Developing an Efficient Model for Online Grocery Order Fulfillment

Abstract

Due to the convenience of online grocery apps and home delivery, online grocery shopping has become popular in recent years. Globally, consumer behavior has significantly changed the consumption and purchase patterns of online grocery shopping. This study aimed to develop an efficient model for online grocery order fulfillment that both reduces costs and increases supply chain efficiency and sustainability. This study first aimed to develop the current picking model by adopting real-world data from a store in Riyadh, Saudi Arabia. Subsequently, four proposed models were developed to improve the efficiency and sustainability of the online grocery order fulfillment process. The results show a significant improvement in all models over the current picking model. The percentage improvements in fulfillment time per product are as follows: single order picking—8.33%; batch order picking—6.78%; zone order picking—3.08%; and hybrid order picking—13.20%, which combines zone and batch order picking. Retailers and online grocery apps could adopt these models to increase efficiency and sustainability. Also, these models have great potential for future research and improvement by optimizing product placement, in addition to picking methods and picking routes, which are the focus of this study.