| | |

Navigating urban logistics challenges: An optimized approach to parcel distribution in the Prague city center


Emerging digital technologies and their influence on elimination of supply chain vulnerability

Navigating urban logistics challenges: An optimized approach to parcel distribution in the Prague city center

Name and surname of author:

Jakub Andar, Katerina Huskova, Jakub Dyntar

Year:
2024
Early Access publication date:
28.02.2024
Volume:
27
Issue:
3
Keywords:
Sustainable supply chain management, horizontal and vertical supply chain cooperation, urban parcel logistics, micro hubs, facility location problem
DOI (& full text):
Anotation:
In this paper, we focus on metropolitan transport logistics that has always been difficult due to the need to transport goods through a complex urban infrastructure, heavy traffic, and dense populations. The goal of this paper is to describe a micro hub location in the neighborhood of the historic center of the city of Prague, the Czech Republic in a situation where the municipalities consider prohibiting the entry of trucks with combustion engines that currently provide cargo transportation for B2B partners operating in this area. Micro hubs represent the efficient last mile consolidation and distribution facilities located in or near urban neighborhoods and serving a spatially limited, densely populated delivery area. We propose a solution combining facility location problem, vehicle routing problem and balancing with the horizontal and vertical cooperation in supply chains to locate the micro hub in the area with extremely low availability of suitable space while respecting the necessity to connect this facility to an existing network of regional terminals operated by 3PLs to ensure the distribution of cargo across the board according to the requirements of customers. For the collection and distribution of parcels within the area, we suggest to use of cargo bikes and electric vans to provide environmentally sustainable service and minimize the harmful consequences of excessive traffic for residents. We also discuss the economic implications of adopting such innovative sustainable supply chain solutions for involved horizontal and vertical supply chain partners emphasizing different motivation aspects to convince these partners to cooperate and share scarce resources.
In this paper, we focus on metropolitan transport logistics that has always been difficult due to the need to transport goods through a complex urban infrastructure, heavy traffic, and dense populations. The goal of this paper is to describe a micro hub location in the neighborhood of the historic center of the city of Prague, the Czech Republic in a situation where the municipalities consider prohibiting the entry of trucks with combustion engines that currently provide cargo transportation for B2B partners operating in this area. Micro hubs represent the efficient last mile consolidation and distribution facilities located in or near urban neighborhoods and serving a spatially limited, densely populated delivery area. We propose a solution combining facility location problem, vehicle routing problem and balancing with the horizontal and vertical cooperation in supply chains to locate the micro hub in the area with extremely low availability of suitable space while respecting the necessity to connect this facility to an existing network of regional terminals operated by 3PLs to ensure the distribution of cargo across the board according to the requirements of customers. For the collection and distribution of parcels within the area, we suggest to use of cargo bikes and electric vans to provide environmentally sustainable service and minimize the harmful consequences of excessive traffic for residents. We also discuss the economic implications of adopting such innovative sustainable supply chain solutions for involved horizontal and vertical supply chain partners emphasizing different motivation aspects to convince these partners to cooperate and share scarce resources.
Section:
Emerging digital technologies and their influence on elimination of supply chain vulnerability
APA Style Citation:

Andar, J., Huskova, K. & Dyntar, J. (2024). Navigating urban logistics challenges: An optimized approach to parcel distribution in the Prague city center. E&M Economics and Management, 27(3), 1–14. https://doi.org/10.15240/tul/001/2024-5-005

Andar, J., Huskova, K. & Dyntar, J. (2024). Navigating urban logistics
challenges: An optimized approach to parcel distribution in the Prague city center.
E&M Economics and Management, Vol. ahead-of-print, (No. ahead-of-print). https://doi.
org/10.15240/tul/001/2024-5-005

?
NAPOVEDA
reguired