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BRANSONDiscover what happens when 30 change makers and forward thinkers join Sir Richard Branson at his private home on Necker Island to get inside the mind of the ultimate rule breaker

DLL’s Bill Stephenson • Inalfa Roof Systems Group’s Frank Loeschmann • Rhiag Group’s Luca Zacchetti United AVIATION

With the ’s drive for a , air traffic management in is changing rapidly. is bringing significant technological and operational innovation to the industry.

Images courtesy of EUROCONTROL

viation is only a navigation service provider intention was to provide air traffic century old but it has (ANSP). In Europe, however, ATM control services for the upper rapidly become a vital is changing rapidly, not just airspace across these countries. part of the modern technically but also structurally, But even though the mission has economy. It has long mainly driven by the European evolved to being one of Abeen recognised that it is Union’s Single European Sky coordination with a strong necessary not just to have air initiative. This aims at improving technical emphasis, the scale of traffic control—with controllers the performance of ATM in the organisation has expanded giving detailed instructions to Europe, as well as enhancing the massively, as explained by pilots to make sure that they stay competitiveness of the European Director General Frank Brenner: safe—but also to have a proactive aviation industry. Some of the “EUROCONTROL was founded approach to air traffic management most innovative changes are being to overcome fragmentation in (ATM); organising the airspace, developed by EUROCONTROL, European ATM. Europe is a setting procedures, managing the which has been involved in ATM relatively small continent overall air traffic flows across a since 1960. compared to other continents on continent, and responding to this earth. But in this small problems such as bad weather. Initially, EUROCONTROL had continent, we have 41 states that just six members—, are all EUROCONTROL ATM is largely organised on a , , , members. The political changes in national state level, with each the , and the United the nineties in Europe have country having its own air Kingdom—and the original supported this growth in

114. The CEO Magazine - July 2015 theceomagazine.com Frank Brenner taking part in a panel at membership, with countries ATCA’s 59th Annual Conference from Eastern Europe joining EUROCONTROL in significant numbers.”

Frank is well known in the aviation industry and in in particular, with the majority of his career being spent in this industry. “I have worked in air traffic management for over 30 years, so I am not a newcomer or coming from the outside. I started in the German air navigation service provider company as an air traffic controller and moved up through the ranks of different managerial positions of very different natures; commercial “My experience has helped me a “My experience activities, pure air traffic lot because I bring with me an has helped me management, sovereign activities, understanding of the business, up to the position of the Director how the business evolved over a lot because I General of EUROCONTROL, time and what we need to do to bring with which I took on the first of increase our competitiveness in January 2013. I think the aviation. I use this in the current me an “Working with EUROCONTROL is a most enriching experience. English expression could be ‘I position to see what we have understanding Through this cooperation we are part of the pan-European ATM stage. started at the coalface’ and moved been suffering from in the past The knowledge we gain there is most important for the provision of an of the business, excellent service and achieving highest-level customer satisfaction.” through the ranks up to my and how we can improve the - Heinz-Michael Kraft, CEO, GroupEAD Europe S.L. current position. future in order to move our how the business forward.” business The challenge of tackling the evolved over fragmentation of the industry is time and what still at the heart of improving performance in Europe. Each we need to do country is responsible for to increase our interests are very different. We Despite the difficulties caused by managing its own sovereign have as one of the all these competing interests, the airspace, which results in major competitiveness smallest member states, and need for performance inefficiencies, as well as the in aviation.” then of course that goes up to improvement is clear. Traffic difficulties of achieving consensus. - Frank Brenner the big states like , Germany, growth is returning to Europe, Since 2003 GroupEAD has served more than 200 organisations by or . with the latest forecast showing an managing the AIM operations of the EAD on behalf of EUROCONTROL. “With 41 member states and their extra 1.7 million flights a year by GroupEAD is the most experienced AIM service provider and your perfect national air navigation service “The first important issue is to 2021. Without action, that provider companies—that are understand the needs of the translates to increased delays, partner to support you on the transition from AIS to AIM. mainly all state owned—trying to different stakeholders and that is unnecessary fuel burn/emissions achieve a common way forward achieved best through and the potential for an impact on www.groupead.com and reach common positions, and communication in both directions; safety. The cost of the system is in many cases we need unanimous we ask what is their aim, what is already an issue. agreements, that’s a challenge. The their agenda, what are their needs. political and the air traffic We have created a variety of “At the moment, our air traffic situations in these countries, and different communication channels, management in Europe costs the Enabling AIM since 2003 also the economies in the 41 a lot of consultations with the users, the passengers, €9 billion per member states, are very different, stakeholders on specific subjects, year,” Frank explains. “That’s and of course the sizes of those and bringing, subject by subject, significant. The air traffic countries and the associated the different stakeholders together. management fees are about 6 per When it comes to airspace design, cent of the cost structure of the then, of course, the military might airlines, so they are much higher have different interests in the than a potential profit margin, “Indra has been collaborating with EUROCONTROL for more than 20 years. airspace design than a general which at the moment can range for In particular, Indra has successfully developed a new-generation Flight aviation representative, than a good companies up to around 3 per Data Processing system. Today EUROCONTROL and Indra are successfully working together, including on future concepts developed in the charter airline representative, than cent. A lot of them don’t make any SESAR program.” - Rafael Gallego, Director General, Indra a regular airline representative.” money, but 3 per cent is already a

