IDEAS home Printed from https://ideas.repec.org/a/eee/jomega/v93y2020ics0305048317311283.html
   My bibliography  Save this article

Anticipatory shipment for pickup point supply

Author

Listed:
  • Rasini, Monica
  • Agatz, Niels
  • Tappia, Elena

Abstract

Many retailers allow customers to shop online and collect their orders at a pickup point nearby. In this paper, we study the anticipatory shipment of items to such pickup points in order to improve service and operational efficiency. We formulate a stochastic programming model to support the selection of products and associated quantities to ship to the pickup points in anticipation of customers’ demand. The results of our numerical experiments suggest that anticipatory shipments can have substantial benefits both in terms of cost and lead-time. The benefits increase with the storage space at the pickup point. The anticipatory shipment strategy is especially beneficial in a setting which requires short delivery lead-times and when the e-fulfilment warehouse is further away.

Suggested Citation

  • Rasini, Monica & Agatz, Niels & Tappia, Elena, 2020. "Anticipatory shipment for pickup point supply," Omega, Elsevier, vol. 93(C).
    • Handle: RePEc:eee:jomega:v:93:y:2020:i:c:s0305048317311283
    DOI: 10.1016/j.omega.2019.07.005
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0305048317311283
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.omega.2019.07.005?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Santiago Gallino & Antonio Moreno, 2014. "Integration of Online and Offline Channels in Retail: The Impact of Sharing Reliable Inventory Availability Information," Management Science, INFORMS, vol. 60(6), pages 1434-1451, June.
    2. A. Gürhan Kök & Marshall L. Fisher & Ramnath Vaidyanathan, 2008. "Assortment Planning: Review of Literature and Industry Practice," International Series in Operations Research & Management Science, in: Narendra Agrawal & Stephen A. Smith (ed.), Retail Supply Chain Management, chapter 0, pages 99-153, Springer.
    3. Klapp, Mathias A. & Erera, Alan L. & Toriello, Alejandro, 2018. "The Dynamic Dispatch Waves Problem for same-day delivery," European Journal of Operational Research, Elsevier, vol. 271(2), pages 519-534.
    4. Pentico, David W., 2008. "The assortment problem: A survey," European Journal of Operational Research, Elsevier, vol. 190(2), pages 295-309, October.
    5. Ehmke, Jan Fabian & Campbell, Ann Melissa, 2014. "Customer acceptance mechanisms for home deliveries in metropolitan areas," European Journal of Operational Research, Elsevier, vol. 233(1), pages 193-207.
    6. Alexander Hübner & Andreas Holzapfel & Heinrich Kuhn, 2016. "Distribution systems in omni-channel retailing," Business Research, Springer;German Academic Association for Business Research, vol. 9(2), pages 255-296, August.
    7. Lodi, Andrea & Martello, Silvano & Monaci, Michele, 2002. "Two-dimensional packing problems: A survey," European Journal of Operational Research, Elsevier, vol. 141(2), pages 241-252, September.
    8. Agatz, Niels A.H. & Fleischmann, Moritz & van Nunen, Jo A.E.E., 2008. "E-fulfillment and multi-channel distribution - A review," European Journal of Operational Research, Elsevier, vol. 187(2), pages 339-356, June.
    9. Niels Agatz & Ann Campbell & Moritz Fleischmann & Martin Savelsbergh, 2011. "Time Slot Management in Attended Home Delivery," Transportation Science, INFORMS, vol. 45(3), pages 435-449, August.
    10. Gary D. Eppen & R. Kipp Martin & Linus Schrage, 1989. "OR Practice—A Scenario Approach to Capacity Planning," Operations Research, INFORMS, vol. 37(4), pages 517-527, August.
    11. Hübner, Alexander H. & Kuhn, Heinrich, 2012. "Retail category management: State-of-the-art review of quantitative research and software applications in assortment and shelf space management," Omega, Elsevier, vol. 40(2), pages 199-209, April.
    12. Mula, J. & Poler, R. & Garcia-Sabater, J.P. & Lario, F.C., 2006. "Models for production planning under uncertainty: A review," International Journal of Production Economics, Elsevier, vol. 103(1), pages 271-285, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. He, Bo & Gupta, Varun & Mirchandani, Prakash, 2021. "Online selling through O2O platform or on your own? Strategic implications for local Brick-and-Mortar stores," Omega, Elsevier, vol. 103(C).
    2. Guan, Zhimin & Mou, Yuxia & Zhang, Jun, 2024. "Incorporating risk aversion and time preference into omnichannel retail operations considering assortment and inventory optimization," European Journal of Operational Research, Elsevier, vol. 314(2), pages 579-596.
    3. Mar Vazquez-Noguerol & Jose A. Comesaña-Benavides & Sara Riveiro-Sanroman & J. Carlos Prado-Prado, 2022. "A mixed integer linear programming model to support e-fulfillment strategies in warehouse-based supermarket chains," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 30(4), pages 1369-1402, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Gupta, Vishal Kumar & Ting, Q.U. & Tiwari, Manoj Kumar, 2019. "Multi-period price optimization problem for omnichannel retailers accounting for customer heterogeneity," International Journal of Production Economics, Elsevier, vol. 212(C), pages 155-167.
