ITS FOR E-GROCERY BUSINESS: THE SIMULATION AND OPTIMIZATION OF URBAN LOGISTICS PROJECT

Internet-based grocery finds it hard to expand also due to a lack of control on physical logistics connected to delivery and on the associated information flow. Thus, the e-grocery sector needs to improve purchase transactions in order to be a valuable alternative to traditional grocery channels. In this context, Intelligent Transportation Systems (ITSs) play a significant role because they enable the management of logistics activities and, most importantly, they connect all the supply chain (SC) members with real time information. However, an accurate evaluation of the operational and economic impacts of ITSs on every SC echelon is needed in order to assure their feasibility and guarantee their success. In the paper we investigate the delivery of fresh food developing an ITS solution and proposing a framework to assess the performance related to its integration in a mobile application, with particular attention to the benefits and diffusion of such tool. The application allows users to monitor the flow along the entire SC and enables real-time optimization of route planning and traffic congestion mitigation. This work gives to the e-grocery distribution systems not only technical solutions but also a general approach to directly analyze their effectiveness and to test possible business policies. Such a contribution is of great relevance from both an academic and a practical perspective. On the one hand, the performance evaluation framework can support researchers in identifying the most valuable characteristics ITSs for e-grocery should include. On the other hand, the project provides users with a complete ITS solution integrated with a systemic methodology to assess its performance and diffusion in specific application cases.