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Tackling Fragmented Last Mile Deliveries to Nanostores by Utilizing Spare Transportation Capacity—A Simulation Study

Author

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  • Bram Kin

    (MOBI—Mobility, Logistics and Automotive Technology Research Centre, Vrije Universiteit Brussels, Pleinlaan 2, 1050 Brussels, Belgium)

  • Tomas Ambra

    (MOBI—Mobility, Logistics and Automotive Technology Research Centre, Vrije Universiteit Brussels, Pleinlaan 2, 1050 Brussels, Belgium
    Logistics Research Group, UHasselt, Agoralaan, 3590 Diepenbeek, Belgium
    Research Foundation Flanders (FWO), Egmontstraat 5, 1000 Brussels, Belgium)

  • Sara Verlinde

    (MOBI—Mobility, Logistics and Automotive Technology Research Centre, Vrije Universiteit Brussels, Pleinlaan 2, 1050 Brussels, Belgium)

  • Cathy Macharis

    (MOBI—Mobility, Logistics and Automotive Technology Research Centre, Vrije Universiteit Brussels, Pleinlaan 2, 1050 Brussels, Belgium)

Abstract

Last mile deliveries in urban areas cause a disproportionate unsustainable impact, while it is also the most expensive part of the supply chain. This is particularly true for freight flows that are characterized by fragmentation. Logistically, this becomes apparent in vehicles that are driving around with a low vehicle fill rate, leading to the unnecessary presence of freight vehicles in our cities. This study focuses on the operational feasibility of utilizing the spare transportation capacity of a service-driven company as a potential solution to supply small independent retailers, or nanostores. The aim is to reduce inefficient vehicle movement. Based on a real-life implementation, we use SYnchronization Model for Belgian Inland Transport (SYMBIT), an agent-based model, to simulate various bundling scenarios. Results show the total vehicle kilometers and lead times to supply nanostores for the service-driven company to serve its customers. There is a potential to utilize spare capacity to supply nanostores while maintaining a decent service level. The number of vehicle kilometers driven highly depends on the location of the distribution center where the service-driven company operates. Based on these results, the conditions that have to be met to replicate this solution in other urban areas are discussed.

Suggested Citation

  • Bram Kin & Tomas Ambra & Sara Verlinde & Cathy Macharis, 2018. "Tackling Fragmented Last Mile Deliveries to Nanostores by Utilizing Spare Transportation Capacity—A Simulation Study," Sustainability, MDPI, vol. 10(3), pages 1-15, February.
    • Handle: RePEc:gam:jsusta:v:10:y:2018:i:3:p:653-:d:134063
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    Cited by:

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    2. Khalid Aljohani & Russell G. Thompson, 2020. "An Examination of Last Mile Delivery Practices of Freight Carriers Servicing Business Receivers in Inner-City Areas," Sustainability, MDPI, vol. 12(7), pages 1-21, April.
    3. Valerio Gatta & Edoardo Marcucci & Marialisa Nigro & Sergio Maria Patella & Simone Serafini, 2018. "Public Transport-Based Crowdshipping for Sustainable City Logistics: Assessing Economic and Environmental Impacts," Sustainability, MDPI, vol. 11(1), pages 1-14, December.
    4. Tomislav Letnik & Matej Mencinger & Iztok Peruš, 2020. "Flexible Assignment of Loading Bays for Efficient Vehicle Routing in Urban Last Mile Delivery," Sustainability, MDPI, vol. 12(18), pages 1-19, September.
    5. Vasco Silva & António Amaral & Tânia Fontes, 2023. "Sustainable Urban Last-Mile Logistics: A Systematic Literature Review," Sustainability, MDPI, vol. 15(3), pages 1-27, January.
    6. John Olsson & Daniel Hellström & Henrik Pålsson, 2019. "Framework of Last Mile Logistics Research: A Systematic Review of the Literature," Sustainability, MDPI, vol. 11(24), pages 1-25, December.
    7. Vidal Vieira, José Geraldo & Ramirez Navarro, Hector Angel & Fransoo, Jan C., 2021. "Understanding urban logistics and consumer behavior in São Paulo city," Other publications TiSEM 26630a72-a59e-4502-ab56-c, Tilburg University, School of Economics and Management.
    8. De Boeck, Kim & Decouttere, Catherine & Jónasson, Jónas Oddur & Vandaele, Nico, 2022. "Vaccine supply chains in resource-limited settings: Mitigating the impact of rainy season disruptions," European Journal of Operational Research, Elsevier, vol. 301(1), pages 300-317.
    9. Jessica Wehner, 2018. "Energy Efficiency in Logistics: An Interactive Approach to Capacity Utilisation," Sustainability, MDPI, vol. 10(6), pages 1-19, May.
    10. Justiani Sally & Wibowo Budhi S., 2022. "The Economic and Environmental Benefits of Collaborative Pick-Up in Urban Delivery Systems," LOGI – Scientific Journal on Transport and Logistics, Sciendo, vol. 13(1), pages 245-256, January.
    11. Andrii Galkin & Maria Olkhova & Stanisław Iwan & Kinga Kijewska & Serhii Ostashevskyi & Oleksii Lobashov, 2021. "Planning the Rational Freight Vehicle Fleet Utilization Considering the Season Temperature Factor," Sustainability, MDPI, vol. 13(7), pages 1-19, March.
    12. Lukas Hardi & Ulrich Wagner, 2019. "Grocery Delivery or Customer Pickup—Influences on Energy Consumption and CO 2 Emissions in Munich," Sustainability, MDPI, vol. 11(3), pages 1-20, January.
    13. Wang, Hui & Han, Jiaying & Su, Min & Wan, Shulin & Zhang, Zhenchao, 2021. "The relationship between freight transport and economic development: A case study of China," Research in Transportation Economics, Elsevier, vol. 85(C).
    14. Magdalena Mucowska, 2021. "Trends of Environmentally Sustainable Solutions of Urban Last-Mile Deliveries on the E-Commerce Market—A Literature Review," Sustainability, MDPI, vol. 13(11), pages 1-26, May.
    15. Budhi S. Wibowo & Jan C. Fransoo, 2023. "Performance analysis of a drop-swap terminal to mitigate truck congestion at chemical sites," Flexible Services and Manufacturing Journal, Springer, vol. 35(2), pages 416-454, June.

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