Urban Freight Last Mile Logistics—Challenges and Opportunities to Improve Sustainability: A Literature Review

What if delivery riders quit? Challenges to last-mile logistics during the Covid-19 pandemic

Notoriously precarious, hazardous, and stressful, delivery jobs became even more onerous and dangerous during the pandemic. In this study, set in Ho Chi Minh City, Vietnam, we applied Structural Equation Modelling to a large sample of primary data to measure delivery riders' intention to quit their jobs at the height of the pandemic. We found that job burnout was the key trigger to the intention to quit whereas the risk of Covid-19 infection did not directly affect this behavioral intention. Female riders, migrants, persons living with chronic diseases, and those who had seen their income decimated during the pandemic were more likely to want to quit their job. But if a mass of delivery drivers or riders had failed to show up for work, the last-mile delivery sector would have become paralysed, leaving individuals in various states of lockdown or isolation without food and supplies. As the sector is poised to retain its importance in the post-pandemic period, we recommend a number of approaches for both private companies and public policy makers to persuade riders to stay in their jobs. First and foremost, strategies to prevent and mitigate job burnout should be formulated.

Analysis of Modern vs. Conventional Development Technologies in Transportation-The Case Study of a Last-Mile Delivery Process

Transportation plays a significant role in the global economy and society and takes part in a lot of different processes such as mass transportation and the supply chain. Therefore, it is crucial to introduce modern technologies in this area of the economy in the context of Industry 4.0. The main scope of this study is to develop a model that supports analyzing last-mile logistics modern solutions using the latest technologies such as road autonomous delivery robots (RADRs), civil drones, or smart bikes, and compare them to conventional solutions (delivery vehicles). Multi-criteria decision analysis (MCDA) was applied to build a formal comparison model that scores the solutions and weights different criteria according to decision-makers and placeholders, to rank the solutions from the most crucial option to the weakest in a predetermined scenario with set parameters and conditions (three varied scenarios were included in the present investigation). The results of the model were in favor of using civil drones or smart bicycles to perform light deliveries in small urban areas (these key findings support the assumptions that are often manifested in speech in the context of the use of new technologies). The modern solutions scored almost 40-80% higher in total in the conglomeration of assessment criteria (such as safety, economy, laws and regulations, operation time for the delivery, environment, and payload) than the conventional solution, which indicates the importance of studying the implementation of such technologies. An interesting result of the study is the operational cost reduction by ca. 60-74% in favor of autonomous delivery robots, 89-93% in favor of civil delivery drones, and 87-90% in favor of smart bikes vs. conventional delivery trucks/vans. Yet, it should be underlined that the results may vary with different assumptions within the MCDA method.

Intelligent Logistics System Design and Supply Chain Management under Edge Computing and Internet of Things

In order to carry out practical innovation of the intelligent logistics system and promote the practicality of the intelligent logistics system and supply chain management process, this study aims to optimize the design of the intelligent logistics system and supply chain management under edge computing (EC) and the Internet of Things (IoT). The flower pollination algorithm performs the positioning function in the intelligent logistics system and supply chain management. Based on the research on the design of the intelligent logistics system and supply chain management under the EC and IoT, this thesis analyzes the positioning of intelligent logistics systems and supply chain management through the flower pollination algorithm. The eXtreme Gradient Boosting (XGBoost) model is used to predict user information in the system of supply chain management information. Finally, the operation of intelligent logistics and supply chain management systems, the prediction model of supply chain management under XGBoost, and the change of supply chain management and material flow are analyzed. The results show that with the increase in the number of iterations, the optimized algorithm improves the comparison distance error by 53.57%, which has high accuracy and can meet the requirements of positioning and tracking of the intelligent logistics system and logistics status query in supply chain management. The waiting time of the intelligent logistics system is shorter than that of the supply chain management system, and the average waiting time of the system increases by 121.252 ms. The XGBoost model can well predict user information under supply chain management. After discussing the changes of the intelligent logistics system from 2018 to 2020, it is found that the operation efficiency of the supply management system is higher with the increase of the system operation days. The intelligent logistics system has a significant impact on the development of the logistics industry. This research gives a reference for establishing the intelligent logistics system and supply chain management system.

A Flexible Data Evaluation System for Improving the Quality and Efficiency of Laboratory Analysis and Testing

In a chemical analysis laboratory, sample detection via most analytical devices obtains raw data and processes it to validate data reports, including raw data filtering, editing, effectiveness evaluation, error correction, etc. This process is usually carried out manually by analysts. When the sample detection volume is large, the data processing involved becomes time-consuming and laborious, and manual errors may be introduced. In addition, analytical laboratories typically use a variety of analytical devices with different measurement principles, leading to the use of various heterogeneous control software systems from different vendors with different export data formats. Different formats introduce difficulties to laboratory automation. This paper proposes a modular data evaluation system that uses a global unified management and maintenance mode that can automatically filter data, evaluate quality, generate valid reports, and distribute reports. This modular software design concept allows the proposed system to be applied to different analytical devices; its integration into existing laboratory information management systems (LIMS) could maximise automation and improve the analysis and testing quality and efficiency in a chemical analysis laboratory, while meeting the analysis and testing requirements.

