, Morocco, Mauritania, and Libya, and excludes Israel Source: Global Insights, July 2009 update; Booz & Company analysis

GCC Geographic (1) and Economic Overview

Kuwait

Iraq

Saudi Arabia

Egypt

Iran

Yemen

Oman

Jordan

Syria

Lebanon

UAE

Qatar Bahrain

Saudi Arabia

Oman

UAE

2.1 M Km2

0.3 M Km2

83,600 Km2

20,000 Km2

Kuwait

Qatar

Bahrain

11,437 Km2

665 Km2

Total GCC Area= 2,574,942 Km2

1779

763

2010 GDP - In 2005 USD Billions -

MENA

GCC

Geographic Area

47% of MENA GDP 9% of MENA Population

2010 Population - In Millions -

415

39.2


1

+2%

2020F

47.1

67%

12%

8%

7% 4%

2%

2015F

43.2

67%

12%

8%

7% 4%

2%

2010F

39.2

67%

12%

8%

7% 4% 2%

2005

34.6

68%

12%

8% 8%

3% 2%

2000

29.9

69%

11% 7%

8% 2% 2%

Saudi Arabia +2%

UAE +3%

Kuwait +3%

Oman +2%

Qatar +5%

Bahrain +2%

1) Forecast developed by the United Nations Population Division Source: United Nationas Population Division, World Population Prospects, The 2008 Review; Booz & Company analysis

GCC Region Population Trends - In Millions -

(2000 - 2010F(1))

% of Expatriates in Population: GCC (including KSA): ~ 33% GCC (excluding KSA): ~ 60%

KSA: ~ 20%

14

Population growth is expected to maintain a healthy growth trend for GCC in general and UAE in particular. This is coupled with a 5 percent annual GDP growth, which is expected to reach US$1.2 tril-lion in 2020.

GCC population has been increasing at 2 percent CAGR since 2000 and is expected to reach the 47-million mark in 2020.


2

+5%

2020F

1,158

49%

23%

12%

9% 5%

2%

2015F

955

48%

23%

12% 9%

5% 2%

2010F

763

48%

23%

12% 9%

5% 2%

2005

623

51%

22%

13% 7% 5% 2%

2000

478

55%

21% 11%

6% 5% 2%

Saudi Arabia +4%

UAE +5%

Kuwait +5%

Qatar +7%

Oman +5%

Bahrain +5%

Source: Global Insights, July 2009 Update; Booz & Company analysis

GCC Region GDP Trends - In 2005 USD Billion -

(2000 - 2010F(1))

Saudi Arabia Oman UAE Kuwait Bahrain Qatar

16.6 47.4 36.9 19.2 19.9 56.8 GDP/Capita

- In Thousands - (2010)


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2009 Real GDP per capita (USD)

Trips per capita

80,000 70,000 50,000 40,000 30,000 20,000 10,000 0

US

UAE

Switzerland

Sweden

Spain

Singapore

Saudi Arabia

Qatar

Oman Norway

Netherlands

Malta

Maldives

Macao

Luxembourg

Kuwait

Italy

Ireland

Hong Kong

Denmark Cyprus

Brunei

Bermuda

Belgium

Barbados

Bahrain

Bahamas

Austria

Australia

90,000

Propensity for Air Travel Departing PAX 2009 vs. Real GDP per capita in USD 2009

Figure 1: Real GDP Growth Evolution(Percentage Growth Rate 2010–2013)

The UAE has witnessed 9 million tourist arrivals in 2009, which is expected to grow at 7.2 percent per year in the next three years, particularly in the leisure market. The main driver for tourism is key landmark developments across the country.

Figure 2: Propensity for Air TravelDeparting Passengers 2009 vs. Real GDP per Capita in US$ 2009)

Prepared for Etihad Golden Horizon Charts.ppt Booz & Company 12 August 2010

6

Real GDP Growth Evolution

2010 2011 2012 2013

UAE

7%

6%

5%

4%

3%

2%

1%

N. America

MENA

Europe


4

UAE Tourists Growth

8.8

75%

24% 24%

25% 25%

24%

76%

9.6

7.2%

25%

76%

2013

11.9

2009

76%

2012

9.0

11.0

75% 75%

2011

10.2

2008 2010

16

There has been a noticeable growth in the number of airline personnel which has resulted in approximately 33% increase in the number of licenses issued by the Authority.

