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Are on-time performance statistics worthless? An empirical study of the flight scheduling strategies of Brazilian airlines

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  • Eufrásio, Ana Beatriz R.
  • Eller, Rogéria A.G.
  • Oliveira, Alessandro V.M.

Abstract

Airlines may manage their on-time performance by lengthening schedules with engineered increases in planned flight times. We develop an econometric model of high dimensional sparse (HDS) regression to decompose the extra schedule block times into operational and strategic factors. We estimate the impact of extra times on flight delays, allowing for the moderation effects of runway congestion, slots, and propagated delay. We test the hypothesis of the existence and effectiveness of schedule padding practices. We find that a 2012 on-time disclosure rule may have induced carriers’ padding behavior. In contrast, slot regulation may prevent the formation of extra block times.

Suggested Citation

  • Eufrásio, Ana Beatriz R. & Eller, Rogéria A.G. & Oliveira, Alessandro V.M., 2021. "Are on-time performance statistics worthless? An empirical study of the flight scheduling strategies of Brazilian airlines," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 145(C).
  • Handle: RePEc:eee:transe:v:145:y:2021:i:c:s1366554520308280
    DOI: 10.1016/j.tre.2020.102186
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    Cited by:

    1. Brueckner, Jan K. & Czerny, Achim I. & Gaggero, Alberto A., 2022. "Airline delay propagation: A simple method for measuring its extent and determinants," Transportation Research Part B: Methodological, Elsevier, vol. 162(C), pages 55-71.
    2. Brueckner, Jan K. & Czerny, Achim I. & Gaggero, Alberto A., 2021. "Airline schedule buffers and flight delays: A discrete model," Economics of Transportation, Elsevier, vol. 26.
    3. Oliveira, Bruno F. & Oliveira, Alessandro V.M., 2022. "An empirical analysis of the determinants of network construction for Azul Airlines," Journal of Air Transport Management, Elsevier, vol. 101(C).
    4. Bolić, Tatjana & Castelli, Lorenzo & Corolli, Luca & Scaini, Giovanni, 2021. "Flexibility in strategic flight planning," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 154(C).
    5. Ma, Hoi-Lam & Sun, Yige & Chung, Sai-Ho & Chan, Hing Kai, 2022. "Tackling uncertainties in aircraft maintenance routing: A review of emerging technologies," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 164(C).

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    More about this item

    Keywords

    Airlines; Schedule padding; On-time performance; Econometrics; LASSO regression;
    All these keywords.

    JEL classification:

    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
    • L93 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Air Transportation

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