The National Academies Press

Currently Skimming:

Pages 50-72

The Chapter Skim interface presents what we've algorithmically identified as the most significant single chunk of text within every page in the chapter.
Select key terms on the right to highlight them within pages of the chapter.

From page 50... ... These costs reflect a range of factors that should be considered for each area. Not all costs will be necessary for each implementation; additional costs, which may not be discussed here, could be incurred by the airport operator or other key stakeholders. Read the entire page →
From page 51... ... Staff The airport operator's staff involvement throughout the planning and design phase is a significant cost that must be considered. Although a third-party design team can do much of the planning and design work, the direction and support required by the executive, management, and operational staff should not be underestimated. Read the entire page →
From page 52... ... Operational-level staff must provide input into the planning process and probably will need to attend meetings to address the following key issues: • How common use should be implemented • Definition of IT and facility infrastructure requirements • Definition of requirements for major equipment asset ownership After the planning phase, key operational staff members will be needed to provide ongoing support to the design project by attending design review meetings. Common-Use Implementation The primary common-use functions addressed here include terminal check-in area, curbside check-in, off-site check-in, gate areas, flight/baggage information displays, ramp control services, and ground handling services. Read the entire page →
From page 53... ... Management Level. At the management level, two full-time positions may need to be created to address specific ongoing common-use-related issues, if such responsibilities are not being met by the airport operator's current staff. Read the entire page →
From page 54... ... Curbside Check-In Areas This section addresses the curbside check-in areas. For a detailed listing of cost breakdowns, see Appendix C1. Read the entire page →
From page 55... ... At the management level, two full-time positions may need to be created to address specific ongoing common-use related issues, if such responsibilities are not being met by the airport operator's current staff: • A manager to oversee new service development, policy and procedures development and enforcement, and design and implementation project management • A manager to work with the airlines to accommodate business processes and understand passenger flow methodologies and to negotiate and manage contracts on behalf of the airport In addition to the positions that may need to be created, management-level staff will need to be involved in defining rates and charges specific to the common-use implementation. Operational Level. Read the entire page →
From page 56... ... For example, a CUSS kiosk at a hotel or convention center may impose little or no cost to the airport operator, while a staffed check-in counter at an airport-owned rental car facility probably would be the full responsibility of the airport operator. For a detailed listing of cost breakdowns, see Appendix C1. Read the entire page →
From page 57... ... These costs could include • General IT infrastructure upgrades • CUTE/CUPPS hardware and software components • Dynamic signage system hardware and software components • Local departure control system components • Gate management system components • VoIP System • Millwork for gate counters, display back walls, boarding podiums, recheck podiums, and dynamic signage cabinets • Holdroom furnishings • Passenger boarding bridges • Airport-provided utilities for aircraft (i.e., preconditioned (PC) air, power, water) Read the entire page →
From page 58... ... Operational Level. Operational staff members will be needed to provide design and installation project support as well as the following: • Participation in design reviews • Daily operations of new services (e.g., management of gate assignments, monitoring of gate usage, monitoring and inspection of passenger boarding bridges, and maintaining communications on an operational level with the airport operator's staff, airlines, and ground handlers) Read the entire page →
From page 59... ... Implementing common use in the gate areas has intangible costs as well. Among these are • Minimization of the unique branding capability of airlines • Increased operational risk to the airlines because of the loss of control over system performance and functionality • Increased risk to the airport operator because of the financial uncertainty during low utilization periods, liability for impact on airline operations, and liability for safety Flight and Baggage Information Display Systems This section addresses flight and baggage information display systems. Read the entire page →
From page 60... ... At the management level, two full-time positions may need to be created to address specific ongoing common-use related issues, if such responsibilities are not being met by the airport operator's current staff: • A manager to provide oversight of new service development, policy and procedures development and enforcement, and design and implementation project management • A manager to work with the airlines to accommodate business processes and understand passenger flow methodologies and to negotiate and manage contracts on behalf of the airport In addition to the new positions that may need to be created, there will need to be involvement from the management level to define rates and charges specific to the common-use implementation. Operational Level. Read the entire page →
From page 61... ... Depending on the airport operator's management strategy, the airport operator may choose to provide the full ramp control operation with in-house staff or use a combination of in-house staff and contract staff to provide ramp control services. Certifications. Read the entire page →