Driven by economic growth, UAE airlines such as Emir-ates Airlines have greatly expanded their network and fleet as shown in Figure 4.

As a result, overall aircraft movements in the UAE are expected to grow to 663,000 by 2013, including local and foreign airlines, general aviation, private operators and freighters.


5

UAE Fleet

270

350

425

95

165 185

16.2%

2014 2012 2010 2008 2006 2004

Fleet Size 53.7

118.5

2016 2008

10.4%

Figure 4: UAE Fleet Growth


7

Aircraft Movements

481 531

580 585 590 620

660

2010

+5%

2013 2007 2008 2009 2012 2011

Figure 5: Aircraft Movements (thousands) Figure 6: Air Crew Licensing

Passenger Traffic International Domestic Total

Region Growth Market Share Growth Market Share Growth Market Share

Africa -8.9 3 -13.4 1 -9.6 2

Asia/Pacific -7.1 25 7.6 31 -1.2 27

Europe -4 41 -10.5 8 -4.8 28

Middle East 10 11 10.3 1 10 7

North America -5.5 16 -5.5 54 -5.5 31

Latin America -2.9 4 1.9 5 -0.7 5 /Caribbean

World -3.9 100 -1.8 100 -3.1 100

Source: ICAO

17

Middle East has the highest international and domestic growth of passenger traffic among other all regions. The international growth reached 10, and 10.3 for domestic growth.

Table 7 Regional yearly traffic growth and market shares in percent (In terms of Passenger Kilometres Performed – PKPs)

Figure 8: Regional passenger traffic overview (% change 2009 vs 2008)

North America• Traffic: -5.5%• Capacity: -6.1%• Load Factor:+0.5 PT

Latin America• Traffic: -0.7%• Capacity: +0.4%• Load Factor:-0.8 PT

Europe• Traffic: -4.8%• Capacity: -5.4%• Load Factor:+0.6 PT

Asia/Pacific• Traffic: -1.2%• Capacity: -1.2%• Load Factor:0 PT

Middle East• Traffic: +10.0%• Capacity: +12.9%• Load Factor:-1.9 PT

Africa• Traffic: -9.6%• Capacity: -6.4%• Load Factor:-2.4 PT

World 2009• Traffic: -3.1%• Capacity: -3.1%• Load Factor:0 PT

Passenger Traffic International Domestic Total

Region Growth Market Share Growth Market Share Growth Market Share

Africa -8.9 3 -13.4 1 -9.6 2

Asia/Pacific -7.1 25 7.6 31 -1.2 27

Europe -4 41 -10.5 8 -4.8 28

Middle East 10 11 10.3 1 10 7

North America -5.5 16 -5.5 54 -5.5 31

Latin America -2.9 4 1.9 5 -0.7 5 /Caribbean

World -3.9 100 -1.8 100 -3.1 100

Source: ICAO

18

To accommodate the airlines’ ambitious growth plans, airports have embarked on expansion plans to upgrade their infrastruc-ture. UAE airports are investing up to US$50 billion in new and expanded projects over the next 15 years, which will provide ca-pacity for an additional 200 million passengers per annum. A map of UAE airport locations is shown in Figure 7.


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Figure 3: UAE Airport

Globalization and its impact on UAE Aviation Sector

Air travel remains a large and growing industry. It facilitates economic growth, world trade, international investment and tourism and is therefore central to the globalization trend worldwide. In the past decade, air travel has grown by 6 percent per year

UAE airlines have taken full advantage of this trend through two relatively new airline models in the region. The first is the hub carriers, such as Emirates Airlines and Etihad Airways that have been developing their business model around the geo-centricity of the region and the 4 billion people that live within an eight-hour flying zone. The second model is the budget carriers, such as Air Arabia and Fly Dubai that have been taking advantage of the unprecedented boom in point-to-point travel within the region.