theceomagazine.com The CEO Magazine - July 2015 117. LEADING SOLUTIONS CONSULTANCY IN AIR TRAFFIC AND TECHNOLOGY MANAGEMENT WORLDWIDE AND

Indra is one of the global leading companies in the Air Traffic Management business, At Indra we are passionate about what we do. We have an in-depth understanding with more than 90 years of experience in the most demanding environments. of our client’s needs, and we find ways to make the most difficult tasks seem easy. Fulfilling commitments is not an option, but rather a habit we have acquired through Indra is one of the more relevant suppliers of very advanced ground systems for the our technical and management expertise.Innovation is our cornerstone, and we use Single European Sky (SES), being one of the founding members of the R&D pillar of our experience to exceed expectations in each and every solution and service we the SES: The SESAR Joint Undertaking (SJU). offer. When faced with a major technical challenge, Indra is the answer.

Indra is the Technological Partner of one of the more solid European Alliances to build up the SES: the iTEC (interoperability Trough European Collaboration) made up by DFS of Germany, NATS of UK, Enaire of Spain and LVNL of The Netherlands. Today there are some iTEC Systems in operation, and during the coming five years some of the more complex and largest ATM centers of Europe will deploy the next generation of iTEC Systems.

Indra is also a world leader in supplying CNS (Surveillance, Navigation and Communications) equipments with more than 3,500 installations all over the world. The MSSR of Indra provide surveillance radar coverage to countries like Australia, China, , India, , Spain, and Latin America countries, among many others, and the NORMARC brand of Navaids is one reference in the industry.

Indra is a global technology company having over 43,000 employees all over the world, subsidiaries in more than 40 countries, with sales over 3,000 M€. indracompany.com

