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Article
Publication date: 9 May 2023

Anurag Mishra, Pankaj Dutta and Naveen Gottipalli

The supply chain (SC) of the fast-moving consumer goods (FMCG) sector in India witnessed a significant change soon after introducing the Goods and Services Tax (GST). With the…

Abstract

Purpose

The supply chain (SC) of the fast-moving consumer goods (FMCG) sector in India witnessed a significant change soon after introducing the Goods and Services Tax (GST). With the initiation of this tax, companies started moving from individual state-wise warehouses to consolidation warehouses model to save costs. This paper proposes a model that frames a mathematical formulation to optimize the distribution network in the downstream SC by considering the complexities of multi-product lines, multi-transport modes and consolidated warehouses.

Design/methodology/approach

The model is designed as mixed-integer linear programming (MILP), and an algorithm is developed that works on the feedback loop mechanism. It optimizes the transportation and warehouses rental costs simultaneously with impact analysis.

Findings

Total cost is primarily influenced by the critical factor transportation price rather than the warehouse rent. The choice of warehouses at prime locations was a trade-off between a lower distribution cost and higher rent tariffs.

Research limitations/implications

The study enables FMCG firms to plan their downstream SC efficiently and to be in line with the recent trend of consolidation of warehouses. The study will help SC managers solve complexities such as multi-product categories, truck selection and consolidation warehouse selection problems and find the optimum value for each.

Originality/value

The issues addressed in the proposed work are transporting products with different sizes and weights, selecting consolidated warehouses, selecting suitable vehicles for transportation and optimizing distance in the distribution network by considering consolidated warehouses.

Details

International Journal of Productivity and Performance Management, vol. 73 no. 3
Type: Research Article
ISSN: 1741-0401

Keywords

Article
Publication date: 11 January 2024

Marco Fabio Benaglia, Mei-Hui Chen, Shih-Hao Lu, Kune-Muh Tsai and Shih-Han Hung

This research investigates how to optimize storage location assignment to decrease the order picking time and the waiting time of orders in the staging area of low-temperature…

218

Abstract

Purpose

This research investigates how to optimize storage location assignment to decrease the order picking time and the waiting time of orders in the staging area of low-temperature logistics centers, with the goal of reducing food loss caused by temperature abuse.

Design/methodology/approach

The authors applied ABC clustering to the products in a simulated database of historical orders modeled after the actual order pattern of a large cold logistics company; then, the authors mined the association rules and calculated the sales volume correlation indices of the ordered products. Finally, the authors generated three different simulated order databases to compare order picking time and waiting time of orders in the staging area under eight different storage location assignment strategies.

Findings

All the eight proposed storage location assignment strategies significantly improve the order picking time (by up to 8%) and the waiting time of orders in the staging area (by up to 22%) compared with random placement.

Research limitations/implications

The results of this research are based on a case study and simulated data, which implies that, if the best performing strategies are applied to different environments, the extent of the improvements may vary. Additionally, the authors only considered specific settings in terms of order picker routing, zoning and batching: other settings may lead to different results.

Practical implications

A storage location assignment strategy that adopts dispersion and takes into consideration ABC clustering and shipping frequency provides the best performance in minimizing order picker's travel distance, order picking time, and waiting time of orders in the staging area. Other strategies may be a better fit if the company's objectives differ.

Originality/value

Previous research on optimal storage location assignment rarely considered item association rules based on sales volume correlation. This study combines such rules with several storage planning strategies, ABC clustering, and two warehouse layouts; then, it evaluates their performance compared to the random placement, to find which one minimizes the order picking time and the order waiting time in the staging area, with a 30-min time limit to preserve the integrity of the cold chain. Order picking under these conditions was rarely studied before, because they may be irrelevant when dealing with temperature-insensitive items but become critical in cold warehouses to prevent temperature abuse.

Details

The International Journal of Logistics Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0957-4093

Keywords

Article
Publication date: 12 May 2022

Aws Al-Okaily, Manaf Al-Okaily, Ai Ping Teoh and Mutaz M. Al-Debei

Despite the increasing role of the data warehouse as a supportive decision-making tool in today's business world, academic research for measuring its effectiveness has been…

1902

Abstract

Purpose

Despite the increasing role of the data warehouse as a supportive decision-making tool in today's business world, academic research for measuring its effectiveness has been lacking. This paucity of academic interest stimulated us to evaluate data warehousing effectiveness in the organizational context of Jordanian banks.

