2. TARGET
PHENOMENON
IMPROVING
AIRPORT
PERFORMANCE
–
MIKKELI
CITY
AIRPORT
3. BACKGROUND
• Own
interest
–
work,
school
assignments
• Actual
topic
–
municipality
level:
a
part
of
airport
development
project
for
the
City
of
Mikkeli,
governmental
level:
air
transport
strategy
by
the
working
group
appointed
by
the
Ministry
of
Transport
and
CommunicaRons
• Research
gap
–
theme
not
studied
4. OBJECTIVES
AND
DELIMITATIONS
The
main
objecRve
of
this
thesis
is
to
make
proposal
for
Mikkeli
City
airport
for
developing
the
airport
performance.
The
aim
is
to
present
an
airport
performance
comparison
between
Mikkeli
City
airport
and
best
pracRse
example
–
Stockholm
Skavsta
airport.
The
comparison
between
these
airports
will
be
done
using
metrics
as
employment,
produc9on
capacity
and
the
quan9ty
of
passengers
for
offering
jusRficaRons
why
regional
airport
is
worth
of
maintaining
and
worth
of
future
development.
5. RESEARCH
QUESTION(S)
Main
research
ques9on:
How
to
improve
the
performance
of
Mikkeli
City
airport?
Sub-‐research
ques9ons:
Why
to
improve
the
performance
of
Mikkeli
City
airport?
What
is
airport
performance
and
how
it
is
measured?
What
can
be
learned
from
Stockholm
Skavsta
airport
-‐
case?
6. THEORETICAL
FRAMEWORK
TheoreRcal
framework
of
the
study
is
built
on
the
key
performance
areas
and
key
performance
indicators
of
airport
performance
studies.
Main
sources
of
informaRon
have
been
used
studies
conducted
by
Mrs
Anne
Graham
from
University
of
Westminster,
London
and
Mr
Hans-‐
Arthur
Vogel
from
IUBH
InternaRonal
University
of
Applied
Sciences,
Bad
Honnef
and
Bad
Reichenhall,
and
also
University
of
Westminster,
London.
They
have
studied
and
published
studies
about
airport
performance
individually,
together,
and
with
other
researchers
within
the
decade
of
2000
(Graham
2014;
Graham
2005;
Vogel
2004;
Vogel,
H.
–A.,
Graham,
A.
2010).
7.
RESEARCH
METHOD
This
study
is
qualita9ve
research
using
case
study
approach
where
research
data
was
collected
using
interviewing
and
analysing
of
secondary
data.
Study
was
carried
out
using
the
benchmarking
technique
for
finding
the
ways
of
improving
the
performance
of
Mikkeli
City
airport.
Used
approach
of
performance
indicators
is
Par9al
Factor
Produc9vity
(PFP)
measures,
which
examine
the
relaRonship
between
inputs
as
employment
effect
and
producRon
capacity,
and
output:
quanRty
of
passengers.
Hypothesis
of
the
study
was
that
from
Stockholm
Skavsta
airport
could
be
learned
pracRses,
which
can
be
used
to
improve
the
performance
of
the
Mikkeli
City
airport.
