How crowd sourcing is changing the face of last mile delivery : Crowd logistics
Odongo, Brian (2018)
Odongo, Brian
Jyväskylän ammattikorkeakoulu
2018
All rights reserved
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2018053111646
https://urn.fi/URN:NBN:fi:amk-2018053111646
Tiivistelmä
Abstract
Last mile logistics is the least efficient stage of the supply chain and comprises up to 28% of the total delivery cost. A variety of collaborative economy business models are rapidly emerging and growing across the globe, changing the way services were traditionally provided and consumed. They are driven by technological, economic and societal factors. Among the possible strategies that can be implemented to provide fast shipping services, there is crowdsourcing logistics. Crowdsourcing logistics is defined as the outsourcing of logistics services to a mass of actors.
Due to the scarcity of scientific literature and to have a better understanding of the industry, a multiple case study of firms operating in crowd logistics was conducted. First, seven elements that can describe crowd logistics business model were identified coupled with technologies enabling crowd logistics. Moreover, two main classifications were identified, the so called B2C and P2P companies finally it was indicated how crowd logistics impacts last mile efficiency.
Crowd logistics platforms enables individuals and other actors such as tech entrepreneurs and traditional logistics firms to offer new services. This creates new employment, flexible working arrangements thus helps smaller retailers to reach a wider market and customer base. Crowd logistics also make markets more competitive and efficient by improving matching between demand and supply. In addition to the role of mobile technology, societal drivers such as population density also appears to play an important role in the development of the crowd logistics. Increasing population density within cities has provided the basis for a critical mass which is the back bone of crowd logistics platform.
Last mile logistics is the least efficient stage of the supply chain and comprises up to 28% of the total delivery cost. A variety of collaborative economy business models are rapidly emerging and growing across the globe, changing the way services were traditionally provided and consumed. They are driven by technological, economic and societal factors. Among the possible strategies that can be implemented to provide fast shipping services, there is crowdsourcing logistics. Crowdsourcing logistics is defined as the outsourcing of logistics services to a mass of actors.
Due to the scarcity of scientific literature and to have a better understanding of the industry, a multiple case study of firms operating in crowd logistics was conducted. First, seven elements that can describe crowd logistics business model were identified coupled with technologies enabling crowd logistics. Moreover, two main classifications were identified, the so called B2C and P2P companies finally it was indicated how crowd logistics impacts last mile efficiency.
Crowd logistics platforms enables individuals and other actors such as tech entrepreneurs and traditional logistics firms to offer new services. This creates new employment, flexible working arrangements thus helps smaller retailers to reach a wider market and customer base. Crowd logistics also make markets more competitive and efficient by improving matching between demand and supply. In addition to the role of mobile technology, societal drivers such as population density also appears to play an important role in the development of the crowd logistics. Increasing population density within cities has provided the basis for a critical mass which is the back bone of crowd logistics platform.