From page 62... ... Among these are • Increased operational risk to the airlines because of the loss of control over ramp control operations • Increased risk to the airport because of the liability for impact on airline operations and liability for safety • Labor issues between the airport operator, airline, and others sharing ramp control facilities and services Ground Handling/Ramp Services This section addresses ground handling and ramp services. This section assumes that the airport operator will contract out the actual ground handling and ramp services work and will not require procurement of any real assets. Read the entire page →
From page 63... ... The executive-level staff must provide direction in the assumption of ground handling services and probably will need to attend meetings to address the following key issues: • Assumption of ground handling services • Definition of ground handling stakeholder requirements, operating agreements and procedures Management Level. At the management level, two full-time positions may need to be created to address specific ongoing issues related to ground handling, if such responsibilities are not being met by the airport operator's current staff: • A manager to provide ground handling contract management and policy and procedures development and enforcement • A manager to work with the airlines to accommodate business processes Operational Level. Read the entire page →
From page 64... ... Although increased utilization is the primary benefit sought under this business driver, various secondary benefits may be recognized. Costs Potential costs associated with implementing common use so as to maximize the existing facility utilization are described in detail in the previous section within the following areas: • Planning and Design • Terminal Check-in Areas • Curbside Check-in • Flight and Baggage Information Display Systems • Gate Areas • Ramp Control Services • Ground Handling/Ramp Services Benefits The primary benefits of maximizing existing facility utilization are as follows: • Creation of a competitive advantage for the airport operator by increasing the potential for airlines currently at the airport to expand service in the airport and manage overflow flights cost effectively • Creation of cost savings and efficiency by enabling the airport operator to maintain greater control of airport costs through optimization of current gates, which allows the airport operator to avoid or delay capital expenditures • Resource maximization that allows constrained airports with low utilization for non-hub airlines to operate more efficiently, thereby enabling the airport operator to (1) Read the entire page →
From page 65... ... Although cost savings are the primary benefit sought under this business driver, various secondary benefits may be recognized. Costs Potential costs associated with implementing common use so as to avoid or defer capital costs specifically associated with new facility construction are described in the previous section within the following areas: • Planning and Design • Terminal Check-in Areas • Flight and Baggage Information Display Systems • Gate Areas Benefits The primary benefits of avoiding or deferring new facility construction costs are as follows: • Cost savings and/or increased efficiency by strategically placing common use in areas that will permit the sharing of terminal check-in areas and gates by multiple airlines, resulting in an increased capacity for current operations, holiday season spikes, scheduled charters, and future growth without having to build new gates • Resource maximization that allows constrained airports with low utilization for non-hub airlines to operate more efficiently Avoid or Defer Other Capital Costs To avoid or defer capital costs not specifically associated with construction of a new facility, an airport operator could consider implementing common use at gate, check-in counter, flight information display locations, and baggage areas to alleviate the need for infrastructure and systems replacements and significant renovations. Read the entire page →
From page 66... ... Although increased flexibility is the primary benefit sought under this business driver, various secondary benefits may be recognized. Costs Potential costs associated with implementing common use to maximize facility flexibility are described in detail in the previous section within the following areas: • Planning and Design • Terminal Check-in Areas • Curbside Check-in • Gate Areas • Flight and Baggage Information Display Systems • Ramp Control Services • Ground Handling and Ramp Services Benefits The primary benefits of maximizing facility flexibility are as follows: • Increased operational flexibility, thereby allowing the airport operator to control how checkin counters and gates are being used. Read the entire page →
From page 67... ... Costs Potential costs associated with implementing common use in order to decrease the cost of doing business for airport operators are described in detail in the previous section within the following areas: • Planning and Design • Terminal Check-in Areas • Curbside Check-in • Flight and Baggage Information Display Systems • Gate Areas Benefits The primary benefits of decreasing the airport operator's cost of doing business are as follows: • Potential cost savings because the airport operator can optimize gate and check-in counter usage, thereby enabling the temporary shutdown of a concourse during a downturn in air traffic or the delay of capital expenditures associated with new construction • Standardization of equipment for the airport operator, thereby resulting in lower acquisition and maintenance costs • Cost savings as a result of reducing the capital requirements of infrastructure and system replacements and facility renovations associated with accommodating airlines' starting new service, increasing service during peak or holiday seasons, terminating service, and merging with other airlines Decrease Airline Cost of Doing Business To decrease the cost of doing business for airlines, an airport operator could consider implementing common use at gates, check-in counters, flight information displays, baggage areas, kiosks, and curb-side locations and assuming responsibility for providing ramp control and ground handling services for common-use areas where airlines believe operational cost reductions can be shown. Typically, this would include gates in a specific terminal area that can be easily serviced by a specific check-in counter area through which multiple airlines with low utilization could be accommodated. Read the entire page →
