Many retailers are exploring and testing same-day delivery to stay competitive in a market increasingly influenced by e-commerce giants who are setting new consumer expectations. Companies will need to consider the impact of labor, transportation modes, locations, cutoff times, and many other factors in order to achieve economies of scale as they implement same day delivery systems. In complex scenarios where you may have to pick up from multiple locations, robust optimization algorithms are necessary to do this effectively.
We have worked with retailers to help develop the right parameters and algorithms that will allow them to best coordinate delivery methods and inventory with customer demands. You can read further about a case study by Opex partner Diego Klabjan here.