1. A Joint Project of: University of Applied Sciences Bremen Berlin School of Economics (FHW) Int. University of Applied Sciences Bad Honnef Supported by Efficiency Measurement of German Airports in an International Comparison G ERMAN A IRPORT P ERFORMANCE

2. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 2 Outline 1.Introduction 2.Benchmarking of German Airports 3.GAP 4.Scientific Partners 5.Contact

3. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 3 The Research Project  Participants: Joint Research Project of the Universities of Applied Sciences in Bad Honnef, Berlin and Bremen  Funding and Duration: Funded by the Federal Ministry of Education and Research from 2005 to 2008  Topic: Benchmarking Study to investigate the Economic Performance of German Airports  Purpose: Results of the study are for Internal Use (and participating airports) rather than for Commercial Purposes 1. Introduction

4. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 4 Why German Airports?  Changing Institutional Structure  From Public Utilities to partially Privatized Airports  New Strategies & Organizational Structures  Incentive versus Low Powered Cost-Plus Regulation  Increasing Competition  Bad Performance of German Airports in ATRS and TRL Studies 2. Benchmarking of German Airports

5. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 5 ATRS versus TRL I  Labor Productivity ATL YVC MAD AENA Source: ATRS 2003, TRL 2003 2. Benchmarking of German Airports

6. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 6 ATRS versus TRL III  Labor Productivity – Ranking Differences Source: ATRS 2003 TRL 2002 Difference (%) MUC215,6% VIE199,9% FRA132,7% MAN51,3% ∅ total 54,8% ∅ Ground H. 119,8% ∅ w/o GH 6,57% 2. Benchmarking of German Airports

7. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 7 ATRS versus TRL II  Change in Labor Productivity Source: ATRS 2003, 2005 TRL 2001, 2002 2. Benchmarking of German Airports

8. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 8 ATRSTRL Continental ComparisonWorldwide Comparison Partial and Total Factor Productivity Partial Performance Indicators No Data Adjustment but Measurement of Residual Factor Productivity by Multiple Regressions Data Adjustment by Identification of Core Activities Methods of ATRS and TRL 2. Benchmarking of German Airports

9. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 9 Method of GAP Data Collection Data Adjustment Partial Processes (disaggregated data) Total Productivity (aggregated) Efficiency Analysis (technical, allocative) Cluster AnalysesSensitivity AnalysesCause Analyses Productivity and Efficiency Measurement Further Analyses 3. GAP

10. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 10  Low Degree of Outsourcing  Diseconomies of Scale for large Airports  Economies of Scope  Product Differentiation and Strategies  Vertical Integration Cause Analyses 3. GAP

11. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 11 Questions addressed I 3. GAP GAP Factors that can influence the Airports Performance Resource Allocation Benchmarking as Management- Tool Comparison with other Industries

12. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 12 Questions addressed II 3. GAP Factors that can influence the Airports Performance Competition Other external Factors Liberalization of the Airline Industry Environmental Influences Management Strategies Ownership Economic Regulation

13. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 13 Benefits for Airports  In Depth Study on the Causes of Performance Differences  Learn Strength and Weaknesses of Performance Measurement Methods  Customized Benchmarks of Partial Processes with Disaggregated Data  Discussion with Leading Experts in Benchmarking and Airport Management  Identify and adapt Best Practices  Objective Information on the Effects of Privatization, Regulation and Environment 3. GAP

14. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 14 Cooperation with Airports  Working Group of Participating Airports to discuss Validity of Data, Methods, Results and Differences in Performance  Benchmarking of Partial Processes demanded by Participating Airports  Participation in Workshop Series on Benchmarking of the German Aviation Research Society (GARS) 3. GAP

15. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 15 Work Steps  Start 01.06.2005  Airport Selection  Intensive Field Work at the Airports and Data Collection (at airports, association, etc.)  Data Adjustments  Analysis and Interpretation  End 29.02.2008 (option of extension) Presentation of Progress (anonymized results) at GARS 3. GAP

16. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 16 International Partners  YVR, University of British Columbia: Prof. David Gillen und Prof. Tae Oum  LON, Transport Research Laboratory: Peter Mackenzie-Williams  LON, University of Westminster: Dr. Anne Graham  MEL, Monash University: Prof. Peter Forsyth  AMS, University of Amsterdam: Prof. Jaap de Wit  CGN, RWTH Aachen + DLR: Prof. Johannes Reichmuth  KEL, IfW an der Universität Kiel: Dr. Hartmut Wolf  BER/DRS, TU Dresden + DIW: Prof. Christian von Hirschhausen 4. Scientific Partner

17. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 17 For Further Questions… Hochschule Bremen Prof. Dr. Hans-Martin Niemeier (Coordinator) Werderstr.73 D-28199 BremenTel.: +49 (0)40 811 93 77 HM.Niemeier@t-online.deFax: +49 (0)421 5905-4815 Fachhochschule für Wirtschaft Berlin Prof. Dr. Jürgen Müller Badensche Str. 50-51 D-10825 BerlinTel.: +49 (0)30 857 89-145 jmueller@fhw-berlin.deFax: +49 (0)30 857 89-199 Internationale Fachhochschule Bad Honnef Prof. Dr. Hansjochen Ehmer Mülheimer Str. 38 D-53604 Bad HonnefTel.: +49 (0)2203 601-21 84 H.Ehmer@dlr.deFax: +49 (0)2203 601-23 77 5. Contact

18. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 18 …or Hochschule Bremen Diplom-Volksw. (FH) Vanessa Kamp Werderstr.73 D-28199 BremenTel.: +49 (0)421 5905-4283 vkamp@fbn.hs-bremen.deFax: +49 (0)421 5905-4599 Website: www.gap-projekt.de 5. Contact

19. UAS Bremen ● Berlin School of Economics ● IUAS Bad Honnef 19 Thank you very much for your attention!