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Scouring around foundations is the most common cause of bridge failures. Scour risk assessment tools allow engineers to better quantify risks associated with existing bridge infrastructure. However, the majority of these tools, including HYRISK, do not incorporate soil property information. This paper develops an approach that associates the critical shear stress of a soil to its Unified Soil Classification System (USCS) soil group classification. This approach is applied to approximately 40 bridges in Georgia using HYRISK and shows how incorporating soil property information changes the expected financial losses associated with a bridge failure. This is important because it enables engineers to use soil property information that is commonly found on boring logs to direct limited maintenance funds to those bridges that are most at risk to scour failure. [ABSTRACT FROM AUTHOR]

When firms evaluate their service system design choices, there is typically more uncertainty surrounding the value that a particular auxiliary service provides than there is on the cost of providing that service. To help inform this decision, we propose an approach where we compare the relative value of the segment of passengers who use an auxiliary service to the relative value of the segment that does not use it. We demonstrate this approach for a typical auxiliary service common to the airline industry. In 2008, most US airlines implemented checked baggage fee policies to decrease their costs by reducing the number of customer service agents needed in the check-in and baggage handling processes. The success of this change has led to a current debate at many of these airlines on whether to make further staffing cuts in these areas, essentially making it even less attractive for passengers to check their baggage. Our proposed methodology helps answer whether passengers who continue to check bags in today's baggage-fee era are more or less valuable than passengers who do not check bags. We explore this question empirically by examining, through a stated preference survey, if a history of checking or not checking bags can be used to segment passengers based on how their itinerary choices are influenced by common airline service attributes (on-time performance, itinerary time, number of connections, airfare, and schedule delay). Contrary to the opinions of some top airline executives, we find that the passengers who continue to check bags at airlines that charge baggage fees are generally less sensitive to differences in three of these important service attributes and are less likely to switch airlines when a competing airline improves its offerings along these dimensions. Thus, airlines that charge for checked bags should consider improving the customer experience for their bag-checking passengers, as they represent a potentially more valuable segment class to the airline. [ABSTRACT FROM AUTHOR]

The flipped classroom is becoming increasingly popular at universities because of its perceived benefits in promoting active learning and decreasing educational costs. Studies have found positive benefits associated with flipped classrooms; however, many have failed to control for confounding factors. Examples of confounding factors include comparing courses taught by different instructors or across courses taught in different semesters using different quizzes. The objective of this paper is to compare the traditional and flipped classrooms in an undergraduate civil engineering course while controlling for potential confounding factors. The quasi-experimental study incorporates students' online behaviors, in-class performance, office hour attendance, and responses to both attitudinal and behavioral questions to assess student opinions and learning outcomes. It was found that student performance on quizzes was not significantly different across the traditional and flipped classrooms. A key shortcoming noted with the flipped classroom was students' inability to ask questions during lectures. Students in flipped classrooms were more likely to attend office hours compared to traditional classroom students, but the difference was not statistically significant. Future research should explore whether students' inability to ask questions when the material is presented in flipped classrooms affects learning outcomes. [ABSTRACT FROM AUTHOR]

We develop a parameter estimation routine for multinomial logit discrete choice models in which one alternative is completely censored, i.e., when one alternative is never observed to have been chosen in the estimation data set. Our method is based on decomposing the log-likelihood function into marginal and conditional components. Our method is computationally efficient, provides consistent parameter estimates, and can easily incorporate price and other product attributes. Simulations based on industry hotel data demonstrate the superior computational performance of our method over alternative estimation methods that are capable of estimating price effects. Because most existing revenue management choice-based optimization algorithms do not include price as a decision variable, our estimation procedure provides the inputs needed for more advanced product portfolio availability and price optimization models. [ABSTRACT FROM AUTHOR]

In this paper we describe a database of online airline prices collected from a major online travel agent and a low-cost carrier. The database provides detailed pricing data for all nonstop flights offered in a market. Data are provided for 42 domestic U.S. markets across a 28-day booking horizon for 21 departure dates. Each of the 42 markets is served by one or more low-cost carriers. These data can be used to investigate the evolution of prices and price dispersion for monopoly, duopoly, and oligopoly markets. The data can be used to create simulated data sets for benchmarking the performance of revenue management algorithms that consider competitors' prices. Analysis of the data may enable researchers to observe general patterns that would be useful to motivate research and/or teaching in revenue management. [ABSTRACT FROM AUTHOR]

