...Current situation Delays are a very important issue at Boston’s Logan Airport, the fifth most delayed airport in the United States. Approximately 4.75% of total flights at Logan Airport are delayed and with total annual operations projected to increase over the next 15 years, it is important to address this issue today. Delay costs, which include operational and human costs, prove to be extensive and therefore a solution has to be found to ensure the survival of Logan airport. The major causes of these delays include the adverse weather conditions as well as the fact that demand tends to be clustered at certain periods of the day. There are several approaches that can be taken to conquer this delay problem. The first option, which has been determined to be the best alternative, is to build another runway. This would ensure at least two operating runways at all times, regardless of weather conditions. The second option proposed for dealing with the delay issue is that of peak period pricing (PPP), which entails increasing airline fees during periods of high demand in order to spread the demand for flights more evenly throughout the day. Problem analysis Weather is the foremost cause of delays in the case of Logan Airport. The airport’s operational capacity is significantly impacted by these adverse weather conditions (declining from approximately 120 operations per hour in normal conditions to approximately 80 operations per hour). In some cases, entire runways must be...
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...Course: Operation Management Delays at Logan Airport Problem set Analysis Problem #1 a. Assume normal, good weather capacity and a 70% passenger load factor. Using the attached Excel exercise, what are the pre plane delay times and operational and passenger delay costs associated with arrival rates of 50 planes per hour, for all three types of planes mentioned? At 55 planes per hour? At 59? | Delay Dollars per person per hour | 70% Load factor | Delay cost per hr | Total Delay Cost / hour | Total Delay Cost / minute | Turboprop | $25.70 | 13.3 | $348.00 | $689.81 | $11.50 | Regional | $25.70 | 35 | $640.00 | $1,539.50 | $25.66 | Conventional | $25.70 | 105 | $1,585.00 | $4,283.50 | $71.39 | Total Delay Costs per plane | Arrival Rate (Arrivals /hr.) | | 50 | 55 | 59 | Expected Delay (from above) (min) | 6.54 | 12.52 | 60.5 | * 50 planes/hour: – Turboprop: (6.54/60) * 348 + (6.54/60) * 25.7 *13.33 = $75.19 – Regional jets: (6.54/60) * 640 + (6.54/60) * 25.7 *35 = $167.81 – Conventional jets: (6.54/60) * 1585 + (6.54/60) * 25.7 * 105 = $466.90 * 55 planes/hour: – Turboprop: (12.52/60) * 348 + (12.52/60) * 25.7 * 13.33 = $143.94 – Regional jets: (12.52/60) * 640 + (12.52/60) * 25.7 * 35 = $321.24 – Conventional jets: (12.52/60) * 1585 + (12.52/60) * 25.7 * 105 = $893.82 * 59 planes/hour: – Turboprop: (60.5/60) * 348 + (60.5/60) * 25.7 * 13.33 = $695.56 – Regional jets: (60.5/60) * 640 + (60.5/60) * 25.7 * 35 = $1552...
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...Esmael Ameida 10/21/13 introductory writing ESSAY " MY Significant moment of my life " November 28, 2006 was the most significant moment of my life because i had to move from my home country Cabo Verde to USA, to live with my mother witch i had two years i didnt see and also for the best of my life. Live in usa was always a dream to me . Novenber 28,2006 i arrived in Boston Massachusetts in logan airport around 9 pm its was dark and could out side, i didnt had any jacket with me i was so could but my mother was there waiting for me wth a black and warm jacket ,i was os happy to see my mother again after two years i was so emotinal that time i see my mother i emediatily run to her i give her a very tight hug, my mother was still looking so beautiful and wth that big smilly on her face to see me again hes only son, my mother was so happy,i remenber she huged me from boston logan airport till Brockton. soon we get home i see my uncle wtich i had 8 years i didnt see. i remenber i was so tired i want to take rest so bad but i was so happy to see my mother that i couldint sleep n i stay uo till around 2am but my mother had to go to sleep because she had to go thw work at 6 am . Its was so hard for me to get used to usa because i didnt know how to speak englesh ,write englesh ,i didnt had friends every thing was so hard for me, for the frist to weeks i dint want to saty in usa no more because i was...
