Maria Argyropoulou, Dimitris Zissis, Nikolaos Korfiatis and Eleni Zampou
Last mile distribution is a crucial element of any supply chain network, and its complexity has challenged established practices and frameworks in the management literature. This…
Abstract
Purpose
Last mile distribution is a crucial element of any supply chain network, and its complexity has challenged established practices and frameworks in the management literature. This is particularly evident when demand surges, as with recent lockdowns due to the COVID-19 pandemic and subsequent demand for home delivery services. Given the importance of this critical component, this study recommends horizontal collaboration as a possible solution for retailers seeking to improve the quality of their services.
Design/methodology/approach
This study investigates whether horizontal collaboration should be considered as an option for faster and greener distribution of groceries ordered online. Using the United Kingdom and Greek grocery markets that differ in terms of online grocery penetration, distribution network structure and delivery times, the study discusses how the effectiveness of pooling resources can create positive spillover effects for consumers, businesses and society.
Findings
Despite their differences, both markets indicate the need for horizontal collaboration in the highly topical issue of last mile delivery.
Originality/value
Taking a theoretical and practical view in cases of disruption and constant pressure in last mile distribution, horizontal collaboration supports retailers to coordinate routes, increase fleet and vehicle utilisation, reduce traffic and carbon emissions while improving customer satisfaction.
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Dimitris Zissis, Emel Aktas and Michael Bourlakis
Population growth, urbanisation and the increased use of online shopping are some of the key challenges affecting the traditional logistics model. The purpose of this paper is to…
Abstract
Purpose
Population growth, urbanisation and the increased use of online shopping are some of the key challenges affecting the traditional logistics model. The purpose of this paper is to focus on the distribution of grocery products ordered online and the subsequent home delivery and click and collect services offered by online retailers to fulfil these orders. These services are unsustainable due to increased operational costs, carbon emissions, traffic and noise. The main objective of the research is to propose sustainable logistics models to reduce economic, environmental and social costs whilst maintaining service levels.
Design/methodology/approach
The authors have a mixed methodology based on simulation and mathematical modelling to evaluate the proposed shared logistics model using: primary data from a major UK retailer, secondary data from online retailers and primary data from a consumer survey on preferences for receiving groceries purchased online. Integration of these three data sets serves as input to vehicle routing models that reveal the benefits from collaboration by solving individual distribution problems of two retailers first, followed by the joint distribution problem under single decision maker assumption.
Findings
The benefits from collaboration could be more than 10 per cent in the distance travelled and 16 per cent in the time required to deliver the orders when two online grocery retailers collaborate in distribution activities.
Originality/value
The collaborative model developed for the online grocery market incentivises retailers to switch from current unsustainable logistics models to the proposed collaborative models.
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Anastasios Chrysochoou, Dimitris Zissis, Konstantinos Chalvatzis and Kostas Andriosopoulos
The purpose of this study is to investigate the impact of the construction and operation of underground gas storage (UGS) facilities, under the prism of the recent rise in energy…
Abstract
Purpose
The purpose of this study is to investigate the impact of the construction and operation of underground gas storage (UGS) facilities, under the prism of the recent rise in energy prices. The focus is on developing energy markets interconnected with gas producers through pipelines and has access to liquefied natural gas (LNG) facilities in parallel.
Design/methodology/approach
Through a focal market in Europe, the authors estimate the economic value for both stakeholders and consumers by introducing a methodology, appropriately adjusted to the specificities of the domestic energy market. The Transmission System Operator, the Energy Market Regulator, the Energy Exchange and Eurostat are the main data sources for our calculations and conclusions.
Findings
The authors investigate the perspectives of UGS facilities, identifying financial challenges considering specific energy market conditions which are barriers to new storage facilities. Nevertheless, the energy price rocketing coupled with the security of gas supply issues, which arose in autumn 2021 and were continuing in 2022 due to the Russia–Ukraine crisis, highlight that gas storage remains, at least for the midterm, at the core of European priorities.
Originality/value
The paper emphasizes on developing markets toward green transition, proposing tangible policy recommendations regarding gas storage. A new methodological approach is proposed, appropriate to quantify the economic value of UGSs in such markets. Last, a mix of energy policy options is suggested which include regulatory reforms, support schemes and new energy infrastructures that could make the gas storage investments economically viable.
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Christina Milioti, Katerina Pramatari and Eleni Zampou
The main purpose of this research is to investigate acceptability of different delivery methods in e-grocery (home delivery, pick-up from store, pick-up from locker) and the…
Abstract
Purpose
The main purpose of this research is to investigate acceptability of different delivery methods in e-grocery (home delivery, pick-up from store, pick-up from locker) and the respective willingness of customers to pay for them using a stated preference ranking experiment.
Design/methodology/approach
Data collected involved two countries (Greece and UK) with different level of e-grocery development and two different distribution conditions (weekly and urgent order). Rank-ordered logit model is used to analyse the ranking experiment and calculate the willingness-to-pay (WTP) measures. Delivery mode, cost and time window are used as independent variables.
Findings
Results indicated that home delivery and picking-up from locker appear to be clearly preferable than picking-up from store. However, home delivery seems to hold a stronger competitive position over the other delivery methods, especially in the weekly order and in the UK market. The pick-up from locker option appears to be a competitive delivery mode for consumers who are cost sensitive and shop under urgent conditions. Willingness to use and pay for picking-up from locker increases significantly in the context of same-day delivery.
Practical implications
The information provided in this study will help retailers to design and implement distribution schemes that can meet consumers' preferences for e-grocery. WTP differences among the consumer groups and the distribution conditions examined can have a considerable impact on the evaluation of marketing and pricing strategies applied by e-retailers.
Originality/value
Consumer preference and the respective WTP for different delivery methods in e-grocery, especially for the pick-up from locker option, have not been systematically investigated.
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Dimitris Mourtzis and Ekaterini Vlachou
The purpose of this paper is to review and explore the evolution, advances and future trends of cloud manufacturing, placing the focus on the quality of services. Moreover, moving…
Abstract
Purpose
The purpose of this paper is to review and explore the evolution, advances and future trends of cloud manufacturing, placing the focus on the quality of services. Moreover, moving toward the new trend of cyber-physical systems (CPS), a cloud-based cyber-physical system (CBCPS) is proposed combining the key enabling techniques of this decade, namely Internet of Things (IoT), cloud computing, Big Data analytics and CPS.
Design/methodology/approach
First, an extensive review is made on cloud computing and its applications in manufacturing sectors, namely product development, manufacturing processes and manufacturing systems management. Second, a conceptual CBCPS which combines key enabling techniques including cloud computing, CPS and IoT is proposed. Finally, a review on the quality of the services (QoS) presented in the second step, along with the main security issues of cloud manufacturing, is conducted.
Findings
The findings of this review indicate that the combination of the key enabling techniques presented in the CBCPS will lead to a new manufacturing paradigm capable of facing the new challenges and trends. The opportunities, as well as the challenges and barriers of the proposed framework are presented, concluding that the transition into this whole new era of networked computing and manufacturing has a valuable impact, but also generates several security and quality issues.
Originality/value
The paper is the first to specifically study the QoS as a factor in the proposed manufacturing paradigm.