19

Global Financial Crisis While most regions across the world have experienced slow growth in air travel over the past two years, the growth of the UAE aviation industry has been notable. During the economic crisis, continuous investments in aviation infrastructure and modern aircraft supported the continued expansion of the sector. The elements in-trinsic to the market in the UAE that likely have led to this growth are:

1. Business travel, given that the UAE economy is the business hub of the region

2. Large population of expatriates, generating VFR traf-fic (Visiting Friends and Relatives)

3. Religious traffic around Hajj and Umrah 4. Labor traffic within the Arab world, and between the Gulf and Asia

5. Low average age of the fleets, leading to somewhat lower operating costs

6. Modern airport infrastructure encouraging hubbing operations between the East and the West

Aviation Safety and Security

Even though the UAE has an enviable aviation safety and security record, the country must continue to strive for the highest standards of safety and security. To sat-isfy the demands for improved standards of safety and tighter security, the regulatory bodies are working in conjunction with the aviation industry however, industry is driven by commercial interests. These economic pres-sures can affect all sectors of the civil aviation industry and could have an adverse impact on safety and secu-rity. It is, therefore, of crucial importance to the whole civil aviation community that the GCAA remains focused on aviation safety.

Around the world, governments and airlines are regular-ly engaged in discussions on a wide range of significant regulatory issues addressing different aspects of airline operations, the largest being safety and security. How-ever, approaches to managing these issues must be pro-active rather than reactive. The focus to ensure sustain-ability must be directed on oversight and accountability. Without frequent and thorough auditing of the safety and security programs, even the best-laid plans can fail.

20

Challenges

21

State Safety Program

The State Safety Program (SSP) is a relatively new concept and in-troducing this in the UAE presents challenges on all levels i.e. sys-tem, process, and people. GCAA, like any other civil aviation author-ity (CAA), supports its Safety Management Systems (SMS) through effective oversight activities, rulemaking and policy development. However, instead of reacting to the most recent accident, SSP rule-making is based on the comprehensive analyses of the State’s avia-tion system. Regulations are based on identified hazards and analysis of the safety risks and related consequences.

As part of the UAE SSP, the SMS requirements will be circulated to all service providers, requiring them to demonstrate their Safety Management capabilities up front, rather than waiting for accidents, incidents, or assessing non-compliance with safety standards. This will allow both GCAA and the service providers to proactively deal with safety risks.

There are four components of the State Safety Program: 1. State Safety Policy and Objectives: Development of a Safety Legisla-

tive Framework, Safety Responsibilities and Accountabilities, Accident and

Incident Investigation and Enforcement Policy.

2. State Safety Risk Management: Establishment of safety requirements

for the service provider’s SMS and agreement on the service provider’s

Safety Performance Standards.

3. State Safety Assurance: Development of a Safety Assurance System

that would consist of Safety Oversight activities, data collection, analysis,

GCAA charts.ppt Booz & Company 12 August 2010

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UAE Airspace (Commercial Corridors vs. Military Areas)

Restricted Areas UAE Airspace

exchange and data-driven targeting of oversight of areas of greater con-

cern or need.

4. State Safety Promotion: Implementation of internal training programs,

communication and dissemination of safety information and training to

service providers.

This is an enormous undertaking and a huge challenge, not only for the UAE GCAA but for every constituent of UAE Civil Aviation System.

Air Space Capacity

The UAE has a total of 120,000 square kilometers of airspace, with 35 interna-tional air corridors. Today, more than 50 percent of UAE airspace is comprised of aerial exclusion zones restricted to mili-tary use. To compensate for this short-age and the rapid growth of aircraft movements in the UAE airspace, the GCAA has heavily invested in adoption of new technologies to optimize use of available airspace capacity including:

• A state-of-the-art air traffic control center, the Sheikh ZayedCentre, was launched in 2009.• A new area navigation system, RNAV 1, was adopted.

22

Air Transport Bilateral Agreement

To date, the UAE has established 51 Open Skies agreements, through several opportunities for growth still remain.