On-Demand Logistics: Solutions, Barriers, and Enablers

The urban freight sector provides an essential service by delivering goods that are required by shops, companies, and households at a specific place and time. However, the growth of e-commerce and the dawn of on-demand logistics (hereinafter ODL) have raised citizens’ expectations of logistics systems, further stressing them and thereby increasing their operational and environmental costs. To the authors’ best knowledge, there are no extensive literature reviews specifically on the topic of ODL and on suggestions for policy prioritisation for tackling its effects. This paper aims at addressing this issue by providing an extensive literature review of ODL and its enablers. This research, after a thorough explanation of the ODL rationale, its trends, and its effects, analyses possible solutions to its inefficiencies, focusing on enablers and barriers. Furthermore, it illustrates and clarifies the role of external factors in influencing ODL. Finally, it proposes a systematic evaluation approach by identifying knowledge gaps and consequently defining the subsequent actions needed, broken down by the individual influencing components, rendering these solutions compatible with the status quo and effective for solving the highlighted issues.

Last Mile Logistics Innovations in the Courier-Express-Parcel Sector Due to the COVID-19 Pandemic

The development of the e-commerce market worldwide, which was already dynamic, was accelerated by the SARS-CoV-2 virus. Millions of incoming orders required analogue support from the CEP sector (courier-express-parcels sector) to provide the desired “customer experience”. In the context of whether the habit of shopping in virtual reality will become permanent, it is worth considering what shape the logistics services will take in the last mile after the pandemic? Or, will customers return to shopping in the real world? A subject for these considerations was an analysis of the impact of the SARS-CoV-2 virus pandemic on the technologization of last mile logistics services, resulting in an increase in the level of “customer experience”, with Poland as an example. The research methods used were participant observations and critical analysis of collected materials. The obtained results made it possible to conduct a descriptive and explanatory nomothetic study based on an Internet questionnaire. The authors formulated a diagnosis about the possibilities of using the potential of customer experience for the development of enterprises based on technologization of last mile deliveries. The recommendations can be used by scientists and managers in the CEP industry to redefine business models based on the technology of logistics customer service processes.

Shaping the Optimal Technology for Servicing the Long-Distance Deliveries of Packaged Cargo by Road Transport

The concept of sustainable transportation of goods as the primary paradigm for designing contemporary logistics systems assumes the use of energy-efficient and affordable modes of transport in a way that guarantees the most cost-efficient variant of the delivery scheme. That especially applies to road transport deliveries, where the number of alternatives for organizing the transportation process is numerous and the choice of the optimal solution is complicated by the multiple stochastic influences of the environment on the technological processes. In this paper, we contribute to solving the problem of shaping the sustainable delivery schemes by proposing an approach to shape the complete set of alternative transport and technological schemes for packaged cargo delivery by road transport. The developed mathematical model allows estimating the efficiency of each alternative delivery scheme for the given request and chooses the best variant that minimizes the total costs of all participants in the delivery process. The proposed algorithms are implemented in the C# programming language within the frame of a class library for modeling transport delivery processes. A case of transport processes for Delivery Ltd. (Kharkiv, Ukraine) is applied to illustrate the procedure of using the developed approach to choose the optimal transport and technological schemes for long-distance deliveries. As the result of simulating the goods transportation processes, we show the regression models that represent dependencies of the total costs for the implementation of a delivery scheme from the parameters of demand for the transportation of goods. These regression models allow estimating the most efficient delivery schemes based on the functional analysis of the obtained dependencies for the given demand parameters.

Last mile delivery in logistics and supply chain management: a bibliometric analysis and future directions

Purpose

The main objective of this paper is to provide a systematic literature review (SLR) and structured insight into last mile delivery, ultimately identifying gaps in current knowledge and proposing a framework for future research direction in terms of sustainability in the area.

Design/methodology/approach

This paper identifies and synthesizes information from academic journals and examines “Journals and Publishing place,” “Geographic location,” “Year of Publication,” “University and Author Affiliation,” “Themes and Sub-themes,” “Theory,” “Research Design, Methods and Area” and “Industry Involvement.” A collection of online databases from 2005 to 2020 were explored, using the keywords “Last mile delivery,” “Last mile logistics,” “Last mile transportation,” “Last mile fulfillment,” “Last mile operations” and “Last mile distribution” in their title and/or abstract and/or keywords. Accordingly, a total of 281 journal articles were found in this discipline area, and data were derived from a succession of variables.

Findings

There has been significant growth in published articles concerning last mile delivery over the last 15 years (2005–2020). An in-depth review of the literature shows five dimensions of the last mile: last mile delivery, transportation, operations, distribution and logistics. Each of these dimensions is interrelated and possess clustered characteristics. For instance, last mile operations, last mile transportation and last mile delivery are operational, whereas last mile distribution is tactical, and last mile logistics possess strategic characteristics. The findings also indicate that even though the sustainability concept can be incorporated into all levels of the last mile, the current literature landscape mainly concentrates on the operational level.

