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Development of a Classification Model for Value-Added and Non-Value-Added Operations in Retail Logistics: Insights from a Supermarket Case Study

Author

Listed:
  • Helena Macedo

    (Algoritmi Centre, Department of Production and Systems, University of Minho, 4800-058 Guimarães, Portugal)

  • Larissa Tomaz

    (Algoritmi Centre, Department of Production and Systems, University of Minho, 4800-058 Guimarães, Portugal)

  • Levi Guimarães

    (Algoritmi Centre, Department of Production and Systems, University of Minho, 4800-058 Guimarães, Portugal)

  • Luís Cerqueira-Pinto

    (Algoritmi Centre, Department of Production and Systems, University of Minho, 4800-058 Guimarães, Portugal)

  • José Carlos Sá

    (LAETA/INEGI, ISEP, Polytechnic of Porto, rua Dr. António Bernardino de Almeida, 4249-015 Porto, Portugal)

  • José Dinis-Carvalho

    (Algoritmi Centre, Department of Production and Systems, University of Minho, 4800-058 Guimarães, Portugal)

Abstract

In the context of retail logistics, achieving operational efficiency and cost reductions requires distinguishing between value-added (VA) and non-value-added (NVA) activities. VA activities are those that bring products closer to their correct position on the shelf, with their price updated, guaranteeing their availability to customers. All other activities are considered as NVA activities. NVA activities include activities such as unnecessary handling, waiting, excessive movement, and stock mismanagement. This study is based on an on-site experience conducted in a Modelo supermarket, part of the Sonae group and one of Portugal’s largest retailers, which reinforces the practical significance of its findings. By analyzing various aspects of internal retail logistics, this research challenges traditional definitions of value and waste—typically applied in manufacturing—and proposes a new approach tailored to retail operations. Six specific types of NVA activities were identified in this context. Applying this classification model, a multi-moment analysis was conducted to quantify the labor utilization in VA tasks, offering insights into process inefficiencies. The proposed model provides a systematic framework for categorizing retail logistics operations, supporting decision-makers in streamlining workflows, improving productivity, and optimizing resource allocation. Beyond academic discourse, this model serves as a practical tool for retailers aiming to enhance their internal logistics efficiency.

Suggested Citation

  • Helena Macedo & Larissa Tomaz & Levi Guimarães & Luís Cerqueira-Pinto & José Carlos Sá & José Dinis-Carvalho, 2025. "Development of a Classification Model for Value-Added and Non-Value-Added Operations in Retail Logistics: Insights from a Supermarket Case Study," Sustainability, MDPI, vol. 17(7), pages 1-15, April.
    • Handle: RePEc:gam:jsusta:v:17:y:2025:i:7:p:3177-:d:1627340
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    References listed on IDEAS

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    1. Radojko LUKIC, 2012. "The Effects of Application of Lean Concept in Retail," Economia. Seria Management, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 15(1), pages 88-98, June.
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