EnvironmentThe aviation industry has realized the importance of global environmental challenges and the need for direct actions. Aviation is responsible for about 2 percent of CO2 emissions, but it is widely accepted that the impact of aviation emissions is substantial.

In this context, the European Union (EU), followed by other states, is introducing an Emission Trade Scheme (ETS), which will be applicable to all airlines flying to, from, or within the EU. The ETS will have a substantial impact on the operations and financials of UAE airlines, particularly the new processes and tools that monitor carbon emissions. Additionally, there are ongoing dis-cussions at the International Civil Aviation Organiza-tion (ICAO) and the Conference of the Parties (COP) of the United Nations Framework Convention on Climate Change (UNFCCC) to adopt an international framework applicable to aviation emissions. Accordingly, GCAA must gear up to actively participate in the ongoing discussions to implement and oversee the new policies.

New Technologies Technological developments in the aviation industry pose a significant challenge in the achievement of our vision. Dramatic technological developments could outstrip our ability to train staff and redeploy resources. Among the developments we expect are increased use of composite


8

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38

45

Limited larebiLOpen Sky latoT

Bi-Lateral Agreements

23

materials to enhance fuel efficiencies, increasingly com-plex avionics and increased ultra long range operations (ETOP).

As these and other technologies become widely used, GCAA staff will need to be fully engaged in learning about developments in these areas in order to effectively exercise their regulatory role and produce recommenda-tions that continue to raise the bar on safety.

Staffing and Skill Gaps IssuesThe Authority has been unable to meet its Emiratiza-tion targets for the last strategic planning period. This was primarily due to its requirements for staff to possess broad aviation industry knowledge in addition to inves-tigative or related skills. Developing this diverse skill set takes years of experience. The Authority recruits staff from a talent pool consisting of three national carriers or from international sources. In either case, it is becoming increasingly difficult for the Authority to attract sufficient numbers of UAE nationals who posses adequate man-agerial and technical expertise to meet the ambitious Emiratization targets for this very exclusive industry.

Inspectors, investigators and air traffic controllers are highly specialized and technical staff. The time needed to cultivate future leaders and technical expertise warrants serious attention to the development of human capital

and succession planning to ensure continuity of leader-ship and availability of skill sets.

Moreover, to function successfully, the existing work-force will require updated training to close the skill gap in a future environment that includes advanced manage-ment tools, new hardware and software platforms and updated rules and regulations. Aggressive training, de-velopment and recruitment initiatives will be necessary to attract highly skilled and diverse candidates to staff the growing needs of the Authority. Competency-based Job Description initiatives will allow us to identify a num-ber of competency and skill gaps that would need to be closed through training and recruitment efforts.

Budgetary ConstraintsCivil Aviation is a technology- and skill-intensive industry. To be in the forefront in a region that is home to some of the fastest growing and largest international carriers, GCAA must continuously invest in developing, upgrading or acquiring resources. At the same time, GCAA is com-mitted to maintain its financial independence. Any major decrease in resources devoted to the GCAA will have a negative impact on its ability to achieve the strategic objectives for this planning period.

24

Strategy Development

25

Strategic Planning Process

GCAA adopted a structured approach to define its Strategic Plan, starting with the definition of its vision and mission then describing the strategic imperatives and goals and how to achieve and track them.

Planninghorizon

10-15 yrs

3-5 yrs

1-2 yrs

monthly

Steps Questions Answered

What do we want to be?

What will we do?

How will we do it

Vision and Mission

Development Strategic

Imperatives

React

Management Reporting

Performance Measurement

Resource Allocation

Execution Planning

Goal Setting

• What do we aspire to be?• Where do we want to go?

• What resources are required to achieve action plans?

• What should be reported, how often and to whom?

• What will we measure to track progress ?• What are the target results for each measure?

• What are the specific actions to reach these goals?• What are the deliverables and who is responsible?

• What are the specific targets that we need to fulfil in order to make our strategic imperatives happen?

• What are the “make or break” business issues?• What will we do to address these?

How will we track it

The Strategic Planning process kicked off with communi-cation of the process to the different stakeholders, with an understanding of the Strategic Priorities of the UAE Government, a detailed baseline of the current situation, a stakeholders’ survey and a benchmark study.

