Seventh International Conference on Business Sustainability 2017 URBAN AND REVERSE LOGISTICS An application to commercial areas Sergio Rubio 1 ♣ , Juan-Ramón Sicilia 1 and Beatriz Jiménez-Parra 2 1 School of Industrial Engineering. University of Extremadura. Badajoz (Spain) 2 Faculty of Economics and Business Management. University of León. León (Spain ) Póvoa de Varzim, November 16 th 2017 ♣ Sergio Rubio thanks Junta de Extremadura and European Union for their financial support through the grant GR15007 . This research was partially supported by the project " Promoting Sustainable Freight Transport in Urban Contexts: Policy and Decision-Making Approaches ( ProSFeT )", funded by the H2020- MSCA-RISE-2016 programme (Grant Number: 734909).
Outline 1. Urban and reverse logistics 2. Challenges and opportunities for collaboration 3. Analysis of commercial areas in Badajoz: – Shopping Street at Menacho – Shopping Centre at El Faro 4. Some proposals for improvement 5. Conclusions 2
Urban Logistics • According to United Nations (2015), globally, more people live in urban areas than in rural areas: – 54% of the world’s population residing in urban areas in 2014 – By 2050, 66% of the world’s population is projected to be urban – Northern America (82%), Latin America and Caribbean (80%) and Europe (73%) are the most urbanized regions • European cities continue to grow: – The level of urbanisation in Europe is expected to rise to 82% by 2050 (90% in DK, BE, and NL) 3
Urban Logistics • A growing urban population will lead to increased demand for goods and services, so increased demand for urban logistics • Urban Logistics may be defined as meaning the movement of goods, equipment and waste into, out, from, within or through an urban area (European Commission, 2013). 4
Urban Logistics • Urban (city) logistics can contribute towards making urban areas more attractive and productive (Taniguchi et al. , 2014) • Urban freight transport is one of the main challenges in this context: – emissions, – pollution, – congestion, etc. 5
Urban Logistics • Some data on urban freight transport : – Urban freight is an important traffic component in cities (10-15% of vehicle equivalent Kilometres) – Urban freight is approximately 6% of all transport GHG emissions – The load factors for delivery vehicles in cities are very low (38% for vans in London) • Sustainable city logistics must be the solution to the social, environmental and economic negative impacts caused by freight transport in many cities around the world (Grosso et al. , 2014). 6
Reverse Logistics • In recent years, Reverse Logistics (RL) has attracted the attention of companies and academia. • Apple, Canon, Caterpillar, Dell, Electrolux, Hewlett- Packard, or IBM include Reverse Logistics practices in their operational processes. • RL is focused on the management of the recovery of products once they are no longer desired or can no longer be used by consumers, in order to obtain an economic return through reuse, remanufacturing or recycling (Flapper et al . 2005). 7
Reverse Logistics Drivers for implementing RL systems: Social reasons : CO 2 emissions, waste generation,… • Legal reasons : Environmental legislation: WEEE, • packaging material, EOL vehicles, etc. Extended Producer Responsibility. Economic reasons : • Direct: raw materials, disposal costs, added value from returned products Indirect: green image, improve customer relationships 8
Reverse Logistics According to De Brito and Dekker (2004), RL can be defined as: “ the process of planning, implementing and controlling backward flows of raw materials, in process inventory, packaging and finished goods, from a manufacturing, distribution or use point, to a point of recovery or point of proper disposal” 9
Reverse Logistics Flows in the Supply Chain COMME MERCIA IAL RECYCL CLING NG REMANU NUFACTU CTURI RING NG REUSE SE RETURN RNS Raw Components Manufacturing Distribution Customer materials and parts FORWARD FLOW DISP SPOSA SAL REVERSE FLOW 10
Challenges & Opportunities • In the European context some initiatives have been developed: – ERTRAC: E uropean R oad Tr ansport A dvisory C ouncil – ALICE: A lliance for L ogistics I nnovation through C ollaboration in E urope • The ERTRAC-ALICE goal: To identify research priorities related to urban freight, returns and urban logistics in order to improve the efficiency, the sustainability and the safety of these activities 11
