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Optimisation of the Two-Tier Distribution System in Omni-Channel Environment

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  • Piotr Sawicki

    (Division of Transport Systems, Poznan University of Technology, Piotrowo 3, 61-138 Poznan, Poland)

  • Hanna Sawicka

    (Division of Rail Transport, Poznan University of Technology, Piotrowo 3, 61-138 Poznan, Poland)

Abstract

This paper deals with the problem of the design and configuration of a distribution system that supports the delivery of goods to customers using various commercial channels. In this sense, a modelled distribution system, called an omni-channel distribution system, should ensure the delivery of the same products in different ways while guaranteeing its highest efficiency. The authors propose a single-criterion mixed-integer programming model for the configuration of a complex distribution system of goods in an omni-channel environment. A minimized cost function, composed of key logistics elements including transport, warehouse location, and manipulation processes, is the objective function. The model was experimentally verified, and as a result, potential savings of around 5–8% of the omni-channel design distribution system costs versus the multi-channel distribution system costs were identified. In the paper, an extended sensitivity analysis is also performed to show how specific parameters of the model can change the final recommendation.

Suggested Citation

  • Piotr Sawicki & Hanna Sawicka, 2021. "Optimisation of the Two-Tier Distribution System in Omni-Channel Environment," Energies, MDPI, vol. 14(22), pages 1-22, November.
    • Handle: RePEc:gam:jeners:v:14:y:2021:i:22:p:7700-:d:681284
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    References listed on IDEAS

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    1. Jiansha Lu & Lili Xu & Jinghao Jin & Yiping Shao, 2022. "A Mixed Algorithm for Integrated Scheduling Optimization in AS/RS and Hybrid Flowshop," Energies, MDPI, vol. 15(20), pages 1-17, October.

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