Aéroports de Lyon Centralizes Budget and Planning Data, Improves Financial Scenario Modeling with Goal to Become France’s Second-Busiest Airport
 
 

Aéroports de Lyon Centralizes Budget and Planning Data, Improves Financial Scenario Modeling with Goal to Become France’s Second-Busiest Airport

Printer View Printer View

Serving more than 7.98 million passengers in 2011, Aéroports de Lyon is the fourth-busiest French airport. It serves all aviation market segments—including conventional and low-cost airlines, charter flights, freight carriers, and business aviation. The airport boasts a balanced business portfolio focused on passenger, parking, and trade services. Its substantial development capacity, 900 hectares of resources, is unequalled in France in terms of land. This, along with the dynamism of the Rhône Alps region, which attracts visitors to southeastern France, promises Aéroports de Lyon a major role in the future European airport landscape. 

As an airport infrastructure administrator under state concession, Aéroports de Lyon needed to update its 40-year business plan. In addition, it required the ability to analyze its infrastructure investment capacity and economic levers to accommodate a projected 15 million passengers annually by 2020.

Aéroports de Lyon worked with Oracle Partner Partake Consulting to implement Oracle Hyperion Planning and Oracle Essbase. With the implementation, Aéroports de Lyon integrated budget planning, investment, and detailed analyses of airport activities and projects into a single application. It also used the solution to develop financial plans that improve investment calculations and maximize potential economic development—helping to demonstrate short- and long-term profitability.

 
 

 
 

Challenges

A word from Aéroports de Lyon

  • “Oracle’s Hyperion and Essbase enterprise performance management solutions give us the robust modeling scenarios we need to successfully plan and manage growth in the highly variable aviation sector.” – Catherine Ville-Gali, Head of Management Control and Charging Department, Aéroports de Lyon

  • Enable Aéroports de Lyon, a private airport infrastructure administrator under state concession, to conduct and promote a long-term activity development study
  • Establish a 40-year business plan, covering the duration of the state-granted concession period, to improve financial monitoring and the ability to make investments related to infrastructure development—such as for new terminals and boarding satellites—to accommodate an expected 15 million passengers by 2020
  • Improve visibility and operational efficiency by coordinating core business activities related to invoicing for air transport services and other airport functions—such as car parks, trade, and property—through a unified tool
  • Understand level of airport activity required to make Aéroports de Lyon the second- busiest passenger gateway in France
  • Improve communication with the state, which is the majority shareholder, by providing accurate and rapid on-demand economic and business scenarios
  • Demonstrate profitability as a private infrastructure administrator

Solutions

Oracle Product and Services

  • Worked with Oracle Partner Partake Consulting to implement Oracle Essbase, replacing Excel-based reporting and creating the foundation for development of a 40-year business plan by integrating balance sheets, funds statements, cash flow plans, profit-and-loss statements, and performance analysis
  • Used Oracle Hyperion Planning to integrate data regarding operations, airport investment, and human resource costs within a single application to strengthen management culture at all company levels, provide enterprisewide visibility, and accelerate planning
  • Improved short- and long-term financial scenario modeling capabilities for better visibility into the investment needed to accommodate an expected passenger surge and maximize potential economic development, related to 900 hectares of land assets
  • Increased reliability of forecasting data by extending collaboration to 10 key management control users and using data from repositories, such as traffic summaries and commercial and cost-related changes
  • Enabled financial adjustments between forecasts, as well as calculated and projected data, with Oracle Essbase, and enhanced asset management over a 40-year period, which was not previously possible with Excel spreadsheets
  • Gained the ability to project the impact of potential changes to the airport’s economic model, schedule density, and simulate financial results using key performance indicators, such as passenger traffic, business, and parking revenues
  • Improved financial modeling and forecasting with the new analytical environment, including the ability to project human resource costs for Aéroports de Lyon’s cleaning services agreement as the facility’s area expands
  • Automated budget input with Oracle Hyperion Planning, saving time and improving accuracy

Why Oracle

“Against a backdrop of strong expansion and development potential, Oracle solutions provide the flexibility and power we require to carry out a long-term strategic study and establish and adapt financial plans,” said Catherine Ville-Gali,  Head of Management Control and Charging Department, Aéroports de Lyon.

Partner

Aéroports de Lyon worked with Oracle Partner Partake Consulting to develop a 40 year business plan and enable profit-and-loss and investment cube modeling to oversee the organization’s investment program until the end of the agreement for state concession in 2047.