Smart Solutions for City Logistics in the Fashion Logistics Supply Chain

Intro

Recent trends in, among others, digitalization, consumer behavior, e-commerce, traffic congestion, urbanization, environmental concerns, affect many (international, national, and local) supply-chains.

Managing supply-chains is often not the sole responsibility of one organization, as supply chains consist of independent organizations linked by complex coordination mechanisms, including markets. The fashion supply chain is no exception to these challenging trends.

This case study is based on a project initiated in the Netherlands, which continues to attract follow-up studies and projects aimed at implementation.

The case is accompanied with real-life data sets (samples from the data collected in the project). While the actual data has been collected on an ad-hoc basis, the challenges to students are:

  1. To develop an organizational structure that takes into account the interests of all stakeholders in the process.

The organizational structure can be a consortium of organizations; a joint project run by the main players; a project initiated by one organization; or any combination thereof.

  1. To develop an information system that enables the organizational structure to design, manage and control smart data-based strategies.
  2. To analyze the data sets accompanying the case, to suggest viable strategies.

For this partly hypothetical case study, we assume that the year is 2021, and that the data refer to 2020.

Some of the names of organizations and companies, have been altered for reasons of confidentiality.

Documentation

All relevant documentation and data are available on the Open Science Framework (OSF).

In the folder Case, you will find the Dutch version of the article and project/data description, and a (shortened) translation into English.

The folder Data contains the data for the project, in STATA format.

The data are split into the six regions of the Netherlands, as used in the project.

For the identification of region, the postal codes (at 2-digit level) of the retailers have been used. Since a substantial proportion of the goods flows are return flows, from retailers to wholesalers and distribution centers, the regions can act as locations of origin and destination of shipments.

Data in STATA-format can be read directly in R, with functions from the foreign package.

Structure of the Assignment

We will structure the assignment using the steps of the CRISP-model.

Week 1 (May 10-14): Business Understanding

On May 11, Henny Jordaan, who has been heading the project, will introduce the case study and the assignment. In this session, you have the opportunity - preferably after reading the case study! - to ask questions relevant to your approach of the case!

Week 1 & 2 (May 10-21): Data Understanding

In the same week, we will provide you with additional information (e.g., using R-scripts) to read, describe, explore and understand the data.

By the end of week 2, the groups working on the assignment will sit together with the supervisor(s) of the projects, in order to be perfectly clear about the objectives of the analysis and be able to formulate a plan of analysis for the next weeks.

Week 2 & 3 (May 17-28): Plan of Analysis

By and large, as Henny Jordaan will explain in week 1, the challenge is to smartly bundle flows of goods, in order to prevent congestion in the inner cities; lower CO2-emissions; save costs (labor; fuel); and achieve any other benefits.

The main idea would be to bundle goods in hubs (new or existing warehouses) close to the cities. The general approach when analyzing the data would be to compute the benefits if we simulate such hubs, given the actual data.

Week 4 (May 31 - June 4): Simulation/Modeling

Week 5 (June 7 - June 11): Reporting and Presentation

Submissions

You will work in two groups of maximum 4 students each.

There are two project folders, one for each of the two groups.

You can use these folders (or sub-folders) to share your work, and ask any questions and ideas that you have! We will regularly inspect the folders to see if any new ideas and questions have come up.

Alternatively, you can use (posts on) Teams, to communicate with fellow students and researchers in the project.

When uploading documents on OSF, of course see to it that you use the right (sub)folders, and, equally important, give informative names to your documents:

yyyymmdd_groupx_subject_version.ext

For example:

20210511_group1_questions_on_data_02.docx