| The Effects of Schedule
Disruptions on the Economics of Airline Operations
April 2000
Dr. Zalman A. Shavell, The MITRE Corporation
ABSTRACT
Airlines depend on their ability to meet the requirements of their
published schedules. However, various events ranging from severe weather
to the failure of a crewmember to report for duty inhibit their ability
to always satisfy their schedules. In some instance, as in the case
of thunderstorms, only a single airport may be affected for a few hours.
In others, a large weather system can disrupt airline schedules over
thousands of square miles for several days. This paper examines the
economic effects of disruptions to schedules at two levels. First, it
examines the costs incurred by the airlines that resulted from severe
weather affecting operations at Boston, MA from 8-10 October 1998.
Second, the annual costs of disruptions to airline operations in the
United States during 1998 were estimated and their significance discussed.
This paper shows that regular events that disrupt airline schedules
are an inescapable element of airline operations. In some cases the
effects of these disruptive events are minimal. However, disruptions
to airline operations can become severe, causing the airlines to delay,
cancel or divert substantial numbers of flights and imposing substantial
costs on them.
» Download Paper [PDF, 95KB]
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