Based on the initial studies and through a series of work-shops with GCAA’s senior executives, vision, mission and value statements were drafted by the Strategy and In-ternational Affairs Department and then approved by the Board of Directors.

GCAA’s Directors, with the support of the Strategic Plan-ning team, conducted a SWOT analysis and identified key strategic objectives, targets and initiatives to be im-plemented in the 2011–2013 period. For each initiative, a set of KPIs were defined to monitor the execution of the 2011–2013 Strategic Plan.

26

UAE Government Strategic Priorities and Initiatives

In 2010, the UAE Government defined its Vision for the fifth year and its strategic objectives.

UAE Vision 2021 would be achieved through a roadmap of four consecutive UAE Government Strategy cycles.

Seven General Principles were defined for the 2011–2013 cycle, which will ensure an accountable, lean, innovative and forward-looking government:

1. Enhance the role of Federal Entities in devising effective regulations and integrated policies by successful planning and enforcement2. Enhance effective coordination and cooperation among Federal Entities and with Local Governments3. Focus on delivering high-quality, customer-centric and integrated government services4. Invest in human resource capabilities and develop leaders5. Promote efficient resource management within Federal Entities and leverage dynamic partnerships6. Pursue a culture of excellence through strategic thinking, continuous performance improvement, and superior results

7. Enhance transparency and accountable governance mechanisms throughout Federal Entities

Seven Strategic Priorities, directly linked to the UAE Vision themes, and seven key enablers were defined for the 2011-2013 planning cycle.

The Vision and the strategic direction of the UAE Government were adopted by GCAA’s management as key guiding principles and ob-jectives to draft the GCAA’s Strategic and Operational plans for the 2011–2013 cycle.

In a strong and safe union, knowledgeable and innovative Emiratis will cofidently build a competitive and resilient economy. They will thrive as a cohesive society bonded to its identity, and enjoy the highest standards of living within a nuturing and sustainable environment.

UAE VISION

(VISION 2021 SUMMARY)

1 2 3 4Ambitious and ConfidentNation Grounded in its Heritage

Cohesive Society and Preserved Identity

Competent Human Capital

Customer Centre Service

Efficient Financial Management

Good Institutional Governance

Dynamic Government Networks

Effective GovernmentCommunication

Effective Legislative Process & Integrated Policy Making

Safe Public and Fair Judiciary

Strong Global Standing

Competitive Knowledge Economy

First-Rate Education System

World-class Healthcare

Sustainable Environment and Infrastructure

A Strong Union Bonded by aCommon Destiny

A Competitive Economy Driven by Knowledgeable and Innovative Emiratis

A Nurturing & SustainableEnvironment for Quality Living

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Stakeholder Expectations

A stakeholder study was carried out to gain a broad understand-ing of the key industry requirements and key areas for improve-ments. The study captured the 2010–2013 development plans of the GCAA’s stakeholders and the expectations in terms of GCAA’s services, regulations and modus operandi. Through interviews and meetings, GCAA was able to build a better understanding of stakeholders’ concerns, issues and proposed solutions.

The major areas of interest for the stakeholders included:

• Development of the UAE aviation sector• UAE National Aviation Policy • UAE regulations and their alignment with best practices • Capacity improvement of the UAE air space • Systematic Risk and Economic Impact Assessment for new regulations • Consultation process for new regulations• Outsourcing some non-core activities to specialised technical or shared services companies in order to free capacity for key regulatory functions • Technical skills of GCAA staff• Customer Oriented Culture

Benchmarking

A benchmarking exercise was carried out to derive key lessons from countries with a mature civil aviation system. The bench-mark exercise focused on the following areas:

1. Institutional set-up and regulatory system: Understand the air trans-

port institutional set-up and the regulatory framework.

