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Simulating Airport Delays Vaze Slides

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    Simulating Airport Delays and

    Implications for Demand

    Management

    1.231: Course Project

    Vikrant Vaze

    12/10/2009 1

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    Delays are a big problem!

    and something needs to be done

    Delay cost to airlines and passengers = $16.5B

    Total operating profit of domestic carriers = $4.4B

    Main cause is the demand-capacity mismatch

    So what to do?

    We can reduce delays by:

    Decrease in Demand and/or Increase in Capacity

    Delays will reduce

    But by how much?

    What are the negative effects? Do the pros outweigh than the cons?

    What strategies are the best?

    We need to know the effects of delay reduction before actuallyimplementing it

    12/10/2009 21.231: Final Project

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    so we Simulate Queues

    M|G|1 model with a schedule:

    Poisson arrival process: but with a

    schedule

    Flight arrivals do have a schedule. So

    we will choose a process somewhat

    less random than pure Poisson Moderate variation in service times

    (5%)

    More random than cumulative

    diagrams

    12/10/2009 31.231: Final Project

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    Simulator Design

    Divide the entire day into discrete time periods (1 hour) Actual demand per period equals scheduled number of arrivals

    (inconsistent with Poisson)

    For every arrival in the interval: t0 to t0+1 Simulate actual arrival time ~ U[t0,t0+1] (Consistent with Poisson]

    Simulate actual service time ~ U[0.95, 1.05]

    Tried Pure Poisson: Led to unrealistic results => Discarded

    For constant average service time: Delay variance increases with increase in service time variance

    Average delay increases with increase in service time variance

    Single server assumption: best for convenience andpracticality

    12/10/2009 1.231: Final Project 4

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    Choice of Sample Size

    Most important decision: Sample size

    Greater the sample size lower is the variance of simulationstatistics: Good

    Greater the sample size more is the run time: Bad

    Tradeoff

    log(delay variance)

    log(run time) Parameter of choice

    Sample size (log scale)

    12/10/2009 51.231: Final Project

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    Delays when Capacity Exceeds Demand

    Delays can and do occur even when demand is lower than

    capacity

    12/10/2009 61.231: Final Project

    LGA under VFR

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    Average Vs Marginal Delays

    Average delays: depend on queue history

    Marginal delays: depend on queue future

    High demand period

    Peak marginal delay

    Peakaverage

    delay

    12/10/2009 71.231: Final Project

    LGA under IFR

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    Impact of GDP

    Persists way beyond the end of capacity reduction period

    Capacity back to normal

    Impact of

    GDP persists

    12/10/2009 81.231: Final Project

    JFK

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    Implications for Demand Management

    Quantity based demand management

    Delays depend almost entirely on the declared capacity and not

    on how slots are distributed among different airlines

    Administrative Controls and Slot Auctions:

    Extremely different from social welfare and economic efficiency

    perspective

    Very similar from delay perspective

    Price based demand management

    External costs computed in the absence of congestion pricingprovide only a lower bound

    Finding equilibrium prices is a fixed point problem

    Solving iteratively has no guarantees of convergence

    12/10/2009 91.231: Final Project

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    Quantity based Demand Management

    Capping the capacity at IFR level:

    Analysis of one entire year of GDP data at LGA

    6 different categories based on weather conditions

    A 4.2% reduction in operations results in 47% delay reduction

    12/10/2009 101.231: Final Project

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    Price based Demand Management

    Demand depends on marginal delays (assume linear demand

    function) Marginal delays depend on demand

    Solution of a fixed point problem: Solving a system of non-linear simultaneous equations

    Calculation of MC(D) requires simulating delays

    We will try to solve using two different algorithms

    Alternate

    Alternate with moving averages

    12/10/2009 111.231: Final Project

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    Alternate Algorithm

    Use each equation alternately

    Start with a MC and D value.

    Get D from MC, the MC from D then D from MC etc

    Keeps oscillating back and forth; does not converge

    12/10/2009 121.231: Final Project

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    Alternate with Moving Averages

    Same as before, but use moving average of successive D values

    Converges very fast

    Fixed point:

    Equilibrium Demand = 42 flights/hr, Congestion Toll = $11,815

    12/10/2009 131.231: Final Project

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    Key Takeaways

    Delay simulator provides intuition about delay characteristics Easy to code and test various concepts about dynamic queues

    No added complexity for testing complex distributions

    Delays vary with instantaneous demand and capacity

    Average and marginal delays also depend on the history and future

    behavior of queues

    Very small changes in demand may lead to drastic delay

    reduction

    Simulator can be used to test the theoretical and

    computational aspects of congestion pricing

    12/10/2009 141.231: Final Project


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