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Dynamic ride-sharing: A simulation study in metro Atlanta

Author

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  • Agatz, Niels A.H.
  • Erera, Alan L.
  • Savelsbergh, Martin W.P.
  • Wang, Xing

Abstract

Smartphone technology enables dynamic ride-sharing systems that bring together people with similar itineraries and time schedules to share rides on short-notice. This paper considers the problem of matching drivers and riders in this dynamic setting. We develop optimization-based approaches that aim at minimizing the total system-wide vehicle miles incurred by system users, and their individual travel costs. To assess the merits of our methods we present a simulation study based on 2008 travel demand data from metropolitan Atlanta. The simulation results indicate that the use of sophisticated optimization methods instead of simple greedy matching rules substantially improve the performance of ride-sharing systems. Furthermore, even with relatively low participation rates, it appears that sustainable populations of dynamic ride-sharing participants may be possible even in relatively sprawling urban areas with many employment centers.

Suggested Citation

  • Agatz, Niels A.H. & Erera, Alan L. & Savelsbergh, Martin W.P. & Wang, Xing, 2011. "Dynamic ride-sharing: A simulation study in metro Atlanta," Transportation Research Part B: Methodological, Elsevier, vol. 45(9), pages 1450-1464.
    • Handle: RePEc:eee:transb:v:45:y:2011:i:9:p:1450-1464
    DOI: 10.1016/j.trb.2011.05.017
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    References listed on IDEAS

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    1. Frank M. Bass, 1969. "A New Product Growth for Model Consumer Durables," Management Science, INFORMS, vol. 15(5), pages 215-227, January.
    2. Tsao, H.-S. Jacob & Lin, Da-Jie, 1999. "Spatial and Temporal Factors in Estimating the Potential of Ride-sharing for Demand Reduction," Institute of Transportation Studies, Research Reports, Working Papers, Proceedings qt2p57q0c9, Institute of Transportation Studies, UC Berkeley.
    3. Agatz, N.A.H. & Erera, A. & Savelsbergh, M.W.P. & Wang, X., 2010. "Sustainable Passenger Transportation: Dynamic Ride-Sharing," ERIM Report Series Research in Management ERS-2010-010-LIS, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam.
    4. Vijay Mahajan & Eitan Muller & Frank M. Bass, 1995. "Diffusion of New Products: Empirical Generalizations and Managerial Uses," Marketing Science, INFORMS, vol. 14(3_supplem), pages 79-88.
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