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Improving performance and flexibility and Jeppesen
1. IMPROVING PERFORMANCE
AND FLEXIBILITY AT
THE WORLD'S LEADING AVIATION INFORMATION COMPANY
MMS Operations 2016-17
Group 1
Kashyap Salvi (027)
Subodh Kadam (051)
Parikshit Jagtap (139)
2. INTRODUCTION
Founded in 1934 by Elrey B. Jeppesen
First to make aeronautical charts for pilots to navigate in flight
World’s leader in aviation information
1,400 employees (900 in Denver, Colorado, 300 in Frankfurt, Germany,
and the rest in small offices around the world)
3. INTRODUCTION
Manufactures flight manuals containing critical safety information to over
300,000 pilots and 400 airlines worldwide from over 80 countries.
Over 80 percent of pilots rely on Jeppesen charts.
American, Delta, Federal Express, Japan Airlines, Korean Airlines, Lufthansa,
many smaller airlines and many private and corporate pilots.
Acquired by Boeing in October 2000
4. PRODUCTS
New Manuals | Revisions
Flight simulators, training packages, flight planning, and other aviation products.
The revisions go out to customers who already have Jeppesen manuals. A revision
is a collection of folds, and charts that have been changed or revised during the
current production week.
7. SERVICE PROBLEMS
The number of orders delivered late was growing at an alarming rate
Jeppesen’s customer service had deteriorated because its existing production and
supporting systems could not keep up with changing customer demand.
Threatened Jeppesen’s ability to provide prompt customer service.
11. Project Description
OR tools to improve production planning
Strategic Economic analysis
Improve the production process by making strategic investments in alternative production technology
Developed a list of technology alternatives
Simulation and optimization to analyze alternatives
Recommended purchase of several pieces of capital equipment
Decision support tools
Created a suite of decision support tools for production planning
12. Development of linear program to optimize production of weekly revision
Mixed integer programing model to daily optimize completion of new order
Stochastic dynamic inventory management model to control disposal of outdated charts
Knowledge based heuristic to minimize scrap when making plates
14. Developing accurate cost estimate
Collection of empirical data regarding performance and cost
Regression analysis of time as function of no. of charts and demand
Non linear relationship observed, used as input for Optimization model
Capacity planning system providing labour and equipment requirement
Helped in making staffing and outsourcing decisions early, forecast of workload
15. Scheduler
LP model to minimize cost (labour, overtime etc.) of making weekly revision
Determine optimal way to produce coverages (POD, outsource, manual etc.)
250,000 variables, 40,000 - 1,00,000 constraints
Parts solved individually and combined to get solution
Established 100% on time revision record
16. Interactive plating tool
Input from scheduler, used for assigning charts to printing plates
One chart can use multiple slots on one plate or slots on multiple plates
Creation of algorithm based on rules by Jeppesen
Nonlinear mixed integer problem
17. New Order model
Improved on time rate of new orders
Considers outstanding orders, 2 weeks planing, completion time, production capacity, shipping
requirements, and lateness
Minimizes cost and penalty
LP model with 14000 variables and 2000 constraints
Provides daily schedule & lists time of day and order must arrive to go out that day
18. Inventory tool
Used to compute bin stock quantity of charts which are printed in anticipation of new orders
Uncertainties about distribution of demand and the probabilities of revisions affect decisions
about bin-stock quantity
Order few - Large fixed cost for new orders
Order more - Scraping due to early revision