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...OPERATIONS MANAGEMENT PROFESSOR MOHAMMAD NIKOOFAL “THE DELAYS AT LOGAN AIRPORT” Ana Guimarães 150111501 Leonor Lima Raposo 150113193 David Antunes 150113238 Matilde Meyrelles Do Souto Pedro Godinho 150112201 Logan Airport Logan Airport is an international airport located in Boston, United States. It has three runways in operation during good weather but only two of them are used for arrivals. The airport’s concern is to have a strategy that reduces delay times and associated costs. In our opinion, the strategy will include peak-period pricing in order to reduce the late times in the short-run. The impact of Peak Period Pricing on Delay Times and Costs During peak hours the arrival rate is between 44.5 and a little over 60 planes per hour. This analysis reflects the delay times and costs associated with each peak hour arrival rate for three plane types – Turboprop airplane, Conventional jets e Regional jets – in order to compare them. The total delay time for an arrival rate (λ) for 50 planes per hour is 6.55 minutes (0.109 hours) but when the arrival rate increases by 5 planes per hour, the delay is 12.52 minutes (0.209 hours) and the delay time is more than 1 hour (60.5 minutes) when the arrival rate increases to 59 planes per hour. These delays imply extra costs. These costs are the sum the passenger time cost and the delay time cost of the plane. | 50 planes/h | 55 planes/h | 59 planes/h | Turboprop Airplane | 71,26636363 | 136,3356522 | 658,7647059...
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...and 59 planes per hour)? What is the total cost (operational and passenger costs) associated with arrival rates of 50 planes per hour, for all three types of planes mentioned? What are your results if the arrival rate is i) 55 planes per hour? ii) 59 planes per hour? b) ( ) Now resolve the above question using the FAA’s definition of delay? Do you think this definition of delay is more reasonable? c) If you think the above definition of delay is not reasonable, suggest an alternative. d) Based on your calculations in part a) and part b), do you believe PPP is a potential solution (by reducing the arrival rates during periods where demand is much higher) to reduce the costs of over scheduling? QUESTION 2 Once you read the Delay at Logan Airport case it is clear that peak periods exist for a reason. That is, they are not random fluctuations but rather a result of passenger’s desires for landings and takeoffs at certain times of the day. Therefore airlines will shift flights to different periods only if the costs of incurring peak charges outweigh the costs (in terms of lost revenue and customer dissatisfaction) of shifting flights to off-peak periods. Continue to assume that planes fly with 35% of passenger seats empty (that is, 65% load factor) and also assume that per passenger revenue for different aircraft sizes are as follows; $230 for a turboprop airplane with 15 seats; $154 for a regional jet with 50 seats; $402 for a jet with 150 seats. a) ( ) Which airplane types would...
