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Thesis (M.C.P.)--Massachusetts Institute of Technology, Dept. of Urban Studies and Planning, 1980. / MICROFICHE COPY AVAILABLE IN ARCHIVES AND ROTCH. / Includes bibliographical references. / by Alan Chat-Fun Eng. / M.C.P.

The traditional air cargo supply chain is composed by the shippers, the freight forwarders and the airlines. The freight forwarders secure capacity with airlines in order to accommodate shippers' demand. They bid for capacity six to twelve months before the actual departure date of the aircraft, and confirm the needed capacity a few days before departure. We address the freight forwarders' problem of confirming needed capacity based on balancing the costs of ordering too much capacity versus ordering too little. We use a Markov decision process to model the problem. We show the value function is convex in the state variables for lead times of one and two periods. We present the structure of the optimal policy and show it is stationary. In addition we present solutions to the case with subcontracting options and order due dates. We also address the airlines' revenue management problem with respect to its cargo capacity available for free sale (after honoring committed capacity to freight forwarders), in particular the problems of (1) accepting/rejecting incoming bookings based on bid prices, and of (2) estimating the show-up rate (ratio of bookings handed in at departure over bookings on hand) with impact on overbooking. To address the lumpiness of demand, we split the cargo into two categories: small cargo, composed of mail and small packages, and large cargo, composed of the bulk of commercial cargo. The small cargo is approximated with the passenger arrival, and we propose a new algorithm to solve the traditional probabilistic nonlinear problem from the passenger side. The large cargo is solved using a dynamic program, which is decomposed at the leg level using a fare-prorating scheme. The solution from our new approach is shown via simulation to be superior to two approaches currently used: the first come first serve, and the deterministic linear program. The show-up rate is estimated using wavelets and we show that a discrete show-up rate is more suitable than the traditional Normal estimator used in practice. The new estimator results in considerable more potential revenue.

published_or_final_version / Business Administration / Master / Master of Business Administration

In the first study, we formulate the passenger and cargo allocation problem as a variant of the price-dependent multi-item newsvendor model with capacity constraints. The effects of baggage weight, pricing, and costing on the number of passengers and amount of cargo carried are studied. Based on the model and the existing practice of carriers, we develop several illustrative cases and fend that to maximize profit, large aircraft may need to reduce their baggage limits significantly from the current policy. / In the second study, we propose the dynamic partnership concept, which assures a feasible partnership in an online logistics community. After identifying the platform requirements, a preliminary knowledge framework which describes the collaborative knowledge and new knowledge managing approaches is suggested. / In the third study, we provide a two-phase framework for an airfreight forwarder's resource planning. In each timed phase, an optimization model first determines the aggregates and a simulation model then examines the disaggregated situations evaluating whether the aggregate estimates are viable under disaggregation and uncertainties. Here, a set of measurements are established to evaluate the performance of a resource plan. For the inadequate plans, areas of possible improvements are identified for revision. / Three studies in air cargo logistics are conducted respectively, covering the following three areas: carrier's passenger and cargo management, logistics service provider's partnership strategy, and an airfreight forwarder's resource planning. / study 1. Optimal baggage limit policy: airline passenger and cargo allocation -- study 2. Dynamic partnership in online logistics community: concepts and a knowledge framework -- study 3. An airfreight forwarder's aggregate resource planning: booking of cargo space and disaggregation viability. / Wong, Wai Hung. / Adviser: Lawrence C. Leung. / Source: Dissertation Abstracts International, Volume: 70-06, Section: A, page: 2121. / Thesis (Ph.D.)--Chinese University of Hong Kong, 2008. / Includes bibliographical references (leaves 172-175). / Electronic reproduction. Hong Kong : Chinese University of Hong Kong, [2012] System requirements: Adobe Acrobat Reader. Available via World Wide Web. / Electronic reproduction. [Ann Arbor, MI] : ProQuest Information and Learning, [200-] System requirements: Adobe Acrobat Reader. Available via World Wide Web. / Electronic reproduction. Ann Arbor, MI : ProQuest dissertations and theses, [201-] System requirements: Adobe Acrobat Reader. Available via World Wide Web. / Abstracts in English and Chinese. / School code: 1307.

Summary in Chinese. / Thesis (M.B.A.)--Chinese University of Hong Kong. / Bibliography: leaves 114-116.

