Realizing zero-waste value chains through digital twin-driven S&OP: A case of grocery retail

Abstract

We posit that the zero-defect mindset from manufacturing is a crucial step in the direction of achieving zero-waste value chains. Using a reflective conversation approach within a food grocery retail case setting, we show how digital twin-supported sales and operations planning (S&OP) may be used as an intervention to predict and detect variabilities across the value chain to prevent and reallocate food surplus, allowing us to bring the zero-waste value chain concept to fruition. The contributions of this study include extending the zero-defect concept to value chains in grocery retail for addressing food waste and proposing the notion of digital twin-enabled planning as a means of improving upon the shortcomings of the traditional S&OP process.