1. Report 69 Asset and Infrastructure Management for Airports June 2012

2. Contents Background to the project What is Holistic Asset Management? Main Findings of the Research Getting Started Primer Highlights Guidebook Highlights Conclusions

3. Researchers GHD Consulting Inc. Principal Investigator: Larissa James Shivprakash Iyer Crystal McNeely Wayne Francisco Duncan Rose Sophie Denford Keith Brown Christian Roberts Rex Harland Colin James Scott Sellers Transsolutions LLC Gloria Bender Rex Roe Applied Research Associates Inc David Hein Allen Parra Lawrence Smith PE Lawrence Smith

4. ACRP 01-16 Project Objectives Develop a Primer for executive-level decision makers at airports of all sizes –Overview of an asset and infrastructure management program Components Benefits and costs Develop a Guidebook –Instruction in the development and implementation of an asset and infrastructure management program Captures best management practices Provides guidance in developing and incorporating asset and infrastructure management programs at airports of all sizes

5. ACRP 01-16 Panellists Chair Ms. Karen Scott, P.E. Deputy Executive Director - Planning & Engineering Louisville Regional Airport Authority Members Ms. Carol M. F. Davis Vice President, Asset Management DFW International Airport/Asset Management Mr. Josh Francosky, AAE Senior Airport Planner Hartsfield-Jackson Atlanta International Airport Mr. Royce Holden IT Director Asheville Regional Airport Ms. Joyce K. Johnson President CAD Concepts, Inc. Ms. Therese "Teri" Norcross, CPA Finance Manager Missoula County Airport Authority FAA Liaison Mr. Kevin C. Willis Airport Compliance Officer Federal Aviation Administration FHWA Liaison Mr. J. B. "Butch" Wlaschin, P.E. Director, Office of Asset Management Federal Highway Administration Other Liaison Mr. Matthew J. Griffin Manager Policy and Regulation Airports Council International - North America TRB Liaison Mr. Thomas Palmerlee Associate Division Director Transportation Research Board ACRP Staff Ms. Marci A. Greenberger, AAE Senior Program Officer Transportation Research Board Airport Cooperative Research Program Ms. Tiana M. Barnes Senior Program Assistant Transportation Research Board

6. Key Airport Participants Long Survey Participants Miami International Airport Corpus Christi International Airport Toronto Pearson International Airport Cincinnati/Northern Kentucky Int. Airport Churchill Manitoba Airport Jackson Municipal Airport Minneapolis/St. Paul International Airport Sacramento International Airport Fresno Yosemite International Airport Hartsfield-Jackson Atlanta International Airport Chicago O’Hare International Airport Dallas/Fort Worth International Airport Reno-Tahoe International Airport McCarran International Airport Bangor International Airport Greenville Spartanburg International Airport Palm Springs International Airport Jacksonville International Airport Oakland International Airport Charlottetown Airport Memphis International Airport Seattle Tacoma International Airport Vancouver International Airport Winnipeg Airports Authority Springfield Branson National Airport Salt Lake City International Airport Louisville International Airport Louis Armstrong New Orleans Int. Airport Addison Airport San Francisco International Airport Tallahassee Regional Airport Washington Dulles International Airport Nashville International Airport Gatwick, UK Short Survey Participants Large Hub Addison Airport Arlington Municipal Airport Baltimore Washington International Airport Chicago O’Hare International Airport Denver International Airport Detroit Metro Airport George Bush Intercontinental Airport Minneapolis/ St. Paul International Airport Medium Hub Austin Bergstrom International Airport Cincinnati/Northern Kentucky Colorado Springs Municipal Airport General Mitchell International Airport Lambert St. Louis International Airport Manchester Boston Regional Airport Memphis International Airport Sacramento International Airport South West FL. International Airport Vancouver International Airport Albuquerque International Airport Non-Hub Bangor International Airport Grand Canyon National Park Airport Metropolitan Knoxville Airport Authority Missoula International Airport Pittsburgh International Airport Saint John Airport Canada Small Hub San Diego International Airport Atlantic City International Airport Baton Rouge International Airport Corpus Christi International Airport Des Moines International Airport Fresno Yosemite International Airport Gerald Ford International Airport Greenville Spartanburg International Airport Huntsville International Airport Long Island Macarthur Airport Preston Smith International Airport Tallahassee Regional Airport Tucson International Airport Tulsa International Airport Valley International Airport Wichita Mid-Continent Airport Site Visits Dallas/Fort Worth International Airport Miami International Airport Addison Airport Greenville Spartanburg International Airport Sacramento International Airport Toronto Pearson International Airport Bangor International Airport Gatwick London Airport Brisbane Airport Corporation Auckland Airport Charlotte Douglas International Conference Calls Port Authority of NY and NJ Port of Seattle Sarasota International Airport Denver International Airport Cincinnati International Airport

7. What is Holistic Asset Management? “Systematic and coordinated activities and practices through which an organization optimally and sustainably manages its assets and asset systems, their associated performance, risks and expenditures over their life cycles for the purposes of achieving its organizational strategic plan.” An organizational strategic plan is defined as: “ Overall long-term plan for the organization that is derived from, and embodies its vision, mission, values, business policies, stakeholder requirements, objectives and the management of its risks.” Source: PAS 55 Part 1 2008

