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INFORMS Philadelphia – 2015

395

2 - Inventory Control for Returnable Transport Items in a Closed Loop

Supply Chain

Barry Cobb, Missouri State University, 901 S. National Ave.,

Springfield, MO, 65897, United States of America,

BarryCobb@MissouriState.edu

A model for determining inventory control parameters for returnable transport

items in a closed-loop supply chain is presented. To incorporate uncertain

container returns, cycle time and return rate distributions are estimated from

radio frequency identification data. The effect of estimation errors due to a partial

tagging of containers is examined.

3 - Target-Oriented Utility in Operations Management

Robert Bordley, Expert Systems Engr Professional,

Booz-Allen-Hamilton, 525 Choice Court, Troy, MI, 48085,

United States of America,

Bordley_Robert@bah.com

Target-Oriented Utility allows utility theory (and thus risk-attitude) to be

seamlessly integrated into applications focused on meeting targets. Previous work

demonstrated its applicability in project management. This paper demonstrates its

applicability in production scheduling.

4 - Supplier Competition under Carbon Policy

Nikoo Sabzevar, University of Calgary, 2500 University Dr. NW,

Calgary, AB, T2N1N4, Canada,

nikou.sabzvar@gmail.com

, Janne

Kettunen, Joule Bergerson, Silvanus T. Enns

We assess the impacts of carbon cap policy on the profitability of two suppliers

that compete against each other in supplying CO2 emission intensive products.

We capture the competitive interactions using a Cournot model. Our results

show, counterintuitively, that tightening the carbon cap can, under certain

conditions, increase firms’ profits. Also, we show that firms can increase their

profits further by engaging in bilateral trading of emission permits.

WA66

66-Room 113C, CC

Reducing Impact of Delay through Improved Airport

Operations and Recovery Procedures

Sponsor: Aviation Applications

Sponsored Session

Chair: Heng Chen, University of Massachusetts Amherst, Isenberg

School of Management, Amherst, MA, 01003, United States of

America,

heng@som.umass.edu

1 - Integrated Airline Recovery: Capturing Passenger

Compensation Impacts

Luis Cadarso, Rey Juan Carlos University, Camino del Molino s/n,

Fuenlabrada, 28943, Spain,

luis.cadarso@urjc.es,

Vikrant Vaze

The European flight delay compensation regulation (EC) No 261/2004 establishes

common rules on compensation to passengers in the event of disruptions. We

develop an integrated approach that recovers airline timetable, fleet assignment,

aircraft routings, and passenger itineraries capturing the impacts of airlines’

decisions on passenger compensation. We evaluate scenarios involving

disruptions, and optimize recovery decisions to maximize profits by modeling

passenger no-shows after disruptions.

2 - A Large Neighborhood Search Heuristic for an Optimal Ad-hoc

Hubbing Strategy in an Airport Outage

Daniel Suh, Doctoral Student, University of Pennsylvania, 210

South 34th Street #102, Philadelphia, United States of America,

dansuh@design.upenn.edu

Abrupt airport outages resulting from terrorism, natural disasters, and incidents

can cause reroutes and fuel-critical situations for flights. The objective of this

study is to design a heuristic that identifies an ad-hoc hubbing strategy: a strategy

to reroute flights bound for a disrupted airport to a hub airport that is not dis-

rupted, with the goal of accommodating passengers on existing flights departing

the non-disrupted hub while maintaining physical feasibility.

3 - Value of using a Departure Metering Area at Airports

Senay Solak, University of Massachusetts Amherst, Isenberg

School of Management, Amherst, MA, 01003, United States of

America,

solak@isenberg.umass.edu,

Heng Chen

Departure metering is an airport surface management procedure that limits the

number of aircraft at the runway queue by holding aircraft at gates or at a

predesigned metering area. We identify the optimal capacity for such a metering

area, and quantify the overall value of the presence of a departure metering area

at airports. The analysis is performed through stochastic dynamic programming,

which is used to generate optimal metering decisions based on the status of each

flight.

4 - Impacts of Alternative Aircraft Taxiing Systems on

Airport Operations

Yu Zhang, Associate Professor, University of South Florida,

Tampa, 4202 E. Fowler Avenue, Tampa, Fl, 33620, United States

of America,

yuzhang@usf.edu

, Rui Guo, Yuan Wang

Alternative taxiing is an innovative way of moving aircraft between airport gates

and runways without turning the main engines on. The existing alternative

aircraft taxiing systems (AATS) include on-board system such as WheelTug and

EGTS, and external systems such as TaxiBot. This study investigates the impacts of

AATS to airport operations, from both environmental and economic point of view

and use presentative US airports as the case study to demonstrate the outcomes.

WA67

67-Room 201A, CC

Freight Logistics

Sponsor: TSL/Freight Transportation & Logistics

Sponsored Session

Chair: Rodrigo Mesa Arango, Assistant Professor, Florida Institute of

Technology, 150 W. University Blvd, Melbourne, FL, 32901, United

States of America,

rmesaara@purdue.edu

1 - Bundling and Pricing Less-than-Truckload Services with

Stochastic Demand

Rodrigo Mesa Arango, Assistant Professor, Florida Institute of

Technology, 150 W. University Blvd, Melbourne, FL, 32901,

United States of America,

rmesaara@purdue.edu

Algorithms to bundle and price Less-than-truckload (LTL) services are proposed

considering stochastic demand, value-based pricing, and demand segmentation. A

two-stage min-cost flow problem accounts for uncertain demand. Its deterministic

equivalent is formulated as a regular min-cost flow problem and efficiently

solved. Deterministic models overestimate benefits. Numerical experiments reveal

the cost of uncertainty and demonstrate improvements in bundle quality.

2 - Operations Research in the Supply Chain: Narrowing the Gap

Between Theory and Practice

Kevin Zweier, Vice President, Chainalytics, 2500 Cumberland

Parkway, Suite 550, Atlanta, GA, 30339, United States of

America,

kzweier@chainalytics.com

Learn how Chainalytics employs advanced analytics, modeling and optimization

tools, techniques and heuristics to help clients (a) drive fact-based transformation

and improve supply chain efficiencies in transportation sourcing, routing and fleet

management; network design; and inventory policy and planning and (b)

benchmark their rates for competitive analysis via membership in the Freight

Management Intelligence Consortium (FMIC).

WA68

68-Room 201B, CC

Inference and Control in Dynamic Routing

Sponsor: Transportation, Science and Logistics

Sponsored Session

Chair: Negin Ebadi, University at Buffalo, 326 Bell Hall, Buffalo, NY,

14226, United States of America,

negineba@buffalo.edu

1 - Inferring Travelers’ Origin-Destination and Preferences via Shared

Mobility System Utilization

Anshuman Kumar, University of Buffalo, Buffalo, NY,

akumar27@buffalo.edu,

Alexander Nikolaev, Jee Eun Kang

This research develops new methods to identify individual travelers’ preferences

and at the same time, infer “true” Origin-Destination (OD) based on incomplete

route information of shared mobility system uses. Based on observations of

travelers’ route choices of a bike sharing system under various price settings, the

proposed methods performs probabilistic reasoning to infer travelers’ OD and

preference.

2 - Mechanism Design for Route Assignment in Traffic Networks

Tarun Rambha,

tarun.1988@gmail.com,

Stephen Boyles

Assuming that travelers specify their maximum willingness to pay for a trip, we

explore mechanisms in which a centralized controller assigns travelers to routes

to optimize social welfare while ensuring incentive compatibility. Travelers’

utilities are assumed to be a function of their willingness to pay and experienced

travel times.

WA68