WINTER 2016/SPRING 2017 AIRLINE GROUND AGS SERVICES www.ags-airlinegroundservices.com DEALING WITH SAFETY FIRST: FOCUS ON WORLDWIDE DIRECTORY MISHANDLED PRIORITIES FOR THE ASIAN OF GROUND BAGGAGE THE FUTURE MARKET SERVICE PROVIDERS TRANSWORLD’S VISION Transworld strives to provide superior ground handling services at AAkIA Airport, Zanzibar, by investing in airport infrastructure and automation in order to promote tourism by attracting new airlines year round. “EXCELLENCE IN EVERYTHING WE DO” SERVICES OFFERED Passenger Services Ramp services Cargo and mail services Load control, Communication, Flight operation Airline Carrier Support services Airport Automation Security & Safety Baggage Services Check-in Services Plot No. 2143, Chukwani, Zanzibar, Tanzania Tel: +971-4-805-3000 (UAE) | Tel: +255-772-874-988 (TZ) mail : [email protected] | Web: www.twa-znz.com EDITOR’S LETTER | WINTER 2016/SPRING 2017 WINTER 2016/SPRING 2017 AIRLINE GROUND LETTER FROM AGS SERVICES THE EDITOR www.ags-airlinegroundservices.com DEALING WITH SAFETY FIRST: FOCUS ON WORLDWIDE DIRECTORY MISHANDLED PRIORITIES FOR THE ASIAN OF GROUND BAGGAGE THE FUTURE MARKET SERVICE PROVIDERS elcome to the Winter 2016/Spring 2017 issue of Airline Ground Services, published against the JAMES SHERIDAN Chairman backdrop of the US presidential elections that took [email protected] place on 8 November. PARVEEN RAJA Defying the polls, Donald Trump gained the Publisher Wvictory over Hilary Clinton in a political upset somewhat reminiscent [email protected] of the surprise EU referendum result in the UK in June. Among the MEGAN RAMSAY remarks the president elect made during his acceptance speech was Editor a promise to “rebuild” the country’s infrastructure – including its [email protected] airports. At this early stage, it is of course difficult to speculate on the HARLEY KHAN details of those promises, but I for one will be watching with interest Head of Commercial to see how things unfold during his term of office, particularly with [email protected] regard to the aviation industry and its environmental responsibilities. YASMIN LYDON In this edition of AGS, meanwhile, we speak to the heads of two of Events Coordinator the big handlers – Swissport and WFS – to see how each of them is [email protected] settling in to their roles: Eric Born became CEO of Swissport about a GEMMA KEEN year ago while Craig Smyth joined WFS much more recently, in August. Events Coordinator [email protected] This issue also looks at several aspects of baggage handling, following on from our update on IATA’s resolution 753 in the Summer SHOBHANA PATEL Head of Finance edition. We consider not just lost luggage and some of the ways it can [email protected] be minimised, but the problem of damaged luggage too. CHARLOTTE WILLIS Safety initiatives, the latest technology updates, luxury lounge Events and Circulation design, developments in airline catering, Russia’s clampdown on [email protected] monopolies, opportunities in the Asian market and the impact of social SHELDON PINK media on ground handling are all considered in these pages – and we Creative Director gather a range of perspectives on some of the big challenges facing the [email protected] industry, too. Address changes and subscription orders to: [email protected] I hope you find something to inspire you as we move towards 2017. ISSN 2040-476X It seems likely to be a year of significant change for the world at large, EDITORIAL CONTRIBUTORS and potentially for our industry too as a result. Q David Smith, Eugene Gerden, Martin Courtney, Chris Lewis and Anthony Harrington PUBLISHED TWICE A YEAR BY EVA International Media Ltd Boswell Cottage, 19 South End Croydon, London CR0 1BE Tel: + 44 (0) 20 8253 4000 Fax: + 44 (0)20 8603 7369 Website: www.evaint.com PRINTED BY Headley Brothers The Invicta Press, Lower Queens Road Ashford, Kent, TN24 8HH, UK DISTRIBUTED BY Ascendia EVA INTERNATIONAL MEDIA LTD PUBLISHERS & EVENTS SPECIALISTS MEGAN RAMSAY Issue 22 © 2016 | www.evaint.com Editor Content may not be reproduced in any format without written permission from [email protected] EVA International Media Ltd www.ags-airlinegroundservices.com WINTER 2016/SPRING 2017 Airline Ground Services 1 CONTENTS | 8*/5&3413*/( CONTENTS 1 Editor’s letter 6 4 Fertile soil: an interview with Eric Born, Swissport CEO 6 Where next? Thoughts on the future of ground handling 9 1PJOUTPGWJFXJOEVTUSZlHVSFIFBETDPNNFOUPO TPNFPGUIFNBJOJTTVFTGBDJOHIBOEMFSTUPEBZ 14 Upgrading: we catch up with new 8'4$&0 $SBJH4NZUI 18 Diverse strategies: different approaches UPUIF"TJBOHSPVOEIBOEMJOHNBSLFU 22 4UBZJOHUIFQBDFEFWFMPQNFOUTJOUIFBJSMJOFTFDUPS 25 4BGFUZlSTUBDPOWFSTBUJPOXJUI ex-IGHC chair Marsha Ragusa 28 No such thing as a free lunch: EFWFMPQNFOUTJOBJSMJOFDBUFSJOH 32 5IFDPNQMFUFUSBWFMFYQFSJFODF7*1MPVOHFEFTJHO 36 /BWJHBUJOHUISPVHIUIF5XJUUFSTUPSN NBOBHJOHTPDJBMNFEJB 14 40 Lost and found: one way to deal XJUINJTIBOEMFECBHHBHF 44 42 2VJDLlYIPXUPDPQFXJUIUIF QSPCMFNPGEBNBHFEMVHHBHF 