8. LIST
OF
REFERENCES
ACI
EUROPE
2014;
2012;
ACI
INTERNATIONAL
2012;
ACRP
2011;
ASSOCIATION
OF
FINNISH
LOCAL
AND
REGIONAL
AUTHORITIES
2010;
CARLGREN,
ERIC
2014;
CENTRE
FOR
ECONOMIC
D E V E L O P M E N T ,
T R A N S P O R T
A N D
T H E
E N V I R O N M E N T
2013;
CITY
OF
MIKKELI
2014;
2013;
2012;
CITY
OF
NYKÖPING
2014;
CITY
OF
SEINÄJOKI
2013;
CROCKER,
DAVID
2005;
DELOVOI
PETERSBURG
2013;
ERIKSSON,
PÄIVI
&
KOVALAINEN,
ANNE
200
8;
EUROCONTROL
2014;
2013;
1999;
EUROPEAN
COMMISSION
2012;
FINAVIA
2014;
2013;
2012;
FINNAIR
2014;
FRANCIS,
GRAHAM
&
HUMPHREYS,
IAN
&
FRY,
JACKIE
2 0 0 2 ;
F R A N K E N ,
S V E N
2 0 1 3 ;
F R Y ,
J A C K I E
&
H U M P H R E Y S ,
I A N
&
FRANCIS,
GRAHAM
2005;
GILLHAM,
BILL
2010;
GRAHAM,
ANNE
2014;
2005;
HELSINGIN
S A N O M A T
2 0 1 4 ;
H U M P H R E Y S ,
I A N
&
F R A N C I S ,
G R A H A M
2 0 0 2 ;
I C A O
2013;
2012;
2010;
KULOVUORI
DOT
GADE
2014;
KÄRNÄ,
MIKKO
2014;
LENTOPAIKAT
2014;
LONGMAN
2001;
MC-‐INFO
OY
2014;
MIKKELI
CITY
AIRPORT
2012;
MINISTRY
OF
TRANSPORT
AND
COMMUNICATIONS
2014;
2013;
2012;
OECD
2011;
OUM,
TAE
HOON
&
YU,
CHUNYAN
&
FU,
XIAOWEN
2003;
OXFORD
ECONOMICS
2011;
PAANANEN,
JUHA-‐PEKKA
2014;
PATTERSON,
JAMES
G.
1996;
RAIVIO,
JYRI
2013;
RAUHAMÄKI,
HARRI
&
MÄNTYNEN,
JORMA
&
MÄKELÄ,
TOMMI
&
SINISALO,
ESSI
&
KALENOJA
HANNA
2006;
SILVENNOINEN,
SAKARI
2014;
STATISTICS
FINLAND
2014;
2013;
2012;
STATISTICS
SWEDEN
2013;
STOCKHOLM
SKAVSTA
AIRPORT
2014;
TAK
OY
2011;
TRAFI
2014;
2013;
2012;
VOGEL,
HANS-‐ARTHUR
2004;
VOGEL,
HANS-‐ARTHUR
&
GRAHAM,
ANNE
2010;
WORLDS
AIRPORT
CODES
2014;
WORLDS
TOURISM
ORGANISATION
AND
EUROPEAN
TRAVEL
COMMISSION
2009.
9. TABLE
OF
CONTENTS
GLOSSARY
OF
TERMS
4
1
INTRODUCTION
6
1.1
Background
of
the
study
6
1.2
ObjecRve
and
delimitaRons
9
1.3
Research
quesRons
9
1.4
TheoreRcal
framework
10
1.5
Research
method
12
1.6
Structure
of
the
study
15
2
AIRPORT
INDUSTRY
17
2.1
Airport
operaRons
17
2.2
Revenues
and
cost
structure
of
airport
18
2.3
Airport
network
in
Finland
20
2.4
Development
of
aviaRon
sector
23
3
AIRPORT
PERFORMANCE
29
3.1
Performance
management
techniques
for
airports
30
3.2
Performance
Indicators
for
Airports
32
4
AIRPORT
PRESENTATION
42
4.1
General
informaRon
42
4.2
History
in
brief
47
5
AIRPORT
PERFORMANCE
COMPARISON
50
5.1
Airport
input
51
5.1.1
Direct
and
indirect
employment
51
5.1.2
ProducRon
capacity
of
the
airport
system
55
5.2
Airport
output
58
5.3
Economic
benefits
for
the
City
of
Mikkeli
63
6
PROPOSAL
FOR
MIKKELI
CITY
AIRPORT
66
7
CONCLUSIONS
74
LIST
OF
REFERENCES
81
LIST
OF
TABLES,
FIGURES
AND
PICTURES
92
10. COMPANY
PRESENTATION
STOCKHOLM
SKAVSTA
AIRPORT
Stockholm
Skavsta
airport
from
the
air.
Screen
shot
from
Google
maps
on
4th
of
March
2014.
