Introduction
The John F. Kennedy International Airport is one of the landmark airports in the United States of America. Its geographical position is in New York City (Silverman, Chauvin, &Goodman 2010). The airport links the United States with the rest of the world being the main entry and exit point from the U.S. the JKF airport got its name from the 35th U.S President, John F. Kennedy.
Ownership
The John F. Kennedy Airport is owned by New York City (Stoff 2009). It is the city with the highest occupancy capacity in the United States. It is also one of the heavily populated urban setups in the world. The city also acts as the central operation point for United Nations besides serving as the center for international commerce and tourism. However, the John F. Kennedy airport is operated by the Port Authority of New York and New Jersey which was incepted in 1921. Through the port authority, the JKF Airport is capable of harnessing its resources which are required in air transport travel (Szurovy 2003). The JKF Airport facility is a public utility and it serves New York City as the main gateway in and out of the city (White & Fran 2010).
Organizational structure
The structure of the organization comprises of leadership hierarchy with the Executive Director at the helm of leadership (Corporate Information 2010). His main role is to act as the chief executive officer of the port operations. Under the Executive Director is the Deputy Executive Director who plays a supportive role to the chief executive officer. He supplements the leadership requirements of the port alongside overseeing some of the latent operations. The above officers are then mandated to enhance smooth management of the port through the board of commissioners who are appointed by governors from each of the states.
Managing Style
The management style of the John F. Kennedy Airport is curved and enshrined by the port authority. Governors are mandated to select officials who will belong to the commissioners’ board. However, the appointment has to be appended by the senate of the concerned state. The commissioners who are appointed are not liable for remunerations even as they serve as public managers. Their tenure period runs for six years. In the course of management, the governors have the right to intervene in any resolutions taken by the commissioners. The official proceedings of the managing board are not done in private.
Moreover, the Executive Director who is under the authority of the commissioning board has the role of making sure that the running of the port is on course as provided for with the requirements of the port’s authority. All the operations of the port are carried out with strict adherence to the rules and regulations of the agency. In addition, there are legislations that have been put in place to govern the management limits of the entire port authority to ensure that it does not spill over its roles and responsibilities to other undesired areas within the air transport department.
Another important aspect of management style which is highly upheld is transparency and accountability (Corporate Information 2010). For instance, one of the transparency procedures in place is the open enumeration of discussion items that are due for public meetings. Additionally, a high frequency of public meetings is encouraged where members of the public can voice their concerns and opinions over the performance of the management board.
Strategy
The John F. Kennedy Airport under the management of the Port Authority has put in place several initiatives to improve its services and boost the volume of revenue. It has the mission of “moving the region forward” (Community relationship 2009). This strategy is deemed to be achieved through hard work, innovation as well as making prime investments both locally and regionally. The port is endeavoring to set up a lasting strategic plan which aims at adequately covering air transport travel within the region. This will move a long way in improving the intercity transportation needs. In addition, the port is working towards the facilitation of expedited movement of freight to avoid delays which might result in economic losses (Preparing Future 2009). These strategic development plans will be carried out even as the port facilities are made more users friendly to improve safety and security.
Another area of concern of the port is social corporate responsibility. As a strategy, the port has recognized that its success is tagged on the people it serves and therefore it is has taken a proactive responsibility by giving back to the community. There exists a harmonized relationship between the staff and the general clientele base in terms of information provision and other day-to-day activities of the port. One of the major community initiatives undertaken by the port was the reconstruction of the World Trade Center. Moreover, environmental conservation through the reduction of pollution controls is part and parcel of its development strategy.
Financial statements
The financial information of the John F. Kennedy Airport is maintained and safeguarded by the Port Authority. The preparation of the yearly budget is done with strict adherence to the set rules and regulations of the JKF airport (Financial information 2009). The main mandate of the Port Authority board is to exercise the approval of all the budgetary requirements of the airport as well as make any other financial adjustments programs which include the preparation of mini budgets for the JKF airport.
Regarding the financial statements of the John F. Kennedy Airport, the Port authority usually prepares the financial which covers a period of twelve months beginning from January 1st up to December 31st (Financial statements 2009). Nevertheless, the public presentation of the audited statements is done in February each year. The financial statements are then incorporated into the overall annual report. The managing team usually hands over the report to the board of the airport in April.
The financial statements once prepared and approved by independent auditors are placed in the public domain. In the overview of the 2009 financial performance, the net assets significantly increased and were recorded at eight hundred and forty-six million U.S dollars. Meanwhile, the operating port income went up by twenty-five million U.S dollars which were attributed to improved income margin accrued from rental facilities of the port. From the financial statements, it was also clear that a drop of twenty-five million U.S dollars was realized from the operating expenses compared to the previous year (2008). The decrease in overhead costs was a result of the pollution remedial program adopted by the port authority. The transfer of 1.8 billion dollars and yet another 1.3 billion dollars for renovation programs as well as regional capital investments led to higher amortization operating costs. Similarly, the rate of depreciation of the agency’s assets went up. The two elements in the 2009 financial statements recorded a total of seventy-one million U.S dollars. Moreover, the port authority engaged itself in other financial activities for the year ending 31st December 2008. For instance, the reconstruction exercise of the World Trade Center consumed up to 1.3 billion U.S dollars. The improvement projects on safety and security which were carried out at the port also significantly increased the operating expenses. Despite the increased overhead expenses of the port in the 2009 fiscal year, the returns were equally impressive with positive mean revenue being recorded.
The table below gives a summary of the comparative financial statements for three consecutive years.
Reference List
About Us (2009). Web.
Community relationship (2009). Web.
Corporate Information (2010). Web.
Financial information (2009). Web.
Financial statements (2009). Web.
Fisher L and Coogan A.M (2002). Strategies for improving public transportation access to large airports United States. Washington DC. : Transportation Research Board.
Preparing Future (2009). Web.
Silverman B, Chauvin K and Goodman R. (2010). Frommer’s New York City 2010, New Jersey: Willey Publishing Inc.
Stoff J. (2009). Kennedy International Airport, San Francisco: Arcadia Publishing.
Szurovy G. (2003). The American Airport, Minnesota: MBI Publishing Company.
White N and Fran W.E (2010). Guide to New York City, London: Oxford University Press.