Wong Wai Hung. / Thesis (M.Phil.)--Chinese University of Hong Kong, 2004. / Includes bibliographical references (leaves 102-103). / Abstracts in English and Chinese. / LIST OF TABLES --- p.iii / LIST OF FIGURES --- p.v / ABSTRACT --- p.vii / Chapter Chapter 1. --- Introduction --- p.1 / Chapter 1.1 --- Goals and Significance --- p.1 / Chapter 1.2 --- Thesis Organization --- p.2 / Chapter Chapter 2. --- Review on Air Cargo Industry --- p.3 / Chapter 2.1 --- The Position of Air Cargo Logistics --- p.3 / Chapter 2.2 --- General Air Cargo Practice --- p.3 / Chapter 2.3 --- Hong Kong Air Cargo Practice - An Example --- p.1 / Chapter Chapter 3. --- Air Cargo Cost Analysis --- p.12 / Chapter 3.1 --- Shipping Costs --- p.12 / Chapter 3.1.1 --- International Shipping Costs --- p.12 / Chapter 3.1.2 --- Local Shipping Costs --- p.14 / Chapter 3.2 --- Shipment Categorization --- p.15 / Chapter 3.2.1 --- Illustrative Examples - Hong Kong --- p.18 / Chapter 3.3 --- Analysis of shipping cost --- p.27 / Chapter 3.4. --- Freight Forwarders' means for freight forwarders' success --- p.29 / Chapter 3.4.1 --- Consolidation --- p.31 / Chapter 3.4.2 --- Integration --- p.42 / Chapter 3.4.3 --- Cooperation among freight forwarders to combine the cargos --- p.44 / Chapter 3.5 --- Summary --- p.44 / Chapter Chapter 4. --- A Mixed 0-1 LP Model of Air Cargo Logistics integration & consolidation --- p.47 / Chapter 4.1 --- Statement of the Problem --- p.47 / Chapter 4.2 --- Literature Review --- p.49 / Chapter 4.3 --- Objective Function --- p.51 / Chapter 4.4 --- Logical Constraints --- p.52 / Chapter 4.5 --- Resources Constraints --- p.54 / Chapter 4.6 --- The Model --- p.55 / Chapter 4.7 --- Properties of the Model --- p.56 / Chapter Chapter 5. --- Solution Process --- p.58 / Chapter 5.1 --- Tabu Search --- p.59 / Chapter 5.2 --- Tabu Search Algorithm --- p.62 / Chapter 5.3 --- Illustrative Example --- p.64 / Chapter 5.4 --- Implementation and Results --- p.70 / Chapter Chapter 6. --- Extensions --- p.73 / Chapter 6.1 --- Different approaches as the initial solution --- p.73 / Chapter 6.2 --- Risk or Reliability Limit --- p.75 / Chapter 6.3 --- Consolidation with inventory penalty --- p.78 / Chapter 6.4 --- Two Phase Method --- p.79 / Chapter Chapter 7. --- Sensitivity Analysis --- p.81 / Chapter 7.1 --- Delivery time --- p.81 / Chapter 7.2 --- Charging price and cost --- p.85 / Chapter 7.3 --- Resources allocations --- p.92 / Chapter 7.4 --- A series of good solutions --- p.95 / Chapter Chapter 8. --- Conclusion --- p.98 / Chapter 8.1 --- Future Work --- p.98 / Chapter 8.2 --- Future Research --- p.100 / LIST OF REFERENCES --- p.102 / Appendix --- p.104 / Simulation results --- p.104 / Pseudo code --- p.107 / Program Coding --- p.110