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...OM Logan Airport Assignment a) Delays: 50: 6.55 minutes 55: 12.52 minutes 59: 60.5 minutes Costs: Assuming we use two runways, and that by total cost they mean total cost for all the planes arriving. For arrival rate of 50: 15 seat plane: 352* 6.55/60+30.9*6.55/60*(15*0.65)*50=3565.79 50 seat plane: 672* 6.55/60+30.9*6.55/60*(50*0.65)*50=5554.89 150 seat plane 1590*6.55/60+30.9*6.55/60*(150*0.65)*50= 16618.17 For the arrival rate of 55: 15 seat plane: 352* 12.52/60+30.9*12.52/60*(15*0.65)*55=3531.08 50 seat plane: 672* 12.52/60+30.9*12.52/60*(50*0.65)*55=11665.67 150 seat plane 1590*12.52/60+30.9*12.52/60*(150*0.65)*55= 34908.10 For the arrival rate of 59: 15 seat plane: 352* 60.5/60+30.9*60.5/60*(15*0.65)*59=18278.29 50 seat plane: 672* 60.5/60+30.9*60.5/60*(50*0.65)*59=60422.10 150 seat plane 1590*60.5/60+30.9*60.5/60*(150*0.65)*59= 180836.77 b) According to the FAA definition of delay, the airport would only experience delays at an arrival rate of 59. Therefore, the cost for arrival rates of 50 and 55 for all planes would be 0 as there’d be no delay. For arrival rate of 59, the costs would be the same as part a). I’d expect that a delay of 15 minutes would mean little for the passengers, so the cost per passenger would be negligible as well. It’s also possible that the cost per passenger and operational costs aren’t evenly spread out over an hour (i.e. the first 15 minutes don’t contribute 25% of the cost). Given this...
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...Building Monte Carlo Simulation Models in Excel – Prof. Setu Chokshi Problem 1: MakeMeMoney Inc. MakeMeMoney Inc. has created a new gizmo. Since they are new in the market. They need to spend time to go from door-to-door to market their gizmo. There are a lot of uncertainties associated with the profitability (market size, expense and revenue). Can you create a Monte Carlo Simulation to help estimate profit and evaluate risk. Nominal Leads per Month (L) Cost Per Lead (C) Conversion Rate (R) Profit per Sale (P) Overhead per Month (H) 1500 $0.50 3.0% $50.00 $800.00 Min 1200 Max 1800 Distribution Uniform $0.20 $0.80 Uniform 1.0% 5.0% Uniform $47.00 $53.00 Uniform Problem 2: MoreRisk Inc. MoreRisk Inc. too is introducing a product in the market. Imagine that as a marketing manager, you are trying to estimate the profit that will result from the product introduction. Low Probability Units Price Cost 50% 60,000 $10 $6.00 High 50% 100,000 $9 $9.00 80,000 $8 $7.50 Average Problem 3: Capital Investment in the face of Uncertain Demand Consider an e-Commerce service for which you can charge $1 with no marginal cost. However, a server facility must be constructed, which will require $0.80 capital for each unit of monthly capacity. Sadly the new service is a fad expected to last for only one month. Demand for your one month of business is uncertain and estimated to be normal with mean = 2 million and sigma = 500,000. Planning for the average demand, you invest $1,600,000...
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...terminal • Monitors people’s behavior and reports suspicious activity to law enforcement officers. • Provides immediate response to emergency calls by respective authorities • Receives required training related to all functions of performing the job. • Ensures accurate communication to supervisor related to safety requirements. • Ensures awareness regarding safety procedures at all times at the airport. • Pays attention to the smallest detail while executing everyday responsibilities. • Accepts own errors and takes steps to rectify them after getting feedback from others. Above are some of the requirements and based on how it is executed, the employee can be graded into three categories: Meets expectation, Exceeds expectation and does not meet expectation (cited in www.tsa.gov) Since O’Reilly and Sanchez worked together for a considerable period (Anteby, McFee- Mina O’Reilly, Pg. 1), there were some potential points where the supervisor could go wrong in conducting appraisal and taking actions (Gomez et al., Pg. 235). • Rater errors and bias: The breach at the airport (serious issue) would result in a particular indicator showing low score but then can get overshadowed due to other points which O’Reilly might think were important. • The influence of liking: Since they worked for a long time...
