2019 Pricing Consultation

Airways Corporation of New Zealand Limited Pricing for the 2019-2022 Period

2.  Business transformation AIRWAYS PROPOSED

CONSULTATION PROCESS

Airways is committed to the implementation of the transformation initiatives presented in the 2016 Pricing Consultation, which will improve the safety, resilience and flexibility of services. The business transformation strategy focuses on the people, technology and buildings required to deliver interoperable services from Auckland and Christchurch as shown in figure 12 and summarised in sections 2.A. to 2.C.

EXECUTIVE SUMMARY

PART A AIRLINES

Figure 12 – Airways’ business transformation

PART B GENERAL AVIATION

APPENDIX 1 PRICING TABLES AND EXAMPLES

Based in two locations

APPENDIX 2 SUPPORTING INFORMATION

Two resilient centres

Voice control switch for interoperability

Single ATM platform

Standardised operations

2.A. People – Greater flexibility to meet your needs During the next three years the one-centre-two-locations model will be implemented and balancing of the workload between Auckland and Christchurch will start. Further enhancements will enable the replacement of procedural approach units with surveillance-based services. A review of the national airspace and sectorisation model will be delivered to ensure all operational changes complement the future operating model. The financial summary of the costs to transition staff are outlined in figure 13. The transition is due to be completed in 2022, with benefits being realised from 2023.

Figure 13 – Financial summary of the staff transition programme

$m

FY17– FY19

FY20 FY21

FY22 FY20– FY22

FY23– FY28

Total

6.1

8.4

14.5

Transition costs

3.2

4.4

0.8

19

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