Stable Matching for Dynamic Ride-Sharing Systems

34 Pages Posted: 27 May 2015

See all articles by Xing Wang

Xing Wang

Georgia Institute of Technology - The H. Milton Stewart School of Industrial & Systems Engineering (ISyE)

Niels Agatz

Erasmus University Rotterdam (EUR) - Rotterdam School of Management (RSM)

Alan Erera

Georgia Institute of Technology - The H. Milton Stewart School of Industrial & Systems Engineering (ISyE)

Date Written: June 23, 2014

Abstract

Dynamic ride-sharing systems enable people to share rides and increase the efficiency of urban transportation by connecting riders and drivers on short notice. Automated systems that establish ride-share matches with minimal input from participants provide the most convenience and the most potential for system-wide performance improvement, such as reduction in total vehicle-miles traveled. Indeed, such systems may be designed to match riders and drivers to maximize system performance improvement. However, system-optimal matches may not provide the maximum benefit to each individual participant. In this paper we consider a notion of stability for ride-share matches and present several mathematical programming methods to establish stable or nearly-stable matches, where we note that ride-share matching optimization is performed over time with incomplete information. Our numerical experiments using travel demand data for the metropolitan Atlanta region show that we can significantly increase the stability of ride-share matching solutions at the cost of only a small degradation in system-wide performance.

Keywords: ride-sharing, carpooling, sustainable transport, stable matching

Suggested Citation

Wang, Xing and Agatz, Niels A.H. and Erera, Alan, Stable Matching for Dynamic Ride-Sharing Systems (June 23, 2014). ERIM Report Series Reference No. ERS-2015-006-LIS, Available at SSRN: https://ssrn.com/abstract=2611353 or http://dx.doi.org/10.2139/ssrn.2611353

Xing Wang

Georgia Institute of Technology - The H. Milton Stewart School of Industrial & Systems Engineering (ISyE) ( email )

765 Ferst Drive
Atlanta, GA 30332-0205
United States

Niels A.H. Agatz (Contact Author)

Erasmus University Rotterdam (EUR) - Rotterdam School of Management (RSM) ( email )

P.O. Box 1738
Room T08-21
3000 DR Rotterdam, 3000 DR
Netherlands

Alan Erera

Georgia Institute of Technology - The H. Milton Stewart School of Industrial & Systems Engineering (ISyE) ( email )

765 Ferst Drive
Atlanta, GA 30332-0205
United States

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