INNOVATION + convince a state that has only one “In order to air traffic control centre to reduce costs, consolidate that facility with a centre from another country, we need to find thereby basically going out of other intelligent business. This would be a situation that is hardly survivable solutions.” for any politician facing questions - Frank Brenner from the public, parliament, or the Maastricht Upper Area Control Centre, the Netherlands military. Therefore, in order to reduce costs, we need to find other intelligent solutions.” put into the cellars of this immediately agree that they could infrastructure. This was an provide the services beyond their Frank is considering an alternative approach that we will see go away national borders—the problem is way of tackling the problem. He with new technologies using big there’s another one already doing feels that the underlying issue is data being processed at other that business in the same way and that ATM is regarded as a locations and not necessarily all at same quality. We need to generate monolithic activity. Monolithic the local locations; this will reduce market possibilities where they good margin and 6 per cent is what A part of the vision of the Single meaning that each nation and each costs and will make use of an actually can move beyond their air traffic management costs. European Sky was to address this service provider is a ‘full service’ approach which we call system- national borders.” Whatever we can do to reduce the situation by bringing together ATM provider. “This was not only wide information management. So 6 per cent is a significant neighbouring countries in the habit, but technically necessary that’s a completely different Such an approach has been contribution to the competitiveness so-called ‘functional airspace in the past. But these times are approach, to be relying on service proved in practice in the past for a of Europe and of the airline blocks’ (FABs). However, gone. Instead, it is possible to providers to generate the data limited number of services, such industry in the first place, but then although these FABs have been diversify, meaning that ANSP needed for the air traffic as the billing of route charges Experimental Centre, Brétigny-sur-Orge, France of all of Europe. We do regular created, they have not yet specialise in specific areas they controllers and in real time have (EUROCONTROL’s Central benchmarks in EUROCONTROL, generated the level of operational want to provide themselves or even them transmitted with secure lines, Route Charges Office collects with, for example, the Americans. savings that the European offer on the market, while in other secure cloud approaches, to the charges across Europe on behalf “We looked at the developments The Americans with their single Commission had hoped for. In areas they buy the services from locations where the controllers of the member states) and the coming out of SESAR and asked structure have 30 per cent fewer fact, at a political level, the other ANSPs or from industry. work. Now with that we open up provision of aeronautical data the very simple question as to costs for the same kind of product. difficulties involved in reducing Such specialisation can be in the national approach, we open up (the EAD, or European AIS whether it made more sense to This means that flying for the same fragmentation by bringing relation to support services and the possibility of market being Database provides data to users implement these at a local level, at, distance with the same aircraft and together the operations of data provision, up to gathering and generated, which from our point of around the world). for example, the level of functional being controlled by the American neighbouring countries have been processing the position data on view will immediately have an EUROCONTROL is building on airspace blocks, or whether we Air Traffic Control, the Federal enormous, with issues of individual aircraft, generating impact on the cost structures and this by creating up to 18 new could get better performance at a Aviation Administration (FAA) costs sovereignty, national pride, identification codes, handling the also in the competitiveness, which ‘centralised services’ that will lower cost if we went for in the end 30 per cent less than technical compatibility, working communication between aircraft will be increased. That is a game provide coherent, reliable, and implementation at the central, here in Europe. We see the reasons conditions, and language. All and ground and also between air changer, which is supported by the cost-effective solutions to all 41 of pan-European level. For some, this for that in the fragmented approach, these make the concept of traffic control centres—the list goes new technologies that do not work its member states. These are centralised approach made a lot of in the national monopolistic merging air traffic control centres on. With new technology and in isolation at the national level. building on technological sense. In fact, when we ran some approach. So the goal must be to across borders less and less likely communications now available, The 41 member states of developments coming out of the very conservative cost benefit overcome that to make Europe to happen. there is the opportunity to move to EUROCONTROL all do a brilliant Single European Sky research analyses, we found that they would more competitive. The airlines a very different business model. job in air traffic management but program via the SESAR Joint coming out of Europe suffer from Frank, who has experience of they all do it only on their national Undertaking (of which these higher costs. That gives them merging air traffic control centres “In the past, the equipment used territory. Now, if you ask the CEOs EUROCONTROL is a founding “The challenging ambitions of EUROCONTROL and continuous evolution of their needs due to regulations strengthen our ability to adapt our delivery a significant disadvantage in a within Germany, recognises these on the ground in about 60 civil of these air navigation service member, together with the model. The transparency and trustful collaboration between our teams lead to worldwide competition.” challenges. “It is impossible to area control centres in Europe was providers, they all would European Union). a true partnership.” - Antoine Kerrinckx, Managing Director, Atos Belgium

120. The CEO Magazine - July 2015 theceomagazine.com theceomagazine.com The CEO Magazine - July 2015 121. Digital has changed Are you ready to realise the full everything. Your business power of the digital age? Start your journey today at: needs to change too atos.net/digitaljourney Simply relying on technology isn’t enough. That’s why Atos goes further, reinventing business around a new digital model that drives top line growth, increases agility and creates competitive advantage. Our practical approach puts digital at the heart of the organisation, creating an integrated strategy that delivers seamless customer experiences backed by secure and agile operations – with solutions that encompass your entire ecosystem of employees, customers and suppliers.

