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Last-mile delivery efficiency: en route transloading in the parcel delivery industry

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  • Juan David Cortes
  • Yoshinori Suzuki

Abstract

In the last few years, many consumers have shifted their shopping locations from traditional brick-and-mortar stores to online shopping sites to take advantage of larger product selections and convenient delivery services. This has forced parcel delivery service providers, such as UPS and FedEx, to handle large amounts of shipments with complex delivery needs in a time-efficient manner. Given this challenge, parcel delivery companies are looking for faster, more cost-efficient ways to distribute parcels. Based on expert opinions, obtained through a series of interviews with practitioners, this study presents a decision tool to improve the operational efficiency of last-mile delivery for parcel delivery companies. This decision tool extends previous works on Vehicle Routing Problem with Split Deliveries by allowing shipment transloading to take place between vehicles at select points (other than the depot) in the logistics network, within pre-specified time windows.

Suggested Citation

  • Juan David Cortes & Yoshinori Suzuki, 2022. "Last-mile delivery efficiency: en route transloading in the parcel delivery industry," International Journal of Production Research, Taylor & Francis Journals, vol. 60(9), pages 2983-3000, May.
    • Handle: RePEc:taf:tprsxx:v:60:y:2022:i:9:p:2983-3000
    DOI: 10.1080/00207543.2021.1907628
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    Cited by:

    1. Peng, Xiaoshuai & Zhang, Lele & Thompson, Russell G. & Wang, Kangzhou, 2023. "A three-phase heuristic for last-mile delivery with spatial-temporal consolidation and delivery options," International Journal of Production Economics, Elsevier, vol. 266(C).
    2. Cui, Shaohua & Yang, Ying & Gao, Kun & Cui, Heqi & Najafi, Arsalan, 2024. "Integration of UAVs with public transit for delivery: Quantifying system benefits and policy implications," Transportation Research Part A: Policy and Practice, Elsevier, vol. 183(C).

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