Research limitations/implications

This review is limited to academic sources available from Emerald Insight, Science Direct, Taylor and Francis, Springer, MDPI and IEEE containing the mentioned keywords in the title and/or abstract/or keywords. Furthermore, only papers from high-quality, peer-reviewed journals were evaluated. Other sources such as books and conference papers were not included.

Practical implications

This study dissects last mile delivery to produce a framework that captures and presents its complex characteristics and its interconnectedness with various related components. By analyzing last mile delivery in its entirety, the framework also helps practitioners pinpoint which levels of last mile delivery (operation, tactical or strategic) they can incorporate the concept of sustainability.

Originality/value

The research findings enrich the contemporary literature landscape and future work by providing a conceptual framework that incorporates the “economic,” “environmental” and “social” pillars of sustainability in all dimensions of the last mile delivery.

A Rich Vehicle Routing Problem for a City Logistics Problem

In this work, a Rich Vehicle Routing Problem (RVRP) is faced for solving city logistic problems. In particular, we deal with the problem of a logistic company that has to define the best distribution strategy for obtaining an efficient usage of vehicles and for reducing transportation costs while serving customers with different priority demands during a given planning horizon. Thus, we deal with a multi-period vehicle routing problem with a heterogeneous fleet of vehicles, with customers’ requirements and company restrictions to satisfy, in which the fleet composition has to be daily defined. In fact, the company has a fleet of owned vehicles and the possibility to select, day by day, a certain number of vehicles from the fleet of a third-party company. Routing costs must be minimized together with the number of vehicles used. A mixed integer programming model is proposed, and an experimental campaign is presented for validating it. Tests have been used for evaluating the quality of the solutions in terms of both model behavior and service level to grant to the customers. Moreover, the benefits that can be obtained by postponing deliveries are evaluated. Results are discussed, and some conclusions are highlighted, including the possibility of formulating this problem in such a way as to use the general solver proposed in the recent literature. This seems to be the most interesting challenge to permit companies to improve the distribution activities.

Characterization and Design for Last Mile Logistics: A Review of the State of the Art and Future Directions

One of the most challenging problems in last mile logistics (LML) has been the strategic delivery due to various market risks and opportunities. This paper provides a systematic review of LML-related studies to find current issues and future opportunities for the LML service industry. To that end, 169 works were selected as target studies for in-depth analysis of recent LML advances. First, text mining analysis was performed to effectively understand the underlying LML themes in the target studies. Then, the novel definition and typology of LML delivery services were suggested. Finally, this paper proposed the next generation of LML research through advanced delivery technique-based LML services, environmentally sustainable LML systems, improvement of LML operations in real industries, effective management of uncertainties in LML, and LML delivery services for decentralized manufacturing services. We believe that this systematic literature review can serve as a useful tool for LML decision makers and stakeholders.

City Logistics as an Imperative Smart City Mechanism: Scrutiny of Clustered EU27 Capitals

In large urban agglomerations, various logistical problems arise due to high population density and deficient transport infrastructure. City logistics involves the efficient distribution of freight transport in urban areas and approaches to mitigate environmental impacts and traffic congestion. This paper aims to use a two-step cluster analytic approach to segmentation of EU27 capital cities based on their city logistics performance. To obtain primary outcomes, the log-likelihood measure in SPSS Statistics was used. The results can be used to identify the development and implementation of logistics measures in capitals across the EU. In addition to clustering, the statistical analysis evaluates the position of investigated cities concerning traffic congestions, and from an environmental point of view, the carbon dioxide produced from transport. The scrutiny delivers practical outlooks on how clustering can be undertaken and proves how the clusters can be used to plan city logistics and supply chain management. Finally, the paper deals with smart city indices from the perspective of sustainable mobility and examines its correlation with city logistics.

Introducing the Shared Micro-Depot Network for Last-Mile Logistics

Last-mile logistics is both a source and cause of problems in urban areas, especially problems related to traffic congestion, unsustainable delivery modes, and limited parking availability. In this context, multiple sustainable logistics solutions have been proposed. We focus on micro-depots (MDs), which can function as a consolidation center and a collection-and-delivery point for business-to-consumer (B2C) small parcels. This paper presents a new research idea that extends the existing MD solution by introducing the concept of a shared MD network with parcel lockers. Such networks enable multiple logistics service providers (LSPs) and/or business partners to use an MD while minimizing their individual costs and optimizing the use of urban space. We present case studies of such shared MD networks operating in the cities of Helsinki and Helmond. We provide a framework for auxiliary businesses that can exploit the existing MD structure to offer services to the surrounding population. Finally, we define metrics for evaluating the success of shared MD networks while considering social, environmental and economic objectives. The case studies highlight the complexity of implementing such a solution; it requires stakeholders’ involvement and collaboration. In particular, deciding on the location for a shared MD network is a critical phase, since local authorities have their own regulations, and residents’ preferences are usually different than LSPs’ ones. Nevertheless, if these challenges are overcome, this sustainable last-mile logistics solution has a promising future.