如今許多商品都採用航空運輸。據預測，未來20年中世界航空貨運量將至少翻番。類似旅行中介，空運貨代是航空公司和貨主的中間人。貨代處理了超過80的國際航空貨運量，並以及時、安全、經濟的方式代表貨主管理整個運輸過程。 / 本論文包括關於空運貨代的三項研究：第一項研究（第一章）中，空運貨代的資源規劃和收入管理被結合起來。在資源規劃方面，我們考慮從航空公司、合作夥伴、以及分包商，分別購買多少艙位。在收入管理方面，我們考慮兩個細分市場，即固定客戶和臨時客戶，並決定接受或拒絶請求的準則。首先，我們考慮固定客戶先於臨時客戶到達的模式，並考察資源規劃決策和收入管理決策之間的關係。然後，我們考慮固定客戶和臨時客戶可以以任何順序到達的模式，同樣，我們考察資源規劃與收入管理決策的互動，並比較兩個到達模式的結果。 / 第二項研究（第二章）中，我們設計了一個針對貨物競價和物流規劃問題的啟發式算法。該算法可得出物流規劃環境中的最優競價策略。它包括兩個階段;第一階段遍歷出價決策，以及決定競拍窗口中的物流分配，第二階段決定之後的物流分配。這兩個階段的物流分配都由禁忌環境下的鄰域搜索決定。我們還提出了算法的改進策略。實驗表明算法是有效的。該算法由Leung et al.(2013)的論文“An Airfreight Forwarder'sShipment Bidding and Logistics Planning中描述的問題所啟發。事實上，它解決了該論文中的兩階段隨機規劃問題。雖然該算法僅在該論文的第4節, 但為了把它放在良好的背景下,經作者許可該論文被完整地被列入本章。 / 第三項研究（第三章）中，我們考慮貨代的貨物競拍和收入管理問題。貨物的網上競拍是許多物流平台的普遍做法。在競拍環境中，貨代的收入管理具有挑戰性，且必須基於組合的概念。此問題因物流規劃的考慮變得更加複雜。我們首先不考慮物流規劃，構建了一個基本模型，並得出最佳決策的解析結果。之後，我們擴展了基本模型以加入物流規劃決策。我們還基於一個例子探討了管理見解。 / Nowadays, a wide range of goods are shipped by air, especially those of high value-to-weight ratio. It is forecasted that world air cargo traffic will more than double over the next 20 years. Analogous to travel agents, airfreight forwarders are intermediaries between airlines and shippers, handling more than 80% of international airfreight volume. On behalf of shippers, forwarders manage the entire shipping process in a timely, safe, and cost-effective manner. / The thesis consists of three studies in airfreight forwarding: In the first study (Chapter One), we integrate an airfreight forwarder’s resource planning and revenue management. On resource planning, we consider the problem of determining the amount of cargo space to acquire from airlines, partners, and subcontracting agents. On revenue management, we consider two market segments, namely regular customers and adhoc customers, and determine the criterion based on which a present request is accepted or rejected. We first consider a customer arrival pattern where regular customers arrive before ad hoc customers. The relationship between resource planning decisions and revenue management decisions are examined. We then consider an arrival pattern where regular and ad hoc customers may arrive in any order. Similarly, the interactive effects of resource planning and revenue management decisions are investigated and the results of the two arrival patterns are compared. / In the second study (Chapter Two), we develop a heuristic algorithm for an airfreight forwarder’s shipment bidding and logistics planning problem. The algorithm generates an optimal bidding strategy in a logistics planning environment. It consists of two stages; the first stage enumerates possible bidding decisions utilizing a portfolio tree and addresses logistics assignments during the bidding window, while the second stage addresses subsequent logistics assignments. The logistics assignments at both stages are determined by neighborhood search within a Tabu environment. Strategies are also proposed to streamline the algorithm. Computational experiments show that it is an effective one. The algorithm is motivated by the problem described in the paper “An Airfreight Forwarder’s Shipment Bidding and Logistics Planning by Leung et al. (2013). In fact, it is used to solve a two-stage stochastic program formulated in the paper. Although the algorithm is only in Section 4 of the paper, to put it in a good context, the entire paper is included in this chapter with permissions from the authors. / In the third study (Chapter Three), we consider an airfreight forwarder’s shipment bidding and revenue management problem. Online bidding of shipments is a common practice at many web-based logistics platforms. In the bidding environment, the forwarder’s revenue management is quite challenging and must be based on a portfolio concept. The problem is further complicated by logistics planning considerations. In this study, we first formulate a basic model without considering logistics planning aspects. Analytical results are derived on the optimal shipment portfolio and the optimal bid prices. We then extend the basic model to incorporate logistics planning decisions. Managerial insights are explored by studying a numerical example. / Detailed summary in vernacular field only. / Detailed summary in vernacular field only. / Detailed summary in vernacular field only. / Detailed summary in vernacular field only. / He, Wen. / Thesis (Ph.D.) Chinese University of Hong Kong, 2014. / Includes bibliographical references. / Abstracts also in Chinese.