Can Lean eliminate waste in urban logistics? A field study

Abstract

PurposeUrban logistics presents a series of challenges, as the interests of the different stakeholders are not always aligned. The aim of this research is to explore the potential of applying Lean principles to reduce waste in urban logistics.Design/methodology/approachAs a structure for “going to gemba,” the authors implemented the shadowing technique to better understand the perspective of companies distributing products in the city of Montevideo, Uruguay. Then, meetings were conducted to validate the observations by the people shadowed.FindingsThe results show that most of shipper's time is dedicated to waiting (59%), which is followed by driving (22%), and only a small section of time was dedicated to unloading and verification activities (19%). Although collaborative solutions are needed along with the different stakeholders, this research highlights how deploying Lean thinking can improve significantly urban logistics achieving up to 25% improvement in the number of stores served per shift.Practical implicationsFrom an academic point of view, this study emphasizes the importance of continue applying and evaluating the Lean practices into transportation contexts. From a company's perspective, the authors have presented a list of propositions that can be implemented for carriers in order to reduce waste and/or improve the efficiency of the urban transportation process.Originality/valueBased on the literature review carried out, the subject study of Lean and its application to urban logistics remains mostly unexplored in the scientific literature.

A Lean Service Conceptual Model for Digital Transformation in the Competitive Service Industry

“…Several types of waste identified by Ohno [40] in the manufacturing industry also exist in the service industry: over-production, inventory, waiting, motion, transportation, defects, and over-processing. Waste in the form of underutilized resources and a manager"s resistance to change are also mentioned in the service industry [1], [23].…”

“…Waiting whereby the employees or customers must wait for information or service delivery. Waiting is also involved when employees are ready to resume work, yet are unable to do so due to product, machine, or system unavailability [1], [23].…”

“…The completion of more work than required or before customer demand, which can lead to overcrowding [1], [23].…”

“…Adding unnecessary value to a service or product that is not requested by the customer, or will pay for, including unnecessary inspection and packaging [1], [41].…”

“…In the evolving environment of contemporary companies, two fundamental paradigms have emerged as transformative forces that shape the way organizations operate and deliver value, which is known as lean and digital transformation. The term "lean" refers to the principles and procedures of the Toyota Production System (TPS) [1]. Nowadays, lean is no longer limited to the manufacturing industry; it is all about doing more with less.…”