Classifying the purpose of stopped truck events: An application of entropy to GPS data

This paper applies the concept of entropy to mine large volumes of global positioning system (GPS) data in order to determine the purpose of stopped truck events. Typical GPS data does not provide detailed activity information for a given stop or vehicle movement. We categorize stop events into two types: (1) primary stops where goods are transferred and (2) secondary stops where vehicle and driver needs are met, such as rest stations. The proposed entropy technique measures the diversity of truck carriers with trucks that dwell for 15 min or longer at a given location. Larger entropy arises from a greater variety of carriers and an even distribution of stop events among these carriers. An analysis confirms our initial hypothesis that the stop locations used for secondary purposes such as fuel refills and rest breaks tend to have higher entropy, reflecting the diversity of trucks and carriers that use these facilities. Conversely, primary shipping depots and other locations where goods are transferred tend to have lower entropy due to the lower variety of carriers that utilize such locations.     

Solving the station-based one-way carsharing network planning problem with relocations and non-linear demand

One-way station-based carsharing systems allow users to return a rented car to any designated station, which could be different from the origin station. Existing research has been mainly focused on the vehicle relocation problem to deal with the travel demand fluctuation over time and demand imbalance in space. However, the strategic planning of the stations’ location and their capacity for one-way carsharing systems has not been well studied yet, especially when considering vehicle relocations simultaneously. This paper presents a Mixed-integer Non-linear Programming (MINLP) model to solve the carsharing station location and capacity problem with vehicle relocations. This entails considering several important components which are for the first time integrated in the same model. Firstly, relocation operations and corresponding relocation costs are taken into consideration to address the imbalance between trip requests and vehicle availability. Secondly, the flexible travel demand at various time steps is taken as the input to the model avoiding deterministic requests. Thirdly, a logit model is constructed to represent the non-linear demand rate by using the ratio of carsharing utility and private car utility. To solve the MINLP model, a customized gradient algorithm is proposed. The application to the SIP network in Suzhou, China, demonstrates that the algorithm can solve a real world large scale problem in reasonable time. The results identify the pricing and parking space rental costs as the key factors influencing the profitability of carsharing operators. Also, the carsharing station location and fleet size impact the vehicle relocation and carsharing patronage.     

Dynamic threshold policy for delaying and breaking commitments in transportation auctions

In this paper we consider a transportation procurement auction consisting of shippers and carriers. Shippers offer time sensitive pickup and delivery jobs and carriers bid on these jobs. We focus on revenue maximizing strategies for the shippers in sequential auctions. For this purpose we propose two strategies, namely delaying and breaking commitments. The idea of delaying commitments is that a shipper will not agree with the best bid whenever it is above a certain reserve price. The idea of breaking commitments is that the shipper allows the carriers to break commitments against certain penalties. We evaluate the benefits of both strategies with simulation. In addition, we provide insight into the distribution of the lowest bid which is estimated by the shippers.     

Integration of vehicle routing and resource allocation in a dynamic logistics network

A shipper plans daily hub-to-hub transports within a hub and spoke network. Since a limited number of swap containers is available for transportation, two problems arise. 1. Swap containers have to be routed as pickup and delivery requests in multi-hub tours. 2. Day-by-day routing may lead to an imbalance of swap containers requiring a dynamic allocation. Neglecting interdependencies between vehicle routing and resource allocation seems inferior. An integration of the two problems overcomes this deficiency. We formulate mathematical models and propose integration approaches. The advantages of these approaches are discussed based on a computational study.     

Emission control areas: More or fewer?

As the global sulphur limit implemented by the International Maritime Organization (IMO) and the further development of sulphur emission reduction technologies, the effects of Emission Control Areas (ECAs) on reducing the sulphur emissions from ships will be reduced gradually. To explore the necessity of ECAs in the near future, this paper introduces the fictitious sulphur emission permit allocated to shipping carriers for our considered region. We propose an ECA location problem, which determines the location of ECAs in order to minimize the impact of sulphur emissions on human health, while satisfying the constraint on the fictitious sulphur emission permit. A mixed-integer linear programming model is proposed for our investigated problem. Numerical experiments are carried out by using our proposed model applied to China and Africa, where the sulphur emissions at different sites are estimated via the fuel consumption calculated by collecting data from liner carriers. Results show that, for the case of China, the Bohai Rim, the Yangtze River Delta and the Pearl River Delta have a high probability for establishing ECAs. For the case of Africa, the Guinea Bay and South Africa have a high probability for establishing ECAs.     

