1 AOA Performance Based Oversight Jon Round - Safety Programme Manager Graeme Ritchie - Manager Aerodromes CAA 24 June 2014

2 Agenda  PBR transformation  SARG reorganisation  Performance Based Oversight – the essentials  Phase 1Rollout Plan and process  Phase 2 – moving towards full PBO  Value to industry

3 Transformation Programme  We need to:  Concentrate our resources and efforts where they will have the greatest effect.  Get better at identifying emerging risks  Put the right amount of effort into each risk, or reduce effort where the risk is less.  It means:  Reorganised structure  Moving to a more performance-based approach  The ESP transformation programme will deliver the capabilities we need to achieve this.  Using the best data and evidence available to highlight the most serious risks and then put in place action plans to address them.

4 Reorganised Structure Safety and Airspace Regulation Group (SARG)  Intelligence, Strategy and Policy - centralised team to provide data and intelligence to identify key risks and drive more coherent and consistent policy.  Capability teams - (flight operations, airworthiness and airspace, air traffic management and aerodromes)  General Aviation - a new dedicated unit to ensure we take a more proportionate view on GA regulation  Business Management - centralised team to work is managed efficiently and properly prioritised  The Hub - one stop shop for stakeholder engagement – through modernised services, online transactions and new way to engage

5 SARG Organisation

6 Page 1ESP Briefing, December 2013 EASA Pivot to Performance Based Regulation OR*.GEN.200 (a) 3: The identification of aviation safety hazards entailed by the activities of the operator, their evaluation and management of associated risks, including the actions to mitigate the risk and verify the effectiveness EASA ARA/ARO.GEN.305 The oversight programme ….must be developed taking into account the specific nature of the organisation, the complexity of its activities, the results of past certification and/or oversight activities required by ARO.GEN and ARO.RAMP and shall be based on the assessment of associated risks. The ESP Programme and associated IT deployments are designed to support and implement the provide the requirements placed on National Authorities to ensure PBR ADR.AR.C.010 Oversight programme (a) The Competent Authority shall for each aerodrome operator and provider of apron management services declaring their activity to the Competent Authority: (1) establish and maintain an oversight programme covering the oversight activities required by ADR.AR.C.005; (2) apply an appropriate oversight planning cycle, not exceeding 48 months. (b) The oversight programme shall include within each oversight planning cycle, audits and inspections, including unannounced inspections, as appropriate. (c) The oversight programme and planning cycle shall reflect the safety performance of the aerodrome operator and risk exposure of the aerodrome.

7 Performance Based Regulation

8  Transformation program until March 2016  What have we done In the last 12 months?  CAA Reorganisation  SARG  Pathfinders  Live trials  Team of 20, working to change the organisation  Performance Based Oversight  + CAA internal SMS

9 PBO – The Process Feedback (Sharing knowledge and lessons learnt – Internally & Externally) INTELLIGENCE RISK OUTCOME ACTION CHECK FEEDBACK CAA view Our Actions Entity Actions Entity Actions Entity view Risk List (current & future) Agreed Desired Outcomes Identify Options for Action (cost/benefit) Agreed Desired Outcomes Identify Options for Action (cost/benefit) Compliance and Performance Proactive Leading Indicators Assessment Actions Delivered & Measured Compliance and Performance Proactive Leading Indicators Assessment Actions Delivered & Measured Total System Actions Data Intelligence Rules Risks/Issues: What CAA knows What others know Planned changes Incidents & Accidents Performance Based Oversight – Core Regulatory Decision Making CAA Risk List Performance Comparison CAA Governance of Safety International influence Unregulated Sectors

10 PBO - Rollout Plan Jan 14Apr 14Jul 14Oct 14Q1 (’15) Q2 (’15)Q3 (’15)Q4 (’15) Q2 (’15) Q3 (’15) Q4 (’15 Q1 (’16)Q2 (’16) 90 AOC led Entities Fixed: Phase 1 60 Helicopter Led Entities: Phase 1 Flight Ops led Entities 50 EASA Aerodromes and 30 additional to be rolled out over 15 months ANSP led entities (numbers/schedule to be determined in Feb) AW led entities (numbers/schedule to be determined in Feb) 90 AOC led Entities Fixed: Phase 2 60 Helicopter Led Entities: Phase 2 Planning Proportionate involvement; e.g. adoption of ESP principles Entity Groups Aerodrome led Entities ANSP led Entities Airworthiness led Entities Other (GA, CPG, PPT). Two year Deployment Schedule Business change driven by ESP Programme Enabling Tool development & deployment (PPI) Project Priority #1 for Q1/ is Q-Pulse roll-out to Flight Ops (and ASSI), then wider Project Priority #2 for Q2/Q is to develop the next generation of the tools to enable PBO ways of working Influence tech roadmap, planning IT Tools Project Enabling the above rollout…

11 PBO Process Periodic (currently annual) Audit Out brief (Aerodrome specific) Following audit (within 4 weeks ) CAA Internal Review Meeting (IRM) including all entity inspectors: ADR Ops, RFFS, ANSP Ops, Engineer Within 4 weeks of IRM Accountable manager meeting OM + AM + additional specialists as required Phase 2 Oversight consciously planned in accordance with the above

12 PBO Process Accountable manager meeting  Risk based discussion  Taking clear account of ANSP and other key stakeholder risks  Cross organisation risks  No surprises  Agenda + record of discussions/actions agreed

13 PBO – Phase 2  Base lining data which ultimately will lead us to PBO  Data = Compliance, MORS, SMS, Changes, Risks = Performance  Standard format using ARMs methodology  This time next year beginnings of PBO based on Performance + Complexity  Remember this builds on the regulatory compliance obligation

14 Value to industry  Joined up regulator  Focus on substantive risks Vs merely compliance  Sharing of best practice  Ability to see and share sector trends (Data protection)  Focus on poor performing organisations will improve safety in UK  Oversight regime more tailored to the organisation's complexity & performance  An ability to influence EASA and their view of PBO

15 Questions?