IDEAS home Printed from https://ideas.repec.org/a/inm/oropre/v57y2009i1p231-244.html
   My bibliography  Save this article

Airline Fleet Assignment with Enhanced Revenue Modeling

Author

Listed:
  • Cynthia Barnhart

    (Department of Civil and Environmental Engineering, Massachusetts Institute of Technology, Cambridge, Massachusetts 02139)

  • Amr Farahat

    (Johnson Graduate School of Management, Cornell University, Ithaca, New York 14853)

  • Manoj Lohatepanont

    (Department of Civil Engineering, Chulalongkorn University, Bangkok 10330, Thailand)

Abstract

The airline fleet assignment problem addresses the question of how to best assign aircraft fleet types to scheduled flight legs. This paper presents the subnetwork fleet assignment model: a model that employs composite decision variables representing the simultaneous assignment of fleet types to subnetworks of one or more flight legs. The formulation is motivated by the need to better model the revenue side of the objective function. We present a solution method designed to balance revenue approximation and model tractability. Computational results suggest that the approach yields profit improvements over comparable models and that it is computationally tractable for problems of practical size.

Suggested Citation

  • Cynthia Barnhart & Amr Farahat & Manoj Lohatepanont, 2009. "Airline Fleet Assignment with Enhanced Revenue Modeling," Operations Research, INFORMS, vol. 57(1), pages 231-244, February.
    • Handle: RePEc:inm:oropre:v:57:y:2009:i:1:p:231-244
    DOI: 10.1287/opre.1070.0503
    as

