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Optimization and Machine Learning Applied to Last-Mile Logistics: A Review

Nadia Giuffrida, Jenny Fajardo-Calderin, Antonio D. Masegosa, Frank Werner, Margarete Steudter and Francesco Pilla
Additional contact information
Nadia Giuffrida: School of Architecture, Planning and Environmental Policy, University College Dublin, Richview Campus, Belfield, D04 V1W8 Dublin, Ireland
Jenny Fajardo-Calderin: DeustoTech, Faculty of Engineering, University of Deusto, Av. Universidades 24, 48007 Bilbao, Spain
Antonio D. Masegosa: DeustoTech, Faculty of Engineering, University of Deusto, Av. Universidades 24, 48007 Bilbao, Spain
Frank Werner: Software AG, Altenkesseler Straße 17, 66115 Saarbrücken, Germany
Margarete Steudter: Software AG, Altenkesseler Straße 17, 66115 Saarbrücken, Germany
Francesco Pilla: School of Architecture, Planning and Environmental Policy, University College Dublin, Richview Campus, Belfield, D04 V1W8 Dublin, Ireland

Sustainability, 2022, vol. 14, issue 9, 1-16

Abstract: The growth in e-commerce that our society has faced in recent years is changing the view companies have on last-mile logistics, due to its increasing impact on the whole supply chain. New technologies are raising users’ expectations with the need to develop customized delivery experiences; moreover, increasing pressure on supply chains has also created additional challenges for suppliers. At the same time, this phenomenon generates an increase in the impact on the liveability of our cities, due to traffic congestion, the occupation of public spaces, and the environmental and acoustic pollution linked to urban logistics. In this context, the optimization of last-mile deliveries is an imperative not only for companies with parcels that need to be delivered in the urban areas, but also for public administrations that want to guarantee a good quality of life for citizens. In recent years, many scholars have focused on the study of logistics optimization techniques and, in particular, the last mile. In addition to traditional optimization techniques, linked to the disciplines of operations research, the recent advances in the use of sensors and IoT, and the consequent large amount of data that derives from it, are pushing towards a greater use of big data and analytics techniques—such as machine learning and artificial intelligence—which are also in this sector. Based on this premise, the aim of this work is to provide an overview of the most recent literature advances related to last-mile delivery optimization techniques; this is to be used as a baseline for scholars who intend to explore new approaches and techniques in the study of last-mile logistics optimization. A bibliometric analysis and a critical review were conducted in order to highlight the main studied problems, the algorithms used, and the case studies. The results from the analysis allow the studies to be clustered into traditional optimization models, machine learning approaches, and mixed methods. The main research gaps and limitations of the current literature are assessed in order to identify unaddressed challenges and provide research suggestions for future approaches.

Keywords: city logistics; freight transport; vehicle routing problem (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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