8. Main Findings of the Research Aviation Planning, Seattle-Tacoma International Airport, “Asset Management is a planned and proactive strategy for optimizing the life of vital facilities. The business management practices are based on total cost of ownership for ongoing renewal, maintenance and operation. They are a source of competitive advantage and critical to the long term stewardship of airport infrastructure” An holistic approach to asset management helps infrastructure managers to: –Do more with less –Identify and manage risks to the business –Make better investment decisions –Extend asset life, reduce downtime, achieve better control over performance –Align decision makers to a common purpose –Respond more easily to changes in the regulatory and commercial environment Examples: –13.5% increase in pavement life –Pavement levels of service maintained with 30% reduction in budget

9. Standards –No current standard for holistic infrastructure management in the US –ISO 55000 series of standards currently under development Using the British Standards Institute Publicly Available Specification PAS 55 as a basis Due for completion by end of 2013 –Recognized guidebooks for infrastructure asset management International Infrastructure Management Manual produced and published by Institute of Public Works Engineering, Australia (IPWEA) National Asset Management Steering Group, New Zealand (NAMS)

10. The model - Asset Management Framework

11. What Asset Management could mean to you? CEO and BoardBetter understanding of future needs to service customers competitively Budget and FinanceReduce unforeseen post-budget capital needs Provide 10 year and beyond forecast of capital, operations, maintenance needs Price forecasts to address changing infrastructure investment needs Planning ManagerPlanning requirements for infrastructure and assets included in airport asset management plans Engineering ManagerGreater lead time on project work load, processes for continuous improvement in design and construction standards, improved engineering records, data and knowledge management Operations ManagerSupport for and focus on achieving operating efficiency and effectiveness, and service level outcomes Maintenance ManagerIncreased support for improved maintenance processes and practices Environmental ManagerAwareness of the environmental consequences of infrastructure failures and ability to pre-plan mitigations Information TechnologyGreater awareness and understanding of the specific system functionalities needed to support the business

12. How the model fits with current airport planning approaches

13. Governance Structures

14. Best Management Practices – Asset Management Planning Airport AMP Landside and Airside Facility and Systems AMPs Asset Strategies – MMI (Maintenance Managed Item) Level Levels of Service Conveyor Baggage Handling System Passenger Boarding Bridge Lift Column

15. “10 Step Process” to Asset Management Source: US EPA Asset Management Training

16. Asset Management Systems Integration between financial and technical data and information Decision support tools to analyze asset data and information for optimized investment decision making

17. Getting started Report 69: Primer – The “what” and “why” for Executive Management –Overview of an asset and infrastructure management program Components Benefits and costs Report 69: Guidebook – The “how” for Implementers –Overview of how to implement a framework, develop and implement Asset Management Plans –Undertake continuous improvement reviews

18. Primer – Table of Contents Why Asset Management for Airports? What can Asset Management do for you? Introduction and Primer Overview Introduction to Asset Management Asset Management Policy Asset Management Objectives, Strategies and Plans Asset Management Enablers Implementation of Asset Management Plans Performance Assessment and Improvement Management Review Pulling it all Together: Implementing an Asset Management Framework Concluding Observations

19. Primer Highlights Undertake an asset management maturity/gap assessment to prioritize an implementation roadmap: Primer Table of Contents What does Asset Management do for you? Introduction and Primer Overview Introduction to Asset Management Asset Management Policy Asset Management Objectives, Strategies and Plans Asset Management Enablers Implementation of Asset Management Plans Performance Assessment and Improvement Management Review Pulling it all Together: Implementing an Asset Management Framework Concluding Observations Series 1 = Your Assessment Series 2 = Top 10 % of Airports in the US Series 3 = Best Appropriate Practice

20. Guidebook – Table of Contents Introduction and Guidebook Overview Implementing an Asset Management Framework: Establishing the Foundation Asset Management Objectives Asset Management Strategies and Plans Airport Information and Data Systems Implementation of Asset Management Plans: Lifecycle Processes and Best Appropriate Practices Performance Assessment and Improvement Management Review

21. Guidebook Highlights 10 Step Asset Management Plan development process: Example for a Passenger Boarding Bridge (PBB) Guidebook Table of Contents Introduction and Guidebook Overview Implementing an Asset Management Framework: Establishing the Foundation Asset Management Objectives Asset Management Strategies and Plans Airport Information and Data Systems Implementation of Asset Management Plans: Lifecycle Processes and Best Appropriate Practices Performance Assessment and Improvement Management Review

22. Guidebook Highlights 10 Step Asset Management Plan development process: Example for a Passenger Boarding Bridge (PBB)

23. THANK YOU For more information contact: Report 69 Principal Investigator: Larissa James larissa.james@ghd.comlarissa.james@ghd.com or Crystal McNeely crystal.mcneely@ghd.comcrystal.mcneely@ghd.com