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Fleet Assignment Problem - Group P2

This document summarizes applying integer linear programming to solve the fleet assignment problem for American Airlines, which operates over 500 aircraft across 150 cities with 2300 daily flights. The methodology formulates the problem as an ILP model to maximize profit by optimally assigning aircraft types to flights while considering costs and constraints like meeting flight demand, aircraft availability, and balancing aircraft across routes. The large-scale problem included over 47,000 decision variables and 12,000 constraints. The model helped American Airlines reduce operating costs and increase profits in their daily fleet assignment decisions.

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152 views

Fleet Assignment Problem - Group P2

This document summarizes applying integer linear programming to solve the fleet assignment problem for American Airlines, which operates over 500 aircraft across 150 cities with 2300 daily flights. The methodology formulates the problem as an ILP model to maximize profit by optimally assigning aircraft types to flights while considering costs and constraints like meeting flight demand, aircraft availability, and balancing aircraft across routes. The large-scale problem included over 47,000 decision variables and 12,000 constraints. The model helped American Airlines reduce operating costs and increase profits in their daily fleet assignment decisions.

Uploaded by

n_modi
Copyright
© Attribution Non-Commercial (BY-NC)
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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Applying Integer Linear Programming to the Fleet Assignment Problem

GROUP P2: Abhishek Gupta Nikhil Modi Nikita Patel Reshma R Rishi Gupta

INTRODUCTION
Industry Aviation
Organisation American Airlines Region United States of America ( service in 150 cities)

OR Technique Used Integer Linear Programming ( ILP)

PROBLEM
Description
o Scheduling 2300 flights per day over 150 different cities by utilizing over 500 Jet aircrafts of 4 different types. o Achieving optimal fleet assignment to improve profits, reduce operating costs and utilization of the most efficient aircrafts.

Motivation for Study


o Excess of arrivals over departure or vice versa results in shortage. o Effective aircraft utilization was needed.

METHODOLOGY OVERVIEW
Objective Function : The objective is to maximize the benefit contributions of the flights less the cost of aircraft used and the cost of aircraft shortages (imbalances) and the cost of stations. Decision Variables:

1.
2. 3. 1. 2.

Available aircraft Mk
Extra Aircraft ek Imposed Cost Csk Origination Osk Termination Tsk

Integer Decision Variable: Imbalance Variables

Binary Decision Variables:

1.
2.

Feasible Turn Xijk


Service/ No service of aircraft Ysk

OBJECTIVE FUNCTION
Maximize Z = Revenue (Cost of aircraft ) (Cost of Imbalance) (Cost of station) (Penalty)

4 intrinsic constraints and 1 optional constraint Intrinsic 1. Flight Coverage Each flight must be served only once 2. Continuity of Equipment Each flight served begin and end with the same aircraft type 3. Scheduled Balance Number of Originations = Number of Terminations 4. Aircraft Count Minimization of number of aircrafts used

CONSTRAINTS

SIZE OF THE PROBLEM


Variable Type Turn Variables = 5FK Balance or Shortage Variables = 2KS Constraint Type Turn Constraints = FK Balance Constraints = KS Flight Coverage Constraints= F Aircraft Count Constraints = K F= No. of flights , K = Aircraft Type , S= No . of Stations F = Number of Flights = 2300

S= Number of Stations = 150


K=Number of Aircraft Types = 4 Number of Columns = 5FK + 2KS = 47200 Number of Rows = F + FK + KS + K = 12100

CHALLENGES
New aircraft needed incremental maintenance and parts inventory cost. High leg being serviced by small aircraft and vice versa. Using penalties instead of eliminating flight variables.

Software Packages and Computer Technologies


Software Used : IBM MPSX/370 and MIP/370 Machine Used : IBM 3081 Developed By : American Airlines Decision Technologies

CONCLUSION
Helped American airlines in effective decision making Transforming from an ad hoc decision making tool to a tool which is used daily Operating cost reduced by 0.4% increasing operating margin by 1.4% Selection of routes with low profit reduced by 15%

THANK YOU

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