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The University of Southampton
CORMSIS Centre for Operational Research, Management Sciences and Information Systems

CORMSIS seminar by Matteo Salani Event

16:00 - 17:00
13 February 2014
B2 / 3041

For more information regarding this event, please telephone Maria Battarra on x23863 or email .

Event details

The eleventh of the CORMSIS seminar series.

Title: Models and local-search algorithms for integrated airline scheduling, fleeting and pricing


We discuss about models and algorithms for an integrated airline scheduling, fleeting and pricing problem. The integrated model simultaneously optimizes the decisions of schedule design, fleet assignment, seat allocation, pricing and considers passengers' spill and recapture. The resulting problem is a mixed integer non-convex problem due to the explicit representation of a demand model integrated with a supply planning model.

We present a local search heuristic to tackle the complexity of the problem based on a decomposition of the problem. The first model is a fleet assignment model where the pricing decision is fixed. The fleet assignment sub-model is a mixed integer linear problem. The second model is a revenue management model where the fleet assignment decision, i.e., the transportation capacity, is fixed. This revenue sub-model is a continuous nonlinear problem. These sub-models are solved iteratively with ad-hoc local search mechanisms. The local search heuristic is presented in comparison to two other heuristic approaches: a heuristic procedure provided by an open-source generic MINLP solver and a sequential approach which mimics the current practice of airlines. The three approaches are tested on a set of experiments with different problem sizes. The local search heuristic outperforms the two other approaches in terms of the quality of the solution and computational time.

Speaker information

Matteo Salani, Researcher at IDSIA, Dalle Molle Institute For Artificial Intelligence, (Switzerland),Matteo Salani obtained a Ph.D. degree in Computer Science from the University of studies of Milan with a thesis on Branch and Price algorithms for Vehicle Routing Problems. After the PhD, he was scientific collaborator (PostDoc) at the Technical university of Lausanne, EPFL (Switzerland) at the Transportation and Mobility laboratory, Transp-OR. He is interested in exact and heuristic algorithms for combinatorial problems and related applications to transportation and logistics.

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