Abstract: Sharing capacity with partners is considered as one of the most effective measures to improve the operational flexibility and performance of the operation system in a violate environment. However, whether capacity-sharing could really lower the operational cost when some large-scaled service operation system, such as power-grid or telecommunication system's critical capacity is crippled by some unexpected events? To probe the question, we re-investigate the practice of China Telecom Corporation when its submarine cables are partially damaged by earthquake. After the abstraction, we focus on the scenario that capacity-sharing partners provide two kinds of capacity supports: regular and expedite capacity supports, a multiple period decision model is presented correspondingly. After the numerical analysis, we find an interesting phenomenon that shortening the time of re-putting recovered capacity into use, capacity-sharing contributes rather little to cut down the disruption cost. Beside four important managerial insights are obtained.

Key words: service operation system capacity-sharing, regular and expedite support, multi-period