Improving Financial Result of Charter Bus Service With Data Based Shift Planning

Abstract

This thesis was carried out for Kovanen, one of the largest and most versatile people logistics companies in Finland. The thesis focused on shift planning and supply and demand equilibrium of Kovanen’s minibus services.

As Kovanen is not utilizing detailed data in shift and capacity planning in their minibus charter service, Kovanen’s minibuses may be moving in slow demand times and not moving on busy times. The objective of this thesis was to propose a new shift planning frame which matches demand with supply better than in the current situation.

In terms of research method, this thesis used a quantitative approach to research. A largescale analysis was carried out to identify how shift planning was currently being done, what kind of demand Kovanen minibuses have and does the supply meet demand. After identifying key problem areas, existing literature as researched for finding tools and knowledge for solving the identified problems.

A new shift planning frame was built after the demand was modelled and equations for calculating required fleet at any given time were built. The required changes to the current shift planning frame and operating model were identified, and required changes proposed. A pilot test for the new shift planning frame was carried out, and the results of the pilot were analysed in terms of success, both operationally and financially. Suggestions for next steps were given to Kovanen for immediate and long-term improvement