Traditional supermarket chains that are adopting an omni-channel approach must now carry out the order picking and delivery processes to serve online orders, previously done by the customer. The complexity of the logistics processes has increased, therefore modelling and optimising e-grocery operations becomes definitely important. Since there are few studies modelling order picking and delivery processes, we propose an approach that simultaneously optimises the decision variables of different functions which have traditionally been treated separately. In this study, we present a linear programming model for store-based e-fulfilment strategies with multiple picking locations. The proposed model optimises the allocation of online orders to stores, based on the e-fulfilment costs. As well as minimising the picking and delivery costs, the proposed approach consolidates workloads in order to avoid idle times and reduce the amount of resources required. A weighted sum method is applied to compute the solution, integrating parameters that represent different store features such as the product range, sales mode and physical store activities. The proposed model has been tested on one of the largest grocery sellers, showing that substantial savings can be achieved by reallocating orders to different stores, time windows and delivery vehicles. By focusing on optimising e-fulfilment resources, this approach serves as a guide for traditional grocery sellers to redesign their supply chains and to facilitate decision-making at a managerial level. KeywordsMILP • e-commerce • e-grocery • omni-channel retailing • order fulfilment • optimisation Mar Vazquez-Noguerol

PurposeGrocery sellers that have entered the online business must now carry out order fulfilment activities previously done by the customer. Consequently, in a context of online sales growth, the purpose of this study is to identify and implement best practices in order to redesign the order picking process in a retailer with a store-based model.Design/methodology/approachTo identify different work alternatives, an approach is developed to analyse the methods used in distinct stores of one large Spanish grocer. The methodology employed is a three-step statistical analysis that combines ANOVA and MANOVA techniques to settle on the best alternatives in each case.FindingsSubstantial improvements can be achieved by analysing the different working methods. The three-step statistical analysis identified best practices in terms of their impact on preparation time, allowing a faster working method.Practical implicationsTo manage business processes efficiently, online grocers that operate store-based fulfilment strategies can redesign their working method using a criterion based on their own performance.Originality/valueThis is one of the few contributions focusing on the improvement of e-grocery fulfilment operations by disseminating best practices through decision-making criteria. This study contributes by addressing the lack of approaches studying the order picking process by considering its various features and applying best practices.

The use of the online channel has greatly increased the logistics costs of supermarket chains. Even the difficulty of managing order picking and delivery processes has increased due to the short delivery times and the preservation of perishable products. Against that backdrop, the proposed approach presents a mathematical model for planning the e-fulfillment activities with the objective of ensuring maximum efficiency. The linear programming model has been designed for e-grocers that prepare their online orders at central warehouses. The mathematical model determines both the time windows during which picking and transport should take place and the assignment of trucks to delivery routes. The allocation of online orders is performed taking into account the conservation requirement of each type of product and the availability of means. Considering this planning tool, managers can improve the decision-making process guaranteeing the quality of service while reducing the e-fulfillment cost for joint picking and delivery point of view. Motivated by a cooperation with a supermarket chain, results bring great insight based on the simulation of different logistics alternatives. Companies and researchers can compare the strategy of leveling the workload and the strategy of reducing the number of means, a common alternative in logistics outsourced to third parties. In addition, the different scenarios developed make it possible to determine the substantial savings achieved by modifying the delivery services and advancing the order preparation. As a result, managerial insights are identified highlighting the importance of efficient order planning to improve the profitability of online sales.

Purpose: Road transport aspects are becoming increasingly important due to their high impact on economic, environmental and social sustainability. Considering the triple bottom line approach, best practices play a fundamental role within organisations. The purpose of this paper is to analyse several sustainable initiatives in road transport adopted by companies.Design/methodology/approach: The findings were developed and evaluated based on empirical data captured through a survey of 98 professionals involved in logistics and transport activities. Additionally, key literature on transport initiatives was reviewed to supplement the framework for the implementation of best practices in road transport.Findings: The exploratory study shows the importance of each best practice and determines the level of implementation of each initiative, comparing the results among different dealers (retailers, wholesalers, carriers and manufacturers), type of transport fleet and companies’ revenues.Research limitations/implications: The sample of 98 companies was based on simple search filters and the group is not wholly representative of all sectors. Respondents were mainly managers from Spain involved in logistics and transport activities. Surveyed companies included manufacturing, retailers, wholesalers and third-party logistics providers.Practical implications: The most common best practices in road transport are identified, including initiatives related to: efficiency, reusability, safety, optimization, emissions, waste and recycling. Initiatives that influence road transport are ranked by their degree of implementation in the companies analysed. Social implications: Implementation of some of these best practices may help lessen negative impacts of road transport on society and the environment.Originality/value: The study results indicate which practices are most frequently used and their level of implementation depending on companies’ roles in the supply chain, revenues and types of transport fleet. By implementing the proposed best practices, companies will adopt sustainable behaviors to improve their transport performance.

The digital transformation among grocery sales is in full swing. However, some retailers are struggling to adapt to technological innovation in the grocery industry to achieve digital excellence. The purpose of this article is to analyse artificial intelligence systems applied in e-commerce that could be implemented in online grocery sales. Unlike other online businesses, grocery sales face logistical challenges that differentiate them, such as fresh product conservation and tight delivery times. Through a literature review, this study aims to provide researchers and practitioners with a starting point for the selection of technological innovation to solve e-grocery problems.