Article

Smart Airport Restructuring

A staggered approach to master uncertainty, required capacity adjustments, and financial gap closure while making use of strategic momentum

The aviation sector is strongly affected by the corona crisis. The demand for passenger air traffic has experienced a dramatic downturn. Airlines have started to discontinue their service offering - only a limited number of passengers are currently handled at many airports worldwide. Even after successfully surviving the crisis, global airports are expecting structural changes in the aviation industry, which will have negative effects on passenger numbers in the upcoming years. Against this background, many airport operators need a smart restructuring concept in order to master financial losses in a highly uncertain market environment. Which strategic chances does the crisis offer for your airport?

Our Horváth & Partners Smart Airport Restructuring Approach was developed by our aviation experts in response to the current market situation triggered by COVID-19. Our experts follow a staggered approach to enforce the required capacity and strategic adjustments.

What do we offer?

  • We simulate PAX volume and structural changes in several scenarios, which is key to restructuring under uncertain market conditions
  • We consider long-term strategic market changes and megatrends to drive a sustainable return to profitable growth and to make use of momentum
  • We perform financial analyses to reveal the biggest levers to counteract the downturn and foster a joint sense of urgency
  • We pinpoint necessary personnel capacity adjustments for core processes by considering and combining volume changes and productivity improvements
  • We consider new deployment models to simultaneously minimize layoffs, resolve inefficient labor agreements, and foster smooth labor negotiations
  • We reveal new fields of non-aviation business opportunities to support job protection and re-shape the commercial business portfolio to drive strategic progress
  • We perform right-sizing of overhead and organizational structures to adapt to adjustments of operational business
  • We provide a staggered approach with an escalation mechanism to master uncertainty, enforce strategic adjustments, and to overcome efficiency barriers

Your benefits:

  • Strictly market-driven concept addressing uncertainty and given hurdles to adjust personnel capacity
  • Financial gap closure balancing staff reduction and job protection to deal with recurring workforce shortages
  • Sustainable return to profitable growth by integrating strategic and structural market changes in the long-run
  • An opportunity-driven solution that enforces strategically desired measures and dissolves antiquated structures
  • Eased labor negotiations through a joint sense of urgency and smartly staggering severity of measures

Curious? Contact us to discuss, scope, and outline an appropriate restructuring concept for your airport!

Dr. Schnöbel, C. / Dr. Bohlmann, B.

Your Contact

Dr. Christian Schnöbel

Dr. Christian Schnöbel