Airservices is Australia's air navigation service provider - we provide air traffic control, aviation rescue and fire fighting and air navigation services.

Annual Report 2017–18: Chief Executive Officer’s report

Airservices ever-present responsibility is to ensure the safety of Australian skies. To continue to discharge this role effectively, we cannot stand still. The aviation industry is changing rapidly, and we must evolve with it.

Our challenge this year was to maintain the positive momentum created during our Accelerate transformation program and capture the value of our resultant capability growth for our customers by delivering safe, more efficient and innovative services for all who operate in our skies. Our challenge was also to demonstrate to the industry, and particularly our customers, that we can deliver the benefits of large-scale projects in a fiscally responsible way.

This annual report demonstrates our progress and provides examples of our achievements throughout the year. It also signifies the preparations we are making to continue our safety critical role in a very different aviation future.

Entering into an agreement with the Department of Defence for the harmonisation of civil and military air traffic control in Australia was a significant achievement this year. A global first, OneSKY will be the air traffic management platform of the future. It will unlock over a billion dollars of economic benefits for Australia, allowing us to more efficiently manage Australia’s airspace and safely cater for significant predicted traffic growth and airport infrastructure investment over the next decade. Progress under our multi-year implementation timetable is on track.

In recognition of the need for disciplined program execution for such a major undertaking, and to ensure that we deliver on the promised customer benefits, we established a Customer Service Enhancement Group. As we mature our approach to customer engagement and become more focused on delivering tangible customer benefits and value for money, our customers’ experience is already changing.

Innovation through technology is a constant theme in our business to secure safety and customer value in such a rapidly changing and sophisticated environment. During the year we developed a concept of operations for long range air traffic flow management. This initiative will better integrate international flights into our network, resulting in less fuel burn and more predictable arrivals into major airports. We also made progress with the Airport Collaborative Decision Making initiative, which will harmonise operations across all major Australian airports to improve efficiency at and between those airports for the benefit of all travellers.

While these milestones are evidence of our progress, we are very cognisant of the importance of underlying organisational capability to deliver them safely and efficiently. We have made sure that our people, culture, values, systems and processes support us to deliver safety and environmental outcomes with agility. We established new organisational values during the year that better reflect our people and the organisation that we are today. We also recently transitioned our infrastructure as a service capability to a secure cloud – the biggest transition to cloud
services in Australian Government history. As always, we remain conscious of the customers whose contributions fund our organisation. This year we achieved the service outcomes we exist to deliver, more efficiently. We reduced our operating costs by a further 2.3 per cent and at the same time handled increased air traffic, delivering an 11 per cent productivity improvement for the year. What is most pleasing with these results is that, based on the forecasts in our 2018–2019 Corporate Plan, we were able to commit to our customers that we will hold our prices at 2015 levels for at least another five years. This achievement is particularly significant given the size and scale of the investment program to which we are committed. For the year ahead, we are considering how Airservices will continue to meet its important safety mandate as our industry continues its rapid pace of change. The impact of new airspace entrants, ongoing traffic growth and significant airport infrastructure investment are just some of the challenges for which we must prepare. It is core to our safety responsibility that we plan for the future, and position ourselves well to assure ongoing, safe service delivery and customer value.

Jason Harfield
Chief Executive Officer

 


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“Innovation through technology is a constant theme in our business to secure safety and customer value in such a rapidly changing and sophisticated environment.”