TRB Webinar Program

Information Technology Systems at Airports

Monday, June 12, 2017 2:00pm to 3:30pm ET

TRANSPORTATION RESEARCH BOARD

Purpose Discuss ACRP Report 59: Information Technology Systems at Airports--A Primer, and ACRP Report 128: Alternative IT Delivery Methods and Best Practices for Small Airports.

Learning Objectives

At the end of this webinar, you will be able to: • Apply practical and actionable techniques to identify critical IT issues

and improve communications between airport executives • Understand how to conduct an assessment to determine a specific

airport’s unique attributes and IT maturity level • Understand how to conduct an evaluation of a specific airport to align

its business needs and the available IT delivery methods based on the assessment of an airport’s unique attributes and IT maturity level

ACRP is an Industry-Driven Program

✈ Managed by TRB and sponsored by the Federal Aviation Administration (FAA).

✈ Seeks out the latest issues facing the airport industry.

✈ Conducts research to find solutions.

✈ Publishes and disseminates research results through free publications and webinars.

Opportunities to Get Involved!

✈ ACRP’s Champion program is designed to help early- to mid-career, young professionals grow and excel within the airport industry.

✈ Airport industry executives sponsor promising young professionals within their organizations to become ACRP Champions.

✈ Visit ACRP’s website to learn more.

Upcoming ACRP Webinars

June 20th Business Continuity Planning for

Disruptions at Airports

July 25th An Integrated Approach to Managing

Regulatory Compliance

Additional ACRP Publications Available

Report 13: Integrating Airport Information Systems Report 16: Guidebook for Managing Small Airports Report 49: Collaborative Airport Capital Planning Handbook Report 69: Asset and Infrastructure Management for

Airports—Primer and Guidebook Report 77: Guidebook for Developing General Aviation

Airport Business Plans

Today’s Speakers

John Purnell, Inspired Data Solutions, LLC.

Presenting Report 59 A Primer for Information Technology

Systems at Airports

Justin Phy and Peter Longoria, Barich, Inc.

Presenting Report 128 Alternative IT Delivery Methods and Best

Practices for Small Airports

ACRP Report 59: Information Technology Systems

at Airports - A Primer

John Purnell, PMP

Ruth Hough

Contributors: Robert White, Sandra Gonzalez, Frank Haley, Matt Hyde Jim Willis, Gerard de Grandis, John Walfish

John Purnell, PMP Principal Investigator

• Expert in Voice and Data Telecommunications with a Specialization in Transportation

• Program and Project Management Specialties: • Technology Strategy and Planning • Passenger Processing System Design • Enterprise Network Design • Transportation Security Systems • Telephone Systems • State Government Systems

ACRP Report 59 Oversight Panel

John Newsome, GOAA, Panel Chairman Frank Barich, Barich Inc. James C. DeLong, Capital Improvement…1904, LLC Dominic A. Nessi, LAX Carl E. Remus, Tulsa Airport Authority David Ruch, MSP Paul L. Friedman, FAA Liaison Matthew L. Griffin, ACI Thomas Palmerlee, TRB Liaison

ACRP Report 59: Information Technology Systems at Airports – A Primer

• User friendly management tool to help airport executives and IT professionals

• Identifies difficulties in effective communication about common IT issues between key stakeholders

• Articulates sound IT principles for implementing IT systems

• Identifies how to implement a standard IT system lifecycle process

• Presents means for stakeholders to effectively articulate benefits of IT systems when formulating airport strategic goals and investments

• Published January 2012

Research Problem How can airport executives, each with a different focus communicate effectively to implement innovative, value driven solutions to Airport IT problems?

Approach

The primary research included: • Two workshops at AAAE

• On-line surveys of CEO, CIO and one Stakeholder

• On-site interviews CEO, CIO, and one Stakeholder

Approach Secondary steps included developing common tools:

• Development of 52 System Descriptions

• Development of a 3-part Glossary

• Development of Standard Checklists and Evaluation Tools

Key Findings Communications Challenge: A Common Understanding

Key Findings Communications Challenge: A Common Understanding

Key Findings Communications Challenge: A Common Understanding

Key Findings A Common Understanding: IT Lifecycle Standardization

Practical Application Implement Standard Strategic Planning Phase

Practical Application Implement Standard System Planning Phase

Practical Application

Implement Standard Implementation Phase

Practical Application

Implement Standard Operations & Maintenance Phase

Practical Application Make Use of Standard Checklists

Practical Application

Make Use of

Standard

Project Evaluation

Sheets

Practical Application

1 2 3 4 5 6 71 Project Direct Capital Costs (100,000)$ 2 Project Labor Costs (25,000)$ 3 Outside Funding 50,000$ 4 Net Change to Revenue -$ -$ 5,000$ 10,000$ 10,000$ 10,000$ 10,000$ 5 Net Change to Direct O&M Costs 4,000$ 7,000$ 6,000$ 6,000$ 6,000$ 6,000$ 6,000$ 6 Net Change to O&M Labor Costs 2,000$ 3,000$ 3,000$ 2,000$ 2,000$ 2,000$ 2,000$ 7 Interest on Capital Avoidance 6,500$ 6,500$ 6,500$ 6,500$ 6,500$ 6,500$ 6,500$ 8 Net Cash Flow (75,000)$ 12,500$ 16,500$ 20,500$ 24,500$ 24,500$ 24,500$ 24,500$ 9 Cumulative Cash Flow (75,000)$ (62,500)$ (46,000)$ (25,500)$ (1,000)$ 23,500$ 48,000$ 72,500$

Evaluation Period is 5 Years Assumed Cost of Money is 4.50%

10

11

12

Example Analysis

Internal Rate of Return

Net Present Value

Recurring (Annually)One Time

Assumptions:

Break-Even Point

8.8%

9,799$

3.8 years

Make Use of Standard Project Financial Evaluation Spreadsheets

Practical Application The Primer offers the industry:

• A chance for CIOs, CEOs and Stakeholders to understand one another

• An description of a common language, understanding, processes and decision tools

• A training resource to bring technical staff up to management level

For additional information: ACRP Report 59 Information Technology Systems at Airports – A Primer

• John Purnell John.Purnell@InspiredDataSolutions.com

http://www.trb.org/ACRP/Blurbs/166592.aspx

ACRP Report 128: Alternative IT Delivery Methods

and Best Practices for Small Airports

Justin Phy

Peter Longoria

Barich, Inc.