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...social work, medicine, nursing, counseling, and even literature. Or media studies about mental illness and psychopathology (Movies and Mental). As such, I had watched a psychological thriller film in my earliest day and the film gave an example about psychological disorder. The film was “The Number 23.” The Number 23 film was released in 2007, February 23th and directed by Joel Schumacher. The film starred with Jim Carrey, Virginia Madsen, Danny Huston, and Logan Lerman. Also, the film was Jim Carrey first leading role in a suspense thriller and the psychological disorder about the film is “Dissociative disorders.” Dissociative disorders are so-called because they are marked by a dissociation from or interruption of a person's fundamental aspects of waking consciousness (Maser Jack). In other word, the individual can’t remember their identity and history because of memory loss. From the film, Carrey acted as an animal control officer named “Walter Sparrow,” have a wife, Agatha (Virginia Madsen) and a son, Robin (Logan Lerman). The story from the film began when Walter was reading a book (his wife brought it from the book store where they were and decided to be as a present for his birthday ) and the title was “The Number 23” written by “Topsy Kretts (homophone pen name Walter used).” The book was a murder mystery and the main character is a detective who refers as the “Fingerling.” The character explained about the named he got came from obscure children’s book which Walter...
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...Globaloganization of Renault Development Strategy By Said Cherkaoui Executive Briefing: This article presents the drive of Renault from the edge of bankruptcy to the rise of its model Logan to international preeminence, fame and success. At the same time, Renault concentrated its production in countries that have been considered by the major car manufacturers as solely a marketplace and not the location of their production. For Renault, the first half of the 1980s were “the crossing of the desert” when the French automaker reached the edges of bankruptcy, while Volkswagen continued to expand in terms of production and market reach. Volkswagen developed its international base through the acquisitions in 1991 of Skoda, the automobile manufacturer in the Czech Republic and SEAT, the Sociedad Española de Automóviles de Turismo. After the withdrawal of Fiat in 1981, the Volkswagen Group subsidiary Audi AG signed a cooperation agreement with SEAT, becoming the major shareholder in 1986, and 100% owner of the company. In 1990, SEAT expanded its operations in China and Latin America. In comparison, Renault put the brakes on its international drive and concentrated its efforts on solving internal dissensions in the aftermath of the terrorist slaying of its CEO. Renault also focused on renewing its relationship with the new French Government, smoothing the resistance of left-wing Unions, finding acceptable solutions to its large and aging North-African immigrant ...
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...Article: The Mind Recovery Act - Why Obama's "War on Alzheimer's" may pay off This article struck my fancy because I have worked in the healthcare field, specifically with alzheimer's patients. I have also attended a lecture regarding studies done on Alzheimer's disease. This disease and potential treatments fascinate me and I am keeping my fingers crossed that a cure will be found by Obama's date of 2025. The author says, "Government declarations of war on drugs or disease often end in losing battles. That is why some neuroscientists have greeted the Obama administration’s goal of preventing or treating Alzheimer’s by 2025 with skepticism." (1) While I understand the author's concern about declarations leading to losing battles, I also believe that speaking out against drugs and disease can lead to positive change. Last semester in my Biostatistics class, I had the opportunity to attend a lecture from a member of the Cache County Study on Memory Health and Aging. It is a collaborative group of studies with researchers at Utah State University, Duke University Medical Center and The John Hopkins University. This study is conducted in Cache County, Utah and is designed to examine genetic and environmental factors associated with risk for Alzheimer's disease. This study has been going for longer than 16 years and has enrolled over 5000 residents of the county. The reason the study is conducted here is because Cache County elderly have longer life expectancy than...
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...becoming more and more willing to compromise on comfort, basing car purchase decisions mainly on price instead. In the emerging markets, the new middle class demands value for money automotives. Since they are willing to buy new cars a potential car seller has to meet price With the mid-range price segment shrinking, companies can only earn money on expensive premium offerings or in the low cost segment. At the same time, high fuel prices are driving down demand for large SUVs while boosting sales of small cars. Despite Western Europe‘s prosperity, car prices have outgrown the wages. As a result, many consumers are becoming more and more willing to compromise on comfort, basing car purchase decisions mainly on price instead. Renault's Dacia Logan was the first model to show Western Europeans that it really is possible for them to build cars at a profit in the low cost car segment. Low-cost cars are the single most important trend in the automotive industry today The low-cost car segment seems to be facing a bright future with steady growing sales volumes. But what is also of crucial...