    Download full text from publisher

    File URL: http://dx.doi.org/10.1287/opre.1070.0503
    Download Restriction: no
    File URL: https://libkey.io/10.1287/opre.1070.0503?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Brian Rexing & Cynthia Barnhart & Tim Kniker & Ahmad Jarrah & Nirup Krishnamurthy, 2000. "Airline Fleet Assignment with Time Windows," Transportation Science, INFORMS, vol. 34(1), pages 1-20, February.
    2. Jean-François Cordeau & Goran Stojković & François Soumis & Jacques Desrosiers, 2001. "Benders Decomposition for Simultaneous Aircraft Routing and Crew Scheduling," Transportation Science, INFORMS, vol. 35(4), pages 375-388, November.
    3. Ram Gopalan & Kalyan Talluri, 1998. "Mathematical models in airline schedule planning: A survey," Annals of Operations Research, Springer, vol. 76(0), pages 155-185, January.
    4. Matthew E. Berge & Craig A. Hopperstad, 1993. "Demand Driven Dispatch: A Method for Dynamic Aircraft Capacity Assignment, Models and Algorithms," Operations Research, INFORMS, vol. 41(1), pages 153-168, February.
    5. Mark S. Daskin & Nicholaos D. Panayotopoulos, 1989. "A Lagrangian Relaxation Approach to Assigning Aircraft to Routes in Hub and Spoke Networks," Transportation Science, INFORMS, vol. 23(2), pages 91-99, May.
    6. Jeph Abara, 1989. "Applying Integer Linear Programming to the Fleet Assignment Problem," Interfaces, INFORMS, vol. 19(4), pages 20-28, August.
    7. Cynthia Barnhart & Timothy S. Kniker & Manoj Lohatepanont, 2002. "Itinerary-Based Airline Fleet Assignment," Transportation Science, INFORMS, vol. 36(2), pages 199-217, May.
    8. L. W. Clarke & C. A. Hane & E. L. Johnson & G. L. Nemhauser, 1996. "Maintenance and Crew Considerations in Fleet Assignment," Transportation Science, INFORMS, vol. 30(3), pages 249-260, August.
    9. Cynthia Barnhart & Natashia L. Boland & Lloyd W. Clarke & Ellis L. Johnson & George L. Nemhauser & Rajesh G. Shenoi, 1998. "Flight String Models for Aircraft Fleeting and Routing," Transportation Science, INFORMS, vol. 32(3), pages 208-220, August.
    10. Cynthia Barnhart & Peter Belobaba & Amedeo R. Odoni, 2003. "Applications of Operations Research in the Air Transport Industry," Transportation Science, INFORMS, vol. 37(4), pages 368-391, November.
    11. Jeffrey I. McGill & Garrett J. van Ryzin, 1999. "Revenue Management: Research Overview and Prospects," Transportation Science, INFORMS, vol. 33(2), pages 233-256, May.
    12. Guy Desaulniers & Jacques Desrosiers & Yvan Dumas & Marius M. Solomon & François Soumis, 1997. "Daily Aircraft Routing and Scheduling," Management Science, INFORMS, vol. 43(6), pages 841-855, June.
    13. Russell A. Rushmeier & Spyridon A. Kontogiorgis, 1997. "Advances in the Optimization of Airline Fleet Assignment," Transportation Science, INFORMS, vol. 31(2), pages 159-169, May.
    14. Cynthia Barnhart & Ellis L. Johnson & George L. Nemhauser & Martin W. P. Savelsbergh & Pamela H. Vance, 1998. "Branch-and-Price: Column Generation for Solving Huge Integer Programs," Operations Research, INFORMS, vol. 46(3), pages 316-329, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Christina Büsing & Daniel Kadatz & Catherine Cleophas, 2019. "Capacity Uncertainty in Airline Revenue Management: Models, Algorithms, and Computations," Transportation Science, INFORMS, vol. 53(2), pages 383-400, March.
    2. Oliver Faust & Jochen Gönsch & Robert Klein, 2017. "Demand-Oriented Integrated Scheduling for Point-to-Point Airlines," Transportation Science, INFORMS, vol. 51(1), pages 196-213, February.
    3. Birolini, Sebastian & Antunes, António Pais & Cattaneo, Mattia & Malighetti, Paolo & Paleari, Stefano, 2021. "Integrated flight scheduling and fleet assignment with improved supply-demand interactions," Transportation Research Part B: Methodological, Elsevier, vol. 149(C), pages 162-180.
    4. Ada Y. Barlatt & Amy Cohn & Oleg Gusikhin & Yakov Fradkin & Rich Davidson & John Batey, 2012. "Ford Motor Company Implements Integrated Planning and Scheduling in a Complex Automotive Manufacturing Environment," Interfaces, INFORMS, vol. 42(5), pages 478-491, October.
    5. Luis Cadarso & Vikrant Vaze & Cynthia Barnhart & Ángel Marín, 2017. "Integrated Airline Scheduling: Considering Competition Effects and the Entry of the High Speed Rail," Transportation Science, INFORMS, vol. 51(1), pages 132-154, February.
    6. Catherine Cleophas & Daniel Kadatz & Sebastian Vock, 2017. "Resilient revenue management: a literature survey of recent theoretical advances," Journal of Revenue and Pricing Management, Palgrave Macmillan, vol. 16(5), pages 483-498, October.
    7. Hanif D. Sherali & Ki-Hwan Bae & Mohamed Haouari, 2013. "An Integrated Approach for Airline Flight Selection and Timing, Fleet Assignment, and Aircraft Routing," Transportation Science, INFORMS, vol. 47(4), pages 455-476, November.
    8. Cavusoglu, Sabriye Sera & Macário, Rosário, 2021. "Minimum delay or maximum efficiency? Rising productivity of available capacity at airports: Review of current practice and future needs," Journal of Air Transport Management, Elsevier, vol. 90(C).
    9. Keji Wei & Vikrant Vaze, 2020. "Airline Timetable Development and Fleet Assignment Incorporating Passenger Choice," Transportation Science, INFORMS, vol. 54(1), pages 139-163, January.
    10. Scotti, Davide & Volta, Nicola, 2017. "Profitability change in the global airline industry," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 102(C), pages 1-12.
