Lufthansa Systems Launches Solution to Optimize (Multi-)Hub Networks

Lufthansa Systems Launches Solution to Optimize (Multi-)Hub Networks

Lufthansa Systems has launched NetLine/HubDesigner, an optimizer that generates profitable (multi-)hub networks, optimizes fleet utilization and creates the ideal bank structure at a single hub or in a multi-hub environment. Based on advanced artificial intelligence (AI) technologies, the solution harmonizes supply and demand while considering operational restrictions. This results in a schedule that is operationally feasible, suited to meet demand, and generates maximum network profitability. The company says the new solution paves the way for more efficient, data-driven decisions in the recovery phase and beyond.

The solution was developed in response to the current market situation, where demand and the competitive landscape are subject to dynamic and sweeping change in the short term. Even airlines operating based on hub-and-spoke business models now have to adjust or completely redesign their networks more frequently, more radically, and closer to the day of departure. “Optimizers are needed to create and maintain a profitable bank structure for a (multi-)hub environment, which takes into account demand, competition and operational restrictions and enables airlines to tap market opportunities,” said Judith Semar, product owner schedule optimization at Lufthansa Systems. “When market conditions change drastically, networks need to be redesigned from scratch. The NetLine/HubDesigner generates the most profitable O&D network, known as the point of origin and destination approach, without having to resort to existing schedules.”

Besides the clean-sheet network optimization approach, the NetLine/HubDesigner delivers integrated rather than isolated optimization results as it combines three optimizers in one solution. First, hub optimization maximizes passenger services in terms of times, connections, and frequencies. Fleet assignment ensures profitable use of a fleet. The optimizer efficiently assigns aircraft to routes while taking revenue and cost structures into account. Rotation optimization generates reliable aircraft rotations. The rotation optimizer creates a rotation schedule that accounts for operational and commercial demands by considering aspects such as airport slots, maintenance requirements and airport restrictions.

Lufthansa Systems offers the underlying demand forecasts as a service, or they can be provided by customers themselves. This enables airlines to consistently plan and control their business process within their network planning and scheduling process.

The NetLine/HubDesigner is a cloud solution running on Lufthansa Systems’ cloud delivery platform, the Global Aviation Cloud. “Our customers thus benefit from an excellent end-to-end service for simple, cost-effective and scalable use,” said Dana Wilk, product manager global aviation Cloud at Lufthansa Systems. “The security measures are certified in accordance with multiple industry standards and are regularly reviewed in audits.” Lufthansa Systems is the customer’s single point of contact for the entire technology and service stack.