Amir H. Ansaripoor
Flexible lease contracts in the fleet replacement problem with alternative fuel vehicles: a real-options approach.
Ansaripoor, Amir H.; Oliveira, Fernando S.
Authors
Fernando S. Oliveira
Abstract
We study the use of flexible lease contacts in the fleet portfolio management problem of a firm that aims to minimize its cost and risk (Recursive Expected Conditional Value at Risk), simultaneously, in a stochastic multi-period setting by deciding which technologies to use in its fleet. We propose a model using real options (return and swap) to model contract flexibility and to account for different uncertainties (CO2 prices, fuel prices, mileage covered by a vehicle, fuel consumption, and technological). We analyse how fuel price uncertainty and technological progress influence the value of the options. We validate the results using a real-world case study conducted in the UK.
Citation
ANSARIPOOR, A.H. and OLIVEIRA, F.S. 2018. Flexible lease contracts in the fleet replacement problem with alternative fuel vehicles: a real-options approach. European journal of operational research [online], 266(1), pages 316-327. Available from: https://doi.org/10.1016/j.ejor.2017.09.010
Journal Article Type | Article |
---|---|
Acceptance Date | Sep 8, 2017 |
Online Publication Date | Sep 25, 2017 |
Publication Date | Apr 1, 2018 |
Deposit Date | Oct 21, 2023 |
Publicly Available Date | Nov 15, 2023 |
Journal | European journal of operational research |
Print ISSN | 0377-2217 |
Electronic ISSN | 1872-6860 |
Publisher | Elsevier |
Peer Reviewed | Peer Reviewed |
Volume | 266 |
Issue | 1 |
Pages | 316-327 |
DOI | https://doi.org/10.1016/j.ejor.2017.09.010 |
Keywords | Information Systems and Management; Management Science and Operations Research; Modeling and Simulation; General Computer Science; Industrial and Manufacturing Engineering |
Public URL | https://rgu-repository.worktribe.com/output/2079481 |
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Publisher Licence URL
https://creativecommons.org/licenses/by-nc-nd/4.0/
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