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BLENDING, DIET AND FEED-MIX PROBLEMS  157



                        MANAGEMENT SCIENCE IN ACTION



                        Pilot Staffing and Training at Continental Airlines
                             aking sure that you have the right staff with the  comprised four inter-connected models. The Staffing
                        M right skills in the right place at the right time is  model looked at current staff availability, expected staff
                        critical for any organization. For large organizations  demand, new staff recruitment and staff losses to iden-
                        workforce planning and scheduling is not a trivial  tify staff shortage and surpluses. The Vacation model
                        task and typically takes time and resources to get  analyzed the vacation periods available to pilots to
                        right. No wonder that organizations are keen to bet-  avoid staff shortages at peak demand periods. The
                        ter planning and scheduling methods available  Planning Optimization model matched pilot availability
                        through the application of MS models. Continental  with the airline’s operational requirements. Finally, the
                        Airlines did just that and has saved an estimated  Training Optimization model developed a staff training
                        US$10 million a year as a result. The airline operates  plan for pilots undertaking training and development,
                        a complex global flight schedule with over 1100  for example to qualify to fly a different type of aeroplane.
                        flights each day utilizing around 350 aircraft of differ-  The integrated modelling approach has not only cut
                        ent types. Amongst its 44 000 employees it has  costs and saved time but has also allowed the staff
                        around 4500 pilots based at its four main crew loca-  planners to examine alternative options and led to a
                        tions. Clearly on a routine basis the company has to  change in the way the airline plans its pilot staffing and
                        make sure its pilots are matched properly to flights  training. Darryal Chadler, Director of Crew Resources
                        and to aircraft but this is a complex task involving a  and Administration at Continental commented ‘Solver
                        number of factors: the start and end points of the  provides the opportunity to run numerous scenarios to
                        flight; the flight duration; the type of aircraft; the  select the optimal plan that will meet the airline’s flying
                        training and experience of the pilot. On top of this,  requirement. .. . The system will be an invaluable tool
                        staff preferences also need to be taken into account –  that will help us maintain pilot productivity as we manage
                        the type of aircraft the pilot prefers to fly; the type of  our business in the future’.
                        flight schedule they prefer; holiday and family com-
                                                                    Based on G. Yu, J. Pachon, B. Thengvall, D. Chandler and A. Wilson,
                        mitments and so on. The company developed a
                                                                    ‘Optimizing Pilot Planning and Training for Continental Airlines’, Inter-
                        decision support system, CrewResourceSolver, that  faces 34 4 (2004): 253–64.


                                      chemical industry producing drugs, medicines, fertilizers, etc., to the food industry
                                      where different foodstuffs have to be mixed together to produce some food item or a
                      The blending problem  balanced meal.
                      was first applied to the  The Delta Oil Company (DOC) operates in Nigeria and runs an oil refinery that
                      Philadelphia Refinery of  blends three different petroleum components into two different fuels. The fuels are
                      Gulf Oil in the 1950s
                                      sold on to fuel companies around the world depending on demand and worldwide
                                      fuel prices. The company calculates its costs and profits using the US$. The company
                                      is trying to plan its daily production. Currently DOC estimates it can sell its regular
                                      fuel at $1 per litre and its premium fuel at $1.08 per litre. The cost of the three
                                      petroleum components that it uses are shown in Table 4.9, together with available
                                      quantities.
                                         Product specifications for the regular and premium fuels restrict the amounts of
                                      each component that can be used in each gasoline product. Table 4.10 lists the
                                      product specifications. Current commitments to customers require DOC to produce
                                      at least 10 000 litres of regular fuel each day.
                                         The DOC blending problem is to determine how many litres of each component
                                      should be used in the regular blend and how many should be used in the premium
                                      blend. The optimal blending solution should maximize the firm’s profit, subject to
                                      the constraints on the available petroleum supplies shown in Table 4.9, the product
                                      specifications shown in Table 4.10, and the required 10 000 litres of regular fuel.




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