MIKKELI
CITY
AIRPORT
Mikkeli
City
airport
from
the
air.
Picture
by
Sakari
Silvennoinen.
11. LOCATION
Picture
about
the
loca@ons
of
Stockholm
Skavsta
airport
and
Mikkeli
City
airport.
Screen
shot
from
Google
maps
on
4th
of
March
2014.
12. COMPANY
PRESENTATION
GENERAL
INFORMATION
MIKKELI
CITY
AIRPORT
STOCKHOLM
SKAVSTA
ICAO-‐CODE
EFMI
ESKN
IATA-‐CODE
MIK
NYO
LOCATION
230
km
northeast
of
Helsinki
4
km
west
of
Mikkeli
100
km
southwest
of
Stockholm
7
km
northwest
of
Nyköping
CATCHMENT
AREA
150
km
radius
covers
over
500.000
people,
which
is
9,2%
of
the
populaRon
100
km
radius
covers
2.4
million
people,
27%
of
the
populaRon
STARTED
OPERATIONS
1930`s
,
during
the
II
WW
in
military
use,
today
Army
Command
Finland
1930`s,
opened
for
civil
aviaRon
1984
RUNWAYS
Runway
1
–
5584
p
(1700m)
Runway
1
–
9442
p
(2800m)
Runway
2
–
6690
p
(2000m)
OPERATING
HOURS
Mon
0600–1000
EET
(GMT
+
02.00)
Tue–Thu
0600–1000
EET
and
1600–1800
EET
Fri
1400–1600
EET
Otherwise
only
by
agreement
0600–2200
GMT
2200–0600
GMT
only
by
agreement
OWNERSHIP
100%
CITY
OF
MIKKELI
90,1%
ADC
&
HAS
Airports
Worldwide,
9,9%
NYKÖPING
AMOUNT
OF
PASSENGERS
2013
2
916,
99%domesRc,
1%
internaRonal
2
165
040,
0,015%
domesRc,
99,985%
inernaRonal
13. MIKKELI
PASSENGER
STATISTICS
0
2
000
4
000
6
000
8
000
10
000
12
000
14
000
16
000
1993
1995
1997
1999
2001
2003
2005
2007
2009
2011
2013
Amount
of
passengers
Between
years
1993–2013
Passenger
sta9s9cs
of
Mikkeli
City
airport
14. SKAVSTA
PASSENGER
STATISTICS
0
500000
1000000
1500000
2000000
2500000
3000000
1997
1999
2001
2003
2005
2007
2009
2011
2013
Amount
of
passengers
Between
years
1997–2013
Passenger
sta9s9cs
of
Stockholm
Skavsta
16. Airport
opera9ons
Mikkeli
City
Airport
Stockholm
Skavsta
Airport
management
0,5
3
directors,
6
managers
Admin/Finance/Property
0,5
12
Air
traffic
control
1
LFV
(air
navigaRon
services
of
Sweden)
is
the
supplier
Security
1
Outsourced
to
Securitas
Technical
support
1
15
Handling
1
76
(incl.
Rescue)
Passenger
services
0,5
App.
1
300
EMPLOYMENT
EFFECT
17. Airport
system
Mikkeli
City
airport
Stockholm
Skavsta
Runways
1
–1700
m
(2300
m)
1
–
2800
m
1
–
2000
m
Terminal
1
1
Gate
1
6
Hourly
capacity
1
plane
–
2
movements
within
1,5
hours
4–12
planes/8–24
movements
per
hour
depending
on
direcRon
of
wind
and
share
of
starts/landings
Opening
hours
Mon
0600–1000
EET
(GMT
+
02.00)
Tue–Thu
0600–1000
EET
and
1600–1800
EET
Fri
1400–1600
EET
Otherwise
only
by
agreement
0600–2200
GMT
daily
2200–0600
GMT
only
by
agreement
Daily
capacity
Mon
–
2
planes/4
mov.
Tue–Thu
–
3
planes/day/6
movements
Fri
–
1
plane/2
mov.
