Systems Analysis and Negotiation of Strategic Partnerships in the Supply of Biofuels to Commercial Aviation

Industrial supplies of energy and fuels need coordinated efforts of stakeholders to address complex challenges related to resources, finances, infrastructure, regulations, innovations, behaviors, etc. Advanced aviation biofuels, in particular, involve negotiations and tradeoffs among subsystem owners and operators, regulators, government agencies, and transportation providers. This paper utilizes a case study on biofuel distribution to Dulles International Airport to address three primary components of a systems engineering-based supply chain analysis: (i) stakeholder mapping, (ii) scenario evaluations, and (iii) resilience analysis. This paper builds upon the power-interest matrix to develop an Engagement, Financing, and Time Horizon Analysis (EFHA) matrix to support systems engineering and stakeholder negotiations for energy and fuel supply chains. EFHA identifies several key problem dimensions: coordination among diverse stakeholders, resource allocation and policy considerations, and time horizons for action. In evaluating various supply chain scenarios, the Freight and Fuel Transportation Optimization Tool (FTOT) from the U.S. Department of Transportation was utilized to assess network infrastructure, sensitivity constraints regarding feedstock and pricing assumptions, and capacity impacts of different transportation options, all in the scope of biofuel distribution. In evaluating enterprise resilience, the paper employs comprehensive systems criteria, system components, and emergent conditions to understand disruptions and scenarios that most matter to a biofuel supply chain at airports.