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Denver International Airport Case Study

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DIA (Denver International Airport)case study : analysis on the problems and opportunities they faced.

I. Issues:
   
The three major issues presented by the DIA (Denver International Airport) case were:
• Financial – reduce DIAs’ bond debt ($5.3 billion).
• Strategic – Attract passenger and cargo traffic as a means to achieve 100% fixed assets utilization.
• Technology – Correct malfunctioning ABS (automated baggage system). Use of technology in cost control.

I will be taking a much more in depth look at each of these issues in section four – alternatives, in terms of a systems development. I will also go into greater detail in section three, problems and opportunities, where I have focused most of this case study analysis.

II. Environmental Analysis:

The event that lead to the need for a new airport in Denver was simply – Denver had outgrown SIA (Stapleton International Airport). SIA was established in 1929; although periodic expansion over the years seemed to satisfy air traffic demands, by the 1970s SIA was one on the ten largest airports in the world and was not capable of handling its current or future projected air traffic. An option to expand SIA onto U.S. Army arsenal property was pursued – the property was highly contaminated, and clean-up costs were estimated at $6 billion in 1982 – proving this to be an unfeasible option for the city of Denver.
The other option, and eventual result, was to construct a new airport. With local endorsement and $500 million in federal funding, the construction of DIA would begin on September 28, 1989. Due to the delays with the automated baggage system, DIA did not open until February 28, 1995 – sixteen months later than the scheduled date.
The environmental analysis of this case presented a very good opportunity to demonstrate the effects that technology has on society. Technology for the most part is designed to make our lives easier. But, as can be seen in the case of the ABS system - design needs...

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