Delays at Logan Airport 1. A) Delay in minutes per plane: Λ = 50 | Λ = 55 | Λ = 59 | 6.54 minutes | 12.52 minutes | 60.5 minutes |
Delay costs:
Turboprop:
Λ = 50 6.54min*($352 + 65%load*15passengers*$30.9)/60 = $71.20
Λ = 55 12.52min*($352 + 65%load*15passengers*$30.9)/60 = $136.31
Λ = 59 60.5min*($352 + 65%load*15passengers*$30.9)/60 = $658.72
Regional jet:
Λ = 50 6.54min*($672 + 65%*50passengers*$30.9)/60 = $182.71
Λ = 55 12.52min*($672 + 65%*50passengers*$30.9)/60 = $349.78
Λ = 59 60.5min*(672 + 65%*50passengers*$30.9)/60 = $1690.22
Conventional jet:
Λ = 50 6.54min*($1590 + 65%*150passengers*$30.9)/60 = $501.70
Λ = 55 12.52min*($1590 + 65%*150passengers*$30.9)/60 = $960.44
Λ = 59 60.5min*($1590 +
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iii. However, in the potential future scenario of a 10% turboprop, 30% regional jet, and 60% conventional jet mix, the PPP would have an insignificant effect. iv. Our analysis in 1. and 2. shows that the potential savings in delay costs that result from demand management can potentially offset the peak period fees. For example, if the current peak period demand is 59 planes and a fee of $250 can reduce it to 40 planes, the total costs that conventional jets incur decreases from $4641.11 to $526.16. However, if the current demand is 50 planes, a fee of $250, which reduces the demand to 40 planes, would not be offset, Further, it must be noted that conventional jets benefit the most from a decrease in demand resulting from a PPP. If the current demand is 59 planes, for turbotrops the landing fee can be offset from delay costs savings, but this is not the case if the current demand is, for example, 55 or 50 planes. To conclude, the savings in delay costs that result from demand management can offset peak period fees, but only if the initial demand is high and usually only in the case of conventional jets. 3. A) One of the fundamental assumptions of waiting line systems is that the arrival rate cannot exceed the service rate or the system is said to be unstable. In the case, the arrival rate at times is almost equal to, or greater than, the service rate, hence
r market by entering into strategic code-sharing agreements with international carriers, such as Cathay Pacific , and American Airlines
a. For which airplane types listed above (conventional jet, regional jet, and turboprop) would a peak-period landing fee of $100 have a significant economic impact? What about a $150 fee? What about $200?
1. United Airlines is owned by the UAL Corporation and was incorporated on December 30, 1968. The actual company was formed may years before this actually in 1925 and was a private mail carrying service between Pasco, Washington, and Elko, Nevada, and from these humble beginnings they formed a were able to start a company that would come to be a global leader in the airline service. From the 1960’s to the 1980’s the company had 6 different presidents and started to expand and venture into different aspects of business other then airlines and were unable to have any success. These companies that they purchased were not a success and were later resold.
The land that was chosen for the Airport site was in Adams County but it lacked infrastructure development. This means DIA will need to create that infrastructure like water, power, and sewage disposal. In turn, this will increase DIA project costs. In the case study from Project management: a systems approach to planning, scheduling and controlling, Adams County also negotiated an agreement with DIA but it limited DIA “to such businesses as airline maintenance, cargo, small package delivery, and other such airport-related activities” (Kerzner, 2001, p. 643). In both the examples, we see that negative stakeholder involvement was detrimental to
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Miami International Airport (MIA) is one of the largest airports in the US. This case study gives the information on the airport, its history and some background. A report provides the information on the ownership type of the airport and its owner. I tried to enlist specific issues and certain facts about the operations and financial information.
Piedmont Airlines recently invested over $1 million in state of the art equipment and employee development in order to forecast and analyze the appropriate amount of discounted fares to offer per flight. The company discovered that by offering several discounted flights to consumers willing to book their travel well in advance of their departure date left many options available for the business traveler who needed to book much closer to the actual departure date. The analysis was the task of the Revenue Enhancement Department (RED) managed by Marilyn Hoppe. While this state of the art equipment was a step in the right direction, Marilyn believed that there were still a lot of subjective decisions being made and
The Airline industry has experienced continual problems with rising costs with both fuel and maintenance which has caused them to increase their fees to the consumers to pay for those rising costs. This paper will help explain what an airline such as Delta does to help alleviate such costs without forcing its consumers to flip the bill through high fees that consist of tickets, baggage fees and food. The costs of doing business in aviation today have spiraled out of control making it very expensive for both airlines and the
This analysis is done assuming the benefits accrued in the year 2050. The costs are evaluated from the year 2011 – the proposed time of starting the project, while the benefits are calculated from the year 2020 – the expected time of launching the project. The estimated streams of benefits and costs occurring each year between 2011 and 2050 were discounted to their present value and summarized to calculate the benefit cost ratio.
We have analyzed the existing booking policy of TransAtlantic Airlines and identified potential cost saving.
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In this essay, two companies will be identified and described on how they utilize a queuing system. Only two of the four most basic waiting line structures will be discussed: single-server and multiple-server waiting lines. Since waiting is an integral part of many service related operations, it is an important area of analysis. Each queue system has its advantages and disadvantages, but with no doubt each company’s goal is to cut down on the waiting time and that customer returns. In particular, we examine their implementation of both processes and try to find solutions to improve the waiting line process.
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