ANSP Business Innovations in present environment Aviation Seminar in Tartu 14-15.11.2013

2. ANSP Business Innovations in present environmentAviation Seminar in Tartu14-15.11.2013 Matts-Anders Nyberg Head of Business Innovations, Finavia ANS 15.11.2013

3. Content • European level – SES • Finavia ANS – Strategy • Finavia ANS Business Solutions & Innovations

4. European ANSP Challenges- The need for Innovations • EC is increasing its role in formulating the European-wide Air Traffic Management strategy by legislative actions –> SES I / II / II+? • The next five-year period will show directions for states/authorities/ANSPs in Europe • Mandate to states to form functional airspace blocks across national borders to facilitate free routings etc. • The Performance Scheme includes stringent goals for ANSP providers • Main objective of this exercise to get cost-effective services by ANSPs, but • Not to forget Safety, Environment and Quality goals • Competition and unbundling of both core ATM service provision and support services across borders will increase • Already happening as the tower services in some countries are provided by someone else than the ‘national’ ANSP. • In order to continue as players in the market, ANSPs has to adapt to the changing operating environment and conditions

5. SES REQUIREMENTS- ANSP VIEW • SES requirements and performance: • necessary within EU area to unify requirements, service principles and joint working arrangements, but • regulation should promote end results (what to achieve) and let the solution management (how to achieve) to ANSPs, • challenge to integrate functions with neighboring states/service providers and at the same time not to violate competition regulation, • Examples. • An ANSP cannot buy services from a selected partner without public procurement if the value exceeds 400.000,- over the next 4 years • An ANSP should not liaise with another too close as it can be interpreted as a cartel/trust

6. SES REQUIREMENTS- ANSP VIEW • What need to happen in order for States and ANSPs to do real cooperation • States and ANSPs need to give and take; ANSPs need to let partner to provide some services on behalf of each other. Every ANSP cannot sustain all pieces of services within own organization • We need to build thrust! Service provision is very seldom connected to geographical location. Most services can be provided from remote locations as modern technological solutions are available • States (incl. military stakeholders) must acknowledge that in order for ANSPs to cut costs, cross boarder solutions (en route sectorisation, Free Route Airspace) must be accepted

7. Finavia ANS- Mission and Vision 2017 • Mission • The mission of Finavia ANS is to: • Provide Air Traffic Services with relevant infrastructure at airports owned by Finavia Oyj • Manage Airspace in Finland • The services shall • Be safe • Be environment-friendly • Be cost-efficient • Add value to customers’ operations • Vision • The vision of Finavia ANS is to become a profitable business unit • To operate in a cost-efficient manner, while providing added value to our customers. Finavia ANS will be regarded as a preferred business partner in ATM community, especially in Finland and Northern Europe.

8. Finavia ANS strategic objectives and key performance indicators 2013-2017 • Cost-efficiency • Improvement of turnover • Customer value and quality • International co-operation • Most of the targets are derived from the SES Performance Scheme Reference Period 1 (2012-2014) • Finavia to decrease Unit Rate by 1,7% /year • Overall decrease in EU area 3,5% /year • The values for Reference Period 2 (2015-2019) expected to be more tough • Owner and Finavia internally has set own targets to assess the processes of the organization

9. Finavia strategies to achieve objectives • To improve cost-efficiency, the focus is on the service provision • Possible ways of achieving the objective include outsourcing, using of subcontractors or service provision together with other Air navigation service providers • To improve turnover requires expansion in customer base; the market within Finland is saturated • A big opportunity is the initiation of cooperation between service providers in NEFAB and Borealis • Adding value to customers can be achieved in several ways • To deliver enhanced services while maintaining the price at same level • To provide more direct routing from A to B with as little as possible restrictions during climb or descent • ANS prepared to dynamically respond to customers’ requirements • E.g. the level of Air Traffic Service at any given airport is matched with the demand • The EU-legislation and the globalization-effect in the ATM-provision industry will force ANSPs to join forces in order to stay ahead of competition • The co-operation at different levels is expected to bring benefits in the form of cost-saving and regulatory compliance

10. Finavia, resultssofar- en routedelays at minimumbutactionsneeded to keeplevel

11. Finavia, resultssofar- Personnelproductivity, 2/3 of coststructure

12. WHAT´s NEXT - BUSINESS SOLUTIONS & INNOVATIONS • Air Traffic Services/Airspace Managment • En route center at Tampere to be relocated to Helsinki ATCC > TWR / APP / ACC services • Airspace Management Cell – the coordination of daily airspace use (routes, reserved areas, military areas etc.) in cooperation with Finnish Airforce • Support services • Briefing/Flight Plan Services; all functions to be centralized to one service center • Cooperation with neighboring ANSPs through joint ventures/jointly run business unit • Aeronautical Information Services > Management; A potential new production model for publications, charts, procedures and data management • Joint tools and production with neighboring ANSPs, sharing capacity • ANS Technical services • Less investments/more leasing and sharing of capacities/-costs, • Implement new technologies (WAM, Remote monitoring/maintenance) • Joint Training • Joint Basic and competens training programmes (sharing facilities, course material, simulators/tools, instructors)

13. CONCLUSIONS • We = ANSPs must acknowledge that conservative approach is not acceptable any more • Think out of the box • Give and Take • Find out what Customers really need • Find business solutions with partners • Start at bilateral level > Expand when concept proven • Build trust along the journey • Act before regulation comes

14. Thank you! Matts-Anders.Nyberg@finavia.fi www.finavia.fiwww.helsinkiairport.fiwww.twitter.com/helsinkiairportwww.facebook.com/lentoasemawww.facebook.com/helsinkiairport ExternalFor SmoothTravelling