Assessing the effect of urban socioeconomic factors and the financial crisis of 2008 on domestic air cargo traffic in Florida

In this paper, we investigate the relationship between the social and economic attributes of metropolitan areas and their corresponding domestic cargo traffic. We considered a period of 14 years (2003–2016) and studied the impact of population demographics, employment, and regional industries on domestic cargo traffic of a sampled set of metropolitan areas in Florida. We considered all-cargo carriers and mixed passenger–cargo carriers. Our results provide empirical insights into factors determining the air cargo traffic in Florida. Both population and age demographics of a region is shown to be influential on cargo traffic. Manufacturing industries are shown to prefer all-cargo carriers to mixed passenger–cargo carriers and their concentration in a metro area results in an increase of cargo traffic. In contrast, service industries generate low demand for air cargo. Our results show that larger airports tend to attract cargo traffic away from smaller airports in their close proximity. We also provide insights into the impact of the financial crisis of 2008 on domestic cargo traffic in the region. We study the recovery trend and the impact of the high fuel jet prices on slowing down this trend.

     

On the relationship between airport pricing models

Airport pricing papers can be divided into two approaches. In the traditional approach the demand for airport services depends on airport charges and on congestion costs of both passengers and airlines; the airline market is not formally modeled. In the vertical-structure approach instead, airports provide an input for an airline oligopoly and it is the equilibrium of this downstream market which determines the airports’ demand. We prove, analytically, that the traditional approach to airport pricing is valid if air carriers have no market power, i.e. airlines are atomistic or they behave as price takers (perfect competition) and have constant marginal operational costs. When carriers have market power, this approach may result in a surplus measure that falls short of giving a true measure of social surplus. Furthermore, its use prescribes a traffic level that is, for given capacity, smaller than the socially optimal level. When carriers have market power and consequently both airports and airlines behave strategically, a vertical-structure approach appears a more reasonable approach to airport pricing issues.     

Coordinated scheduling models for allied airlines

Recently, as a means of forming global networks and improving operation efficiency, major air carriers have increasingly entered into alliances with other carriers. Fleet routing and flight scheduling are not only important in individual airline operations, but also affect the alliances. The setting of a good flight schedule can not only enhance allied airline operating performance, but can also be a useful reference for alliance decision-making. In this research, we develop several coordinated scheduling models, which will help the allied airlines solve for the most satisfactory fleet routes and timetables under the alliance. We employ network flow techniques to construct the models. The models are formulated as multiple commodity network flow problems which can be solved using a mathematical programming solver. Finally, to evaluate the models, we perform a case study based on real operating data from two Taiwan airlines. The preliminary results are good, showing that the models could be useful for airline alliances.     

Assessment of product debundling trends in the US airline industry: Customer service and public policy implications

This paper reviews product debundling trends that have occurred in the US airline industry. Multiple sources of ancillary fees related to ticketing refunds and exchanges, checked baggage, on-board pets, preferred and/or advanced seating assignments, frequent flyer ticket redemptions, and day of departure standby policies are reviewed. Despite the fact that both low cost and network carriers stress the importance of future ancillary fees in their investor reports, our assessment suggests that these fees will be more broadly adopted by low cost carriers. We anticipate that many network carriers will eliminate ancillary fees, particularly as they begin to recognize how these fees can impact other system performance objectives such as minimizing the number of misconnecting passengers. We estimate that the debundling phenomenon has diluted revenues to the US Airport and Airways Trust Fund by at least 5%.     

An integrated model of facility location and transportation network design

Network location models have been used extensively for siting public and private facilities. In this paper, we investigate a model that simultaneously optimizes facility locations and the design of the underlying transportation network. Motivated by the simple observation that changing the network topology is often more cost-effective than adding facilities to improve service levels, the model has a number of applications in regional planning, distribution, energy management, and other areas. The model generalizes the classical simple plant location problem. We show how the model can be solved effectively. We then use the model to analyze two potential transportation planning scenarios. The fundamental question of resource allocation between facilities and links is investigated, and a detailed sensitivity analysis provides insight into the model's usefulness for aiding budgeting and planning decisions. We conclude by identifying promising research directions.     