Barich, Inc. Team

Justin Phy President

Sr. Business

Consultant

Strategic Technology

Expertise

Peter Longoria RCDD Sr. Technical Consultant Infrastructure and Systems Expertise

ACRP Report 128 Oversight Panel

Rick Belliotti San Diego International Airport, San Diego, CA Dan D. Ingram Greenville-Spartanburg Airport District, Greer, SC Kelly L. Johnson Northwest Arkansas Regional Airport Authority, Bentonville, AR James Knaeble ARINC Incorporated, Tulsa, OK Therese Norcross Missoula County Airport Authority, Missoula, MT Tom Strange The Solution Design Group, Warrenton, VA Matthew J. Griffin Airports Consultants Council Liaison

ACRP Report 128: Alternative IT Delivery Methods and Best Practices for Small

Airports

Purpose of research was to provide a comprehensive understanding of the applicability of differing alternative IT delivery methods/options for small and medium airports:

• Determine unique attributes and IT maturity • Understand available IT delivery methods • Align solutions with business needs

Key Differentiators of Small Airports

Airport Ownership Municipality vs. Authority/Private

Airport Management Culture Technologically Conservative vs. Progressive

Availability of Financial Resources Limited vs. Available

Availability of Local Support Resources Limited vs. Readily Available

IT Maturity Levels

Survival

Awareness

Committed Proactive

Service Aligned

Classification of IT Delivery Methods

•Strategic Technology Alignment

Human Resources

Applications / Systems

Infrastructure

Evaluation of IT Delivery Methods

IT Delivery Option

Benefit

Risk

Cost Considerations

Scalability

Integration

Dependencies

Alignment with Business

Stakeholder Needs

Airport Goals IT Goals Enabling

Processes

ISACA COBIT model used to illustrate the relationship of IT processes to stakeholders’ needs

Stakeholder Need to IT Processes

Value from the use of IT

Provide value to airport stakeholders through financial investments

Provide competitive products and services for airlines and passengers

Maintain a customer-oriented service culture

Maintain business service continuity and

availability

Security of information, processing infrastructure

and applications

Managed IT-related business risk

Manage operations

Manage service requests and incidents

Manage problems

Manage continuity

Manage security services

Manage business process controls

Availability of reliable and useful information

for decision making Manage airport-wide

change programs

Maintain skilled and motivated airport staff

Maintain an innovative airport culture

Stakeholder Need Airport Goals IT Goals IT Processes

Stakeholder Need to IT Processes

Value from the use of IT

Provide value to airport stakeholders through financial investments

Provide competitive products and services for airlines and passengers

Maintain a customer-oriented service culture

Maintain business service continuity and

availability

Security of information, processing infrastructure

and applications

Managed IT-related business risk

Manage operations

Manage service requests and incidents

Manage problems

Manage continuity

Manage security services

Manage business process controls

Availability of reliable and useful information

for decision making Manage airport-wide

change programs

Maintain skilled and motivated airport staff

Maintain an innovative airport culture

Stakeholder Need Airport Goals IT Goals IT Processes

Implementing IT Processes

COBIT Guidance (Example) • Process Purpose Statement • Process Description • Practices • Tasks

Appendix F: Useful References

Business Case Development Guide

•Determine the Unique Characteristics and Impact

•Align Technology with Stakeholders

•Evaluate the Value of Differing Options

•Assess the Readiness Level

Business Case Development Guide – Issue Analysis

•ISSUE DESCRIPTION AND CURRENT CONDITION

IT GOALS

AIRPORT GOALS

STAKEHOLDER NEEDS

OPPORTUNITY PARAMETERS

Business Case Development Guide – Opportunity Evaluation DESCRIPTION & BENEFITS / MEASUREMENT CRITERIA

COST FUNDING PLAN

FEASIBILITY / RISKS / ISSUES

STAKEHOLDER IMPACT

For additional information: ACRP Report 128 Alternative IT Delivery Methods and Best Practices for Small Airports

• Justin Phy o Justin.phy@barich.net

http://www.trb.org/Publications/Blurbs/172180.aspx

Panelists Presentations

http://onlinepubs.trb.org/onlinepubs/webinars/170612.pdf

After the webinar, you will receive a follow-up email

containing a link to the recording

Today’s Participants

• Rick Bellotti, San Diego County Regional Airport Authority, rbelliot@san.org

• John Purnell, Inspired Data Solutions, LLC, John.Purnell@InspiredDataSolutions.com

• Justin Phy, Barich, Inc., justin.phy@barich.net

• Peter Longoria, Barich, Inc., peter.longoria@barich.net

Get Involved in ACRP • Submit a research idea to ACRP. • Volunteer to participate on a project panel. • Prepare a proposal to conduct research. • Get involved in TRB's Aviation Group of

committees. • Take part in the Champion or Ambassador

Programs.

For more information: http://www.trb.org/acrp/acrp.aspx