2. CAA governance: Understand the governance system of the National

Aviation Authority and the roles and responsibilities of the Board and

Executive Management

3. Operating model and Organization: Understand the operating

model, the organization structure and the manpower requirements

4. Financial: Understand the financial policies and funding mechanisms

for the regulatory and operational aviation entities

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Benchmarking

The benchmark study resulted in a set of principles that guided the formulation of the GCAA Strategic Plan:

• National Aviation Policies (including Safety, Security, Airspace, Air

Transport, Economic, Environment and Consumer Protection) as a key

reference for development of the civil aviation sector

• Clear and simple legal system frameworks to ensure clarity of roles,

responsibilities and authority

• A proper regulatory framework that ensures that the CAA remains

independent vis-à-vis other institutions and aviation operators, in effect

freeing them to focus on their core regulatory responsibilities

• Lean organizational structures with a clear focus on the safety and

security regulatory functions

• A structured consultation process with stakeholders supporting the

regulatory functions

• A funding strategy based on a variety of fees and charges compatible

with the International Civil Aviation Organization’s principles of cost-

relatedness, non-discrimination and transparency to minimize the re-

quirement of state subsidies to CAAs

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SWOT Analysis

The SWOT analysis enabled the GCAA’s management to rationalize the results of the initial studies and consequently to derive key strategic priorities.

Strengths

• GCAA has established strong relationships with the international aviation community through its presence at ICAO and its support to emerging economies.

• GCAA board and management have launched an Overall Transformation Program (OTP) to align its operations to best practices.

• GCAA has invested in IT technologies to improve the efficiency of some enabling and regulatory processes.

• Senior and highly qualified technical experts are available at the GCAA to support the transformation program.

• UAE Middle East air traffic has been resilient to the global economic crisis. • Current federal laws are in the process of being updated to clarify the UAE

institutional setup and GCAA mandate.• UAE airlines are well regarded in the global aviation industry. • Stakeholders are supportive of the Overall Transformation Program. • Industry can undertake some of the GCAA activities to reduce the

manpower requirements at the GCAA.

Opportunities

Weaknesses

• Comprehensive National Aviation Policies are not mature. • Comprehensive safety, security, and risk oversight systems require

constant updating to ensure they are relevant. • Some of the core regulatory and enabling processes could be more

efficient and effective.• Some new regulatory activities and capabilities still need time to

become fully effective. • GCAA has both regulatory and operational roles.• GCAA fee structure requires revision

to ensure its future costs are covered.• Organizational structure and

staffing levels require constant review to ensure they meet future industry growth.

• Changes to the Civil Aviation Law have been proposed but are yet to be ratified by the Cabinet.

• UAE and GCAA are subjected to audits from international authorities; adverse reports can affect the UAE aviation system and its growth plans.

• Stakeholders find the responsiveness and quality of the GCAA services inconsistent.

• Uncompetitive wages, in some areas, decrease availability of highly qualified employees to the GCAA.

• EU emission trading scheme is not balanced by UAE emission requirements.

Threats

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Vision

A leading, safe, secure and sustainable civil aviation system

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Mission

To regulate and oversee aviation safety, security and environment; deliver air navigation services; and facilitate air connectivity through

international collaboration in order to serve the general public and the

civil aviation industry in a responsive and cost-effective manner

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Values

Safety and Security: Promoting a culture of safety and security at the individual and corporate level.

People: Developing people to the highest standards and level of expertise in technical and non-technical areas.

Stakeholder Focus: Promoting healthy dialogue and partnership with stakeholders.

Integrity: Applying the highest legal, ethical and moral standards to our work and with each other.

Professionalism: Encouraging an atmosphere of mutual respect, responsiveness and teamwork with our stakeholder community, general public and with our colleagues.

Efficiency: Committing to continuous improvement in operations and costs through responsible management.

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Strategic Objectives

Objective 1 –

Objective 2 –

Strategic Objective

Strategic Objective

To ensure safe and secure operations of the aviation industry in compliance with ICAO standards and best practices

To facilitate global connectivity

As UAE Aviation regulator, GCAA’s primary focus is on ensuring safe and secure operations of the aviation industry through a set of policies and regulations and an active oversight.

GCAA will support the UAE aviationindustry in increasing the level of connectivity.