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...To: Professor Russ Ray From: Usman Mustafa Date: 9/05/2012 Re: Jet Blue Airways Case Attached Please find JetBlue airways case and their IPO prices Calculation table. The purpose of this memorandum is to discuss the initial public offering and the pricing of IPO of JetBlue Airways by using the selected multiples of comparable airlines. It also includes some advantages and disadvantages of a firm from going public. The multiples used to set IPO price were prices per share, earning per share, cash flow per share, total assets per share, and revenue per share of five comparable airlines. When looking to take a company public, investors first examine other comparable companies’ stock prices. The five Comparable airlines companies we chose are: Air Tran, Alaska Air, America West, Midwest, and Southwest Airline. The Prices for Jet Blue Airways are based on the selected multiples calculated with JetBlue’s financial statement, shares outstanding, and the two important multiples that are price per share and cash flow per share. 1. What are the advantages and disadvantages to a firm from going public? list at least three of each. Advantages: A. Going public will result in increased capital for the issuer. A public offering places a value on company's stock and insiders who retain stock may be able to sell their shares or use them as collateral. B. A company's debt-to-equity ratio improves after an initial public offering, which...
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...PUBLIC-PRIVATE PARTNERSHIPS AT THE BRAZILIAN AIRPORTS ANDRÉ SOUTELINO Lawyer. Bachelor‟s degree: Law, Universidade Cândido Mendes (2004). Post-graduation in Private Law, Universidade Federal Fluminense (2007). Master‟s Student in Economic Law and Development– research project: Regulation, Competition, Innovation and Development. e-mail address: andrelds@unisys.com.br. ABSTRACT This paper explains the reasons for investments on infrastructure by the private sector. Today, there are prisons, water supply, roads, airports and other activities that request a high investment managed by the private sector. It can be done through concessions, privatization or public-private partnerships (PPP). About the private investments on airports, ICAO has allowed the less interference by the states at the airport administration. So, this paper proposes to demonstrate that the application of public private partnership at Brazilian airports is worthwhile. KEY WORDS: airport; privatization; public private partnerships Electronic copy available at: http://ssrn.com/abstract=1506109 INFRASTRUCTURE The definition of infrastructure varies from country to country and in the doctrinal field. As for the countries, governmental policy defines what is basic, essential and crucial for the development of the nation. The doctrine splits infrastructure into economic and social, being subdivided into hard and soft (Grimsey & Lewis, 2004). Economic infrastructure is considered the one providing intermediate...
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...Aerosphere Airlines Case: Aerosphere Airlines Scott Schneider is the Chief Marketing Officer for Aerosphere Airlines, a Flemish company that hires private jets. He worries about how to maintain a marketing edge against his main competitors, Dynasty Airlines, Shark Airlines, and Ultra Airlines. Aerosphere, Dynasty and Ultra have similar business models, reflecting a higher concern for service, and Shark positions itself more as a low-price, low-cost carrier. The four companies operate from airports in Belgium and offer flights within Europe. The total size of the market for flights in private jets in Belgium is estimated at 20.000 customers. Mainly companies who choose to hire a private jet, rather than buying or leasing their own corporate jet. To figure out the current competitive position of the airlines, and to help set strategy, Schneider commissioned a customer equity study of the industry. This began with focus group interviews with customers to figure out the drivers of Value Equity, Brand Equity and Relationship Equity. Based on the focus groups, Schneider came up with the customer equity driver diagram shown in exhibit 1. The identified drivers and sub-drivers were: Drivers of Value Equity ▪ Quality of cabin service (“cabserv”) ▪ Passenger compartment comfort (“passcomp”) ▪ Price (“price”) Drivers of Brand Equity ▪ Attitude toward the airline (“aatt”) ...
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