transportation and assignment model pdf

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Basic Static Assignment to Transportation Networks

• First Online: 01 January 2009

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• Ennio Cascetta 2  

Part of the book series: Springer Optimization and Its Applications ((SOIA,volume 29))

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Traffic assignment models simulate the interaction of demand and supply on a transportation network. These models allow calculation of performance measures and user flows for each supply element (network link), resulting from origin–destination (O-D) demand flows, path choice behavior, and the mutual interactions between supply and demand.

Giulio Erberto Cantarella is co-author of this chapter.

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Dipartimento di Ingegneria dei Trasporti, Università degli Studi di Napoli Federico II, Via Claudio, 21, 80125, Napoli, Italy

Ennio Cascetta

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Cascetta, E. (2009). Basic Static Assignment to Transportation Networks. In: Transportation Systems Analysis. Springer Optimization and Its Applications, vol 29. Springer, Boston, MA. https://doi.org/10.1007/978-0-387-75857-2_5

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Published : 22 August 2009

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Online ISBN : 978-0-387-75857-2

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Southwest ditching its unassigned seat policy shows how budget airlines' business models are getting upended

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Happy Friday! Be careful what you wish for, Chipotle fans. The chain might turn to robot workers to address the complaints about its portion sizes. But good luck making those last-second tweaks to your order .

In today's big story, Southwest ditching its unassigned seat policy is a sign of the end times for budget airlines as we know it.

What's on deck:

• Markets: Goldman Sachs has a new logo … sort of.
• Tech: OpenAI basically just declared war on Google .
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But first, that's going to cost extra.

If this was forwarded to you, sign up here.

The big story

Seating-as-a-service.

You are no longer free to move about the cabin.

Southwest Airlines is ending its open seating policy , opting for assigned and premium seating options. It's a substantial change for the budget airline that has let passengers pick their seats after boarding since its founding more than 50 years ago .

But tradition takes a backseat when the bottom line is suffering. Despite a record $7.4 billion in revenue for the second quarter, the airline's quarterly profit ($367 million) was almost cut in half compared to the same period last year.

Meanwhile, activist investor Elliott Management's $1.9 billion stake in Southwest has it calling for big changes . And the airline manufacturer Southwest relies on is going through its own crisis . So yes, something had to give.

A timeline on when the change will occur wasn't announced — more details are coming in September — but the impact is already estimated to be big. Between paid seat assignments and premium seating, Southwest could add as much as $3 billion in new revenue, according to one analyst.

Southwest isn't alone in its struggles. Prior to the announcement, the S&P 500 Passenger Airlines index was down almost 9%. The issue? Despite an influx of demand, there are simply too many cheap, economy-class seats on the market , writes Business Insider's Benjamin Zhang.

The real pain of the current travel landscape is being felt by budget airlines.

High labor and fuel costs are difficult to navigate for all airlines, but it's especially tricky for ones trying to do it at a much lower cost than their rivals.

That's why Southwest's decision to end its open seating policy could be a sign of the end of budget airlines as we know it, writes BI's Taylor Rains and Pete Syme. The shift shows how low-budget airlines are rethinking their business models as they face an uphill battle not following their high-priced peers' footsteps.

Southwest CEO Bob Jordan has been adamant these are changes customers want. But there is an undeniable financial factor to the move.

Similar changes from Southwest could ultimately upend the way a good chunk of the country travels. Southwest, American, United, and Delta make up the country's Big 4 airlines. But only Southwest markets itself as a budget airline.

In the meantime, you might need to start paying for that window or aisle seat on your next Southwest flight.

Or don't. After all, the middle seat really isn't that bad .

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