Support the UAE Federal Government in drafting UAE Aviation Policies (Safety, Security, Airspace, Environmental, Air Transport, and Consumer Protection)

Draft and Implement a Safety Management System, Risk Oversight Plan, and State Safety Plan

Draft and Implement a Security Risk Oversight Plan

Update Safety and Security regulations

Implement a Safety and Security Promotion Plan

Convert existing MoUs into Air Service Agreements

Introduce new Air Transport regulations

Description / Rationale


Key Results

Key Results

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Objective 3 –

Objective 4 –

Strategic Objective

Strategic Objective

To develop UAE aviation environmental regulations and influence global policies to balance the needs of all stakeholders and international commitment of environment sustainability

To provide support services in the civil aviation sector

GCAA is committed to addressing global environmental challenges by drafting new environmental regulations and plans and by playing an active role in influencing global policies.

GCAA aims to improve the quality of the service currently provided to the aviation industry.

Draft and implement new environmental regulations

Support the UAE Government to draft an Aviation Environmental Sustainability Plan

Complete the Separation and Enhance Plan of the Air Accident Investigation unit

Set up a training centre

Enhance ANSP services



Key Results

Key Results

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Objective 5 –

Objective 6 –

Strategic Objective

Strategic Objective

To position the UAE to be globally recognized as a major shaping force in aviation

To strengthen the internal processes, develop capabilities, and instill a culture of excellence in line with the best practices and the growth of the aviation industry

In line with the direction of the UAE Government, GCAA aims to play a leading role in shaping the global civil aviation sector by becoming a key member of regional and international committees and by cooperating with international institutions.

As a best-in-class aviation authority, GCAA aims to deploy efficient and effective processes and to build a work environment able to attract and retain Emiratis.

Implement international cooperation initiatives

Become a key member of regional and international committees

Achieve an high employee satisfaction rate

Review and deploy internal processes

Reduce the overall cost per employee

Increase the number of Emiratis

Adopt electronic services

Improve the quality of external services



Key Results

Key Results

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Objective 7 –

Objective 8 –

Strategic Objective

Strategic Objective

To be communicative and responsive with national and international stakeholders

To be financially self-sustainable

GCAA aims to be more communicative and responsive to the stakeholders’ requirements and to have a systematic approach to monitor its performances

GCAA aims to become a self-sustainable authority in line with the ICAO principles and UAE Federal Government direction.

Improve responsiveness in addressing complaints

Increase stakeholder satisfaction with GCAA communication approach

Design and Implement Activity-Based Costing to align cost of service to fees Reduce operational costs



Key Results

Key Results

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Par

Excellence

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Already in 2010, GCAA has launched key initiatives to meet its stra-tegic goals and achieve excellence:

1. Drafting of the national aviation policies will be kicked off before the end of 2010. In line with the UAE Government’s objectives and civil aviation best practices, a structured process will be designed to engage all stakeholders in defining the UAE National Aviation Poli-cies. Once the consultation process is completed, the policies will be submitted to the UAE Cabinet for approval and ratification.

2. The Air Accidents Investigation Unit is expected to be separated from the GCAA in 2011. GCAA has already started the ring-fencing process of the Air Accident Investigation Unit in order to ensure in-dependence from the regulatory activities, and a decree has already been prepared.

3. ICAO members recognized the leading role UAE played in shap-ing the global and regional aviation sector and hence have decided to re-elect GCAA as a member of the ICAO Council in October 2010.

4. In September 2010, GCAA kicked off the drafting of the State Safety Program.

5. In October 2010, the new organizational structure of GCAA was finalized, approved and communicated to all GCAA staff. The new or-ganization ensures accountability, efficiency and effective operations. The new structure shall be effective 1 January 2011.

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Way

Forward

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Going forward, the Strategic Planning team will lead the execution and monitoring of the GCAA Strategic Plan. In collaboration with the department heads, the Strategy and Performance Management Unit will identify risks and interdependencies to facilitate the Operational Plan management processes.

Through a rigorous performance management system, progress of all projects will be monitored to reconcile progress and performance review to identify trends and challenges. The Strategy and Perfor-mance Management Unit will measure and report KPIs by collecting, verifying, and reporting business unit KPIs.

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