Changi Airport Development: Analysis and Strategic Planning Report

This report provides a comprehensive analysis of Changi Airport's development. It begins with an introduction highlighting the airport's global recognition and the evolution of its master plan to accommodate growing demands. The report delves into the airport's history, starting with the completion of its first phase in 1981 and its subsequent expansions, including the addition of multiple terminals to increase passenger capacity. It then examines land area requirements, emphasizing the master plan's strategy to double the airport's size and passenger capacity through land reclamation and infrastructure development. The demand forecast analysis reveals the airport's impressive passenger handling capacity and its role as a major international hub. Furthermore, the report assesses the airport's commercial management and financial performance, highlighting its revenue and passenger growth. It also discusses the advantages of the master plan, such as its strategic location and room for expansion, while also addressing its disadvantages and potential mitigation measures. Recommendations for maximizing non-aeronautical revenue and improving automation are provided, concluding with a summary of Changi Airport's successful implementation of a world-class airport and its consistent recognition as a top global airport. References are included to support the analysis.

Changi Airport Development
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Introduction
 Changi Airport is considered as one of the best
airports in the world.
 Since its phase 1 completion, the airport
master plan has been able to account the
demand forecast both in Singapore and Asia
(Freestone, 2009).
 The airport was announced to be started after
Paya Lebar airport reached in maximum
holding capacity with increasing need of the
new growing demand.

Background History
 The first phase of Changi Airport was
completed in the year 1981.
 The second terminal was later
completed a decade later allowing the
airport to hold a capacity of up to 50
million passengers.
 In current position Changi Airport has a
total of four terminal with capacity of
holding more 80 million passengers
annually (Heracleous & Wirtz, 2012).

Land Area Requirements Analysis
 Through the land the reclamation, the airport master plan has been designed to
be able double its current size increasing also the capacity of passengers by
double its current number.
 The requirement of new implementation of runways and taxiways has been
one of main agendas of master plan strategy in meeting the current challenge
of airport operators (Freestone, 2009).
 Changi Airport has in total 3 runways where the third has been in use by the
military but it is under changes to meet requirements of handling bigger planes
to ease congestion.

Demand Forecast Analysis
 In 2017, the airport reported to have handled
over 62.2 million passengers.
 The master plan infrastructure development
has maintained the increasing growth of
demand in the region which positions the
airport as one of the busiest airports in the
world (Henderson, 2015).
 Changi Airport serves more than 100
international airlines flying in approximately
more than 100 countries and 400 cities in the
world.

Changi Airport Commercial Management and Performance
 In 2017 financial report, Changi Airport is approximately worth 2.3 billion
Singaporean dollars.
 The airport reported a constant increase in passenger’s population by
approximately 6% and likewise an increase of 3.2% of total aircraft
movements (Henderson, 2015).
 Changi airport is considered as the second busiest airport in Asia and sixth
busiest in the world.

Advantages of the Master Plan
 The strategic location of the master
plan has also attributed in the demand
growth in Asia market and other
emerging markets due to lack of
competition (Halpern & Graham,
2013).
 The availability for room for
expansion is also one of the main
advantages that has led to the
continuous growth and success in the
market.

Disadvantages of Master Plan
 The master plan has not adequately improvised the needed requirements in the
utilization of available resources.
 After the completion of terminal 5, the airport is predetermined to face
challenge in further expansion (Henderson, 2015).

Mitigation Measures
 The Airport has equipped emergency
team that ensures adequate advice and
guidance on safety management
matters.
 The safety management system in
Changi Airport is one of the considered
best in the world with an effective
response after the reporting of the
incident (Freestone, 2009).

Recommendation
 With the trending focus in the air travel today, one of the main focus in every
airport master plan should be the ability to maximize non-aeronautical
revenue.
 The airport management should emphasize is the increase in automation and
technology improvement which will increase its handling capability and its
service standards (Halpern & Graham, 2013).

Conclusion
 In summary, the Changi Airport master plan has been very successful in the
implementation of the world-class airport.
 The airport has portrayed an outstanding performance in the previous decade
where it has been able to achieve five consecutive wins as “World Best
Airport” since the year 2012.

References
 Freestone, R. (2009). Planning, sustainability, and airport-led urban
development. International Planning Studies, 14(2), 161-176.
 Halpern, N., & Graham, A. (2013). Airport marketing. Routledge.
 Henderson, J. C. (2015). Destination development and transformation: 50 years of
tourism after independence in Singapore. International Journal of Tourism Cities, 1(4),
269-281.
 Heracleous, L., & Wirtz, J. (2012). Strategy and organization at Singapore Airlines:
achieving a sustainable advantage through dual strategy. In Energy, Transport, & the
Environment (pp. 479-493). Springer, London.