Design/methodology/approach

This paper develops a theoretical model specific to the data warehouse system domain that builds on the DeLone and McLean model. The model is empirically tested by means of structural equation modelling applying the partial least squares approach and using data collected in a survey questionnaire from 127 respondents at Jordanian banks.

Findings

Empirical data analysis supported that data quality, system quality, user satisfaction, individual benefits and organizational benefits have made strong contributions to data warehousing effectiveness in our organizational data context.

Practical implications

The results provide a better understanding of the data warehouse effectiveness and its importance in enabling the Jordanian banks to be competitive.

Originality/value

This study is indeed one of the first empirical attempts to measure data warehouse system effectiveness and the first of its kind in an emerging country such as Jordan.

Details

EuroMed Journal of Business, vol. 18 no. 4
Type: Research Article
ISSN: 1450-2194

Keywords

Article
Publication date: 3 May 2022

Abror Hoshimov, Anna Corinna Cagliano, Giulio Mangano, Maurizio Schenone and Sabrina Grimaldi

This paper aims to propose a simulation model integrated with an empirical regression analysis to provide a new mathematical formulation for automated storage and retrieval system…

Abstract

Purpose

This paper aims to propose a simulation model integrated with an empirical regression analysis to provide a new mathematical formulation for automated storage and retrieval system (AS/RS) travel time estimation under class-based storage and different input/output (I/O) point vertical levels.

Design/methodology/approach

A simulation approach is adopted to compute the travel time under different warehouse scenarios. Simulation runs with several I/O point levels and multiple shape factor values.

Findings

The proposed model is extremely precise for both single command (SC) and dual command (DC) cycles and very well fitted for a reliable computation of travel times.

Research limitations/implications

The proposed mathematical formulation for estimating the AS/RS travel time advances widely applied methodologies existing in literature. As well as, it provides a practical implication by supporting faster and more accurate travel time computations for both SC and DC cycles. However, the regression analysis is conducted based on simulated data and can be refined by numerical values coming from real warehouses.

Originality/value

This work provides a new simulation model and a refined mathematical equation to estimate AS/RS travel time.

Details

Journal of Facilities Management , vol. 22 no. 1
Type: Research Article
ISSN: 1472-5967

Keywords

Article
Publication date: 21 November 2023

Jonas Koreis, Dominic Loske and Matthias Klumpp

Increasing personnel costs and labour shortages have pushed retailers to give increasing attention to their intralogistics operations. We study hybrid order picking systems, in…

251

Abstract

Purpose

Increasing personnel costs and labour shortages have pushed retailers to give increasing attention to their intralogistics operations. We study hybrid order picking systems, in which humans and robots share work time, workspace and objectives and are in permanent contact. This necessitates a collaboration of humans and their mechanical coworkers (cobots).

Design/methodology/approach

Through a longitudinal case study on individual-level technology adaption, we accompanied a pilot testing of an industrial truck that automatically follows order pickers in their travel direction. Grounded on empirical field research and a unique large-scale data set comprising N = 2,086,260 storage location visits, where N = 57,239 storage location visits were performed in a hybrid setting and N = 2,029,021 in a manual setting, we applied a multilevel model to estimate the impact of this cobot settings on task performance.

Findings

We show that cobot settings can reduce the time required for picking tasks by as much as 33.57%. Furthermore, practical factors such as product weight, pick density and travel distance mitigate this effect, suggesting that cobots are especially beneficial for short-distance orders.

Originality/value

Given that the literature on hybrid order picking systems has primarily applied simulation approaches, the study is among the first to provide empirical evidence from a real-world setting. The results are discussed from the perspective of Industry 5.0 and can prevent managers from making investment decisions into ineffective robotic technology.