Challenges & Opportunities According to ERTRAC-ALICE initiative it is necessary to research the following issues: • Integration of direct and reverse flows: implications of e-commerce, recycling and commercial returns . • Logistics management models in an increasing recycling society urban environment . • Combining flow waste from industry (construction material and the others) and domestic. 12
Challenges & Opportunities • Reverse logistics developments in the field of the design of networks for recovery of EoL products could be very useful. • Issues related to reverse logistics and urban freight logistics to be analysed: – Network design for waste management – Commercial returns in urban areas – Business trends: e-commerce, home and personalised deliveries. 13
Analysis of commercial areas • Based on a methodology (Sanz & Pastor, 2009) that helps to take decisions about how to design a logistic model able to achieve an efficient urban freight distribution in any given scenario. • Our contribution includes: – A reverse logistics approach – A measurement scale – A quantitative example 14
Analysis of commercial areas Urban Point of Reverse context Sale logistics Quantitative analysis Sensitivity analysis Results Proposals for improvement 15
Analysis of commercial areas REVERSE URBAN CONTEXT POINT OF SALE LOGISTICS (30%) (40%) (30%) City (25%) Facilities (60%) Waste mgmt. (70%) • • • Neighbourhood Demand (40%) Returns (30%) • • • (25%) Street (25%) • Surroundings (25%) • Weights and scales were suggested by experts 16
Analysis of commercial areas 1) Urban context : 1.1) City : • City population • Entries to the city • Logistics platforms • Entries to the commercial areas • Congestion level • Urban consolidation centres • Traffic decision support systems 17
Analysis of commercial areas 1) Urban context : 1.2) Neighbourhood : • Entries to the neighbourhood • Residential vs commercial neighbourhood • Congestion level • Architectonic elements: streets, pavement, historic downtown, etc. • Traffic decision support systems 18
Analysis of commercial areas 1) Urban context : 1.3) Street : • Sort of street: pedestrian area, vehicle restrictions, time windows, etc. • Congestion level • Structural or physical restrictions in the street 1.4) Commercial area surroundings : • Drop-off facilities • Pavement state • Accessibility 19
Analysis of commercial areas 2) Point of sale (POS) : 2.1) Facilities : • Loading and unloading space, parking and regulations • Systems and mechanisms for loading and unloading • Merchandise routes to POS • Useful area of POS 2.2) Demand : • Relevance of the POS • Demand forecast • Opening hours • Commercial offer variety 20
Analysis of commercial areas 3) Reverse logistics : 3.1) Waste management : • Collection containers availability • Waste collection system organization 3.2) Commercial returns : • Own system vs 3PL provider • Timetable • Collection points 21
Analysis of commercial areas • Shopping street at Menacho – Menacho is the main shopping street in Badajoz – More than 140 shops – Parking area for 750 vehicles 22
Analysis of commercial areas: Menacho street REVERSE URBAN CONTEXT POINT OF SALE LOGISTICS Pedestrian area Public waste • Opening hours • • Access restrictions management • 10.00-21.00 Parking restrictions system (WMS) • Load/unload public • for delivery services Waste collection areas (8.00-13.00 • shared with and 16.00-18.00) residents Non-priority • Different waste deliveries • management Excellent access • behaviour with pallet trucks Recycling and waste Warehouses • • separation are not available for hiring promoted Online shop project • 23
Analysis of commercial areas • Shopping centre at El Faro – El Faro is a mall located at the border with Portugal – 78 shops and 16 restaurants – Parking area for 2,500 vehicles – 66,000 m 2 for shopping, leisure and food services. 24
Analysis of commercial areas: El Faro REVERSE URBAN CONTEXT POINT OF SALE LOGISTICS Access by car, bus Opening hours Centralised waste • • • and bicycle 10.00-22.00 management Highway access Seven load/unload system • • Free parking for decks (6.00-10.00) 7 compactors for • • 2,500 vehicles Priority deliveries cardboard waste • Traffic information Direct access from 1 compactors for • • • service decks to shops organics waste No lockers or 1 compactor for • • distribution centres plastic waste Waste collecting • hours (22.00-10.00) 25
Recommend
More recommend