    11. Renold, Manuel & Vollenweider, Janik & Mijović, Nemanja & Kuljanin, Jovana & Kalić, Milica, 2023. "Methodological framework for a deeper understanding of airline profit cycles in the context of disruptive exogenous impacts," Journal of Air Transport Management, Elsevier, vol. 106(C).
    12. Gillen, David & Jacquillat, Alexandre & Odoni, Amedeo R., 2016. "Airport demand management: The operations research and economics perspectives and potential synergies," Transportation Research Part A: Policy and Practice, Elsevier, vol. 94(C), pages 495-513.
    13. Jing Zhou, 2023. "Airline capacity distribution under financial budget and resource consideration," Journal of Combinatorial Optimization, Springer, vol. 45(5), pages 1-29, July.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Okan Örsan Özener & Melda Örmeci Matoğlu & Güneş Erdoğan & Mohamed Haouari & Hasan Sözer, 2017. "Solving a large-scale integrated fleet assignment and crew pairing problem," Annals of Operations Research, Springer, vol. 253(1), pages 477-500, June.
    2. Hanif D. Sherali & Ebru K. Bish & Xiaomei Zhu, 2005. "Polyhedral Analysis and Algorithms for a Demand-Driven Refleeting Model for Aircraft Assignment," Transportation Science, INFORMS, vol. 39(3), pages 349-366, August.
    3. Sherali, Hanif D. & Bish, Ebru K. & Zhu, Xiaomei, 2006. "Airline fleet assignment concepts, models, and algorithms," European Journal of Operational Research, Elsevier, vol. 172(1), pages 1-30, July.
    4. Cynthia Barnhart & Peter Belobaba & Amedeo R. Odoni, 2003. "Applications of Operations Research in the Air Transport Industry," Transportation Science, INFORMS, vol. 37(4), pages 368-391, November.
    5. Hanif Sherali & Ki-Hwan Bae & Mohamed Haouari, 2013. "A benders decomposition approach for an integrated airline schedule design and fleet assignment problem with flight retiming, schedule balance, and demand recapture," Annals of Operations Research, Springer, vol. 210(1), pages 213-244, November.
    6. Hanif D. Sherali & Ki-Hwan Bae & Mohamed Haouari, 2010. "Integrated Airline Schedule Design and Fleet Assignment: Polyhedral Analysis and Benders' Decomposition Approach," INFORMS Journal on Computing, INFORMS, vol. 22(4), pages 500-513, November.
    7. F M Zeghal & M Haouari & H D Sherali & N Aissaoui, 2011. "Flexible aircraft fleeting and routing at TunisAir," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 62(2), pages 368-380, February.
    8. Haouari, Mohamed & Aissaoui, Najla & Mansour, Farah Zeghal, 2009. "Network flow-based approaches for integrated aircraft fleeting and routing," European Journal of Operational Research, Elsevier, vol. 193(2), pages 591-599, March.
    9. João P. Pita & Cynthia Barnhart & António P. Antunes, 2013. "Integrated Flight Scheduling and Fleet Assignment Under Airport Congestion," Transportation Science, INFORMS, vol. 47(4), pages 477-492, November.
    10. Belanger, Nicolas & Desaulniers, Guy & Soumis, Francois & Desrosiers, Jacques, 2006. "Periodic airline fleet assignment with time windows, spacing constraints, and time dependent revenues," European Journal of Operational Research, Elsevier, vol. 175(3), pages 1754-1766, December.
    11. Oliver Faust & Jochen Gönsch & Robert Klein, 2017. "Demand-Oriented Integrated Scheduling for Point-to-Point Airlines," Transportation Science, INFORMS, vol. 51(1), pages 196-213, February.
    12. Cynthia Barnhart & Timothy S. Kniker & Manoj Lohatepanont, 2002. "Itinerary-Based Airline Fleet Assignment," Transportation Science, INFORMS, vol. 36(2), pages 199-217, May.
    13. Sarac, Abdulkadir & Batta, Rajan & Rump, Christopher M., 2006. "A branch-and-price approach for operational aircraft maintenance routing," European Journal of Operational Research, Elsevier, vol. 175(3), pages 1850-1869, December.
    14. Khaled, Oumaima & Minoux, Michel & Mousseau, Vincent & Michel, Stéphane & Ceugniet, Xavier, 2018. "A compact optimization model for the tail assignment problem," European Journal of Operational Research, Elsevier, vol. 264(2), pages 548-557.
    15. Pilla, Venkata L. & Rosenberger, Jay M. & Chen, Victoria & Engsuwan, Narakorn & Siddappa, Sheela, 2012. "A multivariate adaptive regression splines cutting plane approach for solving a two-stage stochastic programming fleet assignment model," European Journal of Operational Research, Elsevier, vol. 216(1), pages 162-171.
    16. Chunhua Gao & Ellis Johnson & Barry Smith, 2009. "Integrated Airline Fleet and Crew Robust Planning," Transportation Science, INFORMS, vol. 43(1), pages 2-16, February.
    17. Ovidiu Listes & Rommert Dekker, 2005. "A Scenario Aggregation–Based Approach for Determining a Robust Airline Fleet Composition for Dynamic Capacity Allocation," Transportation Science, INFORMS, vol. 39(3), pages 367-382, August.
    18. Michelle Dunbar & Gary Froyland & Cheng-Lung Wu, 2012. "Robust Airline Schedule Planning: Minimizing Propagated Delay in an Integrated Routing and Crewing Framework," Transportation Science, INFORMS, vol. 46(2), pages 204-216, May.
    19. Kenan, Nabil & Diabat, Ali & Jebali, Aida, 2018. "Codeshare agreements in the integrated aircraft routing problem," Transportation Research Part B: Methodological, Elsevier, vol. 117(PA), pages 272-295.
    20. Saravanan Venkatachalam & Suresh Acharya & Kenji Oba & Yoshinari Nakayama, 2020. "Prescriptive Analytics for Swapping Aircraft Assignments at All Nippon Airways," Interfaces, INFORMS, vol. 50(2), pages 99-111, March.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:inm:oropre:v:57:y:2009:i:1:p:231-244. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Asher (email available below). General contact details of provider: https://edirc.repec.org/data/inforea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.