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4087. Parcel Lockers as a Solution to Urban Logistics Challenges: A Stochastic MIO Model Incorporating Customer Utility

Contributed abstract in session MC-18: Enhancement of circularity, inclusivity, and smartness in cities I, stream Sustainable Cities.

Monday, 12:30-14:00
Room: 42 (building: 116)

Authors (first author is the speaker)

1. Zisis Maleas
HIT, CERTH
2. Georgia Ayfantopoulou
Hellenic Institute of Transport (ΗΙΤ), Centre for Research and Technology Hellas (CERTH)
3. Josep Maria Salanova Grau
CERTH-HIT

Abstract

In the modern urban environment, the rise of e-commerce has led to significant last-mile delivery challenges, notably increasing congestion and air pollution. Estimates suggest that last-mile delivery accounts for half of the total CO2 emissions and delivery costs of the overall journey of a single parcel. A popular mitigation approach involves installing parcel lockers, promising yet demanding new models for optimal last-mile distribution network configuration. This study introduces a novel stochastic Mixed Integer Optimization (MIO) model for the optimal placement of lockers across various demand scenarios, incorporating a customer behavior model based on utility functions and queuing characteristics for the selected location. We present an efficient optimization strategy inspired by Benders Decomposition and explore a scenario where last-mile operators utilize a government-established locker network. Our findings, based on real courier company data to model demand and utility functions from regional surveys to design the utility model of customer. Lastly, the study presents a Continuous Approximation (CA) model guiding optimal locker quantity and the impact of the final locations and service level. The study discusses method performance, practical application, and improvement opportunities, offering insights into sustainable urban logistics.

Keywords

Status: accepted

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