Details

The International Journal of Logistics Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0957-4093

Keywords

Article
Publication date: 23 January 2024

Dominic Loske, Tiziana Modica, Matthias Klumpp and Roberto Montemanni

Prior literature has widely established that the design of storage locations impacts order picking task performance. The purpose of this study is to investigate the performance…

Abstract

Purpose

Prior literature has widely established that the design of storage locations impacts order picking task performance. The purpose of this study is to investigate the performance impact of unit loads, e.g. pallets or rolling cages, utilized by pickers to pack products after picking them from storage locations.

Design/methodology/approach

An empirical analysis of archival data on a manual order picking system for deep-freeze products was performed in cooperation with a German brick-and-mortar retailer. The dataset comprises N = 343,259 storage location visits from 17 order pickers. The analysis was also supported by the development and the results of a batch assignment model that takes unit load selection into account.

Findings

The analysis reveals that unit load selection affects order picking task performance. Standardized rolling cages can decrease processing time by up to 8.42% compared to standardized isolated rolling boxes used in cold retail supply chains. Potential cost savings originating from optimal batch assignment range from 1.03% to 39.29%, depending on batch characteristics.

Originality/value

This study contributes to the literature on factors impacting order picking task performance, considering the characteristics of unit loads where products are packed on after they have been picked from the storage locations. In addition, it provides potential task performance improvements in cold retail supply chains.

Details

The International Journal of Logistics Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0957-4093

Keywords

Article
Publication date: 18 April 2024

Prajakta Chandrakant Kandarkar and V. Ravi

Industry 4.0 has put forward a smart perspective on managing supply chain networks and their operations. The current manufacturing system is primarily data-driven. Industries are…

Abstract

Purpose

Industry 4.0 has put forward a smart perspective on managing supply chain networks and their operations. The current manufacturing system is primarily data-driven. Industries are deploying new emerging technologies in their operations to build a competitive edge in the business environment; however, the true potential of smart manufacturing has not yet been fully unveiled. This research aims to extensively analyse emerging technologies and their interconnection with smart manufacturing in developing smarter supply chains.

Design/methodology/approach

This research endeavours to establish a conceptual framework for a smart supply chain. A real case study on a smart factory is conducted to demonstrate the validity of this framework for building smarter supply chains. A comparative analysis is carried out between conventional and smart supply chains to ascertain the advantages of smart supply chains. In addition, a thorough investigation of the several factors needed to transition from smart to smarter supply chains is undertaken.

Findings

The integration of smart technology exemplifies the ability to improve the efficiency of supply chain operations. Research findings indicate that transitioning to a smart factory radically enhances productivity, quality assurance, data privacy and labour efficiency. The outcomes of this research will help academic and industrial sectors critically comprehend technological breakthroughs and their applications in smart supply chains.

Originality/value

This study highlights the implications of incorporating smart technologies into supply chain operations, specifically in smart purchasing, smart factory operations, smart warehousing and smart customer performance. A paradigm transition from conventional, smart to smarter supply chains offers a comprehensive perspective on the evolving dynamics in automation, optimisation and manufacturing technology domains, ultimately leading to the emergence of Industry 5.0.

Details

Journal of Manufacturing Technology Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1741-038X

Keywords

Article
Publication date: 20 March 2023

Hua Song, Siqi Han and Kangkang Yu

This study examines the cognitive factors of adopting blockchain technology in various supply chain scenarios and its role in reframing the distinctive values of supply chain…

1161

Abstract

Purpose

This study examines the cognitive factors of adopting blockchain technology in various supply chain scenarios and its role in reframing the distinctive values of supply chain financing. Based on expectancy theory, this study explores the different profiles underlying the components of expectancy, valence and instrumentality.

Design/methodology/approach

This is a multiple-case study of four Fintech companies using blockchain technology to promote the performance of supply chain operations and financing.

Findings

The results show that blockchain-enabled supply chain finance (BSCF) can be classified into four scenarios based on the scope and purpose of blockchain technology applications. The success of BSCF depends on the profiles of BSCF expectancy (the recognized purpose and scope of BSCF), instrumentality (identified blockchain attributes and other technology combinations) and valence (the perceived distinctive value of BSCF). Blockchain attributes help solve information asymmetry problems and enhance financing performance in two ways: one is supporting transparency, traceability and verification of transmissions and the other entails facilitating a transformation to new business models.

