ANNUAL REPORT 2017 Director-General's Statement
ANNUAL REPORT 2017 LFV is with you on the travel
ANNUAL REPORT 2017 This is LFV
ANNUAL REPORT 2017 The Year in Brief
ANNUAL REPORT 2017 Operating Environment and Marke
t
ANNUAL REPORT 2017 Strategy and Objectives
ANNUAL REPORT 2017 Customer Focus
ANNUAL REPORT 2017 Environment
ANNUAL REPORT 2017 Aviation Safety
ANNUAL REPORT 2017 Innovation
ANNUAL REPORT 2017 Cooperation and Partnerships
ANNUAL REPORT 2017 Employees
ANNUAL REPORT 2017 Board of Director's Report
BOARD OF DIRECTORS' REPORT The number of employee
s has decreased in recent years, and at year-end the figure was 1,125 (1,143). Absence due to illness for 2017 amounted to 3.00 per cent (2.71). LFV is continually engaged in preventive work and implements various measures and activities to minimise absence due to illness. The percentage of total sick leave relating to continuous absence of 60 days or more has decreased compared to the previous year. All employees have health and wellness allowance, and in connection to several workplaces there are opportunities for physical exercise. All employees are also covered by private health insurance to get healthcare and help quickly, if needed. LFV’s annual employee survey was conducted during the autumn. The response rate of 83 per cent is continuing to be high. The positive parts of the results are, among other things, good leadership in a majority of all work groups, that more have accessed the summary of LFV’s business plan, that more are accepting the values and the cooperation between work groups. Areas to monitor and develop include the stress levels among managers, explicity in the organisation, the level of engagement, and thrust in and information from the executive management. All managers get feedback on their leadership, as well as the conceived working environment in the employee survey. In collaboration between the manager and the employees, action plans for improvement are developed. During the year work has been conducted to revise the LFV Code of Conduct, and it is expected to be completed in spring 2018. The LFV Code of Conduct is based on the values of the State and encompass a number of important areas to clarify ethical approaches and guidelines. It shall, together with our common values: solution oriented, engaging and innovative thinking, give guidance in the daily work regarding behaviors and actions. With the purpose of improving the strategic, tactical, and ensuring operative competence in the short and long term, a review of the competence ensuring planning has commenced. During previous years LFV has conducted efficiency work leading to reorganisation and reducing the number of employees. To secure the strategic competency in the long term, which is required for LFV to meet future challenges LFV ANNUAL REPORT 2017 an exchange of competence is conducted, which during the year also included new recruitments in several areas. After an intermission for several years in accepting air traffic controller trainees, LFV has advertised a test for air traffic controller training during the year. Close to 300 applications were submitted at the end of the application period and tests were conducted during the latter part of the year. The chosen trainees commenced their training in January 2018. During the following years LFV plans a regular acceptance of trainees, since a large amount of retirees are expected in the comming years. During the year the venture of a new leadership programme has continued. It focuses on concrete training and education for managers and leaders in feedback, structured meetings and employee dialogue, etc. The changes in the managers' work are concurrently measured, which shows positive improvement results in the leadership. Positive effects on the employees have also been noted. The leadership training is based on the leader profile which was produced in 2016. During the year LFV has produced a plan for contributing to the Government's venture in modern temporary jobs in the public sector, which will be introduced successively from 2017. The plan includes routines for identifying and preparing job opportunities and work within the framework of practice in the public sector and modern temporary jobs. Due to the commenced collaboration with Swedavia regarding remote air traffic control LFV has started an extensive process of change with the employees which may be affected by the operations moving to another location. Since a decision on effecting was taken at the end of the year, the work with managing and meeting affected employees enters a more concrete phase. The wage survey of the year has been carried out in accordance with the strengthened discrimination legislation and no inappropriate wage differences. Due to the upcoming new General Data Protection Regulation a system inventory has been conducted. Regulations and routines for managing personal information has been updated to meet the new requirements. Expected future developments, significant risks and uncertainty factors LFV’s financial situation is assessed to be 39 affected negatively by the low interest rate, affecting the pension liability, continued requirements on cost efficiency according to the performance plan, as well as additional costs for aviation safety improvement measures, strengthening of the robustness of the infrastructure, and measures to increase capacity to meet the growth in traffic. The prognosis for air traffic during the next years is a continued growth in airspace movements with 1–2 per cent per year. Regarding the increased requirement picture for the total defense, LFV sees a continued increased need and costs in the future, which currently lacks financing. The prerequisites for financing the increased costs through the charge system for the civil air traffic are limited, thus it will require societal funding. One of the major challenges for LFV is to meet the efficiency requirements in the charging systems third reference period, commencing 1 January 2020. Unreasonable requirements on cost efficiency can affect the ability to fulfill other operations objectives negatively, including the ability to maintain the capacity. LFV seeks actively, in dialogue with the Ministry of Enterprise, Energy and Communications, and the Swedish Transport Agency, which are representing Sweden towards the EU Commission, to affect the composition of the third reference period. LFV stands before a large amount of retirements, which will put demands on the supply of necessary skills during a long time to come. Commencing in 2018, LFV will successively increase the basic training of operative air traffic controllers, which will involve financial as well operational challenges. Sweden and LFV is among the global leaders in digitalisation and expansion of remotely operated air traffic services. The challenge during the next years will be to guard this position and to secure a good return on the conducted investments. For 2018 four new focus areas have been determined: Corporate culture, Strengthening LFV’s competitive force, and meet the return requirements of the owner, Profitable growth and Renewed planning for the total defense.
ANNUAL REPORT 2017 Income Statement, Comments on t
he Income Statement
ANNUAL REPORT 2017 Balance Sheet
ANNUAL REPORT 2017 Comments on the balance sheet a
nd funds statements
ANNUAL REPORT 2017 Financing
ANNUAL REPORT 2017 Accounting and Valuation Princi
ples
ANNUAL REPORT 2017 Notes
ANNUAL REPORT 2017 Investments
ANNUAL REPORT 2017 Reporting in Accordance with Pe
rformance Plan
ANNUAL REPORT 2017 Reporting in Accordance with Ap
propriation Directions
ANNUAL REPORT 2017 Risk Management
ANNUAL REPORT 2017 Dividend Proposal
ANNUAL REPORT 2017 Audit Report
ANNUAL REPORT 2017 Board of Directors
ANNUAL REPORT 2017 Group Management
ANNUAL REPORT 2017 Five Years at a Glance
ANNUAL REPORT 2017 Abbreviations and Explanations