Milano-Malpensa Airport Airport Operations Management Karina Köörna Jaanika Sofronova Rauno Põldsepp Estonian Aviation Academy Tartu 8.11.2016

TASK 2 and presentation overview Background information: You are part of the consultancy team responsible for advising airport in some state. Requirement: if this airport has the master plan the team has to offer own view which is different from the existing.   Task: Conduct based on available information high-level strategy for airline with following items having special focus: - Who are the main customers and what are the resources - SWOT - Main objectives for development (could be measurable) - Create a vision and mission for the airport in 2025 - How to stay alive

Background information: Milan-Malpensa airport (MXP) Airport type Public Operator SEA Aeroporti di Milano Serves Milan, Italy Hub for Cargolux Italia Focus city for Alitalia Blue Panorama Airlines EasyJet Emirates Website milanomalpensa.eu Location 49 km northwest of central Milan Structure 2 terminals, 2 runways, cargo terminal Information source: https://en.wikipedia.org/wiki/Milan%E2%80%93Malpensa_Airport http://www.sea-energia.eu/sites/default/files/imce/sea_aviation.pdf

Terminals Terminal 1 (opened in 1998) is the newer, larger and more prominent terminal. The terminal is divided into three sections and handles most passengers on scheduled as well as charter flights: Terminal 1A handles domestic and intra-Schengen flights. Terminal 1B handles non-Schengen and some intercontinental flights. Terminal 1C (opened in 2013) handles non-Schengen and some intercontinental flights. Terminal 2 is the older terminal. It is currently used exclusively by easyJet. All charter services, which were previously based in this terminal, moved to Terminal 1 upon its opening.

Main customers and resources Malpensa falls under Italy/Milan’s Blue Banana* area *Blue Banana is the area where European production and consumption are mostly concentrated Information source: http://www.sea-energia.eu/sites/default/files/imce/sea_aviation.pdf

Main customers and resources Business passengers Milan and Northern Italy are the business heart of Italy Many multinational corporations based there Economy passengers Tourism, sports, fashion, culture, transfer etc Locals Catchment area* of more than 14 million people, 140-250km *Milan catchment area is the strongest generator of air traffic revenues

Main customers and resources Airline customers are mainly: Alitalia, Emirates, EasyJet, Blue Panorama Airlines Some of the resources: cargo terminal, public transportation means

SWOT analysis Strengths Transport connectivity via land to major Northern Italy cities The terminal is directly linked to the national railway network Flight punctuality Southern cargo gateway for Europe Regular passenger flow over the whole year Relevant point-to-point traffic flows Global connections Hosting the most international operators in Northern Italy Smoking areas in terminals

SWOT analysis Strengths Transport connectivity via land to major Northern Italy cities Information source: http://www.sea-energia.eu/sites/default/files/imce/sea_aviation.pdf

SWOT analysis Weaknesses Complex systems for using runways and airspace capacity Lack of capacity during peak times Staff quality Poor staff and terminal management Terminal layout and connectivity Not enough seatings near gates, distance and connectivity between gates

SWOT analysis Opportunities Traffic and transport from strongly emerging regions Collaboration with airlines and other partners Single European Sky Improvement of infrastructure (road and rail) in order to reduce congestion in Lombardy region

SWOT analysis Threats Competing airports in near proximity Challenges faced by European network carriers Terrorism European regulations

Main objectives for development Improving terminals Seating Gate to gate movement Reducing queues Connection between terminals Staff management Check-in and passport-control booths

Vision for the airport in 2025 To strengthen Milan-Malpensa as the international aviation hub and a key engine for the economic growth of Italy.

Mission for the airport in 2025 To excel in the operation and development of Milan-Malpensa in collaboration with airport partners by: Upholding high standards in safety and security Operating efficiently with care for the environment Striving to exceed customer expectations Fostering a culture of innovation Valuing our People

How to stay alive Service Quality, Branding, Consumer Marketing, Airline Marketing Airline Marketing Modify facilities or services Target airlines for new or existing routes Use strategic marketing partnerships Offer flexibility on pricing (for shops, cafes, airlines) Develop joint advertising or promotions (eg campaigns with main airlines) Provide travel planning support to passengers Improve management processes (eg staff)

QUESTIONS?

Thank you for your attention!

Resources: https://en.wikipedia.org/wiki/Milan%E2%80%93Malpensa_Airport http://www.airportmalpensa.com/terminal-map.php http://www.milanomalpensa-airport.com/en/airport/maps http://www.sea-energia.eu/sites/default/files/imce/sea_aviation.pdf http://www.airlinequality.com/airport-reviews/milan-malpensa-airport/