Digital empowerment: a new model of business reinvention Organisations need to look beyond technology if they’re to fully exploit the digital world Every business has been touched by the Change needs to embrace the A clear vision for the future transformation to a digital world. Social media, entire ecosystem mobile internet, big data and the cloud have Atos helps organisations to reinvent their redefined the way we work, communicate, Realising this vision requires the development business, delivering seamless customer shop and relax. But it takes more than the of collaborative processes across a much experiences whilst ensuring trustworthy implementation of new technology for an broader group of stakeholders – including and secure operations. At the same time organisation to exploit the opportunities of the the national air navigation service providers, we complement traditional IT with more digital era. It requires a radical shift in approach airports and airlines. This is being enabled agile and open digital models as part of an that reviews and reinvents culture, processes by Atos’ investment in a virtual Air Traffic end-to-end structure that helps businesses and behaviours across the entire business to Management Competence Centre with to do more with the technology available. create a new model that realises the full value its operational headquarters in . This complete view of the organisation is of the investment in digital technology. Through this Atos is able bring together based on the understanding that digital communication, navigation and surveillance change needs to be an ongoing process, It’s just that sort of deep insight that Atos infrastructure via an integrated solution with new technologies being tested and brings to Eurocontrol, the organisation that addresses Eurocontrol’s key processes constantly reviewed and refined. responsible for coordinating and improving air business objectives. traffic management services over Europe – the Transformation of this nature requires a busiest area worldwide. Tasked with reducing radical shift for many organisations and it’s delays whilst ensuring the safety, security, companies like Atos, with a willingness to efficiency and reliability of this mission-critical challenge the status quo, that are helping environment, Atos is working to accelerate the redefine the way we look at business today. development of new methods of operation. These will not only secure business continuity and bring innovation to existing services, but also enable extended flight efficiency in the rapidly growing markets of the Middle East, South East Asia and China.

“ Our objective is to apply our global experience, our know-how and our most valuable resource — our people — to drive innovation and deliver the best results for our customers across every area of their operation.”

Antoine Kerrinckx, Managing Director Atos Belgium only show them the possibilities “The Single that are available.” European Sky is

