CONVERGENCE MAY - JUNE 2016

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Retailers Passengers Airlines Inspiration What is RtS2020? RtS2020 is a follow through from the earlier five-year business plan, and is intended to map out Malaysia Airports’ ambition in becoming "The Global Leader in Creating Airport Cities". The plan centres around two main thrusts which are further broken down into four strategic priorities. STRENGTHEN the Core The first thrust is to strengthen the core of their airport operations business. This involves establishing KLIA as the preferred ASEAN hub that offers passengers increased connectivity and a seamless transfer experience. Another focus area is also to enhance total airport experience by reimagining the airport experience for passengers as well as retail and airline partners. The aim is to ensure the provision of an innovative experience in a highly digitised environment. This will be coupled with the uplifting of service quality. RtS2020 Strategic Pillars AEROPOLIS Stimulate economic activity of adjacent landside through logistics, aerospace and MICE/leisure segments KUL HUB Realise KUL’s potential with focus on critical markets and connectivity INTERNATIONAL EXPANSION Increase international footprint and export core airport capabilities TOTAL AIRPORT EXPERIENCE (TAE) Embed customer-centric culture to improve experience for passengers, airlines and retailers Expand and Diversify The second thrust of RtS2020 is to expand and diversify its business. To achieve this, Malaysia Airports is looking into stimulating economic activities through logistics, aerospace and MICE (meetings, incentives, conventions and exhibitions) and leisure segments as part of the Aeropolis development. Needless to say, KLIA with its 100 square-kilometre land bank will be the main focus area. In terms of international expansion, the airport group will diversify internationally by actively identifying investment opportunities with significant shareholdings in order to build a balanced, diversified portfolio of international asset. Playing the Role of Malaysia’s Key Economic Enabler KLIA Aeropolis will be an airport city that is envisioned to be a destination for both business and leisure travellers. It will serve as a pivotal meeting place for both international and local trades to take place as well as a centre for business and entertainment. Realising the importance of how airports are fast becoming an important link to global markets, the fruition of KLIA Aeropolis is expected to boost Malaysia’s economic development with its capability to bring in about RM7 billion in potential investments. There are about 20 development projects identified and these are expected to reel in direct investments from both foreign and domestic investors over the next five years. In formulating the KLIA Aeropolis development plans, Malaysia Airports closely collaborated with relevant stakeholders such as the National Aerospace Council and the National Logistics and Trade Facilitation Taskforce. The development centres around three clusters - air cargo and logistics, business and aviation, and MICE and leisure and these three clusters are closely aligned to the country’s economic development agenda such as the National Logistics and Trade Facilitation Masterplan (2015-2020) and the 2nd National Aerospace Blueprint (2015-2030) and as well as various initiatives under the Tourism National Key Economic Area (NKEA) as outlined under Malaysia’s Economic Transformation Programme (ETP). 90
One early realisation of the KLIA Aeropolis development plan is the establishment of Mitsui Outlet Park KLIA Sepang (MOP) which opened in May 2015. A joint venture between Malaysia Airports and Mitsui Fudosan, a Japanese real estate and retail property developer, MOP will be further expanded to eventually accommodate up to 260 outlets over 46,000 square metres making it potentially the largest retail outlet park in Southeast Asia. Inspiration What’s In Future for PASSENGERS? One initiative that Malaysia Airports is currently looking into is to improve the total airport experience for passengers. Over 40 initiatives have been identified that are aimed at providing visitors with a memorable and joyful experience such as enhancing check-in processes and developing mobile applications. For instance, the check-in process will be enhanced by implementing automatic bag drop counters which has proven to be successful at Sydney Airport where passengers can drop off their luggage in less than a minute. As for mobile apps, applications that can enable easy access to airport car park booking, premium airport services, airport guide and integrated online shopping directory would improve the total airport experience by quite a margin. Malaysia Airports’ Chairman, Tan Sri Dato' Sri Dr. Wan Abdul Aziz Wan Abdullah (left) and Managing Director, Datuk Badlisham Ghazali at the official launch of RtS2020, recently 91
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CONVERGENCE MAY - JUNE 2016

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