Regaining Altitude - BHS Consultants Roundtable:
The commercial aviation market in the United States continues to increase coming into the summer period. This month, the TSA saw more than two million passengers in one day. This is the first time the commercial aviation sector has crossed this threshold since March 2020. Still, international restrictions and travel bans continue to restrict a full recovery of the aviation sector.
As the market begins to recover, many airports and airlines are planning modernizations, recapitalizations, and expansion programs. As these programs begin, the entire industry is watching how the sector will evolve. We look forward to hearing from some of the leading consultants in the industry to understand what will be different. We would also like to hear what ideas will help shape or change the industry.
Our July 08 meeting discussed some trends in the industry from some of the industry's leading consultants.
We had great presentations:
- Larry Studdiford from Studdiford Technical Solutions – presented on pandemic recovery, load factors, planning for the future, airline changes, and BHS Cost trends. Larry also presented how built up travel has sparked “Revenge Travel”
- Brian Smith from Swanson Rink discussed and presented on specifications. He covered the importance of specifications and the format of specifications. Brian also presented on performance versus prescriptive requirements and how the overall goal should be to provide clarity.
- Eric Miller from BNP provided information on forecasting demand for CBIS systems and common forecasting errors. Eric gave an excellent case study showing how arrival curves can directly impact the design of the CBIS. Brian wrapped up his presentation with guidelines for how to more accurately forecast.
- Greg Blunt from Ross and Baruzzini/Cage provided some current figures on passenger recovery and BHS Market Impact. We also received some insight on how airlines and airports will begin to recover financially. Greg provided some data to show how the overall cost of baggage systems has increased in the longer term. He also provided an insight into how BHS material costs have inflated.
- Mark Zessin from VTC wrapped up the presentations. Mark spoke about financial positions and how airlines can generate cash to invest in capital projects and how this is creating a lot of flux in airline and airport planning cycles. Mark spoke about new technologies being adapted. Lastly, Mark highlighted his concern about the “brain drain” in the industry as a result of the COVID impacts and how we as an industry should continue to foster new talent.
The presentations were followed by several follow up discussions by the other consultants and the meeting participants. Thank you to all those that participated in the July meeting. We look forward to seeing many of you in person at the August meeting.