More than 20% of the bridges in the United States were built more than 50 years ago, at a time in which intense precipitation events were much less common. However, very little work has been done on the use of scour risk-assessment models to assess how climate change increases bridge failure probabilities. This paper develops a risk-assessment framework based on HYRISK, a model developed to assess the probability of a bridge failure due to scour, and illustrates one way in which current engineering risk-assessment models can be used to quantify the additional risks and expected economic losses associated with a changing climate. Application of this framework to all bridges in the United States that carry vehicular traffic over water finds that economic losses due to climate change factors will increase by at least 15% over current losses and that the expected number of annual bridge failures in the United States will increase by at least 10% over current failures. Climate-based risk measures, such as those developed as part of this study, could be included in asset management systems to help state DOTs prioritize maintenance, operation, and replacement schedules. [ABSTRACT FROM AUTHOR]

Choice-based revenue management algorithms directly integrate a discrete choice model of customer behavior into the optimization function. In the classic formulation by Talluri and van Ryzin (TvR), the choice set is defined to include a no-purchase alternative, and the utility of this alternative is set to zero 'without loss of generality'. We show that only a limited number of discrete choice models can be used with the TvR formulation, and that misuse of the TvR formulation can result in significant estimation and forecast errors. Based on the Matching Shares Property of multinomial logit (MNL) models, we show that estimated choice model parameters will match probabilities in the estimation data set for MNL models that include alternative-specific constants (ASCs). MNL models that exclude ASCs may be able to match probabilities, but in this case the analyst cannot blindly set the no-purchase utility to zero. This property holds regardless of which method is used to estimate choice model parameters. [ABSTRACT FROM AUTHOR]

On 6-7 October 2011, the seventh annual Revenue Management and Price Optimization Conference was held at the Georgia Institute of Technology. This article summarizes key discussions that emerged from the conference and highlights the experiences of three companies portrayed in keynote addresses given by Scott Deaver, executive vice president of Strategy for Avis Budget Group; Greg Cross, senior vice president of Revenue Management for Hyatt Hotels Corporation; and Michael Diamond, senior vice president of Marketing for Time Warner Cable Inc. The article also describes a unique revenue management collaboration between an office product distributor and its independent dealers that was presented by Wilbur Reid, director of Strategic Pricing at SP Richards Company. [ABSTRACT FROM AUTHOR]

This study uses booking data from 28 US hotels to investigate the validity of two key assumptions in hotel revenue management: (1) customers who book later are willing to pay higher rates than customers who book earlier; and (2) demand is stronger during the week than on the weekend. Empirical results based on an analysis of booking curves, average paid rates and occupancy rates for group, restricted retail, unrestricted retail and negotiated demand segments challenge the validity of these assumptions. Based on these findings, new recommendations for segmenting transient demand and setting weekday versus weekend pricing are provided. [ABSTRACT FROM AUTHOR]

On 6–7 October 2009, the fifth annual Revenue Management and Price Optimization conference was held at the Georgia Institute of Technology. The conference explored ways that firms are using to survive the current economic downturn and to position themselves to quickly recover as the economy rebounds. Several strategies for building a strong business case to secure funding for projects emerged from the discussions. In addition, the critical role of communication across divisions was emphasized. Strong communication helps create support for new projects, enables different divisions to focus on a common set of objectives and understand how their decisions affect key performance metrics, and facilitates the transfer of ideas and best practices. This article summarizes key discussions that emerged from the conference and highlights the experiences of three companies portrayed in keynote addresses given by Robert Cross, Chairman and CEO of Revenue Analytics; John Peyton, Senior Vice President of North American Operations at Starwood Hotels and Resorts; and Doug Bippert, Vice President of Business Acceleration at the Coca-Cola Company. [ABSTRACT FROM AUTHOR]

