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Reaping Landside Benefits Via AVI Technology

Reaping Landside Benefits Via AVI Technology. AAAE Airport Finance & Administration Conference February 1, 2005. Agenda. What is AVI? – Brief review AVI applications at Airports Focus on Landside applications Potential benefits of AVI Case studies. What is AVI?.

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Reaping Landside Benefits Via AVI Technology

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  1. Reaping Landside Benefits Via AVI Technology AAAE Airport Finance & Administration Conference February 1, 2005

  2. Agenda • What is AVI? – Brief review • AVI applications at Airports • Focus on Landside applications • Potential benefits of AVI • Case studies

  3. What is AVI? • Automatic Vehicle Identification (AVI) uses wireless communication technology to identify, monitor, track, and collect data on vehicle movements so you can effectively manage Customer parking and a variety of airside and landside vehicle - related activities.

  4. Who’s Using AVI • Currently more than 64 airports in North America use AVI in single or multiple applications • Over 240,000 transponders • Over 750 lanes of equipment • That number will increase to 68 by late 05 • The first system deployed was LAWA in 1989 • AVI users cover a broad range; LAX to EAG • Regional interoperability with toll roads is the next big step • SunPass; LeeWay; EZ-Pass; K-Tag; PikePass; TollTag; FasTrak; I-Pass • Leverages large existing user population

  5. Why Use AVI?

  6. AVI Applications at Airports • Landside • Ground Transportation Management • Taxi Dispatch operations • Patron Parking & Revenue Control • Employee Parking • ACAMS interface for security • Airside • SIDA vehicle Access control & CVO • Cargo/baggage identification & tracking • Runway incursion monitoring

  7. Focus on Ground Trans Challenges • Revenue generation • Customer service • Space utilization - curb and roadways • Fleet management • Owner/operator relations • Environmental regulatory compliance • Security

  8. Ground Trans Revenue – The Old Way • Typical Fees • Flat annual fee (“medallion concept) • Trip sheets (“honor” system) • Percentage of operator revenue • None • Problems/Issues • Audit/tracking/reporting • Labor intensive • Missed revenue • Compliance/enforcement

  9. AVI System Implementation • RFID transponders ensure positive vehicle ID • Secure/tamper resistant • Software features • Configurable for your business rules • Extensive Reporting • Audit • Interfaces • ACAMS/PARCS or authority ERP system • 3rd part transaction processing provider

  10. Case Study - LAX • Landside Challenges • Chaos at curbside • Unauthorized/unknown vehicles accessing airport • Operators under-reporting trips on “honor” system • Manual system with no audit trail • AVI implemented in 1990 • 45 lanes of equipment/20,000+ transponders • Interoperable AVI with other regional airports • Vehicle management/enforcement driven rate charging system

  11. Case Study – LAX Results • Eliminated hundreds of unauthorized operators • Improved customer service • Reduced liability • Close control over all vehicle ingress/egress • Opened up curbside • Improved customer service • Significant financial gains • 250% revenue increase in 1st 90 days • ROI of less than 11 months • 12 year system life-cycle

  12. Case Study – LAS • GT System overload • Manual taxi dispatching system – inefficient • Lack of cohesive audit/billing system • Under-reporting of trips on “honor” system • AVI implemented in March 2004 • 20 lanes of equipment/5,000 transponders • Vehicle management/trip charge/taxi dispatch • Web interface for operator data access • Interface to Clark Co. JD Edwards ERP

  13. Case Study – LAS Results • Improved throughput and Taxi management • Averages 350,000 dispatches per month • Significant customer service improvement • Reduced staff workload • Elimination of manual billing/dispatching • Web application fro operator inquiries • Significant increase in revenue • 3 out of every4 trips were being unreported • ROI projected at 5 years, realized at end of ‘04 • Accurate data for billing, management, and audit trails

  14. AVI Benefits for Ground Transportation • Increased Landside revenue through efficient, accurate, tracking and billing • Increases in excess of 200% are typical • Typically short ROI cycle • Measured in months, not years • Reductions in staff workloads • Improved curbside use and space management by time-regulating traffic patterns • Improved customer experience at curbside • Accurate data for billing, management, and audit trails

  15. Summary • AVI is a mature, accepted technology in widespread use at airports on a global scale • You don’t have to be a Cat X airport to see the benefits • AVI is a revenue positive proposition • Capture previously unrealized revenue • Realize significant operational benefits • Attractive ROI • New and innovative procurement strategies can keep investment low and allow incremental deployment

  16. OPEN DISCUSSION

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