Logan Airport Delay Questions Essay

1449 Words Nov 9th, 2010 6 Pages

QUESTION 1 (25 points)

In the Delays at Logan Airport case, there are different proposals for reducing congestion. One of the methods proposed to tackle the impact of delays was peak-period pricing, PPP.

In the case, good weather operational capacity (i.e., both arrivals and departures) was around 120 planes per hour. Assuming that the number of arrivals approximately equals the number of departures, we obtain an average arrival capacity of 60 planes per hour. Although there are three runways in operation during good weather, only two of them are used for arrivals, which imply that each arrival runway has an hourly capacity of 30 planes per hour. During the peak period,
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b) ( ) For good weather capacity- what are the expected delay times and delay costs for different types of planes landing at hour 17 and hour 18? What are delay times and costs during moderate and severe weather conditions? (Note: Some of these costs and times cannot be theoretically calculated due to the reason indicated in part a, and you might have to use your judgement)

QUESTION 4 (27 points)

What is your overall recommendation to FAA for the city of Boston:

• Allow Massport to build a new runway?
• Insist that Massport institute peak-period pricing?
• Do both?
• Do neither?

Provide detailed justification (both qualitative and quantitative) for your recommendation.

- This case study must be done in groups of 6.
- The above questions are of two types. Those with a calculator figure ( ) indicate the involvement of a quantitative analysis (although they might also involve some qualitative discussion). The other questions are to initiate a broader discussion of the case study based on the managerial insights that can be developed from quantitative questions, case discussion among the group members and use of strategic operations management and related concepts. You can also make use of your knowledge from related courses (marketing, strategy, finance, IS, Accounting, IB, ...).
- The full case study report should not exceed 5-pages typewritten , one-and-half-spaced,

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