44 Airport technology trends for 2016 48 4BUJTGBDUJPOCBHUSBDLJOHBOE*"5"T3FTPMVUJPO 49 "O"NFSJDBOlSTUJOBJSQPSUXJOUFSTVTUBJOBCJMJUZ 50 3VTTJBPOWFSHFPGCJHDIBOHFT 51 AGS Directory 2 Airline Ground Services Winter 2016/Spring 2017 www.ags-airlinegroundservices.com WE TURN AROUND YOUR BUSINESS Swissport International Ltd. Ground Handling, Cargo Services, Aircraft Maintenance, Fueling, Executive Aviation, Aviation Security WWW.SWISSPORT.COM INTERVIEW | ERIC BORN: SWISSPORT SOIL Eric Born took up the Swiss national, Born I have a different leadership style holds a BBA from the but that’s not been an issue. Rather post of CEO of global University of Applied than multiply filtered information, I handler Swissport on 1 Science in Zurich and prefer honest interaction and open dis- August 2015. He talks to an MBA from Simon cussion so we can all see what’s really ABusiness School at the University of going on – the opportunities, where we AGSBCPVUIJTlSTUZFBSJO Rochester NY. He came to Swissport can improve or develop, the good, the that role and how he sees from a background in retail, logistics bad, what is needed… I encourage my UIFDPNQBOZnBOEUIF and aviation services, including six teams to have discussions and there is years as CEO at Wincanton and four perhaps more emphasis on this now JOEVTUSZnHPJOHGPSXBSE years at John Menzies plc as a non- than there was prior to my time here. executive director. Our role here in management is to get the company to perform well. Q. You’ve been in post as CEO of Swissport for just over a year now. Q. Can you also give an overview What were the challenges involved of how things were at Swissport in adapting and settling in to when you joined – the context in your new role, and how did you UFSNTPGlOBODJBMQFSGPSNBODF GPS overcome them? instance? A. There haven’t been that A. Things were ok. They were in- many challenges actually. I teresting times in the sense that there used the first few months was interest from the current share- to travel and meet with col- holders (HNA Group) in purchas- leagues and customers so ing the company from PAI Partners I could get a good insight when I joined. I was still working for into our strengths and de- the old shareholder for the first seven velopment areas. As far as months, so there was no change, which things to overcome are gave me a great opportunity to learn concerned, we have grown the culture of the business. There are relatively rapidly – and a lot in fact multiple cultures by station or of that has been through ac- country, which is not surprising given quisitions such as Servisair. our merger and acquisition activity When you have two compa- that has got the company to where it nies of this size, the change is today. Now, we are working towards is not perfectly digested every- a common culture that values account- where so we did have some op- ability and where employees are en- erational challenges in the begin- couraged to step up and speak up. ning but we have dealt with them The business continues to perform well since then. well. Our revenue development plans I have a different leadership style but that’s not been an issue. 3BUIFSUIBONVMUJQMZlMUFSFEJOGPSNBUJPO I prefer honest interaction and open discussion Eric Born 4 Airline Ground Services Winter 2016/Spring 2017 www.ags-airlinegroundservices.com INTERVIEW | ERIC BORN: SWISSPORT are where we want them to be. Our day but the future so we are building nesses. People need to take account- biggest cost is labour while there is on our leading position. We are strong ability and ownership at a local level, also a push on price from the airlines. in Europe, North America, Africa and there has to be a behavioural change, We have to optimise our productivity, Latin America but the Middle East while we (that is, the management) follow best practices and ensure con- and Asia offer significant room for help them centrally and regionally. sistent quality at each station. our future geographic expansion. We The key issues for the industry in- have plans in place for that. It’s part clude service quality, training, health Q. Have you made any changes as of our focus – for instance, in China and safety and the reliability of ground CEO? How far have you managed with HNA Group as our shareholder. ops. Our industry should never cut to take these changes up to now, I envisage we will have operations up corners here – that is non-negotiable. and are you happy with how they’re and running in China within the next At the same time, there is pressure going? 12 months. on prices from the customer. How do A. Part of the changes has been to we optimise the cost/quality equation? give people the opportunity to speak Q. Do you think the ground handling We have to be able to generate a return up, listen and share their ideas. An- industry as a whole needs to change in order to invest in the business at a other part is that after the transaction in any way(s)? If so, why – and how market-clearing price.