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Sustainability assessment of last-mile logistics and distribution strategies: The case of local food networks

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  • Melkonyan, Ani
  • Gruchmann, Tim
  • Lohmar, Fabian
  • Kamath, Vasanth
  • Spinler, Stefan

Abstract

Current trends related to increased sustainability requirements, the application of new digital technologies, and changes in consumer behavior have disrupted conventional food supply chains, entailing challenges for the last mile logistics and distribution of food products. The main aim of this study is to develop a toolset for exploring the sustainability potential of last mile logistics and distribution strategies, employing (1) a centralized distribution network with a click & collect option, (2) a decentralized distribution network with a home-delivery option, and (3) a distributed network based on a crowd logistics concept. For this, a system dynamics (SD) simulation and a multi-criteria decision aid (MCDA) were applied to assess the sustainability performance of these distribution channel options for a case study of a local food cooperative and a logistics service provider in Austria. The sustainability potential of developing a new logistics system in collaboration with these players has been estimated for the first time, while considering the dynamic interplay of all relevant sustainability elements within operational, tactical, and strategic planning. The results show that an integration of the two players into a distributed network strategy based on a crowd logistics concept is the most viable and sustainable option. This highlights the significant role of the logistics sector in proactively innovating services to make sustainable choices easier for the customer.

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  • Melkonyan, Ani & Gruchmann, Tim & Lohmar, Fabian & Kamath, Vasanth & Spinler, Stefan, 2020. "Sustainability assessment of last-mile logistics and distribution strategies: The case of local food networks," International Journal of Production Economics, Elsevier, vol. 228(C).
    • Handle: RePEc:eee:proeco:v:228:y:2020:i:c:s0925527320301328
    DOI: 10.1016/j.ijpe.2020.107746
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    4. Mitxel Cotarelo & Teresa Fayos & Haydeé Calderón & Alejandro Mollá, 2021. "Omni-Channel Intensity and Shopping Value as Key Drivers of Customer Satisfaction and Loyalty," Sustainability, MDPI, vol. 13(11), pages 1-17, May.
    5. Alves, Roberta & Pereira, Cecília Aparecida & Lima, Renato da Silva, 2023. "Operational cost analysis for e-commerce deliveries using agent-based modeling and simulation," Research in Transportation Economics, Elsevier, vol. 101(C).
    6. Ghaderi, Hadi & Zhang, Lele & Tsai, Pei-Wei & Woo, Jihoon, 2022. "Crowdsourced last-mile delivery with parcel lockers," International Journal of Production Economics, Elsevier, vol. 251(C).
    7. Verônica Ghisolfi & Lóránt Antal Tavasszy & Gonçalo Homem de Almeida Correia & Gisele de Lorena Diniz Chaves & Glaydston Mattos Ribeiro, 2022. "Freight Transport Decarbonization: A Systematic Literature Review of System Dynamics Models," Sustainability, MDPI, vol. 14(6), pages 1-30, March.
    8. Vyt, Dany & Jara, Magali & Mevel, Olivier & Morvan, Thierry & Morvan, Nélida, 2022. "The impact of convenience in a click and collect retail setting: A consumer-based approach," International Journal of Production Economics, Elsevier, vol. 248(C).
    9. Xin Yao & Yuanyuan Cheng & Li Zhou & Malin Song, 2022. "Green efficiency performance analysis of the logistics industry in China: based on a kind of machine learning methods," Annals of Operations Research, Springer, vol. 308(1), pages 727-752, January.
    10. Moreno-Miranda, Carlos & Dries, Liesbeth, 2022. "Integrating coordination mechanisms in the sustainability assessment of agri-food chains: From a structured literature review to a comprehensive framework," Ecological Economics, Elsevier, vol. 192(C).
    11. Lin, Meiyan & Lin, Shaodan & Ma, Lijun & Zhang, Lianmin, 2022. "The value of the Physical Internet on the meals-on-wheels delivery system," International Journal of Production Economics, Elsevier, vol. 248(C).
    12. María Carmen Carnero, 2020. "Fuzzy TOPSIS Model for Assessment of Environmental Sustainability: A Case Study with Patient Judgements," Mathematics, MDPI, vol. 8(11), pages 1-43, November.
    13. Dominik Bertram & Tobias Chilla & Carola Wilhelm, 2021. "Short Value Chains in Food Production: The Role of Spatial Proximity for Economic and Land Use Dynamics," Land, MDPI, vol. 10(9), pages 1-21, September.
    14. Tássia Faria de Assis & Victor Hugo Souza de Abreu & Mariane Gonzalez da Costa & Marcio de Almeida D’Agosto, 2022. "Methodology for Prioritizing Best Practices Applied to the Sustainable Last Mile—The Case of a Brazilian Parcel Delivery Service Company," Sustainability, MDPI, vol. 14(7), pages 1-24, March.
    15. Yalcin Berberoglu & Yigit Kazancoglu & Muhittin Sagnak, 2023. "Circularity assessment of logistics activities for green business performance management," Business Strategy and the Environment, Wiley Blackwell, vol. 32(7), pages 4734-4749, November.

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