From page 68... ... Although increased quality of service for the airlines is the primary benefit sought under this business driver, various secondary benefits may be recognized. Costs Potential costs associated with implementing common use so as to improve the quality of service to airlines are described in detail in the previous section within the following areas: • Planning and Design • Terminal Check-in Areas • Curbside Check-in • Off-site Check-in Operations • Gate Areas • Flight and Baggage Information Display Systems • Ramp Control Services • Ground Handling and Ramp Services Benefits The primary benefits of improving the quality of service to airlines are as follows: Read the entire page →
From page 69... ... Costs Potential costs associated with implementing common use in order to improve the quality of service to passengers are described in detail in the previous section within the following areas: • Planning and Design • Terminal Check-in Areas • Curbside Check-in • Off-site Check-in Operations • Flight and Baggage Information Display Systems • Gate Areas Benefits The primary benefits of improving the quality of service to passengers are as follows: • A more convenient check-in process resulting from the creation of alternatives for check-in through curbside services, self-service kiosks, and reductions in wait times due to the ability to add check-in counter space as needed • Greater availability of information through common-use flight and baggage information systems and dynamic signage • Fewer gate changes because of irregular operations • Improved performance in baggage handling at airports with constrained baggage systems • Greater quality control over skycap and janitorial services • A more pleasant environment for passengers as a result of a standardized look and feel within the airport, reduced congestion as a result of balancing arrivals and departures throughout the airport, and less disruption during future construction work Business Value Assessment 69 Read the entire page →
From page 70... ... Gain a Competitive Advantage over Other Airports To gain a competitive advantage over other airports, an airport operator could consider implementing common use at gates, check-in counters, flight information displays, baggage areas, kiosks, curb-side locations, and off-site check-in locations and assuming the responsibility for providing ramp control and ground handling services for common-use areas to create a combination of cost savings, flexibility, quality of service, and expansion of utilization capabilities so as to attract passengers and airlines from competing airports. To determine if common use would provide sufficient value toward satisfying this motive, the airport operator should compare the costs associated with implementing common use with the Read the entire page →
From page 71... ... Costs Potential costs associated with implementing common use in order to gain a competitive advantage over other airports are described in detail the previous section within the following areas: • Planning and Design • Terminal Check-in Areas • Curbside Check-in • Off-site Check-in Operations • Gate Areas • Flight and Baggage Information Display Systems • Ramp Control Services • Ground Handling and Ramp Services Benefits The primary benefits of gaining a competitive advantage over other airports are as follows: • Reduced barriers to entry and expansion for airlines by enabling airlines to enter the market more rapidly, test the market, and grow operations with minimal capital outlay for facility, systems, and infrastructure modifications • Cost savings for both domestic and international carriers with a low number of flights per day by enabling them to pay for only the resources that they need, including shared gate and check-in counter usage, baggage systems, communications infrastructure, passenger processing equipment, and technical support • Expanded services by carriers with a large number of flights per day by enabling them to efficiently accommodate overflow flights and seasonal spikes in air traffic without needing to pay for dedicated gate and check-in counter space • Minimized risk to airlines by reducing the requirement for airlines to lock into a long-term agreement • Greater quality of service for the airlines by creating customer service improvements to the airlines by improving control over ground handling operations airport-wide thereby creating greater organization and reducing the need for airlines to manage ground handling contractors, improving baggage handling performance in airports with congested baggage systems, providing greater ramp control, enabling more timely technical support, and creating new opportunities for curbside services • Improved flexibility and convenience for airlines by enabling airlines to move within the airport if desired, making it easier and more cost-effective for an airline to start new service, allowing operational expansion and reduction capabilities, better facilitating irregular operations and seasonal air traffic, and creating less disruption to airlines during future construction work • Minimized risk to airlines by reducing the need for airlines to lock into a long-term agreement • Greater quality of service to the passengers through a more convenient check-in process as a result of creating alternatives for check-in through curbside services, self-service kiosks, and reductions in wait times because of the ability to add check-in counter space as needed. • Greater availability of information and navigation through common-use flight and baggage information systems and dynamic signage • Reduced gate changes due to irregular operations • Improved performance in baggage handling at airports with constrained baggage systems • Greater quality control over skycap and janitorial services Business Value Assessment 71 Read the entire page →
From page 72... ... Airport operators will find it helpful to have the documents listed in Table 4-1 available when completing this business strategy assessment. 72 Reference Guide on Understanding Common Use at Airports Table 4-1. Read the entire page →

From page 50...

... These costs reflect a range of factors that should be considered for each area. Not all costs will be necessary for each implementation; additional costs, which may not be discussed here, could be incurred by the airport operator or other key stakeholders.