A two‐leveled multi‐objective symbiotic evolutionary algorithm for the hub and spoke location problem

We consider a hub and spoke location problem (HSLP) with multiple scenarios. The HSLP consists of four subproblems: hub location, spoke location, spoke allocation, and customer allocation Under multiple scenarios, we aim to provide a set of well‐distributed solutions, close to the true Pareto optimal solutions, for decision makers. We present a novel multi‐objective symbiotic evolutionary algorithm to solve the HSLP under multiple scenarios. The algorithm is modeled as a two‐leveled structure, which we call the two‐leveled multi‐objective symbiotic evolutionary algorithm (TMSEA). In TMSEA, two main processes imitating symbiotic evolution and endosymbiotic evolution are introduced to promote the diversity and convergence of solutions. The evolutionary components suitable for each sub‐problem are defined. TMSEA is tested on a variety of test‐bed problems and compared with existing multi‐objective evolutionary algorithms. The experimental results show that TMSEA is promising in solution convergence and diversity.     

The integration of Taiwanese and Chinese air networks for direct air cargo services

The two sides of the Taiwan Strait perform mutually dependent but complementary activities in the global manufacturing supply-chain. As a result, trade between Taiwan and China grew in double digits annually in the 1990s. With growing economic ties, direct air links are inevitable. In this research, we analyzed government documents and interviewed the air cargo carriers and airlines that currently serve the Taiwan–China air cargo market. This information enabled us to tabulate the trade, estimate the airport-to-airport air cargo demand and calibrate the international and domestic freight tariffs. We used a connectivity measurement and classified Chinese airports into national, regional and local classes in a hub-and-spoke air cargo network. We developed a mathematical model and a branch-and-bound algorithm. The results showed that at least two transit airports are economically necessary for a Taiwan–China air link. Shanghai and Xiamen were always the top two transit airports. The third airport would be Changsha if the decision becomes three air-links. These links are different from the top three passenger transit airports, Fuzhou, Xiamen and Shanghai, even though the cost saving is moderate.     

How could the collaboration between airport and high speed rail affect the market?

This paper discusses the possibility of collaboration between airport and high speed rail (HSR) to improve the airport’s gateway function. We apply the model which consists of three players, carriers, passengers, and the airport. In order to estimate the impact of the collaboration, we carry out some numerical computations with the model under the twin hub three zones network. Our results show that the collaboration between HSR and the smaller demand airport can reduce the congestion at the bigger demand airport, which suggests the collaboration can be preferable for carriers and passengers; it would improve the social welfare.     

The role of the passenger train in the United States: A cost comparison of the common carriers

The objective of this article is to establish whether the train has a role to play in the market for intercity passenger travel in the United States. To accomplish this objective, we compare the common carriers on the basis of thier cost effectiveness in moving a given flow of passengers between two points a specified distance apart. The comparisons are based on cost models which highlight the technological differences between the modes and eliminate distortions caused by public policy choices. By varying the size of the passenger flow and trip distance, we develop a notion of each common carrier's ideal operating environment. We find that the cost of the right-of-way is the major factor limiting the range of travel situations in which the train is cost competitive with the other common carriers. More specifically, our results indicate that Amtrak's service in the Northeast Corridor should be continued in the short run. In the long run, the possibility of upgrading Amtrak's service in the Northeast Corridor to high-speed service should be investigated. Outside the Northeast Corridor, we find that high-speed train service should be able to cover its operating costs but not its capital costs.     

Airline delays,congestion internalization and non-price spillover effects of low cost carrier entry

This paper develops an econometric model of flight delays to investigate the influence of competition and dominance on the incentives of carriers to maintain on-time performance. We consider both the route and the airport levels to inspect the local and global effects of competition, with a unifying framework to test the hypotheses of 1. airport congestion internalization and 2. the market competition-quality relationship in a single econometric model. In particular, we examine the impacts of the entry of low cost carriers (LCC) on the flight delays of incumbent full service carriers in the Brazilian airline industry. The main results indicate a highly significant effect of airport congestion self-internalization in parallel with route-level quality competition. Additionally, the potential competition caused by LCC presence provokes a global effect that suggests the existence of non-price spillovers of the LCC entry to non-entered routes.     

Evaluating household residential preferences for walkability and accessibility across three U.S. regions

Accessibility has been established as a major planning goal in recent years. However, little knowledge exists regarding how individuals value walkability, transit accessibility, and auto accessibility differently when deciding where to live. To fill this knowledge gap, this study conducts residential location choice modeling across three U.S. regions—Atlanta, Puget Sound, and Southeast Michigan. I find that, overall, all three types of accessibility are important determinants of residential location choice. Transit accessibility has a statistically significant positive influence on residential location choice across all three regions. On auto accessibility, results show that commute time by auto has the greatest influence on residential location choice among all independent variables, but auto accessibility to nonwork destinations appears to be inconsequential. Moreover, walkability is found to be a key determinant of residential location choice in the Puget Sound region but not the other two regions. I argue that these regional differences result from a lack of choice among Atlanta and Southeast Michigan residents, that is, a undersupply of walkable neighborhoods inhibits households in the two regions from living in such neighborhoods. This finding suggests the need for cities and regions to promote pedestrian-oriented development in order to broaden residential choice. The results further imply that, due to housing-supply constraints, households often have to live in a neighborhood with a level of accessibility lower than what they prefer. Transportation and land-use planners should address this “residential dissonance” when applying residential location choice models to predict land-use growth patterns.     

