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Modelling handling operations in grocery retail stores: an empirical analysis

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Journal of the Operational Research Society

Abstract

Shelf stacking represents the daily process of manually refilling the shelves with products from new deliveries. For most retailers, handling operations are labour-intensive and often very costly. This paper presents an empirical study of the shelf-stacking process in grocery retail stores. We examine the complete process at the level of individual sub-activities and study the main factors that affect the execution time of this common operation. Based on the insights from different sub-activities, a prediction model is developed that allows estimating the total stacking time per order line, solely on the basis of the number of case packs and consumer units. The model is tested and validated using real-life data from two European grocery retailers and serves as a useful tool for evaluating the workload required for the usual shelf-stacking operations. Furthermore, we illustrate the benefits of the model by analytically quantifying the potential time savings in the stacking process, and present a lot-sizing analysis to demonstrate the opportunities for extending inventory control rules with a handling component.

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Correspondence to T van Woensel.

Appendices

Appendix A

See Table A1.

Table 6 Shelf-stacking sub-activities

Appendix B. Descriptive statistics of the empirical datasets

See Tables B1, B2, B3 and B4.

Table 7 Descriptive statistics of explanatory variables (Chain A)
Table 8 Descriptive statistics of response variables (Chain A)
Table 9 Descriptive statistics of explanatory variables (Chain B)
Table 10 Descriptive statistics of response variables (Chain B)

Appendix C. Validation of results for chain B

See Tables C1 and C2.

Table 11 Regression results for each individual sub-activity (standardized coefficients) (Chain B)
Table 12 Sequential regression: actual versus predicted TST (Chain B)

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Curşeu, A., van Woensel, T., Fransoo, J. et al. Modelling handling operations in grocery retail stores: an empirical analysis. J Oper Res Soc 60, 200–214 (2009). https://doi.org/10.1057/palgrave.jors.2602553

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  • DOI: https://doi.org/10.1057/palgrave.jors.2602553

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