1. T. J. Holloran and J. E. Bryn, “United Airlines Station Manpower Planning System,” Interfaces, 16(1): 39–50, Jan.–Feb. 1986.
Despite unprecedented industry competition in 1983 and 1984, UNITED AIRLINES managed to achieve substantial growth with service to 48 new airports. In 1984, it became the only airline with service to cities in all 50 states. Its 1984 operating profit reached $564 million, with revenues of $6.2 billion, an increase of 6 percent over 1983, while costs grew by less than 2 percent.
Cost control is essential to competing successfully in the airline industry. In 1982, upper management of United Airlines initiated an OR study of its personnel scheduling as part of the cost control measures associated with the airline’s 1983–1984 expansion.
The goal was to schedule personnel at the airline’s reservations offices and airports so as to minimize the cost of providing the necessary service to customers.
At the time, United Airlines employed over 4,000 reservations sales representatives and support personnel at its 11 reservations offices and about 1,000 customer service agents at its 10 largest airports. Some were part-time, working shifts from 2 to 8 hours; most were full-time, working 8- or 10-hour-shifts. Shifts start at several different times. Each reservations office was open (by telephone) 24 hours a day, as was each of the major airports. However, the number of employees needed at each location to provide the re- quired level of service varied greatly during the 24-hour day, and might fluctuate considerably from one half-hour to the next.
Trying to design the work schedules for all the employees at a given location to meet these service requirements most efficiently is a nightmare of combinatorial considerations. Once an employee begins working, he or she will be there continuously for the entire shift (2 to 10 hours, depending on the employee), except for either a meal break or short