Featured Use Case
Disruption Management
Challenge
Approach
Disruptions are common in the transportation industry, particularly among airlines. Since large logistics networks are closely interconnected — one plane may fly multiple routes in a single day — a small disruption in one place can lead to costly losses across the entire network. In fact, irregular operations (IROPs) can cost airlines as much as 8% of their revenue. Airline operators are often forced to weigh multiple competing considerations when rescheduling flights such as time, costs, further delays, and passenger compensation. The result is a complex multi-factor combinatorial optimization problem that needs to be solved in real-time.