    2. Mou, Shandong & Robb, David J. & DeHoratius, Nicole, 2018. "Retail store operations: Literature review and research directions," European Journal of Operational Research, Elsevier, vol. 265(2), pages 399-422.
    3. Koch, Sebastian & Klein, Robert, 2020. "Route-based approximate dynamic programming for dynamic pricing in attended home delivery," European Journal of Operational Research, Elsevier, vol. 287(2), pages 633-652.
    4. Marco Melacini & Elena Tappia, 2018. "A Critical Comparison of Alternative Distribution Configurations in Omni-Channel Retailing in Terms of Cost and Greenhouse Gas Emissions," Sustainability, MDPI, vol. 10(2), pages 1-15, January.
    5. Strauss, Arne & Gülpınar, Nalan & Zheng, Yijun, 2021. "Dynamic pricing of flexible time slots for attended home delivery," European Journal of Operational Research, Elsevier, vol. 294(3), pages 1022-1041.
    6. Fleckenstein, David & Klein, Robert & Steinhardt, Claudius, 2023. "Recent advances in integrating demand management and vehicle routing: A methodological review," European Journal of Operational Research, Elsevier, vol. 306(2), pages 499-518.
    7. Shenle Pan & Vaggelis Giannikas & Yufei Han & Etta Grover-Silva & Bin Qiao, 2017. "Using Customer-related Data to Enhance E-grocery Home Delivery," Post-Print hal-01482901, HAL.
    8. Arslan, Ayşe N. & Klibi, Walid & Montreuil, Benoit, 2021. "Distribution network deployment for omnichannel retailing," European Journal of Operational Research, Elsevier, vol. 294(3), pages 1042-1058.
    9. Hübner, Alexander & Hense, Jonas & Dethlefs, Christian, 2022. "The revival of retail stores via omnichannel operations: A literature review and research framework," European Journal of Operational Research, Elsevier, vol. 302(3), pages 799-818.
    10. Yang, Xinan & Strauss, Arne K., 2017. "An approximate dynamic programming approach to attended home delivery management," European Journal of Operational Research, Elsevier, vol. 263(3), pages 935-945.
    11. Waßmuth, Katrin & Köhler, Charlotte & Agatz, Niels & Fleischmann, Moritz, 2023. "Demand management for attended home delivery—A literature review," European Journal of Operational Research, Elsevier, vol. 311(3), pages 801-815.
    12. Paul, Joydeep & Agatz, Niels & Savelsbergh, Martin, 2019. "Optimizing Omni-Channel Fulfillment with Store Transfers," Transportation Research Part B: Methodological, Elsevier, vol. 129(C), pages 381-396.
    13. Mashalah, Heider Al & Hassini, Elkafi & Gunasekaran, Angappa & Bhatt (Mishra), Deepa, 2022. "The impact of digital transformation on supply chains through e-commerce: Literature review and a conceptual framework," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 165(C).
    14. Abdollahi, Mohammad & Yang, Xinan & Nasri, Moncef Ilies & Fairbank, Michael, 2023. "Demand management in time-slotted last-mile delivery via dynamic routing with forecast orders," European Journal of Operational Research, Elsevier, vol. 309(2), pages 704-718.
    15. Jochen Wulf, 2020. "Development of an AHP hierarchy for managing omnichannel capabilities: a design science research approach," Business Research, Springer;German Academic Association for Business Research, vol. 13(1), pages 39-68, April.
    16. Chen, Shijie & Rahman, Md Hishamur & Marković, Nikola & Siddiqui, Muhammad Imran Younus & Mohebbi, Matthew & Sun, Yanshuo, 2024. "Schedule negotiation with ADA paratransit riders under value of time uncertainty," Transportation Research Part B: Methodological, Elsevier, vol. 184(C).
    17. Sabet, Ehsan & Yazdani, Baback & Kian, Ramez & Galanakis, Kostas, 2020. "A strategic and global manufacturing capacity management optimisation model: A Scenario-based multi-stage stochastic programming approach," Omega, Elsevier, vol. 93(C).
    18. Christiane Lehrer & Manuel Trenz, 2022. "Omnichannel Business," Electronic Markets, Springer;IIM University of St. Gallen, vol. 32(2), pages 687-699, June.
    19. Haider, Zulqarnain & Hu, Yujie & Charkhgard, Hadi & Himmelgreen, David & Kwon, Changhyun, 2022. "Creating grocery delivery hubs for food deserts at local convenience stores via spatial and temporal consolidation," Socio-Economic Planning Sciences, Elsevier, vol. 82(PB).
    20. Shi, Xiutian & Dong, Ciwei & Cheng, T.C.E., 2018. "Does the buy-online-and-pick-up-in-store strategy with pre-orders benefit a retailer with the consideration of returns?," International Journal of Production Economics, Elsevier, vol. 206(C), pages 134-145.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jomega:v:93:y:2020:i:c:s0305048317311283. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/375/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.