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An effects analysis of logistics collaboration in last-mile networks for CEP delivery services

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  • Park, Hyeongjun
  • Park, Dongjoo
  • Jeong, In-Jae

Abstract

Rapid increases in courier, express, and parcel (CEP) delivery demand have made environment- and traffic-related issues important in metropolitan areas. This study analytically formulates CEP delivery behaviors in last-mile networks to estimate the effects of logistics collaboration for apartment complexes. Reflecting courier delivery behavior, the CEP delivery problem was divided into horizontal and vertical routing problems. Optimization methodologies commonly utilized in the operations research area were employed for the analytical modeling of these two routing behaviors. The proposed methodologies were applied to apartment complexes in Seoul, Korea. It was found that the financial feasibility of CEP collaboration is guaranteed when the number of households in an apartment complex exceeds about 900. From the financial perspective, CEP collaboration is applicable to 9.1–19.4% of the apartment households in Seoul. In addition, CEP collaboration was analyzed to provide a meaningful amount of social cost savings, implying its economic feasibility. The public sector's roles in stimulating CEP collaboration are discussed from financial and legislative perspectives.

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  • Park, Hyeongjun & Park, Dongjoo & Jeong, In-Jae, 2016. "An effects analysis of logistics collaboration in last-mile networks for CEP delivery services," Transport Policy, Elsevier, vol. 50(C), pages 115-125.
    • Handle: RePEc:eee:trapol:v:50:y:2016:i:c:p:115-125
    DOI: 10.1016/j.tranpol.2016.05.009
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    15. Ming-fei Chen & Yan-qiu Liu & Yang Song & Qi Sun, 2019. "A Contract Coordination Model of Dual-Channel Delivery between UAVs and Couriers Considering the Uncertainty of Delivery for Last Mile," Discrete Dynamics in Nature and Society, Hindawi, vol. 2019, pages 1-11, December.
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    17. Wang, Xin & Huang, George Q., 2021. "When and how to share first-mile parcel collection service," European Journal of Operational Research, Elsevier, vol. 288(1), pages 153-169.
    18. Tamakloe, Reuben & Zhang, Kaihan & Atandzi, Jonathan & Park, Dongjoo, 2024. "Examining urban delivery service user profiles and determinants of drone delivery adoption in Ghana considering usage before and after the COVID-19 pandemic," Transport Policy, Elsevier, vol. 146(C), pages 279-294.
    19. Pahwa, Anmol & Jaller, Miguel, 2022. "A cost-based comparative analysis of different last-mile strategies for e-commerce delivery," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 164(C).
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    21. Sergio Maria Patella & Gianluca Grazieschi & Valerio Gatta & Edoardo Marcucci & Stefano Carrese, 2020. "The Adoption of Green Vehicles in Last Mile Logistics: A Systematic Review," Sustainability, MDPI, vol. 13(1), pages 1-29, December.
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    23. Klumpp, M. & Ruiner, C., 2018. "Digitalization and Work Organization in New Urban Food Delivery Systems," 2018 International European Forum (163rd EAAE Seminar), February 5-9, 2018, Innsbruck-Igls, Austria 276876, International European Forum on System Dynamics and Innovation in Food Networks.
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