A warehouse location-routing problem

The interdependence between distribution center location and vehicle routing has been recognized by both academics and practitioners. However, only few attempts have been made to incorporate routing in location analysis. This paper defines the Warehouse Location-Routing Problem (WLRP) as one of simultaneously solving the DC location and vehicle routing problems. We present a mixed integer programming formulation of the WLRP. Based on this formulation, it can be seen that the WLRP is a generalization of well-known and difficult location and routing problems, such as the Location-Allocation Problem and the Multi-depot Vehicle Dispatch Problem. It is therefore a large and complex problem which cannot be solved using existing mixed-integer programming techniques. We present a heuristic solution method for the WLRP, based on decomposing the problem into three subproblems. The proposed method solves the subproblems in a sequential manner while accounting for the dependence between them. We discuss a large-scale application of the proposed method to a national distribution company at a regional level.     

Approximation algorithms for the bid construction problem in combinatorial auctions for the procurement of freight transportation contracts

Trucking companies (carriers) are increasingly facing combinatorial auctions conducted by shippers seeking contracts for their transportation needs. The bid valuation and construction problem for carriers facing these combinatorial auctions is very difficult and involves the computation of a number of NP-hard sub problems. In this paper we examine computationally tractable approximation methods for estimating these values and constructing bids. The benefit of our approximation method is that it provides a way for carriers to discover their true costs and construct optimal or near optimal bids by solving a single NP-hard problem. This represents a significant improvement in computational efficiency. We examine our method both analytically and empirically using a simulation based analysis.     

Where to dispose of urban green waste? Transportation planning for the maintenance of public green spaces

Urban green spaces provide various social and environmental benefits that strongly improve the quality of life in a city. Municipalities are responsible for maintaining their green spaces in order to preserve these potentials. This paper supports municipalities in planning the transportation and disposal logistics of the green waste that is produced by the maintenance activities. The approach combines ecological issues like the seasonality of green waste generation and different types of biomass with economically driven decision making. We show how to determine cost efficient transportation plans for the disposal logistics and how to capture the seasonality of green waste generation when booking capacities at disposal facilities. It is also shown how a municipality can select the disposal facilities to cooperate with in a competitive environment where facilities offer capacities at differing conditions, as is the case for disposal sites that dump the green waste and for conversion plants that use the biomass for producing renewable energy. We illustrate the approach using case data of a major city in Germany.     

Urban delivery industry response to cordon pricing, time-distance pricing, and carrier-receiver policies in competitive markets

The paper develops a set of analytical formulations to study the behavior of the urban delivery industry in response to cordon time-of-day pricing, time-distance pricing, and comprehensive financial policies targeting carriers and receivers. This is accomplished by modeling the behavior of receivers in response to financial incentives, and the ensuing behavior of the carrier in response to both pricing and the receivers’ decisions concerning off-hour deliveries. The analytical formulations consider both the base case condition, and a mixed operation with both regular hour and off-hour deliveries; two pricing schemes: cordon time of day, and time-distance pricing; two types of operations: single-tour, and multi-tour carriers; and three different scenarios in terms of profitability of the carrier operation, which include an approximation to the best case, the expected value, and the worst case. The analyses, both theoretical and numerical, highlight the limitations of pricing-only approaches. In the case of cordon time of day pricing, the chief conclusion is that it is of limited use as a freight demand management tool because: (1) in a competitive market the cordon toll cannot be transferred to the receivers as it is a fixed cost and (2) the structure of the cost function, that only provides an incentive to the carrier to switch to the off-hours when all the receivers in the tour switch to the off-hours. The analyses of time-distance pricing clearly indicate that, though its tolls could be transferred to the receivers and provide an incentive for behavior change, the magnitude of the expected toll transfers under real life conditions are too small to have any meaningful impact on receivers choice of delivery times. In essence, the key policy implication is that in order to change the joint behavior of carrier and receivers, financial incentives—or programs that foster unassisted off-hour deliveries—should be made available to receivers in exchange for their commitment to do off-hour deliveries. As the paper proves, if a meaningful number of receivers switch to the off-hours, the carriers are likely to follow suit.