IE Semineri: “A Static Model in Single Leg Flight Airline Revenue Management,” Doç. Dr. Semih Sezer (Sabancı Üniversitesi), EA-409, 13:40 23 Kasım (EN)

Seminar: “A static model in single leg flight airline revenue management”

Assoc. Prof. Semih Sezer, Sabancı University
November 23, Friday, 13:40
Place: EA 409

Static models on single leg airline revenue management generally consider booking limits or protection limits as the decision variables to control reservation requests. In this talk, we consider an alternative framework in which the decision variables are the closing times of fare classes. In a continuous time model with non-homogeneous Poisson arrivals, cancellations, and no-shows, we study the problem of finding optimal closing times in order to maximize the expected net revenue from a given flight. We analyze the value function, point out some easy cases, and bring an easily implementable solution method. We also illustrate this method on some numerical examples. This is a joint work with Hans Frenk and Behrooz Pourghannad.

Bio: Semih Sezer is jointly affiliated with Industrial Engineering and Mathematics Programs at Sabancı University. He received his bachelor degree from Boğaziçi University, and his master and PhD degrees from Princeton University. His research area includes stochastic optimal control and optimal stopping theory, and their applications. Bayesian sequential analysis, revenue management, and inventory control are among the application areas that he is interested in.