Event Details

Dr Alp Arslan of the Management Science Department will be presenting a seminar

Abstract: Recently, there has been a rapid rise of on-demand grocery delivery services (ODS), which allow online customers to receive selected goods in minutes via dark stores or corner shops. However, running such a service platform is challenging from a logistical point of view since the platform faces tight order delivery deadlines, small order sizes and high product variability. We propose a stylized queueing system to design and assess the on-demand grocery delivery services analytically. Ultimately, our model captures the salient features of ODS, including stochasticity in order arrivals and inventory availability at stocking locations and provides tools beyond the unit economics.