With
opening
hours
of
Stockholm
Skavsta
10
planes/20
movements
day
From
64
planes/128
movements
up
to
192
planes/384
movements
per
day
depending
on
direcRon
of
wind
and
share
of
starts/landings
(6
simultaneous
flights
–
two
simultaneous
arrivals)
Annually
624
planes
–
1
248
movements
(with
current
hours)
3
640
planes
–
7
280
movements
(with
Skavsta
hours)
From
23
296
planes/46
592
movements
up
to
69
888
planes/139
776
movements
limited
to
37
500
planes/75
000
movements
according
to
environmental
permit
PRODUCTION
CAPACITY
18. Airport
opening
hours
Runway
1700
meters
Runway
2300
meters
Current
opening
hours
Mon
0600–1000
EET
(GMT
+
02.00)
Tue–Thu
0600–1000
EET
and
1600–1800
EET
Fri
1400–1600
EET
Otherwise
only
by
agreement
Planes
with
100
passengers:
2
400
/weekly
124
800
/annually
Planes
with
150
passengers:
3
600
/weekly
187
200
/annually
Planes
with
250
passengers:
6
000
/weekly
312
000
/annually
Planes
with
300
passengers:
7
200
/weekly
374
400
/annually
According
to
Skavsta
opening
hours
0600–2200
GMT
daily
2200–0600
GMT
only
by
agreement
Planes
with
100
passengers:
14
000
/weekly
728
000
/annually
Planes
with
150
passengers:
21
000
/weekly
1
092
000
/annually
Planes
with
250
passengers:
35
000
/weekly
1
820
000
/annually
Planes
with
300
passengers:
42
000
/weekly
2
184
000/annually
QUANTITY
OF
PASSENGERS
19. ANSWERS
TO
RESEARCH
QUESTIONS
How
to
improve
the
performance
of
Mikkeli
City
airport?
Lengthen
the
runway
and
opening
hours
and
gaining
new
customers
to
the
airport.
Why
to
improve
the
performance
of
Mikkeli
City
airport?
Money:
employment
effect
from
€28
930
up
to
€211
700
and
tourism
income
from
€291
000
up
to
€25
million.
What
is
airport
performance
and
how
it
is
measured?
No
widely
accepted
industry
prac@ces
for
measuring
and
comparing
airport
performance,
all
the
interest
groups
around
the
airport
have
their
own
indicators.
What
can
be
learned
from
Stockholm
Skavsta
airport
-‐case?
Segmenta@on,
des@na@ons
and
ownership.
20. PROPOSAL
FOR
MIKKELI
CITY
AIRPORT
1. SegmentaRon:
to
become
leading
tourism
airport
in
Finland
2. DesRnaRons:
offering
wide
range
of
tourism
desRnaRons
3. Ownership:
privaRzing
the
airport.
21. AT
THE
END
Our
research
is
reliable
when
conducRng
the
study
using
benchmarking
with
an
approach
of
parRal
factor
producRvity
(PFP)
when
analysing
our
data
and
finding
the
answer
to
our
research
quesRons.
ParRal
factor
producRvity
showed
well
the
relaRonship
between
inputs
as
employment
and
producRon
capacity
and
output
of
quanRty
of
passengers.
Collected
data
is
valid
corresponding
to
the
requirements
for
minimum
amount
of
data
according
to
Graham
and
Vogel
(2014;
2004)
for
comparing
airport
performance
using
input
and
output
indicators.
Our
study
has
validity,
where
used
data,
method
and
results,
jusRfies
the
proposals
for
the
City
of
Mikkeli
for
developing
the
Mikkeli
City
airport
performance.
Study
method
measures
the
phenomenon,
using
employment
effect,
producRon
capacity
and
quanRty
of
passengers,
and
is
reliable
and
it
can
be
replicated.
Study
results
and
arguments
made
according
to
the
analysis
of
the
collected
data
are
also
reliable
and
can
be
replicated.
22.
THANK
YOU!
PHOTO
BY
RAIMO
SUOMELA
ON
09.03.2010
AT
LPP.