Quantitative Problem Solving Methods in the Airline Industry A Modeling Methodology Handbook

This book reviews Operations Research theory, applications and practice in seven major areas of airline planning and operations. In each area, a team of academic and industry experts provides an overview of the business and technical landscape, a view of current best practices, a summary of open research questions and suggestions for relevant future research. There are several common themes in current airline Operations Research efforts. First is a growing focus on the customer in terms of: 1) what they want; 2) what they are willing to pay for services; and 3) how they are impacted by planning, marketing and operational decisions. Second, as algorithms improve and computing power increases, the scope of modeling applications expands, often re-integrating processes that had been broken into smaller parts in order to solve them in the past. Finally, there is a growing awareness of the uncertainty in many airline planning and operational processes and decisions. Airlines now recognize the need to develop ‘robust’ solutions that effectively cover many possible outcomes, not just the best case, “blue sky” scenario.

Individual chapters cover:

• Customer Modeling methodologies, including current and emerging applications.

• Airline Planning and Schedule Development, with a look at many remaining open research questions.
  • Revenue Management, including a view of current business and technical landscapes, as well as suggested areas for future research.
  • Airline Distribution -- a comprehensive overview of this newly emerging area.
  • Crew Management Information Systems, including a review of recent algorithmic advances, as well as the development of information systems that facilitate the integration of crew management modeling with airline planning and operations.
  • Airline Operations, with consideration of recent advances and successes in solving the airline operations problem.

• Air Traffic Flow Management, including the modeling environment and opportunities for both Air Traffic Flow Management and the airlines.