Route-based performance evaluation for airlines – A metafrontier data envelopment analysis approach

Barbara T.H. Yen and Jun-Sheng Li

Transportation Research Part E: Logistics and Transportation Review, 2022, vol. 162, issue C

Abstract: The international aviation industry is essential for both passengers and commodities. Previous literature tends to evaluate aviation performance from the perspective of airlines or airports. However, each route faces a different operating environment and thus has a different profit portfolio. Therefore, a route-based performance evaluation can better reflect the range of operating characteristics by considering the differing characteristics of routes. This study conducted an empirical analysis of 112 international routes from two Taiwanese airlines. To first identify the key variables that have a significant impact on airline performance, a systematic literature review was conducted using a meta-analysis approach. This study then used those key variables to measure route-based performance with data envelopment analysis (DEA) modeling. Finally, k-medoids cluster analysis was used to explore successful factors for air route performance as complementary research to the DEA modeling. Model results show three groups of routes can be clearly identified by considering route efficiency. Each group has very distinct route characteristics (e.g., Asian routes vs US routes) and some route planning recommendations can be developed. The results of this study can help operators and policy makers improve operating performance and identify key factors for route development and planning.

Keywords: Data envelopment analysis; Metafrontier DEA model; Meta-analysis; Route; Performance evaluation; Cluster analysis; Airline; K-medoids cluster; Systematically literature review (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1366554522001399
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:transe:v:162:y:2022:i:c:s1366554522001399

Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/journaldescription.cws_home/600244/bibliographic
http://www.elsevier. ... 600244/bibliographic

DOI: 10.1016/j.tre.2022.102748

Access Statistics for this article

Transportation Research Part E: Logistics and Transportation Review is currently edited by W. Talley

More articles in Transportation Research Part E: Logistics and Transportation Review from Elsevier
Bibliographic data for series maintained by Catherine Liu ().