scholarly journals Collaboration Model for Service Clustering in Last-Mile Delivery

2020 ◽  
Vol 12 (14) ◽  
pp. 5844 ◽  
Author(s):  
Seung Yoon Ko ◽  
Ratna Permata Sari ◽  
Muzaffar Makhmudov ◽  
Chang Seong Ko
Keyword(s):  
Market Share ◽  
Programming Model ◽  
Collaboration Model ◽  
Multi Objective Programming ◽  
Last Mile ◽  
Delivery Services ◽  
Service Clustering ◽  
Last Mile Delivery ◽  
Market Density ◽  
Express Delivery

As e-commerce is rapidly expanding, efficient and competitive product delivery system to the final customer is highly required. Recently, the emergence of a smart platform is leading the transformation of distribution, performance, and quality in express delivery services, especially in the last-mile delivery. The business to consumer (B2C) through smart platforms such as Amazon in America and Coupang in Korea utilizes the differentiated delivery rates to increase the market share. In contrast, the small and medium-sized express delivery companies with low market share are trying hard to expand their market share. In order to fulfill all customer needs, collaboration is needed. This study aims to construct a collaboration model to maximize the net profit by considering the market density of each company. A Baduk board game is used to derive the last-mile delivery time function of market density. All companies in collaboration have to specialize the delivery items into certain service clustering types, which consist of regular, big sized/weighted, and cold items. The multi-objective programming model is developed based on max-sum and max-min criteria. The Shapley value and nucleolus approaches are applied to find the profit allocation. Finally, the applicability of the proposed collaboration model is shown through a numerical example.

scholarly journals Pricing and Collaboration in Last Mile Delivery Services

2018 ◽  
Vol 10 (12) ◽  
pp. 4560 ◽  
Author(s):  
Seung Ko ◽  
Sung Cho ◽  
Chulung Lee
Keyword(s):  
Time Function ◽  
Integer Programming Problem ◽  
Delivery Time ◽  
Optimal Price ◽  
Service Market ◽  
Collaboration Model ◽  
Last Mile ◽  
Last Mile Delivery ◽  
Market Density ◽  
Express Delivery

Recently, last mile delivery has emerged as an essential process that greatly affects the opportunity of obtaining delivery service market share due to the rapid increase in the business-to-consumer (B2C) service market. Express delivery companies are investing to expand the capacity of hub terminals to handle increasing delivery volume. As for securing massive delivery quantity by investment, companies must examine the profitability between increasing delivery quantity and price. This study proposes two strategies for a company’s decision making regarding the adjustment of market density and price by developing a pricing and collaboration model based on the delivery time of the last mile process. A last mile delivery time function of market density is first derived from genetic algorithm (GA)-based simulation results of traveling salesman problem regarding the market density. The pricing model develops a procedure to determine the optimal price, maximizing the profit based on last mile delivery time function. In addition, a collaboration model, where a multi-objective integer programming problem is developed, is proposed to sustain long-term survival for small and medium-sized companies. In this paper, sensitivity analysis demonstrates the effect of delivery environment on the optimal price and profit. Also, a numerical example presents four different scenarios of the collaboration model to determine the applicability and efficiency of the model. These two proposed models present managerial insights for express delivery companies.

scholarly journals New Express Delivery Service and Its Impact on CO2 Emissions

2020 ◽  
Vol 12 (2) ◽  
pp. 456
Author(s):  
Dragan Lazarević ◽  
Libor Švadlenka ◽  
Valentina Radojičić ◽  
Momčilo Dobrodolac
Keyword(s):  
Co2 Emissions ◽  
Rapid Development ◽  
Environmental Issues ◽  
Modern Society ◽  
Well Being ◽  
Delivery Service ◽  
Last Mile ◽  
Courier Service ◽  
Last Mile Delivery ◽  
Express Delivery

