Knowledge Agora



Scientific Article details

Title Sustainability challenges of last-mile logistics and transition to online grocery retailing in sparsely populated areas
ID_Doc 66330
Authors Wu, Y; Wang, BL; Huo, BF
Title Sustainability challenges of last-mile logistics and transition to online grocery retailing in sparsely populated areas
Year 2024
Published
DOI 10.1108/IMDS-02-2024-0131
Abstract Purpose This paper focuses on the last-mile logistics (LML) operations in fulfilling online grocery orders and the related sustainability considerations in sparsely populated areas like Australia. It aims to examine how online groceries in sparsely populated areas can benefit from online business. Specifically, this study seeks to investigate whether a centralized order fulfillment approach is better than the existing approach which fulfills online orders from local grocery stores.Design/methodology/approach A multi-method approach is employed to conduct a high level of cost and emission analysis between the existing and the proposed approaches to illustrate the ratios between the two approaches in terms of cost and carbon emissions. Mathematical models are developed with support from the literature. The model is empirically validated with a case study of grocery distribution in the city of Gold Coast, Australia.Findings It finds that the centralized order fulfillment approach in sparsely populated areas can achieve LML sustainability with low cost, high efficiency and less double handling. Meanwhile, the separation of in-store and online retailing processes improves the in-store shopping experience and online shopping visibility, jointly improves customer satisfaction, and consequently achieves a positive effect on long-term sustainability. Additionally, the possibility of automating order picking and dispatching at a central place can make the processes more efficient and help build more sustainable grocery retailing supply chains by using more environmentally friendly systems.Originality/value This paper offers analytical and empirical insights into the sustainability of multi-channel grocery retailing supply chains. The high-level model developed first incorporates the concept of online shopping adoption rates and can serve as a decision-making tool for practitioners to improve supply chain sustainability in LML.
Author Keywords Sustainable supply chain management; Multi-channel distribution; Grocery retailing; Last-mile logistics; Transfer from offline to online retailing
Index Keywords Index Keywords
Document Type Other
Open Access Open Access
Source Science Citation Index Expanded (SCI-EXPANDED)
EID WOS:001302250300001
WoS Category Computer Science, Interdisciplinary Applications; Engineering, Industrial
Research Area Computer Science; Engineering
PDF
Similar atricles
Scroll