Your client is the CEO of Heathrow airport (London), the busiest airport in Europe in terms of commercial traffic.
Due to COVID-19, the airport's operations and hence, revenue streams, have been severely affected.
The CEO asks for your help with the preparation of the upcoming Steerco, focused on:
“How to secure Heathrow's revenue streams during April-June 2020, mitigating the effects of COVID-19”.
How to secure Heathrow´s revenue streams during April, May and June 2020, mitigating the effects of COVID-19?
Note: includes securing old revenue streams and searching for new ones.
The CEO would like to know how many passengers Heathrow airport missed/will miss during April, May and June 2020 (COVID-19 peak in Europe). For this, they ask for your help to:
Estimate what was the forecasted traffic in the airport in the cited 3 months.
We know from an industry report that airports in Europe ranged from losing 100% of their operations in April-June 2020 (i.e., total closure) to keeping 10% of their operations.
Knowing that, plus the facts that we already know about Heathrow airport:
You are the Associate who worked in this engagement, and who is currently guiding the CEO of Heathrow Airport to the ExCom meeting with the MBB partners. In the elevator ride (1 minute), she asks you to provide her a quick note on what the conclusions are.
This is a typical McKinsey case – perfectly extrapolatory to other MBBs, particularly 1st round – consisting of: