Attractiveness-based airline network models with embedded spill and recapture

Purpose: In airline revenue management, the modeling of the spill and recapture effects is essential for an accurate estimation of the passenger flow and the revenue in a flight network. However, as most current approaches toward spill and recapture involve either non-linearity or a tremendous amount of additional variables, it is computationally intractable to apply those techniques to the classical network design and capacity planning models. Design/methodology: We present a new framework that incorporates the spill and recapture effects, where the spill from an itinerary is recaptured by other itineraries based on their attractiveness. The presented framework distributes the accepted demand of an itinerary according to the currently available itineraries, without adding extra variables for the recaptured spill. Due to its compactness, we integrate the framework with the classical capacity planning and network design models. Findings: Our preliminary computational study shows an increase of 1.07% in profitability anda better utilization of the network capacity, on a medium-size North American airline provided by Sabre Airline Solutions. Originality/value: Our investigation leads to a holistic model that tackles the network design and capacity planning simultaneously with an accurate modeling of the spill and re- capture effects.Furthermore, the presented framework for spill and recapture is versatile and can be easily applied to other disciplines such as the hospitality industry and product line design (PLD) problems.Peer Reviewe

Methods for Improving Robustness and Recovery in Aviation Planning.

In this dissertation, we develop new methods for improving robustness and recovery in aviation planning. In addition to these methods, the contributions of this dissertation include an in-depth analysis of several mathematical modeling approaches and proof of their structural equivalence. Furthermore, we analyze several decomposition approaches, the difference in their complexity and the required computation time to provide insight into selecting the most appropriate formulation for a particular problem structure. To begin, we provide an overview of the airline planning process, including the major components such as schedule planning, fleet assignment and crew planning approaches. Then, in the first part of our research, we use a recursive simulation-based approach to evaluate a flight schedule's overall robustness, i.e. its ability to withstand propagation delays. We then use this analysis as the groundwork for a new approach to improve the robustness of an airline's maintenance plan. Specifically, we improve robustness by allocating maintenance rotations to those aircraft that will most likely benefit from the assignment. To assess the effectiveness of our approach, we introduce a new metric, maintenance reachability, which measures the robustness of the rotations assigned to aircraft. Subsequently, we develop a mathematical programming approach to improve the maintenance reachability of this assignment. In the latter part of this dissertation, we transition from the planning to the recovery phase. On the day-of-operations, disruptions often take place and change aircraft rotations and their respective maintenance assignments. In recovery, we focus on creating feasible plans after such disruptions have occurred. We divide our recovery approach into two phases. In the first phase, we solve the Maintenance Recovery Problem (MRP), a computationally complex, short-term, non-recurrent recovery problem. This research lays the foundation for the second phase, in which we incorporate recurrence, i.e. the property that scheduling one maintenance event has a direct implication on the deadlines for subsequent maintenance events, into the recovery process. We recognize that scheduling the next maintenance event provides implications for all subsequent events, which further increases the problem complexity. We illustrate the effectiveness of our methods under various objective functions and mathematical programming approaches.Ph.D.Industrial & Operations EngineeringUniversity of Michigan, Horace H. Rackham School of Graduate Studieshttp://deepblue.lib.umich.edu/bitstream/2027.42/91539/1/mlapp_1.pd

Cost/benefit trade-offs for reducing the energy consumption of commercial air transportation (RECAT)

A study has been performed to evaluate the opportunities for reducing the energy requirements of the U.S. domestic air passenger transport system through improved operational techniques, modified in-service aircraft, derivatives of current production models, or new aircraft using either current or advanced technology. Each of the fuel-conserving alternatives has been investigated individually to test its potential for fuel conservation relative to a hypothetical baseline case in which current, in-production aircraft types are assumed to operate, without modification and with current operational techniques, into the future out to the year 2000

Non-linear integer programming fleet assignment model

A dissertation submitted to the Faculty of Engineering and the Built Environment, University of the Witwatersrand, Johannesburg, in fulfilment of the requirements for the degree of Master of Science in Engineering. University of the Witwatersrand, Johannesburg, 2016Given a flight schedule with fixed departure times and cost, solving the fleet assignment problem assists airlines to find the minimum cost or maximum revenue assignment of aircraft types to flights. The result is that each flight is covered exactly once by an aircraft and the assignment can be flown using the available number of aircraft of each fleet type. This research proposes a novel, non-linear integer programming fleet assignment model which differs from the linear time-space multi-commodity network fleet assignment model which is commonly used in industry. The performance of the proposed model with respect to the amount of time it takes to create a flight schedule is measured. Similarly, the performance of the time-space multicommodity fleet assignment model is also measured. The objective function from both mathematical models is then compared and results reported. Due to the non-linearity of the proposed model, a genetic algorithm (GA) is used to find a solution. The time taken by the GA is slow. The objective function value, however, is the same as that obtained using the time-space multi-commodity network flow model. The proposed mathematical model has advantages in that the solution is easier to interpret. It also simultaneously solves fleet assignment as well as individual aircraft routing. The result may therefore aid in integrating more airline planning decisions such as maintenance routing.MT201

Future aircraft networks and schedules

This thesis has focused on an aircraft schedule and network design problem that involves multiple types of aircraft and flight service. First, this thesis expands a business model for integrating on-demand flight services with the traditional scheduled flight services. Then, this thesis proposes a three-step approach to the design of aircraft schedules and networks from scratch. After developing models in the three steps and creating large-scale instances of these models, this dissertation develops iterative algorithms and subproblem approaches to solving these instances, and it presents computational results of these large-scale instances. To validate the models and solution algorithms developed, this thesis compares the daily flight schedules that it designed with the schedules of the existing airlines. In addition, it discusses the implication of using new aircraft in the future flight schedules. Finally, future research in three areas--model, computational method, and simulation for validation--is proposed.Ph.D.Committee Chair: Johnson, Ellis; Committee Co-Chair: Clarke, John-Paul; Committee Member: Ergun, Ozlem; Committee Member: Nemirovski, Arkadi; Committee Member: Smith, Barr

Large-scale mixed integer optimization approaches for scheduling airline operations under irregularity

Perhaps no single industry has benefited more from advancements in computation, analytics, and optimization than the airline industry. Operations Research (OR) is now ubiquitous in the way airlines develop their schedules, price their itineraries, manage their fleet, route their aircraft, and schedule their crew. These problems, among others, are well-known to industry practitioners and academics alike and arise within the context of the planning environment which takes place well in advance of the date of departure. One salient feature of the planning environment is that decisions are made in a frictionless environment that do not consider perturbations to an existing schedule. Airline operations are rife with disruptions caused by factors such as convective weather, aircraft failure, air traffic control restrictions, network effects, among other irregularities. Substantially less work in the OR community has been examined within the context of the real-time operational environment. While problems in the planning and operational environments are similar from a mathematical perspective, the complexity of the operational environment is exacerbated by two factors. First, decisions need to be made in as close to real-time as possible. Unlike the planning phase, decision-makers do not have hours of time to return a decision. Secondly, there are a host of operational considerations in which complex rules mandated by regulatory agencies like the Federal Administration Association (FAA), airline requirements, or union rules. Such restrictions often make finding even a feasible set of re-scheduling decisions an arduous task, let alone the global optimum. The goals and objectives of this thesis are found in Chapter 1. Chapter 2 provides an overview airline operations and the current practices of disruption management employed at most airlines. Both the causes and the costs associated with irregular operations are surveyed. The role of airline Operations Control Center (OCC) is discussed in which serves as the real-time decision making environment that is important to understand for the body of this work. Chapter 3 introduces an optimization-based approach to solve the Airline Integrated Recovery (AIR) problem that simultaneously solves re-scheduling decisions for the operating schedule, aircraft routings, crew assignments, and passenger itineraries. The methodology is validated by using real-world industrial data from a U.S. hub-and-spoke regional carrier and we show how the incumbent approach can dominate the incumbent sequential approach in way that is amenable to the operational constraints imposed by a decision-making environment. Computational effort is central to the efficacy of any algorithm present in a real-time decision making environment such as an OCC. The latter two chapters illustrate various methods that are shown to expedite more traditional large-scale optimization methods that are applicable a wide family of optimization problems, including the AIR problem. Chapter 4 shows how delayed constraint generation and column generation may be used simultaneously through use of alternate polyhedra that verify whether or not a given cut that has been generated from a subset of variables remains globally valid. While Benders' decomposition is a well-known algorithm to solve problems exhibiting a block structure, one possible drawback is slow convergence. Expediting Benders' decomposition has been explored in the literature through model reformulation, improving bounds, and cut selection strategies, but little has been studied how to strengthen a standard cut. Chapter 5 examines four methods for the convergence may be accelerated through an affine transformation into the interior of the feasible set, generating a split cut induced by a standard Benders' inequality, sequential lifting, and superadditive lifting over a relaxation of a multi-row system. It is shown that the first two methods yield the most promising results within the context of an AIR model.PhDCommittee Co-Chair: Clarke, John-Paul; Committee Co-Chair: Johnson, Ellis; Committee Member: Ahmed, Shabbir; Committee Member: Clarke, Michael; Committee Member: Nemhauser, Georg