A rapid development of Internet technologies creates new opportunities for e-commerce, which is one of the fastest-growing segments of the entire economy. For policymakers, the most important aspects of e-commerce are related to the cost reduction in transportation, facilitation of administration and communication, innovations at the market level, and environmental issues. An unavoidable part of the e-commerce production process is related to the postal service. New market expectations of modern society lead to the consideration of upgrading the traditional express delivery service in terms of time availability. In this paper, we propose a new 24-h availability of postal and courier service so-called “post express nonstop”. To assess the potential demand for this kind of service, we propose a forecasting procedure based on the Bass diffusion model. In particular, the research is directed toward the examination of environmental issues, considering both types of services—traditional and the proposed new one. A comparison is done by analyzing CO2 emissions in the last-mile delivery of goods to the users’ addresses. The experiment was carried out in the city of Belgrade, simulating the last-mile delivery under realistic conditions and controlling the fuel consumption and CO2 emissions. In accordance with the results of this experiment and the forecasted number of postal items, a projection of CO2 emissions for the new service from 2020 to 2025 was carried out. The results show a significant contribution of the proposed new express delivery service to environmental well-being and sustainability.

Decentralized optimization of last-mile delivery services with non-cooperative bounded rational customers

2014 ◽  
Vol 239 (2) ◽  
pp. 451-469 ◽  
Author(s):  
Yezekael Hayel ◽  
Dominique Quadri ◽  
Tania Jiménez ◽  
Luce Brotcorne
Keyword(s):  
Decentralized Optimization ◽  
Last Mile ◽  
Delivery Services ◽  
Last Mile Delivery

Matching Model for Multiple Delivery Methods in Last-Mile Delivery for Online Shopping

2021 ◽  
pp. 036119812110363
Author(s):  
Jianhui Du ◽  
Xu Wang
Keyword(s):  
Urban Areas ◽  
Online Shopping ◽  
Evaluation Criteria ◽  
Real Life ◽  
Matching Model ◽  
Delivery Methods ◽  
Analytic Hierarchy ◽  
Last Mile ◽  
Delivery Services ◽  
Last Mile Delivery

Against the background of e-commerce, online shopping has seen considerable growth in China, as in the rest of the world. The last mile of delivery services for online shopping is a logistics challenge that affects service performance. This study has two main aims: first, to construct an evaluation criteria system for last-mile delivery service; and second to propose a matching model, capable of ranking six delivery methods according to customer preferences in the different urban areas. The factors base is established from the literature and from questionnaires and interviews with experts. Moreover, by conducting a questionnaire with consumers and analyzing the data, this research identifies the top 15 factors. The matching model based on the fuzzy analytic hierarchy process is constructed to compute the weight of each factor. The collection of data on customer preference was performed in distinct urban areas. Finally, to illustrate the validity of the criteria factors and the matching model, it was applied to three districts in Chongqing in China. Finally, our theoretical results from the experiments in real-life instances show that the criteria system and the matching model could help express companies to identify appropriate delivery methods in specific areas.

scholarly journals A Roadmap to Nextgen Aircraft Control for Last Mile Delivery Drones

2021 ◽  
Author(s):  
Cesar Augusto Marcondes ◽  
Denis Loubach ◽  
Elton Sbruzzi ◽  
Filipe Verri ◽  
Johnny Marques ◽  
...  
Keyword(s):  
Decentralized Control ◽  
Cost Reduction ◽  
Smart Cities ◽  
System Of Systems ◽  
Aircraft Control ◽  
Speed Increase ◽  
Last Mile ◽  
Air Space ◽  
Delivery Services ◽  
Last Mile Delivery

<div>According to recent studies, unmanned aerial vehicles (UAV) can play a game-changing part in terms of cost reduction and speed increase to address the last-mile delivery (LMD) problem and also to attend emergencies. Last-mile delivery services are getting more and more relevant, especially when in times where social distance is required. Given this scenario, our paper introduces a cyber-physical (CPS) system roadmap propose applicable for last-mile delivery drones. The proposed CPS guidelines are based on the concept of system of systems to enable an emerging behavior towards smart cities’ governance. In this paper, we also discuss topics from air space control and reservation throughout communication infrastructure and decentralized control supported on a blockchain.</div><div><br></div>

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