Originality/value

This research applies a new perspective based on expectancy theory to study how cognitive factors affect Fintech companies' blockchain solutions under a given supply chain operation or financing activity. It explains the behavioral antecedents for applying blockchain technology, the situations appropriate for the different roles of blockchain technology and the profiles for realizing the value of blockchain technology.

Details

International Journal of Operations & Production Management, vol. 43 no. 12
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 10 July 2023

Anne Friedrich, Anne Lange and Ralf Elbert

This study identifies and characterizes configurations of generic business models for logistics service providers (LSPs) in the context of industrial additive manufacturing (AM)…

Abstract

Purpose

This study identifies and characterizes configurations of generic business models for logistics service providers (LSPs) in the context of industrial additive manufacturing (AM). A literature-based framework of the AM service supply chain (SC) is developed to embed the generic configurations in their SC context.

Design/methodology/approach

Following an exploratory research design, 17 interviews were conducted with LSPs, LSPs' potential partners and customers for industrial AM services.

Findings

Six generic configurations are identified, the LSP as a Manufacturer, Landlord, Logistician, Connector, Agent and Consultant. The authors outline how these configurations differ in the required locations, partners and targeted customer segments.

Practical implications

The current discussion of reshoring and shorter, decentralized AM SCs confronts LSPs with novel challenges. This study offers guidance for managers of LSPs for designing business models for industrial AM and raises awareness for LSPs' resource and SC implications.

Originality/value

This study contributes to the scarce literature on AM business models for LSPs with in-depth empirical insights. Based on the six identified configurations, this study sets the ground for theorizing about the business models, in particular, the value creation, value proposition and mechanisms for value capture of the business models. In addition, this study suggests how the generic configurations fit the features of specific types of LSPs.

Details

The International Journal of Logistics Management, vol. 35 no. 2
Type: Research Article
ISSN: 0957-4093

Keywords

Article
Publication date: 13 June 2023

Nasser Al Harrasi, Mohamed Salah El Din, Masengu Reason, Badriya Al Balushi and Jouhara Al Habsi

The study provides an evaluation of the knowledge and skills importance covered in the degree of Logistics and Supply Chain Management (LSCM) as well as the knowledge and skills…

Abstract

Purpose

The study provides an evaluation of the knowledge and skills importance covered in the degree of Logistics and Supply Chain Management (LSCM) as well as the knowledge and skills gap of graduates entry-level.

Design/methodology/approach

The study used both descriptive and exploratory research designs. The study adopted a self-administered questionnaire. The sample size is 41 logistics industry mid-managers of six organizations selected from the main operators of Sohar Port in Oman.

Findings

The findings reveal that logistics professionals agree on the importance of all the learner attributes, knowledge and cognitive skills, and general competencies identified in a university degree with a major in LSCM. Furthermore, the results identified moderate levels of gaps in five knowledge areas and six soft and hard skills of graduates at the entry level.

Research limitations/implications

Further research can be built on this study findings by evaluating the perception of logistics and supply chain industry professionals in different global contexts and investigate the effectiveness of different training and educational programs in enhancing the knowledge and skills of logistics professionals in various regions.

Practical implications

This study may extend beyond Oman and have important implications for LSCM practices in other developing countries. Universities' management in developing countries can use this study findings to identify the key skills required by entry-level logistics professionals and incorporate them into their curricula to better prepare graduates for the workforce. In addition, the skills identified in our study, such as decision-making skills, managing stress, negotiation skills and critical thinking, are relevant to logistics professionals in other developing countries with similar socio-economic and industry characteristics.

Originality/value

Unlike the prior studies that focused on the mismatch between educational degrees and job requirements without considering study specializations and industry, this paper lays a nuanced understanding of the knowledge and skills gap associated with entry-level graduates of the logistics and supply chain industry. As such, the paper offers inputs for the LSCM academic degree related to knowledge and skills needed by logistics and supply chain industry.

Details

Higher Education, Skills and Work-Based Learning, vol. 13 no. 6
Type: Research Article
ISSN: 2042-3896

Keywords

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