STOCHASTIC SIMULATION OF DEMAND AND FLIGHT ROUTE SCHEDULING OPTIMIZATION FOR AIRFREIGHT SERVICES

• Main Author: Muhammad Zuhdi, Rahaditya
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/64948
• Institution: Institut Teknologi Bandung

The importance of efficient transportation and logistics for the community's economic well-being cannot be overstated. In today's dynamic business environment, transportation and logistics costs account for a significant portion of total product costs. Airfreight services are one of the most important services in the transportation and logistics industry. As a result, the best flight schedule must be determined to reduce the airfreight service company's operational costs and the use of aircraft. However, to remain relevant to Indonesia's current airfreight industry trend, demand has to be generated that will be served by air freight services, and that demand should also replicate the targeted market share and monthly trends in airfreight demand based on historical reference data. This final research examines a stochastic simulation scheme for generating cargo demand that is relevant to the airfreight industry's trend in Indonesia, as well as methods for optimizing flight schedules to reduce airfreight service companies' operational costs and the use of aircraft. The optimization method can produce relatively low operational costs, as low as 44.5 percent of the market's lowest airfreight service rates.