Multiobjective Optimization for Planning the Service Areas of Smart Parcel Locker Facilities in Logistics Last Mile Delivery

Abstract

The planning of the location service areas of smart parcel locker facilities became a critical aspect of logistics last mile delivery. In e-commerce, the efficiency of delivering merchandise from retailer warehouses to customers determines the competitiveness of retailers and delivery operators. The considerable increases in e-commerce transactions and safety concerns under the COVID-19 (Coronavirus disease 2019) pandemic made home delivery services even more inefficient than before, which resulted in the considerable increase in social costs. In numerous countries, smart parcel lockers were adopted to increase delivery efficiency, decrease the risk of COVID-19 infection, and reduce the burden on society. This study proposed a multiobjective optimization mathematical model for investigating the planning of the location service areas of smart parcel locker facilities, and then the optimization mathematical model was solved using a combination of the Taguchi method (TA) and nondominant sorting genetic algorithm II (NSGA-II). Finally, this composite approach was applied to a case study in producing favorable solutions for facility location service area planning.