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The airline long-haul fleet planning problem: The case of TAP service to/from Brazil

Research output: Contribution to journalJournal article

<mark>Journal publication date</mark>1/12/2017
<mark>Journal</mark>European Journal of Operational Research
Issue number2
Number of pages13
Pages (from-to)639-651
Early online date24/05/17
<mark>Original language</mark>English


In this paper, we study a strategic fleet planning problem faced by TAP, the Portuguese legacy carrier. The study is intended to shed light on the aircraft models to select, as well as on the mix of aircraft to purchase (or financially lease) and the aircraft to operationally lease in order to cope with the forecasted passenger demand between Lisbon and Brazil in the year 2020. The approach we developed for addressing this problem is based on an optimization model that can be cast in the class of two-stage stochastic integer programs. In our opinion, the proposed approach can be a valuable alternative or complement to the methods currently used in practice. The results of the study provide clear insights on how TAP should renovate its fleet, obviously depending on the available resources. The leasing of aircraft is an option that should definitely be taken into consideration by TAP, since it allows the carrier to deal with demand uncertainty without investing large amount of resources in the purchase of new aircraft.

Bibliographic note

This is the author’s version of a work that was accepted for publication in European Journal of Operational Research. Changes resulting from the publishing process, such as peer review, editing, corrections, structural formatting, and other quality control mechanisms may not be reflected in this document. Changes may have been made to this work since it was submitted for publication. A definitive version was subsequently published in European Journal of Operational Research, 263, 2, 2017 DOI: 10.1016/j.ejor.2017.05.015