An integrative approach to determine store delivery patterns in grocery retailing

Michael G. Sternbeck and Heinrich Kuhn

Transportation Research Part E: Logistics and Transportation Review, 2014, vol. 70, issue C, 205-224

Abstract: This article focuses on the tactical problem of selecting delivery patterns according to which grocery stores are repetitively supplied with products from different order segments by retail-owned distribution centers. The research environment considered consists of logistics processes in DCs, transportation and instore logistics. We identify dependencies on the delivery patterns selected and specify the relevant costs. These costs are reflected in the objective function of a binary selection model. Implementing and applying the model to the real case of a major European retail company yields substantial cost savings potential of 5.3%, amounting to tens of millions of euros per annum.

Keywords: Grocery retailing; Store delivery; Retail operations; Planning interdependencies (search for similar items in EconPapers)
Date: 2014
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Citations: View citations in EconPapers (15)

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DOI: 10.1016/j.tre.2014.06.007

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