EUROCONTROL is widely the way forward recognised both for its technical for ATM in part in shaping ICAO’s Global Air developed those solutions has a expertise and its impartiality— Navigation Plan. Frank ascribes clear commercial advantage to something that Frank sees as a Europe. The EU this success to EUROCONTROL’s offer those solutions around the particular strength when dealing has the size, the impartiality and technical world. To work closely with the not just with so many countries but expertise, together with a real technical solutions with the also with the military, with airspace resources, and willingness to cooperate from all manufacturers is key, then to help users such as airlines, with ANSPs, the political the states and bodies involved. these solutions to be implemented and with airports. It also helps in mandate to and showcased, and then to use relations between the EU and the This has practical implications, not those solutions and operational rest of Europe, as Frank explains. bring about a just because it ensures that concepts on a worldwide level to “The Single European Sky is the dramatic Europe’s ATM Master Plan is fully promote them and thereby giving way forward for ATM in Europe. in line with the Global Air them market opportunities.” The EU has the size, the resources, improvement in Navigation Plan, but also because and the political mandate to bring our industry.” of the impact on European industry. This approach of working with its about a dramatic improvement in The complexity of Europe’s stakeholders is central to all that - Frank Brenner save more than €1.5 billion over a more competitive, service- might feel that it performs a service our industry. But aircraft don’t stop airspace, together with the EUROCONTROL does and can 10 years.” orientated infrastructure. particularly well and so it offers to when they reach the EU borders sophistication of the solutions be most clearly seen in the Overcoming monopolistic do that for others.” so it’s essential that we take a required, has meant that the practical, day-to-day activities The services will not be run by structures goes along with wider approach. EUROCONTROL companies providing Europe’s ATM of the Network Manager EUROCONTROL (in fact, the technical innovation, as new Of course, such an approach is not is ideally placed to provide this technology are at the leading edge Operations Centre, located at agency will give up some of its technology means that you can new in the business world. pan-European perspective and our of technological innovation. EUROCONTROL’s headquarters existing activities) but instead they control aircraft without having a However, in the largely state- non-EU member states look to us However, with traffic growth in Asia in Brussels. Here, the organisation are being put out to tender to local infrastructure dedicated owned and state-controlled world to represent their interests.” far exceeding that in Europe or receives all the flight plans from make sure that they achieve value to that specific airspace. For of ATM, it’s revolutionary. When North America, this leading position the 10 million flights a year that fly for money. Frank is very clear that example, the airspace over asked whether there was real It is essential that aircraft do not cannot be taken for granted. in Europe’s busy airspace. It the intention is not to create new Kosovo is now controlled by interest for this, Frank was have to carry different systems for validates them against any routes monopolies. Instead, he expects HungaroControl—in a country that cautiously optimistic. “It’s still each part of the world they visit. Frank notes, “The air traffic or airspace that might be closed that the ‘centralised services’ will isn’t even contiguous.” early days and ANSPs have This would not only add to the management industry in Europe is and checks whether all the flights be a catalyst for the creation of a different drivers and objectives, cost, it would also be less safe as a a world leader in technology, and mean that any particular part of true market in ATM services. Frank is encouraging ANSPs to although the emphasis that the result of the potential for our goal must be to secure that airspace or will be examine their businesses and to European Union is placing on confusion. So much of the future position for the GDP here in overloaded. If so, a flight may be “We’ve seen the airline industry see what elements might be more performance is helping to focus of ATM is decided at the global Europe, to continue to offer that re-routed or delayed to make sure evolve from when there were efficient using a different business minds. However, if we look at the level, under the auspices of the around the world. But there is a that safety is maintained and that single national carriers with a model. “We expect that the best Centralised Services program and International Civil Aviation second effect: whatever is being aircraft don’t have to divert or go stranglehold on the routes in and solution in some cases will be joint the response to the calls for Organization (ICAO). Europe developed and showcased has a into a holding pattern while in the out of their country. Now, in operation—with a number of interest and the calls for tenders, not only has many states, it is high probability to be accepted by air—which costs money and burns Europe, we have a single ANSPs joining together to run a then I am very encouraged by the also represented by several the United Nations and the fuel. The Operations Centre runs competitive market which has service for all of them. This might extent and breadth of interest, bodies—the European International Civil Aviation regular teleconferences on the resulted in a much more efficient be in a FAB or it might even be a with hundreds of expressions of Commission, the European Organization as a world basis to expected issues for the following airline industry and which has group of ANSPs across Europe interest being registered. Time Civil Aviation conference, and be followed by all states. And by day and will also hold ad hoc benefited the passengers and the that all use the same type of will tell how this will translate into EUROCONTROL. Despite this, it that, of course, not only teleconferences in response to European economy. We see the systems. In other cases, ANSPs a more general change in the has a strong record of speaking harmonised solutions are being particular events, such as industrial possibility to bring market forces might group together to jointly industry. We cannot tell ANSPs with a single clear voice and, as a developed and promoted, but the action, or an event such as the in air traffic management, to create procure a service. Or an ANSP how they should operate; we can result, it has played a significant manufacturing industry that has terminal fire at Rome’s Fiumicino