In this paper, we describe data collected from five U.S. properties of a major hotel chain that can be used to benchmark the performance of choice-based revenue management (RM) algorithms. The process used to collect this data illustrates subtle complexities involved in extracting product availability information from current RM systems and sheds new light on practical issues that need to be addressed to successfully implement choice-based RM systems. The data described in this paper is publicly available at the journal's website at http://msom.pubs.informs.org. [ABSTRACT FROM AUTHOR]

This paper summarizes the author's opinions as to how the Internet will influence the next decade of business and research directions in the airline industry. Potential impacts on the Internet on revenue management, pricing, itinerary choice, and new product development are reviewed.Journal of Revenue and Pricing Management (2009) 8, 247–254. doi:10.1057/rpm.2008.55; published online 16 January 2009 [ABSTRACT FROM AUTHOR]

On 11–12 November 2008, the Fourth Annual Revenue Management and Price Optimisation Conference was held at the Georgia Institute of Technology. The conference explored different business strategies that a wide cross-section of companies are using to manage the current economic downturn. Several common messages emerged from the discussions including: the increased importance of revenue management forecasts and monitoring activity; the increased need for open dialog among revenue managers with their sales and marketing colleagues and the critical role of targeted discounts to help avoid prices from spiralling downward. This paper summarises key discussions that emerged from the conference and highlights the experiences of three companies portrayed in keynote addresses given by Mark Shafer, Senior Vice President of Revenue and Profit Management at Disney; Dave Roberts, Senior Vice President of Global Revenue Management at Marriott and Brad Thompson, Chief Pricing Leader at GE Corporate.Journal of Revenue and Pricing Management (2009) 8, 279–286. doi:10.1057/rpm.2008.61; published online 16 January 2009 [ABSTRACT FROM AUTHOR]

This study is one of the first to examine factors that influence the decision to fly and itinerary choice for customers using online distribution channels. Stated preference data from individuals using an online search engine are used to estimate multinomial and nested logit models for US markets. These models incorporate a new formulation for capturing willingness to pay to travel by air and willingness to pay for air service improvements. New insights into the influence of deviations in individuals' preferred departure and arrival time on itinerary choice are also reported.Journal of Revenue and Pricing Management (2007) 5, 271–290. doi:10.1057/palgrave.rpm.5160052 [ABSTRACT FROM AUTHOR]

On May 18, 2006, the second annual Revenue Management and Price Optimization conference was held at the Georgia Institute of Technology. The theme of the conference was on how the Internet is changing traditional revenue management and pricing practices. The conference brought together experts and thought leaders from more than 30 companies spanning airlines, hotels, car rentals, cruise lines, apartment rentals, aircraft manufacturing, retailing, distribution, e-mail marketing, on-line travel, logistics, sports, performing arts, software providers, and others. This paper summarises the key discussions from this conference and synthesises experts' perspectives on near-term opportunities and challenges facing their industries.Journal of Revenue and Pricing Management (2006) 5, 237–247. doi:10.1057/palgrave.rpm.5160042 [ABSTRACT FROM AUTHOR]

This study models airline passengers' no-show and standby behaviour using passenger and out-bound and inbound itinerary information. It describes factors that influence no-show and standby behaviour in continental US markets using multinomial and nested logit models. The model accounts for early standby opportunities on other itineraries flown by the carrier of interest, ie it incorporates information about booking levels on the carrier's itineraries departing on the same day. Empirical and validation analyses highlight the importance of distinguishing between outbound and inbound itineraries. It concludes by describing a framework carriers can use to implement the no-show model. [ABSTRACT FROM AUTHOR]

This paper studies the opaque selling strategy for a parallel-flight airline based on a newsvendor model with stochastic demand. The optimal pricing decision and capacity allocation policy are obtained and analyzed subject to necessary assumptions. There is a relationship between the optimal allocated capacities of these flights, and the airline can adjust its capacity allocation decisions according to this relationship. In addition, the airline is suggested to allocate more capacity for opaque seats if the demand variance is high or the difference in consumer's preferences between flights is small; meanwhile, a lower price for opaque seats will be provided when the variance is high or the difference is large. Numerical experiments are presented to show the effectiveness of the opaque selling strategy, and the results indicate that this strategy brings a 1.09% revenue increment on average compared to the conventional strategy. [ABSTRACT FROM AUTHOR]