124. The CEO Magazine - July 2015 theceomagazine.com theceomagazine.com The CEO Magazine - July 2015 125. ADVERTORIAL

EUROCONTROL’s Network Manager Operations Centre LEADING Te chnolog y Innovation

airport earlier this year. Liaison “We have officers for the airlines and also for customers from Air travel has gone through an amazing transformation. Technology is the the military are based at the enabler that has made it happen, but it promises so much more. Operations Centre—reflecting the very different fact that EUROCONTROL is a areas of civil-military body. stakeholders: his year, more than 3.5 Its communication network “We have customers from very airports, billion passengers will connects airlines with airports at different areas of stakeholders: take a flight—double 95 per cent of all international airports, manufacturers, military, manufacturers, the number that flew destinations and more than 14,500 the services, the airlines, and also military, the at the turn of the commercial aircraft depend daily the state representatives, so the services, the Tcentury. In those 15 years we have on SITA’s air-to-ground focus on these different customers seen a remarkable change to the communications for their and their interests is of high airlines, and way people fly. The connected operation. In fact, with IT importance to get them together,” also the state technologies and services so avidly infrastructure at more than 1,000 Frank comments. “That means adopted by consumers on the international airports, SITA’s make the industry perform better. teamwork, that means bringing representatives, ground are gradually becoming technology touches almost every Often that can be taking existing them to move forward together, so the focus on available to passengers and crew at passenger journey. technologies and integrating them and not work against each other, 30,000 feet. to create a more seamless end-to- and that means that to move these different Air transport is a global 24/7 end travel process or working with Europe forward a clear declaration customers and result of the eruption of “Although ATM has been seen as business requiring the smooth other industry organisations to of being ready to change and not Eyjafjallajökull. “That was a crisis an industry where change is very coordination and cooperation of a develop a collective approach to only asking for change in the their interests is situation where we were not slow—the term ‘glacial’ has been multitude of different organisations. standards so that technologies work other’s gardens but also in their of high prepared because we did not used—this is no longer the case. SITA underpins these operations by in multiple airports and across own framework is essential. This is consider at that time that such an Change is now happening much partnering not just with airlines and multiple aircraft types. change management, a readiness to importance to ash cloud could basically bring all more extensively and more rapidly airports but across the entire air change, with an integrity to the get them aviation to a standstill in Europe. than in the past. We see this transport ecosystem. There’s no shortage of ideas values of Europe. We are here not together.” We have learned from this event, technologically but, more coming through. For instance, for our own organisation, not here we have seen there are national significantly, we see it in the Driving this new era in air travel is This position at the heart of air location sensing technologies, such - Frank Brenner only for our own employees; we approaches that don’t fit with each approach of the industry, which is the deployment of a new generation transport is underlined by as beacons placed around airports are here to help Europe move other, and we have established becoming much more service of connected aircraft filled with EUROCONTROL, which this year that can trigger actions or forward because we see other parts more and better harmonised orientated and customer focused. sophisticated IT equipment that has marks its twenty-fifth anniversary as information on a smartphone, hold of the world—be it the Gulf, be it procedures. Most importantly, we This is reflected in a much greater earned them the tag of ‘flying data member of SITA. Working together, exciting possibilities for improving Asia—moving forward and we must have established, together with willingness to evolve our structures centres’. Connected aircraft will the two organisations are putting in the passenger’s journey to the not lose our competitiveness the European Union, a crisis and our business models so that enable passengers to use their own place the building blocks to meet aircraft, while driving the adoption towards them by being at a coordination cell where everybody we can achieve the levels of devices to access entertainment of future air traffic needs. SITA of mobile boarding passes through standstill here in Europe.” talks to each other in the same performance that our airspace their choice and stay in continual deployed and manages the Pan mobile apps and near field operations room here in Brussels. users are rightly demanding. It’s an contact with life on the ground. European backbone network that communications (NFC) will cut When there is a major event that We have gone through an exercise exciting time for all of us and I am Business travellers will be more meets the very strict, 99.99-per-cent paper use in travel processing and has a lasting effect on the network, only recently where we simulated proud of the role that productive with a virtual office in uptime requirement for air traffic speed up boarding of aircraft. a crisis may be declared and the such a crisis and saw how different EUROCONTROL is playing— the sky. management in Europe. European Aviation Crisis and much better the impact was demonstrating that even one of the Want to know more? Please visit Coordination Cell activated. Frank this time compared to the situation longest established bodies in the Working to bring it to reality is Focusing on future air travel is very sita.aero or watch our videos on remembers that most dramatic where we were all not prepared. industry can be at the cutting edge SITA, an organisation owned by much built into SITA’s DNA. Its goal our YouTube channel, youtube.com/ crisis of recent years: the closure of It’s an evolving system; it’s a when it comes to new ideas and more than 430 members from as an industry owned organisation is user/SITAOnline. You can also much of Europe’s airspace as a learning system. new ways of working.” across the air transport community. to explore new technologies, find connect to us through Facebook the cutting edge, and see how it can and LinkedIn.

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